Amadeus has finally signed a new distribution agreement with British Airways, making it the last of the four GDSs to do so.

The three-year agreement will mean Amadeus-connected travel agencies will have to opt in to a programme under which they will gain full access to BA’s inventory but in return for a an opt-in of 50p per segment on BA premium class fares and £1 per segment on economy class fares.

David Jones, executive vice president, commercial for Amadeus, said: “We recognise the crucial importance to our travel agency partners of delivering the most relevant travel content over a technologically advanced distribution platform. We are very pleased with this agreement which we believe takes into account the commercial priorities of both parties.”

Tiffany Hall, British Airways’ head of marketing and distribution, said: “We are delighted that we have signed a deal with Amadeus. This means that all four GDSs have now agreed to new contracts. This is good news for British Airways, the GDSs and the travel agents.”

In a letter to Amadeus agencies, UK and Irleand managing director Stéphane Durand said: “Any agent deciding not to subscribe to the full content program will not be covered by the Opt-in scheme and Amadeus will not be able to prevent British Airways from
charging surcharges to a non-participating agent.” What was expected to be a bitter fight between the GDSs and British Airways did not turn out that way after first Sabre, then Galileo and Worldspan agreed to new content deal. Some agencies felt that the GDSs would have put up more resistance to the new environment proposed by British Airways, which has wanted to drastically reduce its cost of distribution.

Meanwhile, Sabre has announced that Richard Adams, regional leader for EMEA Sabre Travel Network, is to leave the company at the end of June. The company said in a statement: “Richard Adams has elected to leave at the end of June to pursue other interests outside the company. Richard has provided strong leadership through a very important and transitional time for Sabre and for the GDS industry. We have improved the performance of our business in EMEA, and Richard leaves us poised for growth in our core markets as well as emerging markets across the region. I appreciate all he has done for our business and wish him well in his future endeavours. We will be making an announcement about his replacement in the near future.”

One industry source says the announcement was indicative of Sabre’s troubled position in Europe. “Their market share has been declining in Europe and a lot of good people [including David Brown] have left the company,” they told businesstravelworld.com. The MIDT data show that Amadeus has been the big winner at Sabre’s expense.

“When you have that kind of belled in a company, the person in charge replenishes that team and continues to grow the business or realises they have made a mistake for which they will be accountable. An American company like that has to answer to its shareholders.”

GetThere’s Ludger Bals is also to leave the company. Sabre-owned GetThere said: “[His] position has been made redundant. Mr. Bals will depart from GetThere in early June. Annette Forbes-Marsden will serve as the interim head of GetThere sales and services in EMEA. GetThere will communicate future executive appointments as events warrant.”

See also

Sabre signs new content deal

BA signs new content deal with Galileo

Amadeus says proposed BA deals do not reflect the value of agencies

Worldspan becomes third GDS to sign BA deal