Subscribe


Flight Centre

Flight Centre to “vigorously defend” ACCC allegations

Flight Centre has instantly responded to the Australian Competition and Consumer Commission’s claims of price fixing, with md Graham Turner saying the allegations relate to “legitimate discussions” the company had with some airlines to ensure that it had access to all fares that were released to the market.

He said Flight Centre had clearly outlined its position to the ACCC since it first requested information almost three years ago, and would vigorously defend the case.

“For the past 30 years, Flight Centre has built its reputation on making travel more affordable,” he said.

“It is not in the business of making airfares more expensive and does not ask suppliers to raise prices or to withdraw fares.

“As an agent, Flight Centre asks for adequate commissions from airlines and other suppliers and also reasonable access to all fares that they release to the market. This is a logical and natural business request for an agent to make to ensure the customers it serves are not disadvantaged,” he said.

Turner revealed that the ACCC had initially requested information after Flight Centre ended airline contract discussions with Singapore Airlines in April 2009, and then temporarily treated the airline as a non-preferred supplier.

He said that FC’s concerns at the time mainly related to proposed changes in SIA commission rates and the airline’s “failure to give customers access to certain fares at a competitive price”.

Since then FC and SIA have agreed a contract which gives customers access to all of Singapore Airlines’ airfares.

“Flight Centre provided full details to the ACCC on this and other subjects, but until today was not made aware of the ACCC’s specific concerns,” Turner said.

“Despite numerous requests from Flight Centre, the ACCC failed to explain the legal basis of its position or to describe the conduct it believed the company should desist from,” he added.

Turner said the company was questioning why it took so long for the ACCC to launch legal action when it “had all of the facts and was given all of the relevant documents more than two years ago”.

He said Flight Centre’s commitment to delivering cheap fares had been in place since the early 1980s, and “today this pricing commitment is articulated in Flight Centre’s lowest airfare guarantee, which invites customers to ‘bring us a quote and we will beat it'”.

More information in Monday’s Travel Daily.

ThisĀ Travel Daily breaking news brought to you by Virgin Australia.

vbg0278_455x214.gif


The above Breaking News Alert was sent to Travel Daily subscribers on 09 Mar 12

Make a comment...



Established in 1994, Travel Daily is Australia's leading travel industry publication, and is sent as a paid subscription to people across the industry as a PDF newsletter every weekday.

Register for Travel Daily trial subscription

To sign up for a free 14-day trial, click on the button at right.

Click here to see a sample issue of Travel Daily.

Click here for more information on subscriptions.

Alternatively, you can search our site or find other content below.

Recent Travel Daily articles

28 Apr

Travel Specials 28 Apr 17 - WELCOME to Travel Specials, Travel Daily's Friday ...


28 Apr

Window Seat 28 Apr 17 - OVER 150 Whitsundays tourism operators yesterday descended ...


28 Apr

Release the pandas! - YESTERDAY the China National Tourist Office formally ...


28 Apr

Express expansion hits Brissie - THE InterContinental Hotels Group (IHG) celebrated its ...


28 Apr

Bamurru w/ Wild Bush - A new full-day experience from Wild Bush ...


28 Apr

Best Western Manado - BEST Western Hotels & Resorts has made ...


28 Apr

AVANI Europe debut - THE first AVANI Hotel in Europe, AVANI ...


28 Apr

Jetstar’s low rating - JETSTAR has come last in an int'l ...


28 Apr

QR 5 daily to BKK - QATAR Airways plans to boost its Doha-Bangok ...


28 Apr

Mantra racquet win - MANTRA Group has signed on with the ...


28 Apr

CA adds two routes - AIR China plans to begin flying between ...


28 Apr

FCTG on Marketplace - FLIGHT Centre Travel Group (FCTG) has partnered ...


28 Apr

Ningaloo recognition - NINGALOO Reef is the only Australian destination ...


28 Apr

Dusit for Chatuchak - THAI property development company Dusit Int'l has ...


28 Apr

Bora Bora savings - TAHITI Travel Connection is offering savings of ...


28 Apr

New Geelong hotel - GEELONG will have its first new hotel ...


28 Apr

TTF blasts Sydney’s cruise infrastructure - THE Tourism & Transport Forum is concerned ...


28 Apr

Trails thru Hong Kong - HONG Kong Tourist Board is offering five ...


28 Apr

Peter Sommer deal - PETER Sommer Travels is offering a special ...


28 Apr

Plaza arrivals lounge - PLAZA Premium has opened a new arrivals ...



Show Travel Daily items by month: