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The Honolulu Advertiser
Posted on: Thursday, March 20, 2003

Airlines start waiving change fees, tell travelers to expect disruptions

Advertiser News Services

Whether you decide to cancel a trip or stick to your travel plans, you'll be affected in coming weeks by new airline policies, reduced flight schedules and changes in airport security as the travel industry copes with the impact of war.

"It's the uncertainty that's killing us," said Cathy Keefe, spokeswoman for the Travel Industry Association of America, which represents hotels and airlines and other travel businesses. "People are waiting until the last minute (to make plans) even more so than ever."

Airlines responded by making it easier to change flights and postpone trips without paying the usual penalty fees.

Most big airlines are letting ticketholders reschedule domestic and international trips booked for this spring until later this year without paying $50 to $100 change fees.

Airlines began announcing flexible rebooking policies weeks ago, but now some are waiving change fees immediately.

American, Continental, Delta, Northwest, United and US Airways all have announced such policies in the past two days.

Hawaiian Airlines said yesterday it is waiving its change fee for 90 days. Aloha Airlines announced earlier it was waiving change fees.

Policies can be expected to be revised further as events unfold, and each airline has come up with slightly different rules.

"Right after 9/11, we had the fear factor. Then we had the hassle factor. Then we had the economic factor," said Terry Trippler of Cheapseats.com, a travel-booking site. "Right now, it's the 'what if' factor. Airlines are seeing this in their advance bookings, and they're trying to handle the situation."

If you've got a ticket you'd like to change, the best advice is to call your airline or travel agent for the latest information. Airlines said they would update rule changes on their Web sites.

The Air Transport Association predicts that U.S. airline industry losses would grow by $4 billion as the U.S. goes to war, and a prolonged conflict would likely produce some casualties among major carriers.

Demand for air travel is already at its lowest level in decades, with the 10 major U.S. airlines reporting declines in February traffic, in part because of war-deterred bookings.

Travelers should be prepared for disruption as airlines scramble to adjust routes and schedules, depending on how much passenger traffic drops in the coming weeks. Routes most affected will be those to Middle Eastern, North African and some European destinations.

When it comes to domestic flights, airlines aren't likely to drop cities, but may reduce flights. This means that you might find yourself rebooked on a flight with connections even though you originally booked a nonstop flight.

Don't expect much advance notice.

"American's contingency plans for a war do include a reduction in our flight schedule, but it's still too early to say how much would be required," said American Airlines spokesman Todd Burke.

Trippler advised double-checking with the airlines to make absolutely sure they have your phone number and can get hold of you.

Airport security is expected to remain tight, and travelers should be prepared for extra scrutiny.

John Thorn, a transportation analyst for iJet Travel Intelligence, a travel risk management firm whose services are used mainly by business travelers, says an array of security measures put into place after Sept. 11 could be reinstated.

These might include banning personal vehicles from inside airport terminal areas, random vehicle searches and elimination of curbside baggage checks.

"I think everyone's going to get scrutinized more intensely," he predicted.

While war with Iraq is expected to have a devastating effect on the estimated $460 billion global tourism industry, tourism officials in the United States and in other countries are hopeful the impact will ease in time.

"I think there will be upheaval, but it will be very short-lived. If 24, 48, 72 hours pass, and there hasn't been major terrorist activity, things could rebound faster than we might expect," Trippler said.

During the 1991 Gulf War, tourism growth slowed to 1.2 percent, but in the following year it posted a jump of 8.3 percent.

"After 9/11, the majority of people simply postponed their trip or rebooked for a later date," said Keefe, the Travel Industry Association spokeswoman.

A good sign is that travelers are still booking trips for May and June, said Gail Norris of Premier Travel & Cruise in Springfield, Ore.

"Leisure travelers are worried about the next two weeks," she said.

For people such as Jerry and Patty Gropp of Mercer Island, Wash., travel will be a welcome break from the barrage of news about the war. They are planning a trip to Belgium and Italy in mid-April.

"We're going ahead," Jerry Gropp said last week. "We went to Japan after Sept. 11, and it was a great relief to get away from the hysteria here."