The talks go on
The talks between BA and the various GDSs over new deals and booking fees are still continuing.
Despite a week of rumours about breakthroughs and changes of stance, the GDSs said that no deals had been agreed.
BSI buys event management specialist
UK online hotel booking agency BSI has bought an event management specialist Olive 360.
The purchase of the London-based consultancy for an undisclosed sum is part of BSI's strategy of adding a MICE capability to its hotel booking service.
BSI said Olive 360 and its 22 staff would continue to work under its existing brand for the foreseeable future.
Charles Cockell, BSI's group managing director, said there were "major synergies" to be gained between a client's accommodation and MICE requirements.
He added: "We are focused on combining both areas into one holistic service offer that sets a precedent.
"As the industry continues to consolidate, BSI is strongly establishing itself as one of the major players in the MICE and business travel world."
Hilton sells Scandic hotels
Hilton Hotels Corporation (HHC) has sold Scandic, its mid-market chain of hotels, for €833m to EQT.
The sale involves all the 132 hotels run by Scandic, the largest hotel operator in the Nordic region.
Of the 132 hotels, three were owned, 121 leased, five managed, and three franchised.
The sales still leaves Hilton with a presence of six hotels in the Nordic region: three in Finland, two in Sweden and one in Denmark at Copenhagen Airport.
*HHC also announced that it plans to add 1,000 new hotels to its portfolio in North America over the next five years and 1,000 throughout the rest of the world, including Europe, in the next ten years.
It earmarked the UK, Spain, Germany, Italy and Russia as countries for development of its brands.
Aeroflot expects profit
Russian national carrier Aeroflot said it expects to report a €203m net profit for 2006, a 15.6% improvement on the figures for 2005.
The airline said its revenues rose by 13.5% to €2.1bn, it carried 7.3m passengers during the year and its load factor increased by 1% to 70.1%.
German hotels enjoy double digit revPAR growth
German hotels had a 10.7% growth in revenue per available room (revPAR) in 2006, according to a HotelBenchmark Survey by Deloitte.
It is the first time the country had had double digit growth since 2000 and compares with the 1.5% rise in revPAR in 2005.
The result was partly due to the staging of the Football world Cup last summer but also due to improvements in the economy.
Dortmund topped the table with a revPAR increase of more than 20%, from an exceptional performance in the World Cup and strong corporate demand.
Dresden came a close second with a 19.2% increase, driven by improvements in both occupancy and average room rate.
Markus Luthe, ceo of the German Hotel Association, said: "2006 was a great year for German hotel performance.
"All of this bodes well for the future. For 2007 however, we expect to see a slight slowdown in performance due to the VAT increase that came into place on 1 January, which will have an impact on leisure travel.
"Also, the economy is expected to grow at a slower rate than in 2006."
BA still reigns as business travellers' choice
BA is still the most popular airline for UK business travellers according to the 11th Barclaycard Business Travel Survey.
Nearly half of British business travellers (48%) chose the national carrier, a higher number than 2005, despite a year marred by disruptions.
Virgin Atlantic, (8%), easyJet (7%), bmi (3%) and Ryanair (3%) were the next most favoured carriers.
* Barclaycard questioned 4,000 executives and travellers for its survey.
Bmi outlines strategy for BMED
Bmi said its new acquisition BMED would operate as a fully integrated part of bmi from late October.
Nigel Turner, ceo of bmi, said the new grouping would have annual revenues "in excess of £1bn" and a "much expanded route network from London Heathrow."
But he warned there could be redundancies among staff at BMED's head office and he was now organising a "consultation process to address possible job losses."
Advantage signs partner deal with Conferma
Advantage, the consortium representing independent agents in the UK, has signed a "preferred supplier" deal with Conferma, a hotel booking system.
Under the deal, Conferma will offer Advantage members "a comprehensive range of rates" covering hotels both on and off GDS systems.
Smarason aims for Finnair board
Hannes Smarason, ceo of Icelandic FL group, has said he will stand for a seat on the board of Finnair at its annual shareholders' meeting on March 22.
FL holds a 22% stake in Finnair but the airline has put forward eight people for election to the board, excluding Mr Smarason.
* see new jobs on BTE's recruitment site www.businesstraveljobs.com