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Sue Powers

CIO and Sr. Vice President

Worldwide Product Solutions

GDSs TodayThe Myths, Fables and Fairy Tales

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Once upon a time…

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The Emperors Have No Clothes!

Myth #1: GNEs are a viable alternative to GDSs

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GNEs are

Limited Travel Distributors

The Reality…

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“GNEs are not viable. Agencies and

airlines alike need a strong, viable

system that provides all of the content

we need in one, easy-to-use place.”

Robert PolkCEO Polk Majestic Travel GroupAs quoted in The Beat

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• Proven solutions developed through years ofinnovation

• Reliable and comprehensive– Process more than 17,000 messages per second with

response times of less than an second

– Offer customers one billion combinations with more than 750airlines

– Offer 95% available airline seats worldwide

– Offer rooms in all price ranges with more than 50,000 hotelproperties

– Offer rental cars at more than 30,000 car rental locations

GDSs Offer Full-Scale Operations

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LTDs use the newest technology

and GDSs use legacy technology

Myth #2

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GDSs Invented e-Pricing Solutions

Revolutionarynext- generation

server- basedfare search engine

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LTDs will lower airline distribution

fees and provide airlines with

new distribution tools because

they use newer technology

Myth #3

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LTDs don’t really lower prices, they just shift costs

– Ticketing and PNR in airlines system

– Agents must use multiple systems

– Inducements??

Reality: GDSs Provide Value andComprehensive Distribution Services to

Airlines

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• Fuel surcharge automation (YQ/YR)

– GDSs collected $5.7 billion in surcharge revenuein January 2006

• E-Ticketing interchanges will achieve 2007 electronicticketing worldwide, saving the airlines $3 billion a year

GDSs Respond to and Deliveron Airline Needs

It’s all about value delivered

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LTDs give travel agents

the tools to be successful

and GDSs don’t

Myth #4

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Reality: GDSs are Customer-Focused andProvide Unmatched Capabilities

Reliable, secure systems with a

99.9% assurance of connectivity

Interline capabilities

Guaranteed airline pricing

Customer service support

Highest security for personal

data

Group capabilities

Localized content for nearly

every major city worldwide

Accurate and comprehensive

fares and pricing systems

worldwide

Sophisticated low-fare search

technologies

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Powerful agency desk-topportals provide comprehensiveaccess to all content andbooking capabilities

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GDSs are the REAL Innovators

• Broadest possible content

• Innovative rapid response platforms

• Industry-first technology

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Sometimes When You Kiss a Frog….

…It Just Stays a Frog

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The Moral to our Story……

“Do not denounce the genuine,

only to applaud an imitation.”

- Aesop