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This week in Opportunities:

Study: Supplier Websites Losing Out to OTAs
California Leads Nation’s Hospitality Markets
Opportunities Networking!
Executive Movers! See who's going where?
Travel Executive Employment Report

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OPPORTUNITIES NEWS & TRENDS

Study: Supplier Websites Losing Out to OTAs

eVOC Insights, a customer experience consulting firm, and RelevantView, a technology provider of Web-based research solutions, have announced the release of a new syndicated lodging report, "The Battle for Loyalty -- Online Travel Agencies vs. Suppliers". This report compares the customer experience between leading online travel agencies and lodging suppliers -- Expedia / Hotels.com / Marriott / Hilton / Starwood -- to identify what factors drive purchase preference and determine whether loyalty exists when travel sites reach price parity. With more than 150 million consumers shopping for travel on the Web and over $70 billion in online revenue forecasted for 2006, competition between online travel agencies and suppliers is fierce. Online travel agencies are feeling the pressure from suppliers, most notably airline and lodging suppliers, as consumers are beginning to migrate to suppliers to research and book travel. Lodging suppliers pose the greatest threat, as consumers are seeking more than just competitive prices when making a purchase decision for hotel accommodations. The research combines behavioral and attitudinal metrics to understand the thoughts, actions and preferences of consumers as they interact head-to-head with OTAs and suppliers. The findings show that consumers are initially more likely to prefer purchasing from a supplier directly, than an OTA. Although, after experiencing the sites, overall purchase intent on leading OTAs outperforms suppliers. Supplier loyalty programs are a key differentiator. Loyalty members will pay more for hotel accommodations and are twice as likely to return, purchase and recommend as non-loyalty members. However, loyalty membership does not guarantee purchases; 48% of Marriott Rewards members and 44% of Starwood Preferred Guest members would prefer to purchase from Expedia or Hotels.com than the supplier after experiencing each of the sites. To obtain a free Abstract for this report, visit: www.relevantview.com/sr_ota_2.asp.

California Leads Nation’s Hospitality Markets

Buoyant consumer demand and limited supply of new hotel rooms throughout California led the state’s major hospitality markets to outperform the rest of the nation in the first six months of this year, according to The California Mid-Year Lodging Report released by Ernst & Young LLP. In the report, Ernst & Young points to data supplied by Smith Travel Research indicating average hotel occupancy in California hit 69.3 percent through June 30, 2006. This is a 1.2 percent increase over the same period last year in the state and almost 6 percent better than the national average for the first six months of the year. Of the state’s major hospitality markets, San Francisco experienced the greatest growth in occupancy with a three percent increase over the first six months of 2005. Los Angeles, Anaheim and San Diego also enjoyed increased occupancy, thanks largely to a pick up in tourism and convention business. According to the report, high gas prices have helped the California economy, in that there has been a slight increase in intrastate travel this year as more Californians chose to vacation closer to home, a trend that is expected to be confirmed when this summer’s final numbers come in. Troy Jones, a Senior Manager in the Los Angeles office of Ernst & Young’s Hospitality Services Group, added that supply constraints, especially in San Francisco, also contributed to the strong performance in existing hotels. But he cautioned that there has been a significant increase in the hotel construction pipeline in Southern California, including San Diego, and that occupancy levels could be under pressure in the next 18 months if demand slackens. Los Angeles achieved the highest growth in average daily room rate (ADR) of any of the California markets in the first half of the year with a 10.1 percent increase over 2005. San Francisco posted the highest increase in occupancy of any of the California markets with a three percent increase over 2005. It also had the highest increase in revenue per available room (RevPAR) at 12.4 percent. San Diego experienced a modest growth in occupancy levels over 2005 due to the increased supply of rooms from new projects coming online. Like many resort locations in California – including Lake Tahoe, Mammoth Lakes and Palm Springs – significant supply growth is expected in San Diego’s hospitality markets in the next two to three years. Anaheim/Orange County’s occupancy growth, after strong year-over-year comparisons, resulting from of Disneyland’s 50th anniversary celebrations in 2005, was challenged during the first half of 2006. However, ADR growth rates were robust. Leisure travel and convention business remains strong and is expected to provide occupancy and ADR gains this year, albeit at a slower pace than last year. To obtain a copy of the full report, visit www.gallen.com/ey/CAL-Lodging-report_FINAL.pdf.

OPPORTUNITIES NETWORKING!

Condo Hotel Industry Gathering to Take Place Nov. 30 - Dec. 1 in Las Vegas

The largest organizer of condo hotel conferences, Information Management Network ("IMN"), has announced that it will be hosting its Fourth Symposium on Financing, Developing and Operating Condo Hotels November 30-December 1, 2006 at The Mirage in Las Vegas, Nevada. IMN's Condo Hotel Symposium is a meeting place to educate new market entrants and discuss the latest transactions and industry developments. Over 700 real estate developers, property owners, and service providers are expected to attend the Las Vegas event, a conference which complements IMN's sold-out Condo Hotel Spring conference held in Florida. IMN's Las Vegas conference will also feature an exhibit hall with over thirty condo hotel industry service providers. For more information about the Las Vegas conference, visit www.imn.org/eej916/pr.

OPPORTUNITIES EXECUTIVE MOVERS!

AIRLINES: US Airways' Board of Directors has elected Scott Kirby to the position of president, effective Oct. 1, 2006. Kirby currently serves as the airline's executive vice president, sales and marketing. In his new role, he will retain his current oversight of pricing, scheduling/planning, marketing, alliances, distribution, reservations and information technologies. He also assumes new responsibilities, which include airport customer service, finance and labor relations. Kirby will continue to report to Chairman and CEO Doug Parker. Kirby joined the former America West Airlines in 1995 as senior director, scheduling and planning. He was promoted to vice president, planning in October 1997. In May 1998, Kirby was named vice president, revenue management and in early 2000, Kirby was elected senior vice president, e-business. Prior to joining America West, Kirby served as an operations research consultant for Sabre Decision Technologies (SDT), a subsidiary of AMR Corp. During his three-year tenure at SDT, Kirby consulted with various airlines in Europe and the United States regarding scheduling and yield management. Previously, he served as an economist in the Under Secretary of Defense- Program Acquisition and Evaluation Office at the Pentagon. Kirby earned bachelor degrees in computer science and operations research from the U.S. Air Force Academy and holds a Master of Science degree in operations research from George Washington University. The airline also announced it has promoted Captain Ed Bular to the position of senior vice president, flight operations/inflight. In this expanded role, Captain Bular will continue to oversee the airline's flight operations department and will expand his responsibilities to include inflight services. The company's vice president of inflight services, Ron Cole, has announced he will retire from the airline and Cole's replacement, who will report to Bular, will be named shortly. Bular began his aviation career in the Air Force and flew T-37s, T-38s, T-33s, A-7s, B-52s and KC-135s. He hired on as a line pilot with USAir in 1980, and has subsequently held the positions of check airman; designated FAA examiner; manager, flight training; assistant chief pilot; senior director, flight operations; and vice president, flight operations. Bular is has been flight qualified on the Boeing 727, 737, 757 and 767 as well as the McDonnell Douglas DC-9, and is currently qualified to operate the Airbus A330. Bular retired from the military after seven years of active duty and 13 years in the air national guard. He holds a bachelor of science in aeronautical science from Embry Riddle Aeronautical College in Daytona Beach, Fla. The airline also announced it has promoted Associate General Counsel and Managing Director, Legal Michael J. Minerva to the position of vice president, legal. Minerva will continue to report to Janet Dhillon, senior vice president and general counsel. Minerva has 12 years of aviation industry experience all within US Airways. After three years in private law practice, he started his career in 1994 as vice president, human resources for Piedmont Airlines, a wholly owned subsidiary of US Airways Group, Inc. In 1999 Minerva joined US Airways as director, labor relations. He holds a law degree from Florida State University in Tallahassee, Fla. and a bachelor's degree from Lake Forest College in Illinois.

HOTELS & RESORTS: Red Lion Hotels Corporation has announced the appointment of veteran hospitality executive Mark D. Mahoney as Vice President of Sales. In his new position, Mahoney will be responsible for driving revenue through direct sales strategies for Red Lion Hotels in the U.S. and Canada, including directing and deploying a national sales team, directing regional field sales support and training and supporting hotel salespeople in the field. Mahoney is an 18-year veteran of the hospitality industry with extensive experience in sales and marketing. He has held management positions with a variety of companies and hotels, and joins Red Lion Hotels Corporation from The Marcus Corporation. He received his bachelor's degree in business management from the State University of New York, and has earned awards from the American Hotel and Motel Association, and the New York State Hospitality and Tourism Association... Barcelo Crestline Corporation and Crestline Hotels & Resorts has announced the appointment of Pierre Donahue as General Legal Counsel and Senior Vice President. Barcelo Crestline Corporation leases and subleases 90 limited-service hotels. The privately owned company has equity interests in several upscale hotels and is parent to Crestline Hotels & Resorts, Inc., which is among the nation's 10 largest independent hospitality management companies. Donahue joins Barcelo Crestline from Marriott International where he enjoyed a 10 year career in which he rose from Corporate Counsel to Vice President and Assistant General Counsel and became the leader of the Law Department's North American Lodging Operations group, supervising six attorneys and nine paralegals. Prior to his tenure with Marriott International, Donahue was with the law firm of Hogan & Hartson where he first served in the antitrust department and then as a litigation attorney. Donahue received his law degree from UCLA in 1988, graduating with the Order of the Coif in the top three percent of his class. He received his undergraduate degree from Boston College magna cum laude in 1984. Donahue is admitted to practice in the District of Columbia, the United States Court of Appeals for the District of Columbia Circuit and the United States Supreme Court.

TRAVEL TECH: G2 SwitchWorks has announced that Darlene Rondeau has joined the company as Vice President of Sales and Marketing. Rondeau will be responsible for delivering G2's technology solutions to the travel agency marketplace. Rondeau brings 20 years of sales and marketing experience primarily in the travel industry to G2 SwitchWorks. She most recently served as Vice President of Sales and Marketing for Agresso Travel Industry Solutions, an international developer and distributor of business information management systems. At Agresso, she led the development and execution of marketing and sales strategies to build the company's information platform, CentralCommand. Her sales and marketing efforts helped to raise awareness of the company's unique back office solutions, ultimately leading to an increase in market share. Rondeau spent the majority of her career at Sabre Holdings where she held a wide variety of sales and marketing positions, culminating to Vice President of Sabre Integrated Media. In this role, she managed the day-to-day activities of the Sabre Integrated Media team, driving advertising and ecommerce revenue through conversion and renewal sales. Rondeau has spent the majority of her career developing innovative solutions for many leading companies in the travel industry. Rondeau earned her bachelors degree in travel and tourism from Humber College of Applied Arts and Technology in Toronto. She is a member of the Direct Marketing Association, the New York "Old Timers" online ad industry group, the Association of Travel Marketing Executives and the Dallas/Fort Worth Interactive Marketing Association.

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