This World Traveler

Wednesday, November 12, 2008

Your Alitalia Update: Saved but On Strike

One of Europe's most troubled major airlines, Alitalia, is in a good news, bad news kind of state at the moment. At one point, the beleaguered carrier was within hours of shutting down, unable to pay for fuel on more than a day to day basis. However, a new set of investors appeared that the Italian government could live with, and EU regulators approved the deal this week - with a nice little bonus. They ruled that the 300 million Euro bailout loan that the Italian government gave Alitalia was illegal and therefore doesn't have to be paid back by the new owners.

However, the news isn't all rosy. Alitalia workers upset at the thought of layoffs and restructuring, even though the unions by and large accepted the deal, are sort of on strike. The whole airline isn't shut down, because its not a stoppage strike - but rather a work to rule stoppage. This means that employees are working the bare minimum the contracts require and not a minute more. So far this as resulted in around 200 flights canceled over the last 48 hours or so with more to come.

The good news: your Alitalia ticket, once a risky proposition is probably safer now than it has been in years. The bad news: it might take a couple extra days to use it.

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Roger, 8:18 AM | link | 2 comments |

Tuesday, November 11, 2008

Cruise Value Center folds: 3 Ways to Protect Your Investment

Sources tell me that long time wholesale agency Cruise Value Center went out of business yesterday after about 15 years in business, taking with it about 75 jobs. Apparently the entire office was let go midday yesterday, but the website is still up although there is no longer any answer to their phones. Cruise Value Center was one of the largest wholesalers in the country, placing about 100,000 passengers on cruises and tours annually. Many of these people may be affected. To the extent that they are may not be so clear yet.

However, if affected by this closure or any closure - the following steps can be taken to minimize any loss.

1. Check your reservation with your travel provider (Cruise Line, Tour company, etc.) directly.
Your reservation may be paid in full with the travel provider in which case, you're fine. Your trip is still safe and there will be no problems on your vacation - especially if you already hold your tickets or are able to print out your documentation from the travel provider's website. This means that your reservation is considered paid in full and in good standing. Although you may want to review your standing with your travel provider, generally you will be fine. Any additional amenities, however, that were promised with the vacation will probably not materialize.

2. Check your Credit Card statement This is probably the most important part of the equation, especially if your reservation doesn't show paid in full with your travel provider. It is entirely possible that your travel agency charged full or final payment to their account, planning to send net payment due to the travel provider at a later date. If your agency is out of business, this was most likely not done. If your travel agency charged your card within the last 60 days for full and final payment, but the travel provider has not received the payment, don't waste any time at all, but rather call your credit card and dispute the charges immediately. The sooner you can dispute the charges, the sooner you can get that money back. Time is of the essence here, because if the charge is seen as too old, you're stuck with the loss.


3. Ask the travel provider for help directly.

In some cases, your cruise line, airline, or hotel may not help you. But given the current economic climate, they may take steps to at least guarantee your reservation if its not paid in full and give you an opportunity to pay the reservation in full with them. It never hurts to speak with them and ask them for these opportunities. Ask for the customer relations department at most travel provider's reservation lines and you'll be on the right track.

Unfortunately, a lot of people might be financially affected by a travel agency closure. As the economy gets ugly, a lot of agencies that thrive on discount rates will come close to calling it curtains. These are three simple tips that might help if this situation occurs but they are by no means gospel on how to handle a situation like this.

UPDATE: 11/13 5 PM- So more information has been dribbling out of this mess as we speak. Apparently up to $4 million of travelers' money never made it to the travel and insurance providers for services purchased. So a lot of people have been affected by this problem.

If you have been affected, you should contact your cruise line. Some of them have separate hotline desks Here's a partial list.
Carnival - 1-800-327-9501 for regular reservations: ext 70041, for group reservations: ext 70030
Royal Caribbean - 1-866-562-7625 and ask for resolutions
Holland America Line - 1-800-426-0327 (no special desk has yet been set up)
Celebrity - 1-800-647-2251 and ask for resolutions
Princess - 1-800-PRINCESS and ask for Customer Relations
NCL - 1-866-234-7350 and ask for a supervisor. There is no desk yet, but they are assembling one. (NOTE: NCL reservations were booked through sister agency Cruises of Distinction, which also apparently went out of business on Monday so they may have your reservation listed through Cruises of Distinction rather than Cruise Value Center)
Prime Travel Insurance - Contact Best Price Cruises' internet department at 1-800-344-0401. They are dealing primarily with passengers who have received letters of nonpayment on their Prime Travel Insurance policies. They will however assist with affected cruises as best as they can, although they may only be able to answer general information questions at this time on existing bookings.

CORRECTION: Apparently even the cruise lines are a bit confused with this fast moving situation and the number Carnival provided me earlier was the insurance hotline number, not the number to call regarding your cruise. This has been corrected with information that Best Price Cruises (the insurance provider hotline) has provided for me. I apologize for any inconvenience.

UPDATE: 11/20
Ten days after Cruise Value Center has shuttered their doors, they have finally made a public notice of some sort on their website, http://www.cruisevalue.com There isn't a lot of information, but they do provide a mailing address should you choose to contact them. They are not taking emails or phone calls at this time apparently.

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Roger, 10:05 AM | link | 8 comments |