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

02 Sep

TD breaking news – Norwegian Cruise Line to buy Oceania and Regent Seven Seas - Norwegian announces US$3.025 billion acquisition of Prestige ...


02 Sep

Queen’s Award for Counsellors - TRAVEL Counsellors has been honoured with another ...


02 Sep

ASTA agent blog - THE American Society of Travel Agents has ...


02 Sep

FNQ helicopter deal - CAIRNS-BASED Cape York Helicopters is set to ...


02 Sep

Airport cash haul - THE Australian Customs & Border Protection Service ...


02 Sep

New Thai Minister - THAILAND’S PM General Prayuth Chan-ocha has appointed ...


02 Sep

VA Online Check-In - VIRGIN Australia has revamped its mobile and ...


02 Sep

NZ North Island push - TOURISM New Zealand has today launched a ...


02 Sep

AFTA Update 02 Sep 14 - WELL, spring is upon us as 2014 ...


02 Sep

Planeterra appoints - G ADVENTURES has named sustainable tourism expert ...


02 Sep

QR rolls out its first Airbus A350 - FRESH out of the paint shop, Qatar ...


02 Sep

Double QF pts promo - HCF Travel Insurance is offering one Qantas ...


02 Sep

Hilton Sydney recruit - JAN Jansen has been appointed by the ...


02 Sep

Solomon Islands Tourism Forum - HONIARA played host on Fri to the ...


02 Sep

New Renaissance - THE Renaissance Beijing Wangfujing Hotel has opened ...


02 Sep

2-for-1 Tigerair fares - TIGERAIR Australia is offering two-for-the-price-of-one airfares on ...


02 Sep

EK A380s to Frankfurt - EMIRATES has commenced new daily services between ...


02 Sep

India on a shoestring - TUCAN Travel has introduced three new Budget ...


02 Sep

Tour the World on TV - EVERGREEN Tours is supporting the return of ...


02 Sep

FJ boosts experience - FIJI Airways has today launched its new ...



Show Travel Daily items by month: