course book v1 · 2014. 10. 22. · course book v1.0. revision history date version authors reason...

Course Book v1.0

Revision History

Date Version Authors Reason / Description of Change

SEP 2014 Original 1.0Sally PeirceElaine Walker

New course design for old GA2

Version Control 1.0

Acknowledgements:All Travelport logos and marks as well as all other proprietary materials depicted herein are the property of

Travelport and/or its subsidiaries. © Copyright 2014. All rights reserved.

For questions or comments, please send a message to [email protected]

Galileo Fares Level 2 3

Contents

Contents.................................................................................................................................................... 3

Module 1: Introduction ......................................................................................................................5

Introduction .............................................................................................................................................. 5

Course Objectives ..................................................................................................................................... 5

Notes:........................................................................................................................................................ 7

Module 2: Geography (Revision) ........................................................................................................8

IATA Geography ........................................................................................................................................ 8

Global Indicators .....................................................................................................................................22

Global Indicator Flow Chart ....................................................................................................................24

Module 3: Fare Display & Mileage Fares (Revision) ...........................................................................25

Neutral Units of Construction.................................................................................................................26

Mileage Surcharges.................................................................................................................................27

Checklist for Mileage One Way Journeys................................................................................................30

Exercise 1 (Mileage Surcharge OW).......................................................................................................31

Excess Mileage Allowances - EMA ..........................................................................................................32

Mileage Check – Return Journeys...........................................................................................................35

Checklist for Mileage Return Journeys ...................................................................................................40

Exercise 1 (Mileage Surcharge RTN) ......................................................................................................41

Module 4: Higher Intermediate Point – HIP Check (Revision).............................................................42

Exercise 2 (HIP Check OW)......................................................................................................................45

Checklist for HIP Return Journeys...........................................................................................................48

Exercise 2 (HIP Check RTN) ....................................................................................................................49

Module 5: One Way Backhaul Check.................................................................................................51

Exercise 3 (ONE WAY BACKHAUL CHECK - BHC) .............................................................................53

Module 6: Circle Trip Minimum - CTM ..............................................................................................58

Circle Trip Minimum Check.....................................................................................................................59

Exercise 4 (CIRCLE TRIP MINIMUM CHECK - CTM) ...............................................................................61

Module 7: Fare Components Over 25M ............................................................................................66

One Way Journeys over 25M..................................................................................................................66

Exercise 5 (ONE WAY JOURNEY OVER 25M) .........................................................................................69

Return Journeys over 25M......................................................................................................................71

Contents

4 Galileo Fares Level 2

Exercise 6 (RETURN JOURNEY OVER 25M) ............................................................................................74

Module 8: Indirect Travel Limitations ...............................................................................................80

Exercise 7 (INDIRECT TRAVEL LIMITATIONS) .......................................................................................86

Module 9: Surface Sectors................................................................................................................92

Exercise 8 (SURFACE SECTORS)...............................................................................................................99

Module 10: Mixed Class Fares ........................................................................................................104

Mixed Class One Way Journeys ............................................................................................................105

Exercise 9 (MIXED CLASS ONE WAY) ....................................................................................................110

Mixed Class Return Journeys ................................................................................................................114

Exercise 10 (MIXED CLASS RETURN) ...................................................................................................117

Module 11: Special Fares................................................................................................................128

Fares Heirachy.......................................................................................................................................129

Fare Selection........................................................................................................................................130

Higher Intermediate Point Check..........................................................................................................134

Exercise 11 (SPECIAL FARE)...................................................................................................................136

Open Jaw Special Fares.........................................................................................................................139

Exercise 11 (SPECIAL FARE – OPEN JAW)..............................................................................................142

Appendix A: Galileo Formats ..........................................................................................................144

Appendix B: Abbreviations, Definitions and Logic ...........................................................................147

Abbreviations........................................................................................................................................147

Definitions.............................................................................................................................................149

Fares System Logic ................................................................................................................................150

Glossary: Travel Industry Organisations..........................................................................................152

Blank Fare Grids.............................................................................................................................155


Module 1: Introduction

Welcome to Galileo Fares Level 2.

Introduction

Fares Level 2 will revise the basic concepts of the mileage system,including HIP`s, covered in Level1, before the study of more complex fareconstruction principles. The course fully utilises the Galileo system andpractises a variety of system entries related to fares, which are vital inwork situations.

This course will give you an in-depth knowledge of complex multi-sectorair fares and how they are constructed and displayed in Galileo and anyair fare travel document. It will introduce the concept of the lowestcombination of fares and the calculation of the most economical farefor a routing.

The knowledge that you gain will enable you to more accuratelyinterpret the fare breakdown which is displayed by Galileo and shownon fares related documents. This will allow you to communicate moreconfidently with colleagues, airline staff and customers with respect tofares and fare construction.

Each subject will be covered by your trainer, with demonstrations andexercises to follow. There is a 'mock' examination, or revision paper,taken prior to the exam on the final day of the course. There is a finalexamination of 3 hours' duration.

Please feel free to ask questions at any time during the course.

Course Objectives

Upon completion of this course you will be able to:

• Construct fares for multi-sector journeys applying the mileagesystem, Higher Intermediate Points and Minimum Fare Checks.

• Determine fares for itineraries with more than one breakpoint.

• Calculate fares for itineraries with Surface Sectors.

• Apply Side Trip constructions.

• Assess fares for journeys of Differing Classes.

• Interpret and apply Special Fare rules to multi-sector itineraries andOpen Jaw constructions.

• Recognise Automated fare calculation area details.



Why should you Attend?

Fares Level 2 offers you:

• The ability to calculate complex normal and special fares, andrecognise the relevant features in Galileo fare responses.

• The confidence to communicate with airline staff and work withcolleagues on fares related issues.

• A certificate recognised worldwide by all companies



Notes:


Module 2: Geography (Revision)

IATA Geography

IATA Geography was covered at length in the Fares Level 1 course, sowe will take a look at this now by way of a revision. There will be noquestions in the exam about Geography for the Fares Level 2 course,but fare notes often refer to IATA areas and sub-areas so it is importantto recognise these.

If you remember, the International Air Transport Association (IATA), thegoverning body of the airline industry has, for easy reference, dividedthe world into 3 main areas:

IATA Area One:

Also known as the Western HemisphereIATA Area Two and Three:

Together these constitute the Eastern HemisphereIATA Areas are also called Traffic Conference Areas -TC1, TC2 and TC3.

These IATA areas are divided into sub-areas. The main sub-areas arelisted below and are also indicated on the maps that follow:

IATA Area One — (The Western Hemisphere)

North Atlantic - USA (including Hawaii, Puerto Rico, US Virgin Islandsand Alaska), Canada, Mexico, Greenland.

Mid Atlantic - Bermuda, the Caribbean Islands, Bahamas, Belize, CostaRica, Guatemala, El Salvador, Honduras, Nicaragua, Panama, Bolivia,Colombia, Ecuador, French Guiana, Guyana, Peru, Suriname, Venezuela.See later text for full list.

South Atlantic - Brazil, Paraguay, Uruguay, Argentina, Chile.

IATA Area Two — (Within the Eastern Hemisphere)

Europe - UK, Continental Europe (including Turkey and the Russian

Federation/Russia west of the Ural Mountains), Canary Islands, Cyprus,

Azores, Madeira, Iceland, Algeria, Tunisia, Morocco.

Middle East - Egypt, Sudan, South Sudan, Iran and geographical Middle

East.

Africa - Seychelles, Mauritius, Réunion, Cape Verde and the Continentof Africa excluding Egypt, Algeria, Tunisia and Morocco.

Module 2: Geography Revision


IATA Area Three - (Within the Eastern Hemisphere)

South West Pacific - Australia, New Zealand, Papua New Guinea, Fiji,

French Polynesia, New Caledonia and nearby islands.

North Central Pacific - Includes Russian Federation/Russia east of theUral mountains and the continent of Asia.See later text for full list.

North Central Pacific has a further division of:

South Asian Subcontinent - Afghanistan, Bangladesh, Bhutan, India (inc.

Andaman Islands), Maldives, Nepal, Pakistan and Sri Lanka.

Japan/Korea - Japan and Korea.

South East Asia - Brunei Darussalam, Cambodia, China (exc. Hong Kong

SAR and Macau SAR), Chinese Taipei, Guam, Hong Kong SAR (China),

Indonesia, Kazakhstan, Kyrgyzstan, Lao (People's Democratic Republic),

Macau SAR (China), Malaysia, Marshall Islands, Micronesia, Mongolia,

Myanmar, Northern Mariana Islands, Palau, Philippines, Russian

Federation/Russia (in Asia), Singapore, Tajikistan, Thailand, Timor Leste,

Turkmenistan, Uzbekistan and Vietnam.

These are the main sub areas, however, there are many other areas, the

full list of which is in the Passenger Air Tariff (Definitions).

Fare Rules may refer to IATA Areas and sub areas. Some additional sub

areas are listed below:

ECAA (European Common Aviation Area) – Albania, Austria, Belgium,

Bosnia and Herzegvina, Bulgaria, Cyprus, Croatia, Czech Republic,

Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland,

Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Macedonia,

Malta, Montenegro, Netherlands, Norway, Poland, Portugal, Romania,

Serbia, Slovakia, Slovenia, Spain, Sweden, Switzerland and United

Kingdom.

Gulf States - Bahrain, Oman, Qatar and United Arab Emirates.

East Africa - Kenya, Tanzania and Uganda.

Southern Africa - Mozambique, Namibia, South Africa, Zambia and

Zimbabwe.

Western Africa - Angola, Benin, Burkina Faso, Cameroon, Cape Verde,

Central African Republic, Chad, Congo (Brazzaville), Congo (Kinshasa),

Côte d' Ivoire, Equatorial Guinea, Gabon, Gambia, Ghana, Guinea,

Guinea Bissau, Liberia, Mali, Mauritania, Niger, Nigeria, Sao Tome and

Principe, Senegal, Sierra Leone and Togo.



Caribbean Islands - Anguilla, Antigua and Barbuda, Aruba, Barbados,

British Virgin Islands, Cayman Islands, Cuba, Dominica, Dominican

Republic, Grenada, Guadeloupe, Haiti, Jamaica, Martinique, Montserrat,

Netherlands Antilles, St Barthelemy, St Kitts/Nevis, St Lucia, Northern St

Martin, St Vincent and the Grenadines, Trinidad and Tobago, Turks and

Caicos Islands.



IATA AREAS



IATA Area 1

North Atlantic

Canada, USA, Mexico, Puerto Rico, US Virgin Islands and Greenland

Mid Atlantic

Anguilla, Antigua and Barbuda, Aruba, Bahamas, Barbados, Belize,Bermuda, Bolivia, British Virgin Islands, Cayman Islands, Colombia,Costa Rica, Cuba, Dominica, Dominican Republic, Ecuador, El Salvador,French Guiana, Grenada, Guadeloupe, St Barthelemy, Guatemala,Guyana, Haiti, Honduras, Jamaica, Martinique, Montserrat, NetherlandsAntilles, Nicaragua, Panama, Peru, St Kitts/ Nevis, St Lucia, Northern StMartin, St Vincent and the Grenadines, Suriname, Trinidad and Tobago,Turks and Caicos Islands, Venezuela

South Atlantic

Argentina, Brazil, Chile, Paraguay, Uruguay



IATA AREA 2

Europe

Albania, Algeria, Andorra, Armenia, Austria, Azerbaijan, Belarus,Belgium, Bosnia and Herzegovina, Bulgaria, Croatia, Cyprus, CzechRepublic, Denmark, Estonia, Faroe Islands, Finland, France, Georgia,Germany, Gibraltar, Greece, Hungary, Iceland, Ireland, Italy, Latvia,Liechtenstein, Lithuania, Luxembourg, Macedonia FYROM (formerYugoslav Republic of), Malta, Monaco, Moldova (Republic of), Morocco,Montenegro, Netherlands, Norway, Poland, Portugal (inc. Azores andMadeira), Romania, Russian Federation/Russia (West of UralMountains), San Marino, Serbia, Slovakia, Slovenia, Spain (inc. CanaryIslands), Sweden, Switzerland, Tunisia, Turkey, Ukraine, United Kingdom,Vatican City.

Middle East

Bahrain, Egypt, Iran, Iraq, Israel, Jordan, Kuwait, Lebanon, Oman, Qatar,Saudi Arabia, South Sudan, Sudan, Syrian Arab Republic, United ArabEmirates, Yemen.

Africa

Angola, Benin, Botswana, Burkina Faso, Burundi, Cameroon (Republicof), Cape Verde (Republic of), Central African Republic, Chad, Comoros,Congo (Brazzaville), Congo (Kinshasa), Côte d’Ivoire, Djibouti, EquatorialGuinea, Eritrea, Ethiopia, Gabon, Gambia, Ghana, Guinea, Guinea-Bissau, Kenya, Lesotho, Liberia, Libya Arab Jamahiriya, Madagascar,Malawi, Mali, Mauritania, Mauritius, Mayotte, Mozambique, Namibia,Niger, Nigeria, Réunion, Rwanda, São Tomé & Principe, Senegal,Seychelles, Sierra Leone, Somalia, South Africa, Swaziland, Tanzania(United Republic of), Togo, Uganda, Zambia, Zimbabwe.



Eastern Europe



IATA Area 3

North Central Pacific

Some of the main countries are:

Afghanistan, Bangladesh, Bhutan, Brunei Darussalam, Cambodia, China,Chinese Taipei, Guam, Hong Kong SAR, India, Indonesia, Kazakhstan,Kyrgyzstan, Lao, Macau SAR, Malaysia, Maldives, Mongolia, Myanmar,Nepal, Pakistan, Philippines, Russian Federation/Russia (East of UralMountains), Singapore, Sri Lanka, Taiwan, Tajikistan, Thailand,Turkmenistan, Uzbekistan and Vietnam.

South West Pacific

Australia, Fiji, Papua New Guinea, New Zealand and various associatedPacific Islands.



IATA Area 3: North Central Pacific Sub Area



North Central Pacific - Sub-Areas

South Asian Subcontinent

Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, SriLanka.

South East Asia

Brunei Darussalam, Cambodia, China, (excluding Hong Kong SAR andMacau SAR), Chinese Taipei, Guam, Hong Kong SAR, Indonesia,Kazakhstan, Kyrgyzstan, Lao, Macau SAR, Malaysia, Marshall Islands,Micronesia, Mongolia, Myanmar, Northern Mariana Islands, Palau,Philippines, Russian Federation/Russia (East of the Ural Mountains),Singapore, Tajikistan, Thailand, Timor Leste, Turkmenistan, Uzbekistan,Vietnam.

Japan/Korea

Japan, Republic of Korea and Democratic Republic of Korea



Global Indicators

These are codes which relate to the direction, or areas, involved in arouting. Some city pairs have different global indicators and these mayresult in different fare levels. The most common Global Indicators (GI s)are:

AT Atlantic: travel between Area 1 and Area 2 or Area 3 whichcrosses the Atlantic ocean only

e.g. DEL - LON – YHZ

CPH – MAD - RIO

PA Pacific: travel between Area 1 and Area 3 which crosses thePacfic ocean only

e.g. CHI - SFO - HKG

AP Atlantic/Pacific: travel between Area 2 and Area 3 which crossesboth the Atlantic and Pacific oceans

e.g. LON - SEA – SYD

BKK - HNL - CHI – STO

TS Trans - Siberian: travel between Area 2 and Area 3, whichcontains a non-stop sector between Europe and Japan or Europe andKorea

e.g. TYO - LON - GLA

MAN - AMS - OSA - HKG

SEL - ROM - DUB

WH Western Hemisphere: travel within Area 1

e.g. LAX - MEX - LIM

EH Eastern Hemisphere: travel within and between Area2 and Area3

e.g. LON - ROM - SIN - SYD

TYO - DEL - KWI - IST

AMS - ROM - NBO

JNB - DXB – CAI

A list of Global Indicators is available in Galileo by using the entry:H/INDI



So what happens when a journey’s routing seems to contain 2 or moreGlobal Indicators?

The Global Indicators are prioritised as follows:

For any route crossing an ocean, i.e. AT / PA / AP, the Global Indicatorcrossing the ocean will take precedence/priority.

RGN - SEL - HNL - LAX

EH PA WA Routing is PA

For travel within the Eastern Hemisphere, the TS routing takesprecedence/priority.

LON - PAR - ROM - TYO - SYD

EH EH TS EH Routing is TS

The following chart will ensure you select the correct Global Indicator.Use the chart and confirm the answers to the following routes.

RIO – BUE - WH GVA-ROM - EH

PAR – TYO - TS NYC-MAD - AT

YVR – AKL - PA PER-SFO-FRA - AP



Global Indicator Flow Chart

Is the itinerary crossing an OCEAN?

NO YES

Is there a non-stop flight between a cityin Europe and a city in Japan or Korea?

Is the itinerarycrossing:Just Atlantic = ATJust Pacific = PABoth Atlantic and Pacific = AP

NO YES

Trans Siberian = TSIs the travel completely withinIATA Area 1?

YES NO

Western Hemisphere = WH Eastern Hemisphere = EH


Module 3: Fare Display & Mileage Fares (Revision)

In the Fares Level 1 course we focused on point to point fares and Mileagefares for multi sector routes, with and without HIP`s. To look up the fares wehave to use a combination of the fare display and the flown mileage display.Fares are quoted in NUC`s:

Fare Display Basic Entry:

FD14FEBLONHKG

FD Fare Display Function Identifier

14FEB Date of Travel (if unspecified - defaults to today’s date)

LON Boardpoint (Origin) - if unspecified defaults to address of PC

HKG Offpoint (Destination)

The date may be input before, after or between the city-pair:

FD14FEBLONHKG

FDLONHKG14FEB

FDLON14FEBHKG

This will return all fares, both one ways and returns between Londonand Hong Kong with any carrier. Modifiers can be added to display amore specific fare display.

Fare Display Modifiers

After the initial entry, other modifiers can be added to limit the numberof fares returned in the display, like –RT for return only, /BA for BAfares, *CNN for child fares, and codes like :C to display private net fares.

Refer to Appendix A for more fare display modifiers

To display fares in NUC`s see the next section.

Reading Fare Notes

In order to read fare notes you need to access the rule paragraphs or

categories. The entry to read all fare notes is:

FN*1/ALL

1 is the line number from the fare display.

Refer to Appendix A for more fare rule formats

Module 3: Fare Display and Mileage Fares Revision


Neutral Units of Construction

In order to carry out all fare checks and obtain an accurate fare quotefor a multi-sector itinerary, a fare must be calculated in Neutral Units ofConstruction (NUCs), and then converted into the local currency of theissuing agency.

Neutral units of construction are an artificial ‘currency’ used toconstruct most fares and are based on the US dollar. Simple domesticfares are usually only displayed in local currency.

Each country has an IATA rate of exchange - ROE - and unless thatcountry uses the USD for air fares, it is the ROE that is used to convertNUC amounts into currency.

The Rate of Exchange is updated 4 times a year, and the new rates ofexchange apply from: -

01 JANUARY01 APRIL01 JULY01 OCTOBER

The new rates will be applicable for any fares quoted or ticketed on andafter these dates. If there is a significant fluctuation in a country’s bankrates during a quarter, currently set at 6%, these rates are liable to ad-hoc changes at the beginning of the next month.

For all Galileo fare quotes (except wholly domestic journeys), the farelevels in the linear fare quote are displayed in NUCs and the final total isconverted into local currency.

To convert NUCs into local currency, MULTIPLY by the ROE.To convert currency into NUCs, DIVIDE by the ROE.

In Galileo the following entries will automatically carry out thesecalculations for you.

FZINUC856.77NZD Converts NUCs into local currency (NZD)FZIGBP50.00NUC Converts local currency(GBP) into NUCs

Other useful currency entries:

FZI/ALL Displays the IATA ROEs for all currenciesFZIEUR Displays the current ROE for a specific currency

To obtain a Fares Display in NUCs rather than in local currency :NUCmust be added to the entry:

FD10JUNLONJNB-RT/YY:NUC



To update a fare display from currency fares to NUC`s enter:

FD:NUC

For half return fares in NUC`s enter:

FD10JUNLONJNB-RT/YY/2

The /2 will automatically show fares in NUC at half the return value.(This is extremely useful when dealing with round trip itineraries.)

Mileage Surcharges

If the flown mileage is greater than the MPM then it may be possible tocharge the through fare, but it will have to be increased (surcharged) bya fixed percentage.

The set surcharge bands are: 5% 10% 15% 20% 25%

Any surcharge over 25% would require the fare to be constructed in analternative way, this is covered in the GA2 fares course.

The mileage check, with any surcharges, is calculated automatically inresponse to the FL/ entry.

One Way Journeys

Example:

FL/LONWAWATHIST

The LWL and the HGL columns indicate the number of miles down to orup to the next surcharge band.

The check is applied to each city in sequence. Travel as far as ATH has a10M surcharge, but this is ignored as Istanbul, the final destination,indicates the complete routing has a 20M surcharge.



To apply a mileage surcharge to a fare, use the FM entry. There are 2possible formats:

FM*1

Where 1 is the line number of the fare in the fare display. This entry canonly be used following an FD entry eg: FD10JUNLONIST-OW/YY:NUC

OR

FMNUC1451.73

This is a stand-alone entry and no fare display is required, just enter theNUC amount you wish to surcharge.

Select the appropriate fare for the mileage surcharge band – in ourexample 20M.



Mileage Surcharge on a One Way Journey

LON

WAW

ATH

IST

LO 10JUN Y

OA 14JUN Y

TK 17JUN Y

LON IST

20M

1451.73

1742.07

1742.07

1742.07

0.598595

GBP1043.00

FL/LONWAWATHIST

Apply 20% surcharge to the fareusing FM*1(line number from FD)or FMNUC1451.73

Total fare with surcharge applied

LON LO WAW OA ATH TK IST 20M1742.07 NUC1742.07 END ROE0.598595

Surcharge precedes fare

FZI

FZI

XX

FZI

BHC/CTM

XX

FM

FDO-D

FD

FL/

FD10JUNLONIST-OW/YY:NUC

FZINUC1742.07GBP



Checklist for Mileage One Way Journeys

1. Write down the origin and destination cities as your fare components

2. Check the mileage from origin to destination FL/

3. Write down the one way fare from origin to destination in NUC`s FD

4. Apply any mileage surcharge to the origin destination fare FM

5. Enter the result in the TOTAL box

6. Convert the total NUC fare into the currency of commencement of travelFZI



Exercise 1 (Mileage Surcharge OW)

Question 1 – Group Revision

FL/

FD

FDO-D

FM

BHC/CTM

FZI

XX

FZI

FZI

XX



Excess Mileage Allowances - EMA

You may remember from Level 1, certain routings have an ExcessMileage Allowance (EMA). This is a set number of miles that arededucted from the TPM total before comparison with the MPM. Thisoriginates from when no direct flights existed between two points, soyou had to go via a city to reach your destination.

The application of these deductions is generally dependent on a specificflown via point or points.

The FL/ entry will automatically apply any EMAs applicable to a routingand calculate the appropriate mileage surcharge level.

Example 1:

FL/SINKULBOMDEL

For the mileage deduction of 700 miles shown in the mileage displayabove to apply, the city specified in the remarks column must appear asa via point in the routing and these are indicated in the fare calculationarea preceded by E/. Stopovers may or may not be at these points, thatis dependent on the fare type.

For certain routings a mileage deduction is applicable but no via point isspecified. In the REMARKS column it would either show E/XXX orindicate one of the via cities that you have entered. Galileo usuallyshows the via city.

If it says Exception this may indicate a deduction for a specific carrierapplies, check the text below to see.

Example 2:

FL/LONSTOLISMADSJU



Enter the mileage again with carrier DL

FL/LONSTOLISMADSJU/DL



Excess Mileage Allowance – One Way Journey – Specified via point

FL/

FD

FDO-D

FM

XX

BHC/CTM

FZI

XX

FZI

FZI

SIN

KUL

BOM

DEL

SQ 12JAN C

MH 16JAN C

AI 16JAN C

SIN DEL

M (E/BOM)

1000.00 C

1000.00

1000.00

1000.00

1.26655

SGD 1267.00

SIN SQ KUL MH X/E/BOM AI DEL M1000.00 NUC1000.00 END ROE1.26655

Mandatory via points for application of mileagedeductionNote: transit X/ is shown first

Specified via point formileage deduction – useE/XXX if no via point isspecified



Mileage Check – Return Journeys

To calculate the fare for a return journey, the first step is to establish

the breakpoint (or turnaround point). For the purposes of this course,

this is the city with the highest MPM from the origin.

The fare break point can be established by using the FL/ entry - enter

the whole routing except the last city and select the city shown against

the highest MPM figure.

For the journey - SIN DEL BOM BAH CCU SIN the entry and response

would be:

FL/SINDELBOMBAHCCU

From the above it can be seen that at 4722, BAH is the point of highest

MPM from SIN. Also, there is a mileage deduction for this journey.

Carry out a separate mileage check for both the outbound and inbound

itineraries. The outbound check has been completed as far as BAH. This

is M as SINDELBOMBAH fit within the MPM.

Now look up the inbound: FL/BAHCCUSIN

This is also M as BAHCCUSIN also fits within the MPM.



Fares

The fare is assessed as 2 separate halves - the fare to the breakpoint,

the outbound fare component, and the fare from the breakpoint, the

inbound fare component.

Always select return (round trip) fares for a return journey. Half of the

return fare is to be used for the outbound fare component and half is to

be used for the inbound fare component.

To display only half return fares for a fare, add the /2 entry to the FD

entry.

Note: Current Galileo 360 Fares functionality requires that the :NUC

modifier is omitted, as half return NUC amounts will be automatically

displayed.

Example:

FD26JANRGNBAH-RT@Y/YY/2

This is illustrated as follows in native Galileo and Smartpoint:

Note: Smartpoint doesn`t currently indicate the rates are in half returns



Mileage Check – Return – with excess mileage allowance

RGN

DEL

BOM

BAH

CCU

RGN

AI 26JAN Y

AI 30JAN Y

GF 06FEB Y

GF 12FEB Y

AI 26FEB Y

RGN BAH BAH RGN

M E/DEL BOM M

1668.00 Y 1668.00 Y

1668.00 1668.00

3336.00

3336.00

1.00

USD 3336.00

RGN AI E/DEL AI E/BOM GF BAH M1668.00 GF CCU AI RGN M1668.00 NUC3336.00

END ROE1.00

FL/

FD

FDO-D

FM

XX

BHC/CTM

FZI

XX

FZI

FZI

Sub-totals enteredagainst each farebreakpoint

Fare shown in USD as localcurrency which is MMK is notused

FD26JANRGNBAH-RT/YY/2for half return fares in NUC

Half fare shown next to each breakpoint

FL/RGNDELBOMBAHCCUto establish breakpoint

Mileage for outbound andinbound checked

Total of 2subtotals



Return Journeys with a Mileage Surcharge

As before, the fare breakpoint can be established by using the FL/ entry- enter the whole routing, from origin, except the last city and select thecity shown against the highest MPM figure.

Outbound:

FL/PARLONJEDAUHCAICAS

The city with the highest MPM is AUH so this is the breakpoint. Thesurcharge to the breakpoint is 5M.

Now carry out a separate mileage check for the inbound journey fromthe breakpoint back to the point of origin, so add the last city.

Inbound:

FL/AUHCAICASPAR

From the breakpoint back to origin is a 25M.



Mileage Surcharge on a Return Journey

When the form of payment credit card is selected from the list, anadditional drop down list will be enabled, which allows for the selectionof the credit card vendor and the ability to add the card number andexpiry date.

Once the form of payment has been saved, it can be viewed in theBooking File Viewer window by clicking on the *FOP button.

PAR

LON

JED

AUH

CAI

CAS

PAR

AF 20JAN C

SV 24JAN C

SV 26JAN C

EK 30JAN C

MS 04FEB C

AF 07FEB C

PAR AUH AUH PAR

5M 25M

4415.53 4415.53

4636.30 5519.41

FD20JANPARAUH-RT/YY/2@C

FL/PARLONJEDAUH FL/AUHCAICASPAR

FM*1 or FMNUC4415.53

XX4636.30+5519.41

10155.71

10155.71

0.724488

EUR 7358.00

FZINUC10155.71EUR

FL/PARLONJEDAUHCAICASinclude all cities except the lastone to establish breakpoint

PAR AF LON SV JED SV AUH 5M4636.30 EK CAI MS CAS AF PAR 25M5519.41

NUC10155.71 END ROE0.724488Outbound fare shownagainst breakpoint

Inbound fare shownagainst final destination

FL/

FD

FDO-D

FM

XX

BHC/CTM

FZI

XX

FZI

FZI



Checklist for Mileage Return Journeys

1. Find the breakpoint which is the city with the highest MPM from the

origin FL/

2. Write down origin to breakpoint and breakpoint back to origin as your

fare components

3. Check the mileage on each component FL/

4. Select a half return fare in NUC`s. Show this fare in both columns FD/2

5. Apply the mileage surcharge for each component of the fare, to obtain

your two sub totals FM

6. Add the two subtotals together to obtain the TOTAL fare XX

7. Convert the total NUC fare into the currency of commencement of

travel FZI



Exercise 1 (Mileage Surcharge RTN)


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Module 4: Higher Intermediate Point – HIP Check (Revision)

HIP`s were covered in detail in Level 1. All exercises from now on willrequire a HIP check.

A Higher Intermediate Point is a fare between any 2 ticketed points in afare component, which is higher than the origin to destination fare. Thefare for the component must be raised to the higher intermediate farelevel. This check is also known as the HIF check – Higher IntermediateFare.

• Only stopover points are checked

• Restricted Normal Fares (secondary level fares) such as Y2, J2and F2 fares may be used for the HIP check, if the stopover andtransfer conditions of the secondary level are applicable to theportion of the routing being checked, and if the fare has beenfiled as a Normal Fare

• If more than one HIP is found, the the highest fare must beused for the calculation. If two or more of the highest fares arethe same level, either may be used or shown

• If a mileage surcharge has been calculated this must be appliedto the Higher Intermediate Point

To ensure all points are assessed, check fares:

1. From the origin to intermediate points.

2. From intermediate points to the destination.

3. Between intermediate points.

For the purposes of this course illustrate all HIPs found in the calculationin the HIP box.

Module 4: Higher Intermediate Point – HIP Check Revision


HIP Check on a One Way Journey

NCE

BCN

FRA

LON

DAR

ZNZ

AF 15JAN Y

IB 18JAN Y

LH 18JAN Y

BA 25JAN Y

PW 27JAN Y

NCE ZNZ

25M

2000.00

BCN DAR 2100.00

LON DAR 2050.00

LON ZNZ 2300.00

2875.00

2875.00

2875.00

0.821567

EUR 2363.00

NCE AF BCN IB X/FRA LH LON BA DAR PW ZNZ 25M LONZNZ2875.00 NUC 2875.00END ROE0.821567

No HIP check at transitPoint FRA

Use highest HIP andIncrease by mileagesurcharge

List all HIP`s, usenormal secondarylevels if listed andapplicable for the sectorwhere the HIP occurs

Show the HIP citiesused in the linearconstruction, after themileage surcharge

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Checklist for HIP One Way Journeys

1. Write down the origin and destination cities as your fare components

2. Check the mileage from origin to destination FL/

3. Write down the one way fare from origin to destination in NUC`s FD

4. Write down any HIPs. Check Origin to Intermediate, Intermediate toDestination and between any Intermediate points. FDO/FDD

5. Apply any mileage surcharge to the highest fare FM

6. Enter the result in the TOTAL box

7. Convert the total NUC fare into the currency of commencement oftravel FZI



Exercise 2 (HIP Check OW)


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HIP check on Return Journeys

Always use half round trip (/2) fares for checking HIPs.

To ensure all points are assessed, check fares:

1. From the origin to intermediate points.

2. From intermediate points to the destination.

3. Between intermediate points.

All HIPs are used in the `direction of travel` except for HIPs checked

on the inbound fare component which goes back into the country of

origin, and this must be used in the `reverse direction` to travel.

FRA Check HIPs in the direction of travel

MAN MAN JNB ½ RT

VIE VIE JNB ½ RT

JNB

X/ LON Check HIPs in the opposite direction to travel

CPH PAR JNB ½ RT

PAR CPH JNB ½ RT

FRA No HIP check at LON as it is a transit point



HIP Check on a Return Journey

FRA LH MAN OS VIE OS JNB 5M MANJNB2940.00 VS X/LON BA CPH SK PAR LHFRA 15M PARJNB2760.00 NUC5700.00END ROE0.821567

FRA

MAN

VIE

JNB

LON

CPH

PAR

FRA

LH 29JAN C

OS 31JAN C

OS 03FEB C

VS 10FEB C

BA 10FEB C

SK 13FEB C

LH 15FEB C

FRAJNB JNBFRA

5M 15M

2000.00 2000.00

MAN JNB

2800.00

VIE JNB

2100.00

PAR JNB

2400.00

CPH JNB

2300.00

2940.00 2760.00

5700.00

5700.00

0.821567

EUR4683.00

Select the highest HIPoutbound and increaseby 5%

Select the highest HIPinbound and increaseby 15%

Don`t check transit pointsonly stopovers

Show the HIP cities for both o/b and i/bnext to the mileage surcharges

Remember fares are looked up inthe direction of travel except thecomponent that brings you back toorigin which is looked up in theopposite direction of travel

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Checklist for HIP Return Journeys

1. Find the breakpoint which is the city with the highest MPM from the

origin FL/

2. Write down origin to breakpoint and breakpoint back to origin as your

fare components

3. Check the mileage on each component FL/

4. Select a half return fare in NUC`s. Show this fare in both columns FD/2

5. Write down any HIPs. Check Origin to Intermediate, Intermediate to

Destination and between any Intermediate points. Check fares in

direction of travel, except for the last fare component back to origin.

FDO/FDD

6. Apply the mileage surcharge for each component of the fare, to obtain

your two sub totals FM

7. Add the two subtotals together to obtain the TOTAL fare XX

8. Convert the total NUC fare into the currency of commencement of

travel FZI



Exercise 2 (HIP Check RTN)


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NOTES


Module 5: One Way Backhaul Check

A One Way Backhaul check is a minimum check applied to one way

fares with a HIP from origin to a stopover point.

The minimum fare is calculated on basic unsurcharged fare levels asfollows:

1.HIP/HIF from origin

- Origin to destination fare

= Difference

+ HIP from origin

= MINIMUM FARE

2.

Compare the minimum fare to total constructed fare andcharge whichever is higher.

a. If charging the minimum fare, calculate a plus up, which isthe difference between the minimum fare and the total fare.

Minimum fare

- Total fare

= Plus up

b. If the total constructed fare is higher, this must be chargedand no plus up is calculated.

Exceptions:

The One Way Backhaul Check does not apply to:

• Fare Components/Pricing Units wholly within Europe

• Journeys wholly between Argentina, Brazil, Chile, Paraguay,Uruguay and IATA Area 2

• Journeys wholly within IATA Area 1

A journey is the whole or total ticket, and a Pricing Unit is only thatindividual portion of the fare construction.



One Way Backhaul Check

The e-ticket is an automated record stored in both the booked airline(s)and Galileo`s database. Other types of tickets such as ATB/OPTAT andeven manual tickets are no longer distributed in many countries,including the UK.

When an e-ticket is issued a copy is avaible to see in Galileo and is calledthe e-ticket record or ETR. Each ticket issued will have it`s own ETR toview.

This is an example of an ETR in Smartpoint. To display the ETR you needto enter *HTE or click on the *HTE command box in Smartpoint:

DUB

LON

KIN

HAV

BD 31JAN Y

JM 03FEB Y

JM 05FEB Y

DUB HAV

5M

1500.00

DUB KIN 1750.00

LON KIN 1900.00

LON HAV 1800.00

1995.00

1995.00

BHCHIP from Origin 1750.00 Minimum fare 2000.00

-Origin Destination - 1500.00 - Total Fare - 1995.00

Difference 250.00 Plus Up 5.00

+HIP from Origin + 1750.00

Minimum Fare 2000.00

2000.00

0.576999

GBP1154.00

DUB BD LON JM KIN JM HAV 5M LONKIN1995.00 P DUBKIN DUNHAV 5.00NUC2000.00 END ROE0.576999

HIP from Origin. BHC required.Unsurcharged fare used for check

Total – HighestHIP plus mileagesurcharge

Plus Up Origin - HIP Origin-Destination

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Exercise 3 (ONE WAY BACKHAUL CHECK - BHC)

Question 1 – Group

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Question 3

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Question 4

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Question 5

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Module 6: Circle Trip Minimum - CTM

All circle trips are subject to the Circle Trip Minimum Check (CTM). Firstwe need to establish the difference between a round trip and a circletrip.

Journey TypesROUND TRIPThis is a return itinerary consisting of only two fare components forwhich the outbound and the inbound fares are the same, or if theydiffer, this is only due to differences of season, day of week or class.

Examples:

LON

DEL BA M

SIN SQ 900.00

BOM SQ M

LON AI 900.00

NCE AF 200.00 YLXAP

LON AF 300.00 YLWAP

CIRCLE TRIPThis is a return itinerary consisting of more than two fare components,or a return itinerary consisting of two fare components whose farelevels differ due to mileage surcharge or HIPs.

Examples:

MAN

BCN IB

ROM AZ 10M

ATH OA 330.00

MIL AZ M

MAN AZ 300.00

LON

PAR BA M

ZRH LX ZRHDXB

DXB EK 900.10

KWI KU M

LON KU 499.99

Return journeys of more than 2 fare components are studied later inlevel 2.

Module 6: Circle Trip Minimum CTM


Circle Trip Minimum Check

The fare for a Circle Trip must not be less than the direct route

return fare from the origin to the highest rated stopover point on

the itinerary.

1. Check all direct round trip fares from the origin to all relevantstopover cities.

Note: A direct restricted normal fare e.g. J2, Y2 may be used for this

check irrespective of the stopover and routing restrictions of the

fares rules, unlike the HIP check, however ensure the fare is filed as a

Normal Fare.

2. The highest round trip fare from the origin will be the minimum fare.

3. Compare the minimum fare to the total constructed fare and chargewhichever is higher.

a. When the minimum fare is higher calculate a plus up -

this is the difference between the minimum fare and

the total constructed fare:

Minimum Fare

- Total Fare

= Plus Up

b. If the constructed total fare is higher than the minimum

fare level, then this must be charged and no plus-up

calculated.

For Journeys Originating in Australia or New Zealand:

• For round the world fares originating in Australia or NewZealand, the CTM check does not apply. e.g.SYDLAXLONSINSYD.

For all other journeys, the CTM check is applied to all ticketed points.



Circle Trip Minimum Check – CTM

LON

HKG

SIN

SGN

JKT

BOM

MOW

LON

VS 23JAN Y

SQ 26JAN Y

VN 29JAN Y

GA 09FEB Y

AI 18FEB Y

AI 21FEB Y

SU 23FEB Y

FD23JANLONJKT-RT/YY/2

3000.003000.00

M5M

LONJKT JKTLON

LON HKG 3050.00

LON SGN 3400.00

MOW JKT 3200.00

3570.00 3200.00

6770.00

Circle Trip Minimum Minimum 6800.00

LONHKGLON 6100.00 - Total 6700.00

LONSINLON 5800.00 = Plus Up 30.00

LONSGNLON 6800.00

LONJKTLON 6000.00

LONBOMLON 2700.00

Highest round trip fare from originto each stopover point – useFD23JANLONHKG-RT/YY:NUCnot /2

6800.00

0.567999

GBP3924.00

LON VS HKG SQ SIN VN SGN GA JKT 5M LONSGN 3570.00 AI BOM AI MOW SU LON

M MOWJKT 3200.00 P LONSGN30.00 NUC6800.00 END ROE0.567999

Plus Up

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Exercise 4 (CIRCLE TRIP MINIMUM CHECK - CTM)


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Question 3

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Question 4

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Question 5

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Module 7: Fare Components Over 25M

One Way Journeys over 25M

When a mileage check is applied from the origin to the destination of a

one way routing, and the result is in excess of 25M, then the through fare

cannot be collected and additional fare breakpoints must be identified.

Basic guidelines which generally produce the lowest fare are:

• Break the fare as little as possible.

• Break the fare at a point where there is the sharpest change indirection of travel.

Reference may be made to a map, and in the System you can

use the FL/ entry to establish the breakpoint.

Entry:FL/LONBRULISMADGVAIST

Response:

EXC indicates the 25M surcharge band is exceeded, and if, as above, thisis shown against a destination, then the through fare cannot becollected, and for fare construction, the itinerary must be broken atanother city.

This is established by looking back up the LVL column and selecting apoint that is within mileage, or has a mileage surcharge against it.



From the response screen on the previous page, it can be seen that LISis the best breakpoint. At 10M it is within the 25M surcharge band.Beyond LIS the maximum surcharge band is exceeded.

If a map is referred to, it can be seen that Lisbon is the point at whichthere is the sharpest change of direction in the routing:

LON

BRU

GVA

MADIST

LIS

For this itinerary two one way fare components must be calculated:

LON LIS and LIS IST

When assessing these, use one way fares in the direction of travel.

Separate mileage checks and HIP checks must be applied to each farecomponent.

It is permissible to break fares at transit (no stopover) points as well asat stopover points.

Now check the mileage from LIS to IST. It is possible to select IST, oreven GVA or MAD as a further breakpoint, however, usually the fewerthe breakpoints the lower the fare for the client.

Entry:FL/LISMADGVAIST

Response:

When fare quoting an itinerary, Galileo will select the breakpoint whichgives the lowest fare.



One Way Journey Over 25M

LON

BRU

LIS

MAD

GVA

IST

SN 22JAN Y

TP 24JAN Y

JK 01FEB Y

IB 05FEB Y

TK 10FEB Y

LON LIS LIS IST

10M M

500.00 600.00

BRU LIS 550.00 GVA IST 700.00

MAD IST 650.00

605.00 700.00

1305.00

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FD

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1305.00

0.576999

GBP 753.00

LON SN BRU TP LIS 10M BRULIS605.00 JK MAD IB GVA TK IST M GVAIST700.00

NUC1305.00 END ROE0.576999

Show the fares against the relevant fareConstruction points

No BHC as no HIP from Origin



Exercise 5 (ONE WAY JOURNEY OVER 25M)


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Exercise 5 (ONE WAY JOURNEY OVER 25M)

Question 2

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Return Journeys over 25M

For a return journey, establish the initial fare breakpoint based on thehighest MPM from the origin. Use the FL/ entry to establish thebreakpoint:

For a journey:WLG AKL LAX HKG KUL DEL BKK SYD WLG

First Component/PUC

Notice that the entry with the highest MPM from origin is DEL, at 9457.However, the routing from WLG to DEL exceeds 25M. An additionalbreakpoint must be found. Looking down the LVL column in the display,the only possibility is LAX.

Second Component/PUC

DEL is within the maximum 25M surcharge from LAX, so no additionalbreakpoints are needed.

Third Component/PUC

Finally we have the return fare construction point of WLG



Routing over 25M

HKG LAX

KULDEL

BKKAKL

SYD

WLG

Fare LevelsHalf return fares must be used throughout.

Direction of FaresAll fares are used in the direction of travel, EXCEPT for the lastcomponent/PU ending in the country of origin. For this final returningcomponent, use fares in the opposite direction of travel.

WLG WLGLAX half return fare. Check for HIPs in sameAKL direction of travel eg: AKLLAXLAXHKG LAXDEL half return fare. Check for HIPs in sameKUL direction of travel eg: LAXHKGDELBKK WLGDEL half return fare. Check for HIPs in oppositeSYD direction of travel eg: SYDDELWLG



Return Journey Over 25M

WLG

AKL

LAX

HKG

KUL

DEL

BKK

SYD

WLG

NZ 04 JAN C

NZ 06 JAN C

UA 10 JAN C

CX 12 JAN C

AI 14 JAN C

TG 17 JAN C

TG 19 JAN C

NZ 25 JAN C

WLG AKL LAX DEL DEL WLG

M 10M M

3000.00 3010.00 2000.00

LAX HKG

3100.00

SYD DEL

2100.00

3000.00 3400.00 2100.00

8510.00

CTM

WLG LAX WLG 6000.00

No Plus Up

8510.00

1.547375

NZD13169.00

WLG NZ AKL NZ LAX M 3000.00 UA HKG CX KUL AI DEL 10M LAXHKG 3410.00 TG

BKK TG SYD NX WLG M SYDDEL 2100.00 NUC8510.00 END ROE1.547375

FL/

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HIP check use half return faresFD04JANLAXHKG-RT/YY/2

CTM must be done as fares differ due to HIP`s and/ormileages and there are more than 2 fare components –CTM is done in direction of travel as standard return fares



Exercise 6 (RETURN JOURNEY OVER 25M)


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Question 2

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Question 3

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Question 4

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Important Points to Remember for a Round Trip

• Establish breakpoint – city based on the highest MPM from origin

• Carry out separate mileage and HIP checks on each section

• Use half round trip fares throughout

• All fares must be used in the direction of travel, except the last farecomponent, ending in the country of origin. For this component,fares and HIPs must be used FROM the country of origin, ie: theopposite direction of travel


Module 8: Indirect Travel Limitations

There are 3 general indirect travel limitations that govern the way inwhich a fare for a multi-sector itinerary is collected. They are all relatedto the duplication of a city in an itinerary.

A fare component must not contain more than:

A. One departure from its point of originB. One arrival at its point of destinationC. One stopover at any one intermediate ticketed point

If any of the above situations occur, then the through fare from origin todestination cannot be collected and a combination of two or more faresis required.

A. A fare component must not include more than one departurefrom point of origin:

LONBRU

X/LONSINKUL

The through fare LON KUL cannot be collected as there are twodepartures from LON. It does not matter for the second departurewhether LON is a stopover or a transit point.

There are two possible calculations:

1) Collect LON to BRU and BRU to KUL as 2 x one way fares

LONBRU BA 200.00X/LON BASIN SQ MKUL SQ 2000.00

2200.00

2) Collect the LON BRU return fare and LON KUL one way fare

LONBRU BA 150.00X/LON BA 150.00SIN SQ MKUL SQ 1800.00

2100.00The lowest of these calculations should be charged - option 2.



B. A fare component must not include more than one arrival at itspoint of destination:LONHKGTYOOSATYO

The through fare LON TYO cannot be collected as there are two arrivalsat the destination TYO.

As before there are two possible calculations:

1) Collect the LON OSA and OSA TYO as 2 x one way fares

LONHKG VSTYO NH MOSA JL 3000.00TYO NH 300.00

3300.00

2) Collect the LON TYO one way fare and the TYO OSA return fare

LONHKG VS MTYO NH 3000.00OSA JL 300.00TYO NH 300.00

3600.00

The lowest of these calculations should be charged – option 1

When using the FL/ entry to check mileage, the system recognises thesituations in which the first two indirect travel limitations apply andresponds with a warning message.

*ORIGIN/DESTINATION POINT TRANSITED*

C. A fare component must not include more than one stopover atany one intermediate ticketed pointEDI EDI EDILON LON LONX/CAI CAI X/CAISSH SSH SSHX/CAI X/CAI CAIAMM AMM AMMBEY BEY BEY

For all of the above itineraries, the through fare EDI BEY can becollected. Although CAI occurs twice in the routing, there is never morethan one stopover at that city, therefore the rule is not broken.



But for the following routing:EDILONCAISSHCAIAMMBEY

The EDI BEY through fare cannot be collected. There is more than onestopover at CAI which breaks the rule of the third indirect travellimitation.

There are two possible contructions that can be applied:

1) Collect the one way through fare plus the side trip. The side trip isconsidered as a separate return journey and is not included in themileage check on the through fare.The calculation is:

First – the one way fare EDI BEY calculated with the following cities,which must include the common ticketed point of CAIEDILONCAIAMMBEY

The mileage check for the throughfare is applied excluding the side trip

Second – plus the side trip CAI SSH CAI, charged at the return fare level

2) Collect the fare to and from the city between the duplicate stopoverpoints, so that these stopover points are in different farecomponents, ie: collect the EDI SSH and the SSH BEY one way fares.

Separate mileage and HIP checks apply to each fare component.

As can be seen from the FL/ entry below, if the entire routing isinput, a warning message is generated as Galileo recognises that thesame point occurs twice in the routing.



The results of the two contructions follow:



Contruction 1 (sidetrip)

FL/

FD

FDO-D

FM

XX

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EDI

LON

CAI

SSH

CAI

AMM

BEY

BA 09JAN Y

MS 13JAN Y

MS 16JAN Y

MS 21JAN Y

RJ 24JAN Y

ME 27JAN Y

EDI BEY CAI SSH CAI

M_____

800.00 110.00 X 2

800.00 220.00

1020.00

1020.00

0.576999

GBP589.00

EDI BA LON MS CAI (MS SSH 110.00 MS CAI 110.00) RJ AMM ME BEY M 800.00

NUC1020.00 END ROE0.576999

No mileage check required for a singlesector return

Side trip encompassed by brackets



Construction 2 (contructed with duplicate cities in separate components)

EDI

LON

CAI

SSH

CAI

AMM

BEY

BA 09JAN Y

MS 13JAN Y

MS 16JAN Y

MS 21JAN Y

RJ 24JAN Y

ME 27JAN Y

EDI SSH SSH BEY

M M

750.00 200.00

CAI AMM 220.00

CAI BEY 210.00

750.00 220.00

970.00

970.00

0.576999

GBP560.00

EDI BA LON MS CAI MS SSH M 750.00 MA CAI RJ AMM ME BEY M CAIAMM 220.00

NUC970.00 END ROE0.576999

Cairo is now in two separate farecomponents



Exercise 7 (INDIRECT TRAVEL LIMITATIONS)

Question 1 Version 1 – Group

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Question 2

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Question 3

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Return Journeys

The first two indirect travel limitations are also applicable to returnjourneys. For the following routing, using the usual guidelines, HongKong would be the breakpoint, being the point of highest MPM fromLondon.

LONHKGSHAHKGLON

But if the first HKG was the only breakpoint there would be twodepartures from the origin of the second fare component (HKG) whichis not allowed.

LONHKG 3000.00SHAHKG M Not Permitted !LON 3000.00

If the second HKG was the only breakpoint there would be two arrivalsat the destination of the fare component (HKG).

LONHKGSHA MHKG 3000.00 Not Permitted !LON 3000.00

One solution is to make Shanghai the breakpoint.

LON MHKG LONHKGSHA 3000.00HKG M/// LONHKGLON 3000.00

6000.00

Or alternatively, sector fares or Pricing Units or Subjourneys could becollected.

LONHKG 3000.00 PU1SHA 200.00 PU2HKG 200.00 PU2LON 3000.00 PU1

6400.00



This is a combination of two round trip fares:

LON-HKG-LON and HKG-SHA-HKG

Then the RSC - Return Subjourney Check LON-SHA-LON NUC5000.00would be compared against the total of NUC6400.00, however as thetotal is higher, there would be no plus-up.

The third indirect travel limitation will apply equally to a farecomponent of a return journey. If, having established the initialbreakpoint, the outbound or inbound fare component contains aduplicate or common ticketed point, then the same procedure applies.

In the example below the breakpoint, the point of highest MPM fromthe origin, is SIN. However the outbound fare component contains 2stops at BAH and therefore either the side trip BAH-DMM-BAH shouldbe additionally collected, or the fare additionally broken at DMM.

a) b)

LON LONAMS AMS half RT/ PU1BAH half RT/ PU1 BAHDMM side trip/ PU2 DMMBAH BAH half RT/ PU1SIN SINROM half RT/ PU1 ROM half RT/ PU1LON LON


Module 9: Surface Sectors

There are instances when passengers travel part of their itinerary bysurface transportation eg: by train, ferry, car, coach etc.

The very simple instruction that applies to these itineraries is:

1. Calculate the through fare including the surface sector.All cities are checked for mileage and HIPs.

OR

2. Calculate the sum of the fares to and from the surface break.

The lower of these two calculations should be charged.

For the following routing:

GLAEI

KLDUB

AMSSURFACE

LUXLG

PARAF

ROM

The 2 calculations would be:

1. The through fare GLA-ROM - include the surface sector in themileage check

- check all cities for HIPs

2. The fare for GLA-AMS plus the fare for LUX-ROM.

In the fare calculation area, the surface sector is shown according to thecalculation which is used.



Through fare collected via a surface break

GLA

DUB

AMS

LUX

PAR

ROM

EI 27JAN Y

KL 30JAN Y

SURFACE

LG 06FEB Y

AF 09FEB Y

GLA ROM

15M

601.00

DUB ROM 605.00

AMS ROM 610.00

LUX ROM 600.00

701.50

701.50

701.50

0.576999

GBP405.00

GLA EI DUB KL AMS // LUX LG PAR AF ROM 15M AMSROM701.50 NUC701.50 END

ROE0.576999

When the through fare is collectedthe surface sector is shown as //between the relevant cities

All cities are checked for mileageand HIPs including the surfacesector



Fares collected to and from a surface break

GLA

DUB

AMS

LUX

PAR

ROM

EI 27JAN Y

KL 30JAN Y

SURFACE

LG 06FEB Y

AF 09FEB Y

GLA AMS LUX ROM

15M 20M

450.00 600.00

517.50 720.00

1237.50

1237.50

0.576999

GBP714.00

GLA EI DUB KL AMS 15M517.50 /-LUX LG PAR AF ROM 20M720.00 NUC1237.50 END

ROE0.576999

When the fare is constructed to andfrom the surface break enter /-between the relevant cities

Mileage and HIPs checked for eachfare component



Permissable Surface Sectors

Between certain specified cities, when an itinerary contains a surfacebreak, the through fare may be calculated without including the TPM ofthe surface break. Some examples follow:

Between: Cuzco and La Paz-Bolivia, Brazzaville and Kinshasa, Antwerpand Brussels.

The passenger Air Tariff contains a full list, and Galileo is programmedwith the information.

Unreasonable Connections

Between certain specified cities, when an itinerary is almost acircle/round trip other than the surface break, a surface break isallowed without including the TPM, and also round trip fares can beused. Some examples follow:

Between: Venice and Ljubljana, Malaga and Tangier, Faro and Seville.

The Passenger Air Tariff contains a full list.

TPM Check

When a fare has a surface break and the TPM total prior to the surfacebreak is less than the TPM surface break, the fare up to and then fromthe surface break must be ticketed separately.

Example:LON TPMPAR 220

X 647 2 separate tickets – the TPM total before the

VIE surface break is 220, less than the TPM of theBKK 5235 surface break - 647

Galileo is programmed to prompt this principle.



Return Journeys (Normal Fares)

A journey containing two international fare components, with a surfacesector, either at the origin or destination or both may be referred to asa Normal Open Jaw (NOJ) and uses ½ return fares.

There are 3 different types of NOJ journeys where the sector is notincluded in the calculations.

1. Origin Normal Open Jaw (ONOJ)

DOMESTIC surface sector at the point of origin. Use ½ return fares.

MELBKK QF 1000.00 HALF RETURN FARESMEL QF 900.00

2. Turnaround Normal Open Jaw (TNOJ)

DOMESTIC or INTERNATIONAL surface sector at the point ofturnaround. Use ½ return fares.

Domestic at turnaround:

LONPER QF 3500.00

X HALF RETURN FARES

MELLON QF 4000.00

International turnaround:

LONJNB VS MCPT SA 2400.00

X HALF RETURN FARES

HRELON BA 2100.00



3. Double Normal Open Jaw (DNOJ)DOMESTIC surface sector at the point of origin and DOMESTICOR INTERNATIONAL surface sector at the point of turnaround.Use ½ return fares.

Domestic at origin and turnaround:

SYDMAN BA 3100.00

X HALF RETURN FARES

LONMEL QF 3500.00

Domestic at origin and international turnaround:

RIOLON JJ 2800.00

X HALF RETURN FARES

PARSAO AF 2900.00

However, for each International Open Jaw at the turnaround, theinternational surface sector may not have a greater TPM thanthe total TPMs of either the outbound or the inboundcomponent. If it is greater, it is not considered an Open Jaw and2 one way fares would need to be calculated.

LON TPMSXB 404

X 2 one way fares. The TPM total after the

BRU (216) surface break is 206, less than the TPM of theLON 206 surface break - 216

For each of the above examples it is also possible to calculate thefare including the surface sector as if it is to be flown. However,it would be the lowest of the two calculations that would becharged to the passenger.

LONPER QF MMEL / 4000.00 HALF RETURN FARESLON QF 4000.00

Exception: For travel originating in Canada or the USA, thesurface break is permitted between countries in Europe when alltravel is via the Atlantic.



The benefit of these rules is that we can charge the passenger ½return fares rather than one way fares which are usually moreexpensive. If the surface sector is international at origin then wewould have to charge one way fares as it is not included in theabove rules.

BOMDAC AI 800.00 ONE WAY FARESKHI PK 700.00



Exercise 8 (SURFACE SECTORS)


FM

FL/

FD

FDO-D

XX

BHC/CTM

FZI

FZI

FZI

XX




Question 1 Version 2– Group

FZI

FZI

FZI

XX

BHC/CTM

XX

FM

FL/

FD

FDO-D




Question 2

FM

XX

BHC/CTM

FD

FL/

FDO-D

FZI

XX

FZI

FZI




Question 3

FM

XX

FZI

XX

FZI

FZI

FDO-D

FD

FL/


Module 10: Mixed Class Fares

Some itineraries may be a mixture of more than one class of travel ie: Yand/or C and/or F.

There are various possibile calculations that can be applied to suchitineraries:

1. The Differential Calculation

a) Calculate the through fare from origin to destination of a farecomponent in the lowest class of travel.

b) For the sectors in the higher class of travel calculate aDIFFERENTIALi.e. subtract the applicable lower class fare from the applicable higherclass fare.

If there are consecutive sectors in a higher class, the differential can becalculated using through fares and will require a separate mileagecheck.

c) Add the differential to the lower class through fare to obtain a totalfare.

Special fares may not be used!

2. The Through fare in the Higher Class of Travel

Calculate the through fare at the highest class of travel.

If this fare is used, upgrade the passengers' reservation and theirbaggage for the rest of the journey !

3. Sectorise by Class

Calculate the sum of the applicable fares for each portion of the routingflown in a different class of service.

Beware hidden checks !

The lowest of these 3 or 4 calculations should be charged, either thesector differential, the through differential if applicable, the throughfare in the higher class, or the sectorised fare.



Mixed Class One Way Journeys

For the following routing:

STOSK C

RJ CLON

AMMRJ F

MCTGF F

DXBAI C

BOM

The calculations are:

1.a) STO-BOM C class through fare, plus the differential for AMM-DXBi.e. the AMM-DXB F fare minus the AMM-DXB C fare, with a mileagecheck.

b) STO-BOM C class through fare, plus the differential for AMM-MCTand then the differential for MCT-DXBi.e. the AMM-MCT F fare minusthe AMM-MCT C fareplusthe MCT-DXB F fare minusthe MCT-DXB C fare

2. The STO-BOM F class through fare

3. The STO-AMM C class fare, plus the AMM-DXB F class fare, plus theDXB-BOM C class fare

Often, the lowest of these calculations is the “differential” calculation.For the purposes of this course, only either differential calculation isrequired.

The calculation of the differential using through fares has a separatemileage check, and is also subject to a separate HIP check. However forthe purpose of this course the HIP check can be ignored as no examplesillustrated contain HIPs on differentials.



Mixed Class – Version 1 a) Differential (Through)

STO

LON

AMM

MCT

DXB

BOM

SK 12JUL C

RJ 14JUL C

RJ 26JUL F

GF 26JUL F

AI 10AUG C

STO BOM C AMM DXB F AMM DXB C

10M 15M 15M

2700.00 600.00 500.00

2970.00

(690.00 - 575.00)

115.00

3085.00

3085.00

7.369996

SEK22740

STO SK LON RJ AMM X/MCT GF DXB AI BOM 10M 2970.00 D AMMDXB 15M 115.00

NUC3085.00 END ROE7.369996



Mixed Class – Version 1b) Differential (Sectors)

STO

LON

AMM

MCT

DXB

BOM

SK 12JUL C

RJ 14JUL C

RJ 26JUL F

GF 26JUL F

AI 10AUG C

C

STO BOM

FAMMMCT

CAMMMCT

FMCTDXB

CMCTDXB

10M

2700.00

1600.00 1100.00 540.00 450.002700.00

500.00 90.00

(1600.00-1100.00) (540.00 – 450.00)

3560.00

3560.00

7.369996

SEK26240

STO SK LON RJ AMM X/MCT GF DXB AI BOM 10M 2970.00 D AMMMCT 500.00 D

MCTDXB 90.00 NUC3560.00 END ROE7.369996



Mixed Class – Version 2 Highest Class

STO

LON

AMM

MCT

DXB

BOM

SK 12JUL C

RJ 14JUL C

RJ 26JUL F

GF 26JUL F

AI 10AUG C

STO BOM F

10M

7000.00

LONBOM 7100.00

7810.00

7810.00

7810.00

7.369996

SEK 57560

STO SK LON RJ AMM X/MCT GF DXB AI BOM 10M LONBOM7810.00 NUC7810.00

END ROE7.369996



Mixed Class – Version 3 Sectorise

STO

LON

AMM

MCT

DXB

BOM

SK 12JUL C

RJ 14JUL C

RJ 26JUL F

GF 26JUL F

AI 10AUG C

STO AMM C AMM DXB F DXB BOM C

M 15M

2200.00 600.00 550.00

2200.00 690.00 550.00

3440.00

3440.00

7.369996

SEK 25355

STO SK LON RJ AMM M2200.00 RJ X/MCT GF DXB 15M 690.00 AI BOM 550.00NUC3440.00 END ROE7.369996



Exercise 9 (MIXED CLASS ONE WAY)


FZI

FZI

FZI

XX

BHC/CTM

XX

FM

FDO-D

FD

FL/





FL/

FD

FDO-D

FM

XX

XX

BHC/CTM

FZI

FZI

FZI




Question 2

FZI

FZI

FZI

XX

FM

BHC/CTM

XX

FDO-D

FD

FL/




Question 3

FL/

FD

FDO-D

FM

XX

XX

BHC/CTM

FZI

FZI

FZI



Mixed Class Return Journeys

These are calculated using the same procedure as one way fares. Thereare 2 relevant points to remember when calculating the differential:-

1. Use half round trip fares.

2. Look up the fares for the differential in the same direction as thelower class fare components. For the last fare component into thecountry of origin, assess the differentials from the country of origin i.e.the opposite direction to travel.

Example:STO OutboundLON SK C Differential AMM-MCT useAMM RJ C AMM-MCT half return faresMCT RJ FDXB GF F InboundCAI MS F Differential MCT-CAI useSTO SK C CAI-MCT half return fares

Two examples of a mixed class return fare calculation, using thedifferential method are illustrated.

Notice that although the three higher class sectors are adjoining, oncethe breakpoint is established, one higher class sector is in the outboundcomponent and the remaining two in the return component! Thereforeeach differential is assessed only within its component.

If a return journey is classified as a circle trip, a circle trip check must beactioned in the lowest class of fare.

Each calculation is illustrated on the following pages.



Mixed Class Return – Version 1 Differential (Through)

STO

LON

AMM

MCT

DXB

CAI

STO

SK 12JUL C

RJ 14JUL C

RJ 26JUL F

GF 29JUL F

MS 20AUG F

SK 31AUG C

C

STO

MCT

F

AMM

MCT

C

AMM

MCT

C

MCT

STO

F

MCT

CAI

C

MCT

CAI

M M M M

2500.001500.00 1000.002500.00 1000.00850.00

(1500.00-1000.00) (1000.00-850.00)

2500.00 2500.00500.00 150.00

5650.00

5650.00

7.369996

SEK 41645

STO SK LON RJ AMM RJ MCT M2500.00 GF DXB MS CAI SK STO M2500.00 DAMMMCT 500.00 D CAIMCT M150.00 NUC5650.00 END ROE7.369996



Mixed Class Return – Version 2 Differential (Sectors)

STO

LON

AMM

MCT

DXB

CAI

STO

SK 12JUL C

RJ 14JUL C

RJ 26JUL F

GF 29JUL F

MS 20AUG F

SK 31AUG C

C

STO

MCT

F

AMM

MCT

C

AMM

MCT

C

MCT

STO

F

MCT

DXB

C

MCT

DXB

F

DXB

CAI

C

DXB

CAI

M M

2500.001500.00

1000.002500.00

500.00 400.00 900.00 700.00

2500.00 2500.00

(1500.00-1000.00)

500.00 100.00

(500.00-400.00)

200.00

(900.00-700.00)

5800.00

5800.00

7.369996

SEK42750

STO SK LON RJ AMM RJ MCT M2500.00 GF DXB MS CAI SK STO M2500.00 DAMMMCT 500.00 D CAIDXB 200.00 D DXBMCT 100.00 NUC5800.00 END ROE7.369996

Galileo will show the inbound differentials in the order of the firstdifferential which is nearest to the direction of the fare used ie:component checked STOMCT. Differentials shown CAIDXB thenDXBMCT. There is no IATA directive on this.



Exercise 10 (MIXED CLASS RETURN)


OUTBOUND

FL/

FD

FDO-D

XX

FM

BHC/CTM

XX

FZI

FZI

FZI





INBOUND

XX

FL/

FD

FDO-D

FM

BHC/CTM

FZI

XX

FZI

FZI





OUTBOUND





INBOUND





OUTBOUND





INBOUND




Question 2

OUTBOUND




Question 2

INBOUND



Important:For certain routes, when part of the journey is flown in Y class, and themain part of the journey in C/J class, the component/PU must becalculated as a full C/J fare - not with a differential.

These are some of the routes where this applies:

To/From C/J Class Sectors which result in a C/J fareto be charged

Area 1 and Area 2 via AT Atlantic Sectore.g. LON J LAS Y HNL

Area 1 and Area 3 via AT Atlantic Sector and sector between Area 2and 3e.g. NYC C ROM Y CAI C KHI

Europe/South West Pacific All sectors between first/last city in Europe

and first/last city in South West Pacifice.g. LON Y ROM J SIN J PER Y HBA

Europe/Middle East Europe to/from Middle Easte.g. LON Y ATH C CAI Y MCT

Europe/Africa Europe to/from Africae.g. MAN Y TUN C LOS Y JNB

Europe/South East Asia For EH Europe to/from South East Asia,e.g. STO Y IST C BKK

For TS Europe to/from Japan and Korea,e.g. MNL Y TYO C PAR

Europe/South Asian Europe to/from Area 3 Subcontinente.g. FRA Y ATH C KHI

Europe/Japan, Korea(Dem of) and Korea Europe via EH/TS to/from Japan/Korea(Rep. of) e.g. DUB Y OSL Y ROM C SEL



There are also some rules where part of the journey is in First Class,where the full First Class fare must be charged.

To/From P/F Class sector which results in a F/P fareto be charged

Canada/USA/Mexico Atlantic sectorand Europe MEX F MAD C LON

Europe/South Asian Sector between first/last city in Europe andSubcontinent Area 3

LON Y ROM F KHI Y DEL


Module 11: Special Fares

For many travellers, the major factor influencing the decision aboutwhich flights to book is cost, followed by the standard of service. Specialfares, in general, cost less than normal fares but they are governed bymore restrictive conditions. They were commonly used by the leisuretraveller, but are becoming increasingly used for business travel.

Depending on the type of special fare, they may be restricted in relationto:

Advance purchase requirementMinimum stayMaximum stayStopovers and routings/transfers

Other factors that may affect the final fare to be charged are:

Season - identified within the fare basis code by:H = High SeasonL = Low SeasonK/J/F/T/Q/Y = Shoulder Season (if applied used in this order)

Day of the week - identified within the fare basis code by:X = Midweek TravelW = Weekend Travel

Examples of Fare Basis Codes

APEXYHAP Economy, High season, advance purchaseKLWAP3M Economy, Low season, Weekend, advance purchase

fare valid for 3 monthsPEX/SuperPEXYKXPX4M Economy, Shoulder season, Midweek, PEX fare valid

for 4 monthsLLSX Economy, Low season, SuperPEX fare

ExcursionYEE Economy, excursion fare valid for 1 yearYHEE6M Economy, High season, excursion fare valid for 6

months



Fares Heirachy

The following fare "tier" illustrates the lowest fare types, which aremost commonly purchased, to the highest fare type. Airlines own faresand IATA fares are found within any fare type.

In addition to these fare types, airlines use many other kinds of fares,such as Seat Sales, Category 25 and 35 fares and many other types ofdiscounted fares.



Fare Selection

In order to determine if a special fare suits a specific routing and datesof travel, the fare display and fare notes must be accessed in order tofirst check advance purchase, stopover and transfer information,minimum stay and maximum stay as appropriate. When these arechecked and confirmed applicable for your client, read the remainder ofthe rule to ensure all conditions apply.

Some carriers specify alternative instructions to the information thatfollows. The information listed below is general, however please checkall fare rules when quoting a client.

Advance PurchaseIf checking a fare with an advance purchase deadline in days, theneither:

• add the number of days to the date of purchase and ensure thisdate comes before the date of travel:*TAA/26JUN/+14

• deduct the number of days from the departure date and ensurethis date comes on or before the date of purchase:*TAA/10JUL/14

StopoversThis occurs when a passenger arrives at an intermediate point and is notscheduled to depart within 24 hours of arrival, unless a rule states adifferent duration - 12hrs, 6hrs etc.

When stopovers are chargeable they are considered either Specified orUnspecified and are illustrated a little differently.

Unspecified - rule permits one or more free stopovers plus additionalchargeable stopovers (see SpecialFare with Stopover example).

Specified - rule permits no free stopovers, only chargeable (see SpecialFare HIP example).

TransferThis is a change from one aircraft to another.

An Online Transfer is a change from the service of a carrier to anotherservice of the same carrier.An Interline Transfer is a change from the service of one carrier to theservice of a different carrier.

Minimum StayMinimum stay in days:- for transatlantic journeys add the number of days to the date ofoutbound transatlantic travel. The date of inbound transatlantic travelmust commence on or after this day. This would also apply totranspacific journeys.



- for all other journeys add to the date of outbound international travelcheck that the date of inbound international travel from the laststopover point is on or after this day.

SU - this indicates that the Sunday Rule applies - this states that returntravel from the point of turnaround must not commence until theSunday following arrival, i.e. the passenger must stay a Saturday nightat the destination.

Maximum StayIn days - add the number of days to the date of outbound travel.*TAA/10JUL/+35

In months - add the number of calendar months to the date ofoutbound travel.

SeasonalTransatlantic journeys - the date of the outbound transatlantic sectordetermines the season for the entire journey. This would also apply totranspacific journeys.

All other journeys - the date of departure for the first outboundinternational sector determines the season for the entire journey.

Weekday/WeekendTravel

Transatlantic travel - the day of the week of the outbound transatlanticsector determines the outbound fare and the day of the week of theinbound transatlantic sector determines the inbound fare.

All other journeys - the day of the week of the outbound internationalsector determines the outbound fare and the day of the week of theinbound international sector determines the inbound fare.

Generally, weekday travel is Monday through to Thursday and weekendtravel is Friday through to Sunday, however the fare rule should bechecked for any differences to this.



Special Fare with `Unspecified` Stopover Charge (mileage example)Date of Reservation: 15JAN

FIRST TICKET SECOND TICKET

GLA

LON

JNB

CPT

NBO

DAR

AMS

GLA

BD 22JAN

VS 24JAN

SA 27JAN

SA 09FEB

KQ 09FEB

KL 18FEB

KL 24FEB

GLA CPT CPT GLA

M 5M

1000.00 1000.00

1000.00 1050.00

2050.00

2309.00

2 FREE STOPOVERS PER PRICING UNIT PLUS 2 @GBP75.00 FZIGBP75.00NUC = NUC129.98 X 2 =NUC259.96

0.576999

GBP1333.00

GLA BD LON VS JNB SA CPT M 1000.00 SA X/NBO KQ DAR KL AMS KL GLA 5M

1050.00 2S 259.96 NUC2309.00 END ROE0.57999

Both stopovers charged are shown at the end of the linearconstruction, as unspecified stopovers do not have to showwhich cities are charged for

Special Fare HIP checks are notactioned on this course, but arediscussed later

Season and Minimum Stay apply todate of outbound internationaltravel

3 InternationalTransfers in eachdirection permitted

Most special faresare Routing basedfares, but somemore flexible onesare Mileage basedso the FL must bechecked

Stopovers priced in local currencyare converted to NUC`s to add tothe main fare, using the FZI entry

Maximum stayadded to date ofoutbound travelshown against allsectors eg22JAN+6M=22JUL

Minimum stay addedto date of outboundinternational travel eg24JAN+5D=29JANShown against thelast internationalsector



Special Fare with `Specified` Stopover Charge (routing example)Date of Reservation: 03JAN

FIRST TICKET SECOND TICKET

LON

PAR

LIM

MAD

LON

BD 10JAN

AF 14JAN

IB 23JAN

JK 25JAN

LON LIM LIM LON

RTE OK RTE OK

800.00 800.00

800.00 800.00

1600.00

1773.30

2 STOPOVERS IN EUROPE OR MID ATLANTICAREA PER PU AT GBP50.00 EACH = NUC86.65 X2 = NUC173.30

0.595825

GBP1057.00

LON BD PAR S86.65 AF LIM 800.00 IB MAD S86.65 JK LON 800.00 NUC1773.30 ENDROE0.595825

Specified stopovers are shown nextto the city they are charged for.

The fare routing ischecked using theFR entry to ensure itfits with the itinerary

Stopovers priced in local currencyare converted to NUC`s to add tothe main fare, using the FZI entry

Special Fare HIP checks are notactioned on this course, but arediscussed later

Season and Minimum Stay apply todate of outbound internationaltravel and Maximum Stay applies tothe date of departure

Eg:14JAN+5D=19JANMinimum stay is shownagainst the returntransatlantic sector.Optionally also enter19JAN against the lastsector

Eg: Maximum stay10JAN+6M=10JULshown against allsectors



Higher Intermediate Point Check

As with normal fares, there is a HIP check on Special fares. The

procedure is slightly different as it is only necessary to check:

• From the origin to all points

• From all points to the destination (breakpoint)

Therefore there is NO check carried out between intermediate points.

Only STOPOVER points are checked and any mileage surcharges

are applied to the HIP as per the usual procedure.

There is a further condition that applies to the HIP check on

special fares.

1. Check origin to all cities, and all cities to destination for a specialfare HIP. Compare fares of the same type and conditions.e.g. YLEE2M to YLEE2M

2. If any HIPs are found, use the city pair with the highest HIP.

3. If there is not a fare of exactly the same fare basis, compare tothe fare of the same type with most similar conditions.e.g. YLEE4M to YEE3M

If no fare of the same type exists use a fare of the next higher fare

type for comparison. Compare in this order:

e.g. When checking a YLSX3M fare -

if no YLSX3M exists for comparison then compare to any

PEX fare, if none compare to the excursion fare.

If no suitable special fare is found for comparison, then charge

the special fare without a HIP. A normal fare must not be

applied as a HIP on special fares.

The conditions and rules of the special fare originally selected will applyto the whole itinerary.

This information regarding HIPs on Special Fares is not part ofthe course, however it is important that you have anunderstanding of the principle.



The following flow chart may be useful when carrying out the special fare HIP check.

Having established the origin to breakpoint special fare level apply the HIP check separately for eachfare component as follows:

* Remember to compare the most similar type of fare, and if none exist, compare with a higher faretype, but do not use the normal fare for the comparison.

Check the Origin to Intermediate and Intermediate toDestination for a higher special fare of the same type. Is

there a special fare of the same type for comparison?

Is this fare higher thanthe Origin to

Destination SpecialFare?

Is there a higher specialfare type to use for the

comparison?

Use special fare Originto Destination for this

component.

Is this higher than theOrigin to Destination

special fare?

Apply this higher ½ RTspecial fare for this

component.

YES NO

YESYES

NO

NO

YES

NO

Note the Special Fare (1/2 RT) from Origin to Breakpoint



Exercise 11 (SPECIAL FARE)





Question 2




Question 3



Open Jaw Special Fares

Open Jaw (OJ) is sometimes used as a general term to describe returnjourneys where there is a void or surface sector at the point of origin orpoint of turnaround.

Technically, an Open Jaw Special Fare consists of 2 international farecomponents, constructed to and from a surface break(s).

There are different types of Open Jaws:

Single Open Jaw – SOJ

JNB LONJNB

LON X direction of faresCPT

CPT LON

When the fare is collected to a surface sector at the turnaround point,this may also be called:

Turnaround Single Open Jaw – TSOJTurnaround Open Jaw – TOJ

RIO MADRIO

MAD X direction of faresBUE

BUE MAD

When a surface sector exists at the origin this may be called:

Origin Single Open Jaw – OSOJOrigin Open Jaw – OOJ

SHA SHALON direction of fares

LON BJS

BJS

Double Open JawNYC

NYC MAN MANX direction of fares

PIT LON LONPIT

A surface sector at both the point of origin and turnaround.



To find out whether a Special Fare can be contructed as an Open Jawbasis, the application paragraph of the fare rule, paragraph 0, must bechecked.

For the following routing the VS YHEE6M fare is applicable for the dates oftravel.

LONVS 07JAN

SURFACEJNB

CPTVS 20JAN

LON

Paragraph 0 is checked to see if an Open Jaw construction is applicableand if any specific instructions exist, such as "OJ must be in the samecountry."

For the purposes of this course only the open jaw construction isrequired for special fares, the alternative calculation of treating thesurface sector as flown is not required, although this is a possiblecombination.

This rule allows any type of Open Jaw, without any specific instructions.Now ½ return LONJNB plus ½ return LONCPT of the same fare basis, areused for the construction.



Open Jaw Special FareDate of Reservation: 10JAN

TYO

KUL

DRW

PER

RGN

TYO

NH 15JAN Y

MH 15JAN Y

SURFACE

QF 26JAN Y

NH 26JAN Y

TYO DRW PER TYO

RTE OK RTE OK

800.00 850.00

800.00 850.00

1650.00

1650.00

102.456

JPY169100

TYO NH X/KUL MH DRW 800.00 /- PER QF X/RGN NH TYO 850.00 NUC1650.00 ENDROE102.456



Exercise 11 (SPECIAL FARE – OPEN JAW)

Question 4



NOTES


Appendix A: Galileo Formats

Fare Display - Basic Formats

FD10MAYMANLISFDMANLIS10MAYFDMAN10MAYLIS

Fare Display - Modifiers

These may be added to the entry to make the display more specific, either in the initial entry or lateras a follow up entry as illustrated below:

FD/VS Carrier FaresFD/YY IATA/Generic FaresFD-OW One wayFD-RT ReturnFD@C Exact class of travelFD@QLSX1M Exact fare basis codeFD@NORMS Fare type code - Normal faresFD@SPCLS - Special faresFD.EH Global IndicatorFD*CNN Accompanied Child } Note: for further passenger type codes enter PTCFD*INF InfantFD:NUC NUCsFD:LOC Local selling currency

Specified modifiers in the initial entry may be placed in any order.

FD12MAYLONNYC-OW@C/VS:[email protected]*[email protected]:NUC

Having obtained a basic fare display it can be changed by entering any of the modifiers, in any order,prefixed with FD.

FD-RT@CFD/AF-OW*CNN

Changing Origin/Destination Cities

FDOMAN Changes origin of display to MANFDDBOS Changes destination to BOSFDOGLA-DYVR Changes origin to GLA and destination to YVR



Accessing Fare Notes

FN*1 Display paragraph headings for fare note for fare line 1FN*P10 Display paragraph 10 from menu displayFN*ALL Display all paragraphs from menu displayFN*1/P10 Display paragraph 10 for note for fare line 1 (P can be omitted)FN*1/ALL Displays all paragraphs contained in the note

Galileo Information Pages - Standard Conditions

GC*AF Specific carrier pagesGC*402/19 Fare guarantee

Fare Routings

FR*1 Displays routing information for fare line 1

Mileage Check Entries

FL/LONBOMDELSINTYO Accumulated Mileage display (oblique between cities optional)This highlights any mileage deductions with mandatory via points. Weshall be using this very comprehensive format during the course inpreference to other, simpler formats.

FL/LONCHIMIA/AA Carrier specific accumulated mileage display

Surcharge Bands and MPM

FMAMSDPS Displays MPMFMNUC1234.50 Displays mileage surcharge band of a given fareFM*7 Displays mileage surcharge bands of fare from line 7 of a Fare Display

Currency Conversion

FZINUC1200.23GBP NUCs to GBP at the IATA R.O.E.FZITHB1950NUC THB to NUC at the IATA R.O.E.FZSTHB2100EGP THB to EGP at the Bank RateFZSUSD10.00GBP/U USD to GBP at the Bank Rate (unrounded for taxes etc)FZINUC555.55AUD/GBP NUCs to AUD at the IATA R.O.E. and then into GBP at the Bank Rate

Decode/Encode

.CDCHI Decode CHI - city/airport code

.CENEWCASTLE Encode Newcastle - city/airport code

.LDGB Decode GB - country code

.ADTG Decode TG - airline code

.AETAM Encode TAM - airline

.EUD Country names and codes for European Unions(slightly different from ECAA and EMU-euro countries)



Calculator Function

XX 400.33 + 344.77 AddXX 201.44 - 158.95 SubtractXX 981.64 * 0.25 MultiplyXX1547.18/6.6 Divide

Ticketing Date Calculator

*TAA/12JUL/21 Subtracts 21 days from specified travel date*TAA/12JUL/+90 Adds 90 days to specified travel date

Fare Quote Entries - Basic

FQ Quote lowest fare for classes bookedFQPLONMADRIO Fare quote planner - see H/FQP for additional entriesFQS1.4 Quote sectors 1 and 4FQCVS Quote for ticketing airline VSFQP1.2*C08 Fare for Passenger 1 adult and Passenger 2 accompanying childFQ*CNN Fare Quote for a childFQ*INF For infant (optional as Fare Quote will take from infant name entry)

Filed Fares

*FFALL Display all filed fares*FF2 Display filed fare 2

Ticketing Interline Agreements

DT/AAR/DIS-LH Display airlines that have a ticketing agreement with carrier LHDT/IAT/DISBD Display airlines that have electronic ticketing agreement with carrier

BD


Appendix B: Abbreviations, Definitions and Logic

Abbreviations

Check any abbreviations required in the following alphabetical list.

ABTA Association of British Travel AgentsADC Additional CollectionATOL Air Travel Operators' Licence

BBR Bank Buying RateBSP Billing and Settlement PlanBSR Bank Selling RateBT Bulk Tour

COC Country of Commencement of International TravelCPN CouponCRS Computer Reservations SystemCT Circle Trip

EFP Equivalent Fare PaidEMA Extra Mileage AllowanceEMD Electronic Miscellaneous DocumentEMS Excess Mileage SurchargeEMU European Economic and Monetary UnionET Electronic TicketETKT Electronic Ticket

GDS Global Distribution System

HIF Higher Intermediate FareHIP Higher Intermediate Point

IATA International Air Transport AssociationIROE IATA Rate of ExchangeISO International Organisation for StandardisationIT Inclusive Tour

LCF Local Currency Fare

MPM Maximum Permitted Mileage

NOJ Normal Fare Open JawNUC Neutral Unit of Construction

OJ Open JawOW One Way



PFC Passenger Facility ChargePNR Passenger Name RecordPTA Prepaid Ticket AdvicePU Pricing UnitPUC Pricing Unit Concept

ROE Rate of ExchangeRT Round Trip

TFCs Taxes, Fees and ChargesTPM Ticketed Point Mileage

UATP Universal Air Travel Plan

vMPD Virtual Multiple Purpose Document



Definitions

Child 2 to 11 years of age inclusive

Infant Under 2 years of age

Pricing Units – PUC A journey or part of a journey that could, if chosen, be ticketed separately.Each one way fare component is considered one Pricing Unit, and eachreturn trip calculation is considered one Pricing Unit.

Subjourney The definition can be considered the same as a Pricing Unit, other than theexpression is generally used when there is more than one Pricing Unit.

Stopovers A stopover is a stay of 24 hours or more at any city between the origin anddestination of a journey. Stopovers are permitted at the passenger’s requestat any scheduled point, provided it is not prohibited by either the routing orthe fare note, and the passenger arranges and specifies it on the ticket inadvance, to enable the journey to be calculated correctly.

Counting of Stopovers Return fare breakpoints or construction points are not consideredstopovers, neither is the surface sector of an open jaw type journey. Anyintermediate cities visited for more than 24 hours are considered stopovers,unless a fare rule restricts this further e.g. 12hrs, 6hrs. If a fare has a surfacesector, other than an open jaw type fare, the last point of arrival by air andthe first point of departure by air on each break together are considered onestopover.

Transfer A transfer is a change from one flight (service) to another at an intermediatepoint which can be less than 24 hours or more than 24 hours.

• An online transfer is a change from the service of one carrier to anotherservice of the same carrier.

• An interline transfer is a change from the service of one carrier to theservice of another carrier.

• A domestic transfer is a change from one domestic flight to anotherdomestic flight (note: Domestic is within the same country).

• An international transfer is a change from one international flight toanother international flight (note: International is from one country toanother different country).

Transit No longer an official definition, but commonly used when a passenger has atransfer at an airport, but does not have a stopover at that airport.

Weekday/Midweek Monday through to Thursday (although some fare rules state otherwise).

Weekend Friday through to Sunday (although some fare rules state otherwise).



Fares System Logic

For the purpose of the principles covered in the course we will use IATAfares, however, as a general rule, a carrier specific fare is alwaysselected over an IATA fare. An IATA fare is selected onlywhen there is no carrier specific fare for the journey.

The carrier whose fare is selected by Galileo, is the airline whichparticipates in the sector which crosses between the IATA areas or subareas. This carrier's fare is then used for checking rules, routings etc

Within Europe

Sector Carrier TPM Fare to use:CPH LON SK 594 Use the lower result of either the fare for:LON BRU BA 206 a) the first International sector (SK)BRU MAD IB 818 b) the sector with the highest TPM (IB) or

TPM total (IB)MAD CAS IB 539

The carrier fare selection rules used for journeys (fare components)within Europe are laid down by governmental and IATA resolutions, andmay be found in tariff publications. Carrier fare selection for otherjourneys is not, currently, subject to such regulation. The followingcriteria is the Galileo fare selection system.

Crossing One OceanSector Carrier Fare to use:NYC FRA LH Use the carrier which crosses the ocean (LH)FRA SIN SQSIN MNL SQ

Note: There is an exception to this when a journey is between IATA Area2 and 3 via Area 1, then the carrier that crosses from the first visitedIATA Area into the second is used.

Crossing Two OceansSector Carrier Fare to use:AKL YVR NZ Use the carrier which crosses the first ocean. (NZ)YVR LON ACLON WAW LO

Oceans not involved on the Itinerary

IATA AreasSector Carrier Fare to UseSYD BKK TG Use the carrier which crosses from the first visitedBKK STO SK IATA Area on the second (SK)STO LON BD



Sub-AreasSector Carrier Fare to UseLON ROM AZROM DXB EK Use the first visited Sub Area to the second (EK)DXB JNB SA

Within Sub-Areas

Sector Carrier Fare to use:MBA NBO KQ Use the first International carrier. (UM)NBO HRE UMHRE CPT SA


Glossary: Travel Industry Organisations

IATA - International Air Transport Association

IATA is the global trade association for the airline industry,with its main offices in Montreal, Canadaand Geneva, Switzerland. It was founded in 1919, and in its present form IATA brings together over230 airlines whose flights comprise of more than 93% of all international scheduled air travel.

The airline industry is one of the fastest changing industries in the world and as such, all airlinesneed to co-operate with one another to provide an apparently seamless interlinking service forpassengers.

IATA is involved in every aspect of an airline's operation. It does not set the rules but acts as anintermediary between different airlines; between airlines and governments; and between airlinesand travel agents in relation to passengers and freight, therefore enabling discussions and decisionsto be made that affect the entire industry.The main objectives of IATA are:

• To promote safe and regular air transport for passengers, cargo and mail, and to encourageair commerce.

• To provide a forum for collaboration among the air transport companies.

• To co-operate with the International Civil Aviation Organisation and other InternationalOrganisations.

To give you a better understanding of what IATA is involved in, listed below are some of thecategories. If you wish to look further into any aspect, IATA offers detailed information on each ofthe categories on their Website - www.iata.org

• Air Traffic Management

• Airports

• Aviation Information and Research

• BSP - Billing and Settlement Plan - Distribution of Travel Agency Revenue

• Cabin Health

• Cargo

• IATA Clearing House - Revenue Accounting

• Crisis Management - service issues which may affect the industry e.g. war

• Distribution

• Environment

• Flight Operations

• Flight Safety

• Ground Handling

• In-flight Services

• Insurance

• Interlining - the relationship between airlines

• Prorate Agency - the way in which a fare is proportioned out between airlines

• Safety

• Industry Standards

• Taxation

• Training

• Currency Services



BSP - Billing and Settlement Plan

This is IATA's stand-alone financial settlement organisation. Operating in economically stablecountries, BSP provides a central airline accounting system which enables agents to issue a neutralticket type, which is reported centrally, as opposed to keeping a stock of all airlines' tickets, and thenreporting the sales each month to all applicable carriers.

ICAO - International Civil Aviation Organisation

In 1944 the governments of the world agreed to set up this organisation to establish standards in theareas of navigation, equipment and safety.

The aim of the ICAO is to ensure the safe and orderly growth of civil aviation by:

• Encouraging aircraft design to meet the need for safe, efficient and economical airtransportation

• Preventing economic waste caused by unreasonable competition

• Avoiding discrimination between states

• Promoting safety and development in all aspects of civil aviation

In 1947 the ICAO became an agency of the United Nations, with its head office in Montreal and hasbecome an intergovernmental organisation leading the co-ordination of national standards andcontrol over international activity.

CAA - The UK Civil Aviation Authority

The CAA was established in the UK by Parliament in 1972 as an independent aviation regulator. Theresponsibilities include:

• Safety Regulator

• Economic Regulation

• Airspace Policy

• Consumer Protection

• Environmental Research and Consultancy

The aims and objectives of the CAA are:

• To ensure that UK civil aviation standards are set and achieved

• To regulate airlines, airports and National Air Traffic Services, economic activities andencourage a diverse and competitive industry

• To manage the UK's principal travel protection scheme ATOL, licence UK airlines and manageconsumer issues.

• To bring civil and military interests together to ensure that the airspace needs of all users aremet as equitably as possible.



ATOL - Air Travel Organisers' Licensing

ATOL provides financial protection for holidaymakers in the event of an air travel firm becominginsolvent. Formed in 1972 it now gives consumer protection to 28 million people in the UnitedKingdom who purchase flights or holidays each year.

An ATOL licence is compulsory for agents who assemble their own travel packages, and is managedby the Civil Aviation Authority. ATOL is the only protection scheme for both flights and air holidayssold by tour operators in the UK.

ABTA - Association of British Travel Agents

ABTA is the UK's Premier Trade Association for Tour Operators and Travel Agents. ABTA's membersnumber approximately 800 Tour Operators and 6700 Travel Agency offices, and are responsible forbooking 80% of UK sold holidays.

ISO - International Organisation for Standardisation

The International Organisation for Standardisation (ISO) is a worldwide federation of nationalstandards bodies from more than 140 countries.

Established in 1947 the ISO is a non-governmental organisation whose mission is:

• To develop standardisation and related activities in the world with a view to facilitating theinternational exchange of goods.

• To develop co-operation in the spheres of intellectual, scientific, technological and economicactivities.

In the travel industry ISO are responsible:

• For the standardisation of many codes and abbreviations, e.g. country codes and currencycodes.

BAA - British Airports Authority

The largest single airport operator in the world, BAA is a retailer and developer.

BAA owns seven of the UKs airports, which includes Heathrow, Gatwick, Stansted, Glasgow,Edinburgh, Aberdeen and Southampton.

They also have management contracts or stakes in four airports outside the UK including Boston,Pittsburg and Baltimore in the USA and Naples in Italy.


Blank Fare Grids

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