I just heard ...... fuel surcharges are coming on other carriers!
Nov 10, 2011, 1:24 am
#77
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Just re-affirms the decisions I made to run down the AC accounts earlier and generally minimize use of AC accounts.
Nov 10, 2011, 1:32 am
#78
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The fuel surcharge game played by airlines is but another excuse to gut their costs at the expense of their customers -- including at the expense of those with negotiated corporate contracts; including at the expense of frequent flyer program customers -- and to make it faster and easier for the airlines to adjust a bunch of fares much faster at lower cost.
Current commodity prices are just an excuse, as becomes clear given the stickiness of the approach and/or levels even when a factor commodity price drops 30-50% in real and sometimes even in nominal terms from a given benchmark record.
Indeed for those whose material engagement with the airline and approach to these developments are primarily from a consumer perspective rather than weighed down by material engagement -- past, present or prospective -- with the airline as an airline/program shareholder/supplier/employee or relative of such.
Current commodity prices are just an excuse, as becomes clear given the stickiness of the approach and/or levels even when a factor commodity price drops 30-50% in real and sometimes even in nominal terms from a given benchmark record.
Indeed for those whose material engagement with the airline and approach to these developments are primarily from a consumer perspective rather than weighed down by material engagement -- past, present or prospective -- with the airline as an airline/program shareholder/supplier/employee or relative of such.
Last edited by GUWonder; Nov 10, 2011 at 1:43 am
Nov 10, 2011, 1:50 am
#79
Join Date: Jul 2009
Location: YEG
Programs: AC
Posts: 815
I booked an LH redemption a few weeks ago for next summer. I was looking at changing it, but I guess it will stay the way it is now.
Guess we have figured out why the AE site was offline there a week or two ago so often. Massive reworking of the tax calculation system.
Guess we have figured out why the AE site was offline there a week or two ago so often. Massive reworking of the tax calculation system.
Nov 10, 2011, 4:50 am
#81
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Join Date: May 2002
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Posts: 56,454
Originally Posted by Ancien Maestro
Judging from the commodities, a surcharge for fuel is warranted imo..
Nov 10, 2011, 5:19 am
#82
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Join Date: Feb 2000
Posts: 12,069
Our business uses a lot of trucking.Rates are all over the place.
i.e. One firm charges 800 from Sudbury to Toronto.Another charges 700 with a 31% fuel surcharge. Others start at 1000.00.Cheapest rate may not have equipment available to do the work when you need them.
There are so many variations it is almost impossible to quote projects with multiple loads as no one will guarantee the freight,especially on drawn out projects(the extras we have are wait times to load or unload,tarping,.....On projects with 100 shipments, a swing of hundreds of dollars per shipment is significant if we have to eat the increase in a market with significantly reduced margins.
Interesting times
Nov 10, 2011, 5:42 am
#83
Join Date: Apr 2011
Location: YEG
Posts: 3,717
Costs are going up and I believe many industries are charging extra.
Our business uses a lot of trucking.Rates are all over the place.
i.e. One firm charges 800 from Sudbury to Toronto.Another charges 700 with a 31% fuel surcharge. Others start at 1000.00.Cheapest rate may not have equipment available to do the work when you need them.
There are so many variations it is almost impossible to quote projects with multiple loads as no one will guarantee the freight,especially on drawn out projects(the extras we have are wait times to load or unload,tarping,.....On projects with 100 shipments, a swing of hundreds of dollars per shipment is significant if we have to eat the increase in a market with significantly reduced margins.
Interesting times
Our business uses a lot of trucking.Rates are all over the place.
i.e. One firm charges 800 from Sudbury to Toronto.Another charges 700 with a 31% fuel surcharge. Others start at 1000.00.Cheapest rate may not have equipment available to do the work when you need them.
There are so many variations it is almost impossible to quote projects with multiple loads as no one will guarantee the freight,especially on drawn out projects(the extras we have are wait times to load or unload,tarping,.....On projects with 100 shipments, a swing of hundreds of dollars per shipment is significant if we have to eat the increase in a market with significantly reduced margins.
Interesting times
Nov 10, 2011, 7:22 am
#85
Join Date: Oct 2009
Posts: 212
Nov 10, 2011, 7:28 am
#86
Join Date: Dec 2003
Location: Toronto, Ontario, Canada
Posts: 3,393
For AC flights Aeroplan either keeps the fuel surcharges or sends them back to AC. With these new changes, will Aeroplan again keep the money or will it send the extra revenue back to those airlines such as LH?
Is this move sanctioned or require explicit approval by other Star partners? If AC pockets the fuel surcharge for tickets on planes that they don't even operate, that would be illegal and will be challenged.
Is this move sanctioned or require explicit approval by other Star partners? If AC pockets the fuel surcharge for tickets on planes that they don't even operate, that would be illegal and will be challenged.
As for your last sentence, I'm not sure of whether you mean code-shares, or you are implying that AC owns Aeroplan. If the former, it would depend on whether AC is charged a surcharge for seats it sells under its own code on the other carrier's flights, but I'd be shocked to my knickers if it wasn't. And if you think Air Canada owns Aeroplan, you must have slept through the last eight years. That's how long Aeroplan has been a separate, publicly traded company in which AC has no ownership stake whatsoever.
Nov 10, 2011, 7:49 am
#89
Join Date: Aug 2010
Posts: 3,130
You have to be kidding. Who do you think ends up with surcharge money? The airlines are drunk on surcharges, and every carrier has seen the billions being reaped on fees and fuel surcharges by the North American airlines. Do you seriously believe a Star airline would let Aeroplan charge a fuel surcharge in that airline's name and KEEP the money?
As for your last sentence, I'm not sure of whether you mean code-shares, or you are implying that AC owns Aeroplan. If the former, it would depend on whether AC is charged a surcharge for seats it sells under its own code on the other carrier's flights, but I'd be shocked to my knickers if it wasn't. And if you think Air Canada owns Aeroplan, you must have slept through the last eight years. That's how long Aeroplan has been a separate, publicly traded company in which AC has no ownership stake whatsoever.
As for your last sentence, I'm not sure of whether you mean code-shares, or you are implying that AC owns Aeroplan. If the former, it would depend on whether AC is charged a surcharge for seats it sells under its own code on the other carrier's flights, but I'd be shocked to my knickers if it wasn't. And if you think Air Canada owns Aeroplan, you must have slept through the last eight years. That's how long Aeroplan has been a separate, publicly traded company in which AC has no ownership stake whatsoever.
Nov 10, 2011, 7:51 am
#90
Join Date: Dec 2009
Location: YVR
Programs: 100K
Posts: 444
maybe an new enhancement in the 2012 program will be the ability to pay for "fees and surcharges" with Aeroplan points. This was a clever trick LH pioneered.
Not only do you use your points for flights but then have to use more points for all the surcharges.... so 40k redemption will now effectively be 60k
Those MBAs in marketing have to earn their keep!
Not only do you use your points for flights but then have to use more points for all the surcharges.... so 40k redemption will now effectively be 60k
Those MBAs in marketing have to earn their keep!