Arnie Weissmann:
C an an ‘heirloom operator’ prosper
i n an era of heirloom tomatoes?
P. 12

www.trave lweekly.com

HAWAII LEADERSHIP FORUM:
Upping visitor confidence
and outmaneuvering the
competition tops the agenda. P. 21

AIRLINES IN TURMOIL
United and US Airways add 1st bag charge. P. 6
Former AA CEO calls for limited reregulation. P. 6
Continental to ax 43 routes from U.S. hubs. P. 8

Section 1 of 2

THE NATIONAL NEWSPAPER OF THE TRAVEL INDUSTRY
JUNE 16, 2008
Leisure travel now feeling
pinch of soaring oil prices
By Lester Craft

Soaring oil prices are beginning to exact a toll on leisure travel, prompting some economists and analysts to downgrade their expectations for the summer vacation season and the remainder of the year.

The Fed found softening tourism activity in destinations including New York, Southern California and Hawaii, but reported increased activity at some resorts in the mid-Atlantic region “as families took vacations closer to home.” The Fed did not weigh in on outbound tourism.

The Bottom
Line:
‘Something
is rotten in the
state
of oil trading.’
P. 33

Last week’s release of the Federal Reserve’s “beige book,” a periodic report on U.S. business conditions, served to reinforce industry concerns. Noting that consumer incomes were being pinched by rising food and energy costs, the Fed reported that “higher energy prices also appeared to damp domestic tourism.”

So far, corporate travel
appears to be more resistant
than leisure travel to oil’s im-
pact. And demand for some
leisure segments, particularly
luxury, appears to be faring
better than it is for others.
Although industry fore-
casters had expected some
slowing this year as a result
of the soft economy and
weak consumer confidence,

they now predict that oil prices, which have climbed by about 50% in the past six months, have emerged as an additional

See OIL on Page 34

[ CORPORATE AGENTS TEND TO EARN MORE ]

Agent pay trend not bright but not all bleak

By Nadine Godwin

for a new frontline agent was $20,133, while the average salary and commission package for all counselors, regardless of tenure, was $28,785.

While the compensation picture for travel agents is certainly not bright, it might not be quite as bleak as a recent survey of members by ASTA seemed to suggest.

If only corporate agencies are considered, ASTA said, the average starting compensation rate is $24,739 and the overall average income is $38,767.

ASTA, which collected its data from a representative sample of members in late 2007, said it found that the average compensation

o verall average that is 34.7% higher for corp orate agents.

The data suggest that corporate agents start with compensation that is 22.9% above the average across all agency types, but the gap grows still wider with time, producing an

10 TRAVEL TRENDS

A special supplement celebrating our 50th anniversary is being mailed with this issue.

PART 2 OF 2

For agents who have managerial and sales r esponsibilities, ASTA’s survey found an ave rage compensation of $38,648.

ASTA said the research was the first in a p lanned series of surveys meant to assist m ember agencies in benchmarking their c ompensation, benefits and hiring practices a nd in identifying trends in these areas.