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This week in Opportunities:

First Quarter Cruise Numbers Show Continued Growth
AAA Predicts Rise in July 4 Travel
Airline Consolidation and the Job Market
JetBlue Continues Growth to Busier Airports
New Opportunities!
Opportunities Networking!
Executive Movers! See who's going where?
Travel Executive Employment Report

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OPPORTUNITIES NEWS & TRENDS

First Quarter Cruise Numbers Show Growing Business

The cruise sector continues to exhibit strong growth, based on numbers from Cruise Lines International Association (CLIA). CLIA member fleets carried 2,419,921 worldwide guests in the first quarter of 2004, a 9.13 percent increase over the same period in 2003. North American passengers grew 6.8 percent during the same period, to 2,071,797 guests in the first quarter of 2004, up from 1,939,841 first-quarter guests one year ago. Cruise line guests sourced from outside of North America increased 25.42 percent year-over-year to 348,124. CLIA member lines represent over 95 percent of the cruise capacity marketed in North America. In addition to the growing passenger totals, CLIA cruise lines also posted a 103.3 percent occupancy factor in the first quarter of 2004, up 2 percentage points from the 101.3 percent occupancy posted one year ago. First-quarter 2004 capacity was up 6.82 percent compared with 2003 (to 16,533,133 available bed-days from 15,496,319 in 2003). Itineraries of 9 to 17 days showed the highest rate of growth, with 25.6 percent more passengers in 2004 compared with a year earlier (277,743 to 221,078). Itineraries of one to five days declined 1.3 percent (from 631,903 to 623,575), while six- to eight-day itineraries grew 7.74 percent (from 1,077,043 to 1,160,448). The average length of cruise in the first quarter was 7.09 days versus 7.16 days for the same period in 2003. Best of all, it doesn't like there will be any slowing down in the cruise sector soon. A new CLIA Market Profile Study, performed by TNS Plog Research, predicts that even in a worst-case scenario nearly 30 million Americans will most likely cruise within the next three years. Under a best-case scenario, the CLIA survey predicts more than 48 million will cruise in the next three years. So if you're looking to join a hot part of the travel industry, the cruise segment may be just the ticket!

AAA Predicts 3.4% Rise in July 4 Travel to 39.4 Million

Long-term forecasts of the health of the travel industry are encouraging, but even short-term, close-in forecasts seem to be extremely positive. For example, AAA is predicting record July 4 travel as part of a strong summer travel season. Strong demand and a slight easing of gas prices from recent records will keep Americans traveling in potentially record-high numbers this July 4 holiday, according to the automobile association. AAA estimates that 39.4 million Americans will travel 50 miles or more from home this holiday, up 3.4 percent from the 38.2 million who traveled last year. Approximately 34.4 million travelers (87 percent of all holiday travelers) expect to go by motor vehicle, a 3 percent increase from the 33.3 million who drove a year ago. Another 4.6 million (12 percent of holiday travelers) plan to travel by airplane, up 4.5 percent from the 4.4 million that flew during the July 4 holiday last year. The remaining 400,000 projected vacationers (1 percent) will go by train, bus, or other mode of transportation, about even with a year ago. Meanwhile, AAA travel agents are reporting tour packages and cruise sales are up 31 percent and 44 percent, respectively, for the first four months of 2004 versus the same period last year.

Is More Consolidation Ahead for Troubled Airlines?

What's ahead for the troubled airline industry? The Las Vegas Sun reported last week that America West's CEO predicted the industry is on course to consolidate and only two or three companies are likely to emerge. Douglas Parker, chairman, president and chief executive of America West Airlines, told 3,000 executives of American Association of Airport Executives attending a convention and trade show at the Las Vegas Convention Center that airlines are part of "an industry in turmoil," thanks to high fuel costs and an overabundance of seat capacity. He said the industry is ripe for consolidation because United Airlines is struggling to get a loan guarantee from the Air Transportation Stabilization Board; US Airways, which emerged from Chapter 11 bankruptcy protection is on the verge of returning to bankruptcy court; Delta Air Lines is threatening to file for bankruptcy protection; and Continental Airlines, one of the industry's steadiest financial performers, is also struggling. Even America West recently announced that after three consecutive profitable quarters, it is in a struggle to finish in the black in the second quarter, which ends this week. In an interview with the Sun, Parker said he doesn't expect there would be any liquidation of airlines, but that in order to survive, companies would merge and consolidate. The beneficiaries of the movement to consolidate would be low-cost carriers such as Southwest, America West, JetBlue and Air Tran. Indeed, Parker said he expects low-cost carriers to win between 40 percent and 50 percent of the market, up from the 25 percent they have traditionally held. For the job picture in the airline industry, that means low-cost carriers will offer the most opportunity, though there may be openings at major network airlines as a result of executive upheavals, as has happened at United recently.

JetBlue Continues Growth With Flights From Busier Airports

Speaking of the success of low-fare airlines, JetBlue Airways, which once shied away from serving high-density airports with few slots, seems to have altered its strategy. The ever-growing airline said last week that it plans to expand service between New York JFK and Florida this fall/winter season by inaugurating its first flights from New York's LaGuardia Airport, and adding flights from JFK and Boston's Logan Airport. At its peak this winter, the airline plans to offer up to 71 daily departures from New York to Florida. From LaGuardia, JetBlue plans to offer seven daily roundtrips to Fort Lauderdale/Hollywood beginning Sept. 17. This coming winter season, JetBlue plans to fly as many as 24 roundtrips between New York and Fort Lauderdale/Hollywood through its seven new daily flights from LaGuardia together with up to 17 daily flights from JFK. JetBlue is also adding flights to additional Florida destinations from its base at JFK. In addition to up to 17 daily departures to Fort Lauderdale/Hollywood, the airline is expanding service to include as many as 15 daily departures to Orlando, up to 14 daily departures to West Palm Beach, up to 10 daily departures to Fort Myers, and up to eight daily departures to Tampa. JetBlue also is adding new service this fall to Fort Myers, the airline's fourth Florida city served from Boston, and is expanding its existing service from Logan International Airport up to 20 daily departures. Just when JetBlue's expansion will end is anybody's guess, but the airline's CEO, David Neelman, was recently quoted as saying he wanted JetBlue to be counted among the major airlines within five years.

OPPORTUNITIES WATCH!

Trafalgar Tours Set to Move From New York to Anaheim

Trafalgar Tours is moving its headquarters from Long Island City, N.Y., to its existing operations center in Anaheim, Calif., effective Aug. 18. Trafalgar will keep an office in the New York area for its group department, but it will relocate its current East Coast reservations and support services to its Anaheim and Toronto call centers. The tour operator will move its executive offices, sales and marketing, documentation and customer service functions into the same building that houses sister companies AAT King's and Contiki Holidays, both owned by Travel Corp. On the job front, more than 100 employees will reportedly be affected by the move, though most of the company's top rung executives are expected to be transferred to Anaheim. Another Trafalgar sister company, Insight Vacations, which shares the Long Island City office, will remain at the current location until at least 2005. Trafalgar moved into its current Long Island City office from Manhattan three years ago.

Four Seasons Keeps Growing With New Budapest Hotel

Luxury hotel chains are continuing their growth spurt. Four Seasons Hotels and Resorts last week officially opened its first property in Hungary, in the historic Gresham Palace on the banks of the Danube River in Budapest. Located at the foot of the Chain Bridge, the hotel is housed in a nearly century-old palace. After a $110-million restoration, the 179-room hotel is a prominent landmark in the city. It includes a spa and fitness center, an indoor pool, two restaurants plus bar and lounge and meeting space. Later this summer, Four Seasons' second mountain resort opens in Whistler, Canada, site of the 2010 Olympic Winter Games. Four Seasons also will open new properties in Langkawi, Malaysia and Hampshire, England, later this year.

MGM Mirage Sets Pact to Develop Casino Resort in Macau

MGM Mirage isn't just expanding in Las Vegas with its $7.9 billion deal to buy Mandalay Bay Resort. Last week it entered into a joint venture agreement with a Hong Kong developer to build and operate a major hotel-casino resort in Macau off the coast of China. The facility, which will use the "MGM Grand" name, will be 50-50 joint venture owned and jointly operated by the two partners. The resort will be located on a prime waterfront site next to the planned Wynn Resorts facility and near the Lisboa hotel-casino, an area set to become the casino "Strip" of Macau. Design and planning work has already begun and the property could open by late 2006. So the growth of casino resorts isn't just limited to the Vegas strip, Native American casinos and riverboats!

Kerzner Ramps Up Expansion in the Bahamas and Dubai

Kerzner International Limited, owner of mega Atlantis-Paradise Island resort in the Bahamas, is ramping up for more growth. Kerzner and Starwood Vacation Ownership Inc. just announced that construction of Phase Two of Harborside Resort at Atlantis-Paradise Island, including 116 luxury villas, will begin on July 1. The resort currently has 82 villas and is a 50-50 joint venture between subsidiaries of Starwood Vacation Ownership and Kerzner. Harborside Resort at Atlantis is the only vacation ownership resort associated with Atlantis-Paradise Island. Its owners and guests have full privileges at all of the resort's amenities, including the largest casino in the Bahamas and Caribbean, an 11 million gallon marine habitat with more than 50,000 animals, numerous water attractions including slides, pools, and numerous restaurant choices. Beyond the Bahamas, Kerzner and Istithmar PSJC, an entity indirectly wholly-owned by the Government of Dubai, have entered into an agreement that will increase the scope of Atlantis, The Palm resort in Dubai. The revised development plan is expected to utilize most of the 120-acre site that lies on The Palm, Jumeirah. The marine and entertainment attractions will be increased and a second 800-room hotel tower will be added, bringing the total number of rooms to 2,000. The development costs are expected to increase from the previously announced $650 million to $1.1 billion. Atlantis, The Palm is a proposed destination resort development to be located at the center of the crescent of The Palm, Jumeirah, a multi-billion dollar, leisure and residential man-made island in Dubai that is currently undergoing infrastructure development in anticipation of future projects. Once completed, Atlantis, The Palm will become the company's second-branded Atlantis resort and will be positioned to serve as both the anchor for The Palm, Jumeirah as well as a leading attraction in Dubai. Development planning is under way in anticipation of construction, which is projected to commence in 2005 and is expected to be completed by late 2007.

OPPORTUNITIES NETWORKING!

Join Top Destination Pros at IACVB's Boston Conference

Want to network with top destination officials from across the U.S. and the rest of the world? The International Association of Convention & Visitors Bureaus (IACVB) will hold its 90th annual conference and expo in Boston at the Sheraton Boston Hotel, July 14-17. The IACVB Annual Convention Business Exchange will be attended by top CVB officials. It will feature series of seminars, educational and training sessions, meal functions, a golf tournament, receptions, plus a general session and tradeshow. It provides CVB professionals with the best accessibility to key companies in meetings/tourism and business services arena. With over 90 premier exhibiting companies focused on servicing convention and visitor bureaus, the Business Exchange is a described as "must attend" for CVB executives. So if you're interested in becoming a destination executive, or you already are one and are looking to make a move, IACVB's conference is a great place to network. For more information on the conference schedule and registration process, visit www.iacvb.org.

OPPORTUNITIES EXECUTIVE MOVERS!

AIRLINES: Delta Air Lines promoted Beth Johnston to vice president-Human Resources and Field Operations. Johnston will be responsible for Human Resources support for Delta's Customer Service, Operations, and Marketing divisions. Her previous position was managing director-Human Resources and Marketing. Johnston began her career as a flight attendant in 1977 and has since held operational and staff leadership positions in Information Technology, In-Flight Service, Flight Operations, Corporate Services, Finance, Corporate Planning, and Airport Customer Service. In 1999, she moved to Human Resources and led the Human Resources function in Airport Customer Service, Technical Operations and, most recently, Marketing.

CRUISE LINES: David Brown, senior vice president-marine and technical for Princess Cruises, is adding responsibility for the marine and technical operations of Cunard Line and Seabourn Cruise Line. Brown will relocate to Miami. Brown also oversees marine and technical for P&O Cruises Australia. Milton Gonzalez, who was Cunard's vice president-marine and technical, has left the company. Meanwhile, Larry Rapp, vice president-hotel operations for Cunard, now reports to Rai Caluori, senior vice president for Princess. Caluori in turn reports to Dean Brown, Princess' executive vice president-fleet operations. Both will report to Cunard president Pamela Conover for fleet operation functions for Cunard/Seabourn. Dean Brown also continues to report directly to P&O Princess CEO Peter Ratcliffe...Hans Brinkhoff, Holland America Line's veteran director of food and beverage operations, is retiring after 35 years with the company effective July 12. Brinkhoff joined Holland America in 1969, working on several ships as a food and beverage manager. He moved to the New York office's hotel marine operations department in 1976 and was promoted to director, food and beverage three years later. Brinkhoff was a member of the transition team that relocated Holland America headquarters to Seattle in 1983. He served as the line's purchasing director from 1989 to 1997, when he returned to marine hotel as director. Holland America has created a new Culinary Arts Department and has named Steve Kirsch as director-culinary operations. The department will oversee all food service operations across the fleet as well as the line's new Culinary Arts Theaters, which feature show kitchens with broadcast capabilities. Kirsch, who joined Holland America in 1987 after several years in food and beverage operations for Westin Hotels, reports to Johan Groothuizen, vice president-marine hotel operations. Holland America also promoted Rob Coleman to director of sales for its Eastern Division, responsible for 20 district sales managers and 18 states on the Eastern seaboard from Florida to Maine and far west as Tennessee/Pennsylvania. Coleman, who reports to Tracey Kelly, vice president-sales, has been district sales manager for Georgia, based in Atlanta, since January 2003. He has served as interim Eastern Division sales director since early this year. He joined Holland America in 1999, starting in inside sales before being promoted to district sales manager in Houston. He also worked briefly as a district sales manager for Princess Cruises. Ellen Lynch has joined Holland America as director of shore excursions, responsible for developing worldwide programs, including the recently introduced Signature Collection tours. She reports to Paul Goodwin, vice president on-board revenue. Lynch joins Holland America from Royal Celebrity Tours, where was instrumental in the startup of the tour division in 2000 and its operational launch in Alaska the following year. Beginning in mid-1990, she was involved in the development of Royal Caribbean International's shore excursion program, after having joined the company as manager-shore excursion programs and then being promoted to director-product logistics in 2000. She has also held posts with Certified Vacations, Royal Cruise Line and Sitmar Cruises

HOTELS & RESORTS: Best Western has named David Kong as its new executive vice president-International operations effective immediately. The move will consolidate the company's international initiatives and help ensure continuity between domestic operations and offshore affiliates. Kong's primary responsibilities will include Best Western's international strategy, operations and image. He will also lead negotiations related to affiliation agreements and oversee in-region offices in Asia, South America and Europe, among other regions. Kong has spent the last three years with Best Western. Most recently, he was the company's senior vice president of marketing and development. He has more than 35 years of industry experience, with many years in senior management positions at Hyatt, KPMG Consulting and Omni International. He also has worked for Hilton, Hilton International and Regent International. Best Western is currently conducting a national search for Kong's marketing and development replacement... Carlson Hotels Worldwide has hired Hubert Tupay as senior director of travel industry relations, working with the Radisson, Country Inn & Suites, Regent, Park Plaza & Park Inns brands. Tupay, who held a similar position at Best Western in Phoenix, will oversee travel agent and agency consortia relations, and will work to unite Carlson's global sales strategies towards the agency market. He also will be involved with developing strategies and negotiations with third party web sites...Cendant Corporation's Hotel Group unveiled an initiative to enhance franchisee service by nearly doubling its field support staff by year's end. In support of this initiative, the Hotel Group said Nancy Poor, an 11-year Cendant veteran who most recently served as president of the Travelodge brand, was named senior vice president, Preferred Client Group. The Preferred Client Group represents more than 1,000 Cendant Hotel Group properties and nearly 20 percent of its system revenue. Prior to her appointment as Travelodge president in August 2002, Poor served as group vice president of marketing, supporting Cendant's Days Inn, Ramada, Travelodge and Howard Johnson brands. From 1997 to 2001, she was Days Inn vice president of marketing, responsible for marketing the brand worldwide. From 1993 to 1997, she served the company as vice president, marketing services, responsible for media buying, market research, creative services and marketing support for Cendant's hospitality and real estate brands. Ken Greene, who has served as Howard Johnson president since March 2003, has gained the additional responsibility of Travelodge president, reporting to Bob Weller, group president. Patrick Breen was appointed vice president, strategic planning and business development. Reporting to Group President Keith Pierce, Breen will provide day-to-day support to the Ramada, Wingate Inn and AmeriHost Inn franchisee advisory boards, monitor franchise development and respond to various franchisee issues. Breen, a 14-year Cendant veteran, formerly served with the Hotel Group for six years as vice president, Preferred Client Group. From 1990 to 1998 he was director of training for the Ramada Management Institute. In 1996 he led the development team for Ramada's Personal Best initiative, an award-winning employee retention, training and recognition program. Prior to being named Howard Johnson president, Greene was Hotel Group senior vice president of administration and operations, responsible for overseeing the Property Openings, Design & Development, Franchise Administration, Reporting & Information Services, Quality Assurance, Hotel Technology Operations and Retention Services departments. From 2001 to 2002, he was the Hotel Group's chief financial officer, responsible for the Finance, Hotel Information Technology, Business Strategy and Administration, International Services and Human Resources departments. From 1999 to 2001, he served Cendant's NRT Inc. affiliate as vice president and chief financial officer-New York metro region. From 1997 to 1999, he was international services director for Cendant's Coldwell Banker real estate unit. From 1996 to 1997, he served the company as director of finance. Pierce, a 14-year Cendant veteran who was named group president in April to oversee the Ramada, Wingate Inn and AmeriHost Inn brands, has assumed the duties of Ramada brand president from Paul Hanley, who had served in that role since March 2002. Pierce also holds the titles of Wingate Inn president and AmeriHost Inn president. Mark Young, senior vice president of operations for the Ramada brand, has gained additional operations responsibility for the AmeriHost Inn brand. Since joining the company in 1990, Pierce has held several positions of increasing responsibility, including vice president of marketing for the Ramada brand from 1998 to 2000. He also was Wingate Inn vice president of marketing from 1995 to 1998. He joined the company in 1990 as director of marketing for Ramada Franchise Systems, responsible for creating and introducing the Ramada Limited product, managing the regional-share funding program and supporting all national efforts.

TRAVEL AGENTS: Ambassadors International Inc. announced that John Ueberroth has resigned as co-chairman and member of the board of directors, effective June 30, to dedicate his efforts to growing IndeCorp Corporation as its chairman and CEO. Joe Ueberroth continues as CEO and president of Ambassadors International, Inc. A group led by the Ueberroths recently purchased IndeCorp., parent to Preferred Hotels & Resorts. Ambassadors International is a travel services and performance improvement Company. The company develops, markets and manages meetings and incentive programs for a nationwide roster of corporate clients that utilize incentive travel, merchandise award programs and corporate meeting management services... Travel industry veteran Kevin Weisner has been named vice president of marketing for the Carlson Wagonlit Travel Associate Division. Since joining Carlson in March of 2001, Weisner has served as senior director of internal services. As the new marketing chief, Weisner will oversee the ongoing promotion of the retail travel agency's brand. Weisner's predecessor, Elizabeth Johnsen, recently left Carlson Wagonlit to join the Hawaii Visitors and Convention Bureau as its managing director of travel industry partnerships. Weisner is based at Carlson's Minneapolis headquarters. Prior to joining Carlson, Weisner served as vice president of marketing for Anderson Travel, a $70 million leisure travel agency based in San Diego. He also served in various capacities with such travel companies as ByeByeNow.com and Premier Cruise Lines.

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