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Association of Corporate Travel Executives
ACTE joins IATA in opposition to DHS biometric program
Tuesday, May 20, 2008

The Association of Corporate Travel Executives (ACTE) has officially allied itself with the International Airline Association (IATA) in opposition to a Department of Homeland Security proposal calling for biometric exit procedures at the nation's airports. Both organizations have publicly stated that the exit program as outlined will pose a substantial financial hardship on the airline industry. Cost estimates range from a highly conservative $300 million (USD) up to $4 billion dollars.

"The wide disparity in the cost factors clearly indicates there is a lot of slack in this proposal," said Richard Crum, ACTE President. "Furthermore, it is clearly evident that the all cost are expected to be picked by the carriers, and ultimately the traveling public. It is unreasonable to expect the airlines to shoulder this financial burden, especially at a time when they are facing staggering fuel increases, maintenance costs, and other rising expenses. It is equally unreasonable to drop a $300 million travel cost increase in the form of security surcharges or additional ticket taxes onto business travelers."

Commented Douglas E. Lavin, IATA Regional Vice President for North America, "IATA is strongly opposed to the proposal that airline employees collect fingerprints from foreign nationals leaving the United States because (1) we believe immigration is inherently a government responsibility; (2) this collection process will result in significant hassle for our passengers in terms of airport congestion, delays and missed connections; and (3) our airlines and our passengers are not in a position to absorb the multi-billion dollar price tag for this program."

ACTE voiced its opposition to the DHS VISA Exit Program moments after it was announced. The first major business travel association to do so, ACTE spoke out -- without hesitation -- for its international airline constituency, corporate consumers, and millions of business travelers, all slated to bear the unrealistic financial burden of this program or a system with ill-defined standards.

In addition to the cost, ACTE also objected to the lack of standards in the program's implementation. The DHS is leaving the design and implementation of the program to the carriers that will administer it. There is no guarantee that the process will be the same at every airport – or even at different locations within the same airport.

"This has the potential to be enormously confusing for the estimated 100 million visitors that would be required to use this system at different airports," said Gurley. "It is essential that the same signage, devices, and procedures be used at every location."

ACTE is not opposed to the concept of exit biometrics for visitors, provided the system is seamless, smooth, and guaranteed not to generate additional delays nor stress for the traveler. The association's leadership believes that this level of security is a question of national security, and not an industry responsibility. Consequently, it should be paid for from the general tax fund.

Theodore Koumelis - Tuesday, May 20, 2008
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Poll
How do you expect luxury travel to perform in times of economic downturn?.

Providers of luxury travel products are going to witness shorter stays by their customers and an increase in seasonality.

People are going to become more value conscious and will opt for those luxury offers that represent a convincing value-for-money proposition. Providers of overpriced services are those to feel the pinch.

Both people paying for their personal trips and firms paying for their top executives' business trips will cut back on travel expenses, thus affecting all luxury travel providers.

It is going to be business as usual. Those people opting for high-end travel products are not going to be affected by the looming crisis.

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