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.

This 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

01 Sep

Wyndham on Patong - WYNDHAM Hotel Group has opened a 206-room ...


01 Sep

TAM adds Punta Cana - ONEWORLD’S Latin American carrier TAM Airlines is ...


01 Sep

Pullman Hubei debut - ACCORHOTELS and Yichang Xin Hua Yuan Real ...


01 Sep

NSW Pro Surf series - MAROUBRA, Cabarita, Avoca and Boomerang Beaches in ...


01 Sep

Boeing 777-X config - BOEING has completed the configuration design for ...


01 Sep

SYD T1 duty free open - SYDNEY Airport has started Phase 3 of ...


01 Sep

Rocks creperie opens - A NEW creperie has opened at AccorHotels’ ...


01 Sep

Luxurious Thailand Famil - EARLIER this month a group of Melbourne ...


01 Sep

DNSW hols campaign - DESTINATION NSW has begun a new publicity ...


01 Sep

SkyGreece shut down - SKYGREECE Airlines temporarily ceased all operations over ...


01 Sep

Malaysia travel alert - THE Department of Foreign Affairs & Trade ...


01 Sep

InterCon Fiji appoints - INTERCONTINENTAL Fiji Golf Resort & Spa has ...


01 Sep

Sunrise Fraser Coast - CHANNEL Seven’s Sunrise weather team has returned ...


01 Sep

Infinity Hawaii mega reward - INFINITY Holidays, Hawaii Tourism Oceania and Hawaiian ...


01 Sep

LAS gets A380 ready - LAS Vegas plans to add seven international ...


01 Sep

AFTA Update 01 Sep 15 - I had the great pleasure of attending ...


01 Sep

JetBlue to Palm Sprgs - AMERICAN low-cost carrier JetBlue has added Palm ...


01 Sep

Vistara UAE move - FLEDGLING Indian startup airline Vistara has begun ...


01 Sep

Money Update 01 Sep 15 - $1AUD = US0.711 There are some glum ...


01 Sep

Nanjing 72hr visa free - AUSSIE travellers can now stay for up ...



Show Travel Daily items by month: