GDS news: Travelport, Amadeus, Sabre, Abacus – August 2011

Product news, releases, projects and more from the global distribution systems during August 2011 – all here, in one easy read.

Most recent updates first…

Friday 5 August 2011:

• Travelport: GDS share gains at Priceline.


• GDS squabbles, how they relate to rail and evolution of the model.


• Travelport first half 2011 results – top-line digest.


• Travelport-connected travel agents get enhanced content from United Airlines. The agreement will be US agents the ability to sell Economy Plus seats through existing desktop and workflow systems.


• GetThere signs two major travel management agency deals in the UK. The Sabre-run trip management service has struck partnerships with Portman Travel and Grosvenor Travel. The Portman deal is an extension to its existing agreement, while Grosvenor is a brand new customer.


• Amadeus first half 2011 results – top-line digest.

Tuesday 2 August 2011:

• Travelport announces new vice chairman of its board of directors. Douglas Steenland will serve on the board’s compensation, audit and executive committees. Steenland was most recently president and CEO of Northwest Airline and now also serves as senior advisor to the Blackstone Private Equity Group, parent company of Travelport.


• Sabre Travel Network launches merchandising tools with Air New Zealand. Using the Sabre Red system, agents will be able to book a range of ancillary products through the GDS, starting initially with pre-paid bags and eventually extending across the range of product lines on the carrier.


• Sabre’s Lastminute.com gets another new boss, this time Expedia exec Matthew Crummack.


• American Airlines flights to remain on Orbitz into 2012.


• American Airlines and Travelport extend agreement beyond 2011.


• Security issues exposed as Travelport Opinions promotes diets on Twitter.

Previous GDS updates:

• GDS news: Travelport, Amadeus, Sabre, Abacus – July 2011


• Travelport, Amadeus, Sabre, Abacus briefs – June 2011


• Travelport, Amadeus, Sabre, Abacus briefs – May 2011


• Travelport, Amadeus, Sabre, Abacus briefs – April 2011


• Travelport, Amadeus, Sabre, Abacus briefs – March 2011


• Travelport, Amadeus, Sabre, Abacus briefs – February 2011


• Travelport, Amadeus, Sabre, Abacus briefs – January 2011


• Travelport, Amadeus, Sabre, Abacus briefs – December 2010


• GDS Bitesize – January 2010 to November 2010

Tnooz

GDS news: Travelport, Amadeus, Sabre, Abacus – August 2011

Product news, releases, projects and more from the global distribution systems during August 2011 – all here, in one easy read.

Most recent updates first…

Friday 5 August 2011:

• Travelport: GDS share gains at Priceline.


• GDS squabbles, how they relate to rail and evolution of the model.


• Travelport first half 2011 results – top-line digest.


• Travelport-connected travel agents get enhanced content from United Airlines. The agreement will be US agents the ability to sell Economy Plus seats through existing desktop and workflow systems.


• GetThere signs two major travel management agency deals in the UK. The Sabre-run trip management service has struck partnerships with Portman Travel and Grosvenor Travel. The Portman deal is an extension to its existing agreement, while Grosvenor is a brand new customer.


• Amadeus first half 2011 results – top-line digest.

Tuesday 2 August 2011:

• Travelport announces new vice chairman of its board of directors. Douglas Steenland will serve on the board’s compensation, audit and executive committees. Steenland was most recently president and CEO of Northwest Airline and now also serves as senior advisor to the Blackstone Private Equity Group, parent company of Travelport.


• Sabre Travel Network launches merchandising tools with Air New Zealand. Using the Sabre Red system, agents will be able to book a range of ancillary products through the GDS, starting initially with pre-paid bags and eventually extending across the range of product lines on the carrier.


• Sabre’s Lastminute.com gets another new boss, this time Expedia exec Matthew Crummack.


• American Airlines flights to remain on Orbitz into 2012.


• American Airlines and Travelport extend agreement beyond 2011.


• Security issues exposed as Travelport Opinions promotes diets on Twitter.

Previous GDS updates:

• GDS news: Travelport, Amadeus, Sabre, Abacus – July 2011


• Travelport, Amadeus, Sabre, Abacus briefs – June 2011


• Travelport, Amadeus, Sabre, Abacus briefs – May 2011


• Travelport, Amadeus, Sabre, Abacus briefs – April 2011


• Travelport, Amadeus, Sabre, Abacus briefs – March 2011


• Travelport, Amadeus, Sabre, Abacus briefs – February 2011


• Travelport, Amadeus, Sabre, Abacus briefs – January 2011


• Travelport, Amadeus, Sabre, Abacus briefs – December 2010


• GDS Bitesize – January 2010 to November 2010

Tnooz

Travelport first half 2011 results – top-line digest

Travelport released its first half 2011 results this morning. A quick overview is as follows:

• Net revenue – $ 1,061 million (up from $ 1,056 million y/y).


• Operating income – $ 145 million (down 6% from $ 154 million y/y).


• EBITDA – $ 258 million (up 1% from $ 256 million y/y).


• Adjusted EBITDA – $ 283 million (down 4% from $ 295 million y/y).

Segments:

• Americas – 92.4 million (up 1% from 91.5 million y/y).


• Europe – 45.3 million (up 1% from 44.9 million y/y).


• Asia-Pacific – 29.1 million (up 3% from 28.2 million y/y).


• Middle East and Africa – 19.7 million (down 7% from 21.1 million y/y).

President and CEO Gordon Wilson says:

“I am pleased to report a first half performance in line with management expectations, which was achieved despite the impact of extraneous global events in the earlier part of the year.

“We continue to make significant progress on our business objectives and look forward confidently to the remainder of the year, with the knowledge that we have further developments to unveil over the coming months.”

Tnooz

Travelport: GDS share gains at Priceline

Gordon Wilson, hosting his first earnings call today as Travelport’s president and CEO, says Travelport is taking an increased share of GDS bookings at Priceline.

Travelport officials declined to elaborate.

In 2010, Priceline was Travelport’s second largest travel agency customer, wedged between Orbitz Worldwide as #1 and Expedia as #3.

Travelport’s gains in Priceline GDS bookings likely come at the expense of Sabre GDS, which also takes Priceline bookings, and their combined share would perhaps come out of a shrinking pie since Priceline is ramping up American Airlines direct-connect bookings through Farelogix and these don’t involve a GDS.

It is unclear whether a new agreement or understanding between Travelport and Priceline might be propelling the changing dynamics.

Travelport reported its first half of 2011 earnings today.

Among the news bites, Travelport says its air segments in Russia increased 70% in the first half of 2011 compared with the year-earlier period, and segments in the BRIC region — Brazil, Russia, India and China, rose 3% in the second quarter.

BRIC now accounts for 7% of Travelport’s segments, officials say.

In other news, Wilson says Travelport’s universal desktop, which debuted in Australia, is currently being tested in New Zealand and South Africa and will be rolled out in seven countries in the not-too distant future.

And Wilson provided an update about Travelport’s Universal API, saying 350 developers are accessing the API, which eventually will be expanded to mobile and corporate booking tools.

On a sobering note, CFO Philip Emery says Travelport is expected to take an annualized $ 40 to $ 60 million EBITDA hit from United Airlines’ decision to transition its reservation from Travelport’s Apollo system to HP/EDS.

Tnooz