Arnie Weissmann:
O n 2008’s version of Black
M onday, going ahead with a
l uxury project. 12
MORE NEWS:
DHS plan to fingerprint
travelers leaving the U.S.
is on hold. 8
Richard Turen:
D ear hotel industry: You
h ave rooms. We have clients.
Let’s talk. 41
www.travelweekly.com
Section 1 of 2
THE NATIONAL NEWSPAPER OF THE TRAVEL INDUSTRY
OCTOBER 6, 2008
[TIA CLAIMS VICTORY ON TRAVEL BILL]
House passes promotion act;
backers seek Senate action
By Bill Poling
WASHINGTON — The travel industry took
a giant leap toward its goal of a federally sanctioned overseas travel promotion fund when
the House of Representatives passed the Travel Promotion Act.
Travel Industry Association President Roger Dow called it “a historic, unprecedented
achievement for the travel community.” But
the euphoria was tempered by the realization
that the bill, stalled in the Senate, may go no
further this year.
The House vote, while a major accomplishment for the bill’s backers, occurred as Congress was wrestling with the $700 billion Wall
Street bailout plan while trying to close the
legislative session and hit the campaign trail.
That left little time to mount an effort to
move the bill through the Senate.
As soon as the bill passed the House, supporters attempted a parliamentary maneuver
to fast-track it through the Senate, essentially
by getting the Senate to agree to take up the
House-passed version (H.R. 3232) rather than
the slightly different version approved by the
Senate Commerce Committee (S. 1661).
Geoff Freeman, senior vice president for
public affairs at the TIA, told Travel Weekly
that Senate Democrats seemed to be on board
but that some Senate Republicans were reluctant to endorse a plan that would put the federal government in the business of advertising
and promoting travel to the U.S. Under Senate rules, one senator can prevent a bill from
coming to a vote.
But Freeman said that even if the Senate
fails to act, the bill can be revived if Congress returns for a lame-duck session after the
See ACT on Page 43
ILLUS TRATION B Y JC SUARES
As Wall Street, economy churn,
travelers flock to the sidelines
By Nadine Godwin
NEW YORK — There was last week’s Wall
Street meltdown. And then there was the
travel agency slowdown.
Robert Haynie, owner of Haynie Travel, an
American Express rep agency in Evansville,
Ind., echoed several of his counterparts when
he referred to “a pervasive wait-and-see attitude about the economy and the election.”
On Oct. 20 and 21, interact
with an all-star lineup of travel
experts at Travel Weekly’s
Virtual Leisure Summit — from
your office desktop.
SEE DE TAILS, PAGE 6
Therefore, he has seen a booking slowdown, but no cancellations, “perhaps because
of supplier penalty provisions,” he suggested.
Agents contacted on Oct 1, two days after
the stock market plunged nearly 800 points
and the economy seemed to deepen into crisis
mode, said that several factors were prompting clients, not just last week but in the last
several weeks, to cancel trips or simply to not
book discretionary travel.
It is election year, for one thing, and agents
said some clients are holding off on vacation
decisions until after the votes are counted.
Other agencies are dealing with local issues,
such as the repercussions from recent hurricanes. Gas and energy woes and, of course,
the news surrounding the stock market slide
and the Congressional bailout package were
all mentioned.
However, a portion of retailers, and not
necessarily all in high-end travel, reported
recent business activity had been normal or
See BOOKINGS on Page 37
Gridlock
The FAA faces challenges in technology, politics
and international compatibility as it begins to roll out its Next
Generation air traffic control system.
BY MICHAEL FABEY PAGE 18
[ FOLLOWING THE MONEY TRAIL ]
Hoteliers look abroad for opportunities
By Jeri Clausing
With the credit crunch putting the squeeze on
new domestic hotel construction, companies
are increasingly looking overseas, both for expansion and money.
And there is no shortage of opportunities.
Executives from Russia to Brazil gathered
recently in Phoenix for the 2008 Lodging
Conference said they were finding a huge appetite for Western brands and expertise.
“With crisis comes opportunity,” said Arthur Adler, managing director and CEO of
the Americas for Jones Lang LaSalle Hotels.
“Investors will be looking elsewhere.”
He said his company, a global hotel investment services firm, recently opened an office
in Brazil. In recent years it has also expanded
to China and India.
“That’s where our clients are looking.
That’s where companies are going to expand.
See EXPANSION on Page 42
