TTG Asia
Asia/Singapore Saturday, 27th December 2025
Page 1873

SIA first to operate international flights from Canberra

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FROM September 2016, pending regulatory approval, Singapore Airlines (SIA) will ply the Canberra-Singapore and Canberra-Wellington routes four times weekly each, making it the first carrier to operate regularly scheduled international flights from Australia’s capital city.

Flights depart Singapore at 23.00 on Tuesdays, Thursdays, Saturdays and Sundays, and will arrive in Canberra at 08.35. The flight will then leave Canberra for Wellington at 09.50 and arrive at 15.05 on Mondays, Wednesdays, Fridays and Sundays.

Return flights will depart Wellington at 20.15 on Mondays, Wednesdays, Fridays and Sundays, and arrive in Canberra at 22.05. On the same days, the flight will leave Canberra at 23.30 and land in Singapore at 05.50.

A Boeing 777-200 comprising 38 business class seats and 228 economy class seats will operate on the routes.

Tickets will go on sale from January 25 with economy fares starting from S$650 (US$452) all-inclusive for Canberra-Singapore return and S$469 all-inclusive for Canberra-Wellington return. Business class fares start from S$3,166 all-inclusive for Canberra-Singapore return and S$1,450 all-inclusive for Canberra-Wellington return.

Singapore Airlines’ partner Virgin Australia will also codeshare on flights between Canberra and Singapore.

Halal tourism gets wider push in South-east Asia

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AS THE Muslim travel market becomes a growing force worldwide, ASEAN countries are developing new strategic directions in a bid to wrestle a bigger piece of the lucrative halal tourism pie.

This fast-growing sector is projected to grow to 150 million visitors comprising 11 per cent of the global travel economy with an expenditure of US$200 billion by 2020, according to a 2015 study by Singapore-based CrescentRating.

Halal tourism is being recognised as “an opportunity market” for the Philippines, as its sizable Muslim population as well as increasing visitor arrivals from the Middle East, Indonesia, Malaysia and Singapore in recent years place it in a good position to attract more Muslim travellers, said Arturo P Boncato Jr, assistant secretary, tourism regulation, coordination and resource generation, at the Philippine Department of Tourism (DoT).

The DoT has joined hands with the National Commission on Muslim Filipinos to launch the Philippines Halal Tourism Project last year to improve halal facilities in the country, according to Boncato. “We are targeting at least 50 halal certified establishments in the four major regions (Manila, Cebu, Boracay and Davao) in time for Madrid Fusion Manila in April,” he commented.

Similarly, Indonesia is positioning Lombok in West Nusa Tenggara (NTB) as a Muslim-friendly destination, after the Muslim-majority island was recognised as the world’s top halal tourism and honeymoon destination at the 2015 World Halal Travel Summit in Dubai.

Indonesia minister of tourism Arief Yahya said: “The awards will sharpen Lombok’s position…especially in (attracting) travellers from the Middle East and other Muslim countries.” Aceh and West Sumatra will be touted as a role model for Muslim-friendly destinations in Indonesia.

The move will expand Lombok’s visitor source markets to Muslim travellers, commented Awan Aswinabawa, advisor to the Association of the Indonesian Tours and Travel Agencies NTB chapter.

“We have been getting inquiries from travellers from the neighbouring countries as well as the growing domestic market whether we have halal facilities such as restaurants and hotels,” he said. “Lombok naturally has Muslim-friendly products although not all are certified halal, so we just need to improve and highlight what we have.”

Furthermore, a halal branding will also distinguish Lombok from neighbouring Bali’s Hindu-influenced culture or East Nusa Tenggara’s Christian-dominated culture, he opined.

Hasiyanna Ashadi, president director of Marintur Indonesia, said: “It is up to the destination how far they want to apply the label, but as a tour operator, we welcome more halal facilities to widen the choices for travellers. Even Aceh, whose rule is based on the Syariah law, has eased some of the rules for non-Muslim travellers.”

Awan, however, reminded the government to balance the halal branding and not intimidate the other markets, which have been enjoying Bali. “We do not want (non-halal) markets to think that we limit ourselves to the Muslim travellers only and apply rigid (Syariah law) in the destination,” he said.

Within South-east Asia, with the exception of Myanmar and Laos, all other countries already have their own halal certification and logo, stated Nirwan Noh, undersecretary for industry development at Malaysia’s Ministry of Tourism and Culture.

Additional reporting from Mimi Hudoyo

Read more ASEAN Tourism Forum (ATF) 2016 stories in the digital edition of our Show Dailies here.

The allure of a small island

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Primarily visited by domestic tourists, the smallest of Japan’s four main islands is working hard to grow its appeal to international visitors.

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The eastern prefectures of Shikoku – arguably one of the least-known and most underappreciated areas of Japan – are rolling out the red carpet to foreign visitors.

“We definitely think that low recognition is a problem,” admitted Kanako Maeda, head of the International Strategies Division, Tokushima Prefectural Government.

“Unlike Tokyo and Osaka, not a lot of people know about Tokushima,” she said. “We are working hard to relay as much information as we can, so more people know about Tokushima and want to visit.

“At the same time, we will continue to improve the situation in the prefecture for foreign visitors, such as placing signs in more languages.”

Other incentives include new subsidies of up to 50 per cent for coach charters and similar assistance for rental car tours.

The three prefectures of Tokushima, Kagawa and Kochi – often overlooked by overseas visitors – make up the eastern reaches of the smallest of Japan’s four main islands, and local tourism operators are hoping to build on their relative proximity to Osaka.

“Most people do the Golden Route of Tokyo, Kyoto and Osaka when they come to Japan, particularly if they are first-time visitors, but we are less then two hours by bus from Osaka and visitors can see something here that can only be seen in two other places in the world,” said Kazuko Kifuku, manager of Onaruto Bridge Museum Eddy.

In the narrows between the north-east tip of the prefecture and Awaji Island, powerful ocean currents generate massive tides and whirlpools, many ranging up to 20m in diameter. The only other places in the world where such potent currents come together is off Vancouver in Canada and in the Straits of Messina, between Sicily and the Italian mainland.

“Most of our foreign visitors are from Asia, and tourists from China, Taiwan and South-east Asia tend to travel in groups,” Kifuku added. “People from Hong Kong, Europe and North America seem to prefer to travel independently, and we are keen to reach out to both groups.”

Activities in Tokushima include taking a small boat along the Oboke Gorge or soaking in the hot springs of nearby mountain towns. For the more adventurous, activities like whitewater rafting, traversing the vine bridges of the Iya Valley and surfing off the southern coast await.

The prefecture is also home to the Shikoku Pilgrimage, a 1,400km route that links 88 sacred sites on the island.

But it is the 400-year-old Awa Odori festival for which the prefecture is most famous for. Held over three days in mid-August, the event attracts some 1.3 million visitors to Tokushima City each year to see men and women in brightly coloured kimonos and distinctive pointed hats dance through the streets.

On the north coast of Shikoku, Kagawa Prefecture includes dozens of islands that are linked by ferries.

The largest island is Shodoshima, which is effectively a miniature version of Shikoku. A cable car rises through Kankakei Gorge to the highest point on the island. The island also boasts traditional terraced rice paddies at Nakayama, somen noodles still stretched by hand in Hiraki, traditional soy sauce factories and the Michi-no-Eki Shodoshima Olive Park.

“We are trying to let more foreign visitors know about our island because most people who come here at the moment are domestic Japanese travellers,” said Mizuki Shimamoto of the Shodoshima Tourism Association.

“We are promoting ourselves through social media sites, websites, booklets and TV shows, while I am teaching some local people in the tourism sector to speak English. It’s a start and we’re hoping that it will bring more people to this part of Japan,” Shimamoto added.

This article was first published in TTG Asia, January 8, 2016 issue, on page 19. To read more, please view our digital edition or click here to subscribe.

Wider access on the horizon

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How will Indonesia’s lifting of cabotage restrictions shape the future development of South-east Asia’s cruise industry?

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In a bid to boost arrivals, the Indonesian government has recently relaxed its cabotage principles imposed on cruise ships by allowing foreign vessels to anchor at selected ports in the country.

International cruise lines can now embark/disembark tourists through the seaports of Benoa (Bali), Tanjung Priok (Jakarta), Tanjung Perak (Surabaya), Belawan (Medan) and Soekarno-Hatta (Makassar).

Cruise companies interviewed by TTG Asia are salivating at the prospects of a larger domestic cruise market and more interesting itineraries.

Welcoming the development, Michael Goh, senior vice president – sales, Star Cruises, said: “We foresee it will have a significant and positive impact on the region, boosting the development of both the domestic and South-east Asian cruise markets.

“Recently, Star Cruises had completed its 46-night Southern Hemisphere cruise onboard SuperStar Virgo, calling at several ports in Indonesia including Jakarta and Bali late last year. With the new ruling, this will enable Star Cruises to explore new itineraries and most importantly, expand our reach in Indonesia, as the country has the making and potential to be one of the leading cruise hubs in the region.

Buhdy Bok, Costa Group’s Asia president, is equally positive: “As a key market for Costa, Indonesia’s latest move provides a huge opportunity to develop the cruise market both domestically and around the region. We are always keen to explore new itineraries in the region, and are excited to see the development of more itineraries with the increase in port calls in Indonesia, enriching our cruise holiday offerings for guests in the Asia region.”

Melvyn Yap, regional director-Asia of Silversea Cruises, said: “The Indonesian archipelago is a long stretch. This will give us a lot of time to explore all the beautiful islands instead of trying to get to another country just to meet the cabotage requirements.”

It is hence not surprising that Indonesia’s outbound operators are viewing the cabotage lift in positive light, especially as Indonesians, who still need to fly out of the country to embark on a cruise ship, will be able to sail from domestic ports in the future.

Nurdin Supena, manager, Bayu Buana Travel, said: “It would be more attractive for Indonesians because it means reduced cost in terms of air tickets to Singapore, and it is also time-effective to be able to hop onto a cruise from Jakarta as the major outbound market comes from here.

“The cruise package prices need to be attractive though,” she added. “The most important thing, however, is the readiness of the ports to berth the big ships which are operating in the region nowadays.”

Furthermore, the ability to cruise from homeground will likely appeal to Indonesian travellers seeking to enjoy the facilities on board a ship, rather than those whose cruise journeys are motivated by the destination, observed Rama Tirtawisata, group managing director of Panorama Leisure Group.

“The new policy opened up more opportunities to grow the first group, as it would be more convenient for them to start their trips from Indonesia. For these people, the destination is not the main interest, and short (South-east Asian) cruise programmes such as Singapore-Port Klang-Phuket are popular.

“For the second group – those who would travel to places like the Mediterranean or Alaska – the new policy does not bring any change,” he added.

At the same time, Rama also sees ample opportunities for international cruise lines to roll out domestic programmes for Indonesians across the sprawling archipegalo. “Indonesia has so many interesting destinations such as Togean and Raja Ampat which are not easily accessible by air, and cruising can be a good alternative for adventurous Indonesians,” he said.

Likewise, Lim Chee Tong, managing director of Malaysia’s Jebsen Travel & Tours Services, foresees cruise lines will offer itineraries to more exotic destinations in Indonesia beyond current ports of calls like Komodo Island and Bali. “This will benefit agents as they will have more products to sell,” he said.

On the other hand, Richard Vuilleumier, managing director, Panorama Tours Malaysia, foresees a lukewarm reception for all-Indonesian itineraries, as many Malaysians have already been to Indonesia for shopping, sightseeing, golfing and cultural experiences, and therefore would rather take cruises to novel destinations farther afield.

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John Chan, business consultant at Malaysia’s Kris International Traveltours, views the cabotage lift as the nascent development of the Indonesian cruise industry and as it matures, there will be more opportunities for corporate companies to hold their incentive events onboard a cruise ship, with embarkation and disembarkation in Indonesia.

He commented: “For the Malaysian market, Indonesia will be a new destination for cruise holidays as compared to Southern Thailand and Hong Kong. Malaysia will also benefit as passengers could transit at the international airports here before boarding an onward flight to Indonesia.”

The biggest loser may be Singapore, which has established itself as the cruise hub of South-east Asia.

Alicia Seah, director of marketing communications at Dynasty Travel, deems the cabotage lift a threat as it will “definitely affect and reduce the numbers” boarding from Singapore.

She said: “With Indonesia’s big population base numbers, secondary cities will benefit to depart from their homeport country rather than via Singapore where accommodation and transfers will definitely cost more.”

Echoing similar sentiments, Chan Brothers Travel Singapore’s marketing communications executive, Rebecca Chia, commented: “With the lifting of cabotage of the sea, we foresee that passengers from Jakarta may choose to embark and disembark from their homeports instead of Singapore for domestic and regional cruising.

“We have seen bookings from the Indonesia market gaining traction only in the last two years, with majority of travellers originating from Batam, Jakarta and Yogyakarta. (Nevertheless), they may still find it more convenient to embark and disembark from Singapore than through their own seaports due to our strategic location within South-east Asia,” Chia said.

However, the trade is not expecting Indonesia to compete with Singapore’s cruise hub position yet.

Seah added: “We reckon that there will be challenges in (the Indonesia cruise industry) for at least the next two to three years in terms of infrastructure building as well as pricing strategies as they may be pegged against the US dollar.”

Star Cruises’ Goh urged: “We hope Indonesia will continue to implement cruise-friendly measures and develop the overall cruise tourism network, economy and infrastructure for the selected seaports, which are equally important in order to attract more cruises and tourists to the country in the near future.”

This article was first published in TTG Asia, January 8, 2016 issue, on page 11. To read more, please view our digital edition or click here to subscribe.

Additional reporting from S Puvaneswary and Paige Lee Pei Qi

Chinese FITs travelling more to lesser known locales

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ONLINE travel portal Agoda has seen a significant increase in bookings to off the beaten path destinations by independent Chinese travellers using their platform.

The city of Dumaguete in the Philippines, known for diving excursions, whale-watching cruises and cultural sites, saw the highest spike of 805 per cent in bookings in 2015 compared to 2014.

Yufu in Japan, Koh Lanta in Thailand, and Asahikawa in Japan are the next most popular destinations with a 239 per cent, 219 per cent, and 204 per cent year-on-year increase in 2015 bookings respectively. Yufu’s hot springs, Koh Lanta’s day trips to island hideaways, as well as Asahikawa’s winter celebrations continue to generate buzz among adventurous travellers.

Japan’s Nagoya and Beppu come up next with a 187 per cent and 161 per cent jump in bookings respectively, thanks to Nagoya’s cultural sites and local food, and Beppu’s unique mud springs.

Other destinations frequented include Nha Trang in Vietnam, Krabi in Thailand and Nagano and Takayama in Japan.

Singapore, Japan join hands to drive mutual growth

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THE Japan National Tourism Organization (JNTO) and the Singapore Tourism Board (STB) freshly inked a Memorandum of Cooperation (MOC) yesterday to drive greater tourism traffic between the two countries.

This marks the first MOC between both organisations, which also commemorates the 50th anniversary of diplomatic relations between the two countries.

To kickstart the Singapore-Japan 50 (SJ50) partnership, a local food fair will be organised in both countries. A tourism logo has also been jointly developed, featuring characters Hello Kitty and Dori-tan, which symbolises friendship.

Ryoichi Matsuyama, JNTO president, said: “We hope to establish a deeper mutual cooperation and in the end, promote stronger tourism bonds and partnerships between both nations.”

Markus Tan, regional director, north asia, STB, said: “Previously, when the Japanese thought of Singapore, Sentosa always came to mind, (but now) Singapore is gaining traction as a destination that offers cultural experiences and local cuisine.”

According to Chan Brothers Travel Singapore’s spokesperson, Rebecca Chia, the number of travellers headed for Japan last year showed a year-on-year increase of 30 per cent.

Similarly, Dynasty Travel Singapore’s spokesperson, Alicia Seah, said the company enjoyed a year-on-year increase of 25 per cent last year.

Both agencies agree that the favourable yen has helped stimulate travel to Japan.

Planning for ASEAN’s 50th birthday

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HAVING implemented the ASEAN Economic Community in December 2015, the regional bloc is now looking forward to commemorate yet another milestone – its 50th founding anniversary in 2017 – with plans being outlined for a major campaign to be launched next year.

Brunei, as the current chair of the ASEAN Tourism Marketing and Communication Working Group (MCWG), was tasked last year with drawing up a campaign proposal to mark the occasion.

During the 43rd meeting of the ASEAN NTOs at Sofitel Philippine Plaza Manila yesterday, Zulzalani Osman, special duties officer at Brunei Ministry of Primary Resources & Tourism, revealed that the campaign title is tentatively conceived as ASEAN@50 – one that is short and catchy.

One of the key objectives for the ASEAN@50 campaign identified at yesterday’s meeting is the 15 per cent increase in visitor arrivals and tourism receipts from 2014 to 2017, a more ambitious target than the original seven per cent.

The campaign, subject to ministerial endorsement at this year’s ATF, includes plans to pre-launch at the Thai pavilion during ITB in Berlin this March, in addition to being advertised and promoted at major tradeshows like China International Travel Mart in Shanghai before its official launch at ATF in Singapore next year.

An ad-hoc steering team comprising NTO representatives from each ASEAN member country will be set up by March this year to oversee the ASEAN@50 campaign, Zulzalani told TTG Asia e-Daily.

Campaign details, including its name, logo and budget, are expected to be firmed up by mid-2016, he added.

To commemorate the milestone, two product categories will be highlighted, namely ASEAN’s 50 most unforgettable travel experiences as well as ASEAN’s 50 best festivals and celebrations. Each ASEAN member country will spotlight five products to make up the group of 50, Zulzalani informed.

Various strategies have been outlined for the implementation of the campaign, including leveraging public-private partnerships, the preparation of official tour and travel packages as well as a list of highlighted products and calendar of major events and activities.

Read more ASEAN Tourism Forum (ATF) 2016 stories in the digital edition of our Show Dailies here.

Cathay Pacific to lower agent’s commission

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STARTING April 1, Cathay Pacific will cut ticketing commission from five to three percent. While the application is still pending approval, travel agents in Hong Kong have already been advised of the changes.

A spokesman from Cathay Pacific said: “Travel agents have long been and remain an important partner for airlines. We will continue to work closely with travel agents to explore new ways of generating business.

“We will continue to review the cost and effectiveness of each distribution channel to ensure the best way to reach out to customers, and one new business model is the introduction of a fee-based scheme.”

Dannia Cheung, general manager, Morning Star Travel Service, said: “As a national carrier, it sets an example for other carriers to follow. We can’t do anything (about it) but try to promote air tickets with hotels and tours rather than just selling tickets.”

Eastrip Travel’s managing director, George Ng, criticized the move as it would further undermine profit. He said: “Nearly half of all existing carriers, such as China Airlines, pay five percent. Cathay Pacific’s decision provides a good excuse for others to trim. I hope the industry will unite to exert pressure on them.”

According to IATA resolutions, airlines have the right to fix their own commission rates, as long as the rate is not zero, explained Joe Ng, general manager, Air Canada.

“Whenever a travel agent provides a service to the airlines, they should pay a fee to the agent. But there is no rule on the percentage, whether front-end or back-end,” he added.

ASEAN open skies impeded by limited landing slots

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THE ASEAN community’s dream of a single aviation market, which was expected to come true at the end of 2015, remains unfulfilled as not all signatures required to ratify the ASEAN Open Sky Policy are in.

Alan Tan, professor of aviation law at the National University of Singapore, told TTG Asia e-Daily in an interview: “Indonesia has not opened up its secondary cities, and the Philippines and Laos have not done so for their capitals. The industry as well as governments, through
the ASEAN Secretariat, should urge the remaining member states to complete the full ratification of the ASEAN instruments.”

Tan added: “Once these are fully open, we will have full and unlimited third, fourth and fifth freedom rights for ASEAN carriers to fly from points in their home countries to all points in the other countries.”
Two high-level industry personnel in the Philippines who spoke on the condition of anonymity, said the obstacle to obtaining Philippine support lies in protectionism sentiments.

One of the sources revealed that “Cebu Pacific is alright with (the) signing, but not Philippine Airlines which is protecting its turf”.

The Philippine flag carrier is also reluctant about opening up Ninoy Aquino International Airport in Manila on grounds that the facility’s runways and terminals are already congested and no more slots for flights are available, the two sources shared.

However, they pointed out that Indonesia, which has also run out of slots for foreign carriers at its airports, had gone ahead to ratify the agreement.

Commenting on the issue, Centre for Asia-Pacific Aviation’s chief analyst, Brendan Sobie, said further liberalisation would be meaningless if there were insufficient landing slots.

Sobie elaborated: “This is not a topic worth exploring at this point, given the limited or zero impact from the ASEAN Open Sky Policy on the South-east Asian market. Slot restrictions rather than traffic rights are the main impediment to further growth.

“The open skies policy means nothing unless you are able to secure a take-off or landing slot at both ends of the route.”

Sharing similar sentiments, Tan said: “This is something the respective governments must address through building new infrastructure. The ASEAN Open Sky Policy cannot resolve that problem.”

Additional reporting from Rosa Ocampo
Read more ASEAN Tourism Forum (ATF) 2016 stories in the digital edition of our Show Dailies here.

ASEAN tourism heads consider next steps

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THE formal establishment of the ASEAN Economic Community (AEC) on December 31, 2015 marked a major milestone in the region, but several issues still need to be tackled for sustained growth for the 10 member states in the pursuit of a single market strategy in the decade ahead.

The ASEAN Tourism Strategic Plan (ATSP) 2016-2025 will be implemented as a continuation of the tourism road which started in 2011.

Assessing the performance of the ATSP 2011-2015, Benito C Bengzon, undersecretary for the Philippines’ Department of Tourism (DoT), who was chairing the meeting, revealed 79 out of 87 measures have been satisfied so far in the previous plan.

Outstanding measures that need further work under the new ATSP include working with global bodies such as UNESCO and Asian Development Bank for heritage tourism and community-based tourism respectively; the regional development of products for health and wellness tourism; monitoring and evaluating tourism activities related to climate change; developing a future work plan based on monitoring input; as well as developing and implementing a training tool box for travel agencies and tour operation.

Welcoming the progress achieved in the previous ATSP, Tint Thwin, director general of Myanmar’s Ministry of Hotels and Tourism, said: “It will take time to see results (of the ATSP 2011-2015) because different countries are at different stages of development in terms of service quality, capacity building and infrastructure development.

“I believe for ATSP 2016-2025, human resources development is the most important because tourism is a service industry. Training is important to ensure that all member countries are on the same level playing field.”

Eddy Krismeidi Soemawilaga, senior officer at ASEAN Secretariat, told TTG Asia e-Daily that detailed plans for every two years of ATSP 2016-2025 will be drawn up and discussed during the ministerial meetings on January 21 and 22.

Lawrence Leong, Singapore Tourism Board’s assistant chief executive, said: “With ATSP, we want to promote ASEAN as a single destination. ASEAN countries have been stepping up on their marketing over the last few years, and we see a lot more packages promoting ASEAN as a region. We aim for longer stays for these travellers, to have them spend at least six to seven days in the whole region.”

Meanwhile, I Gde Pitana, deputy minister for international tourism marketing development, Indonesia Ministry of Tourism, sees room for further quality improvement, especially in the competency of human resources.

Pitana also urged the trade to create multi-destination packages for travellers outside the region. “We can start with bilateral cooperation, like Thailand and Cambodia, or Indonesia, Singapore and Malaysia, and go on from there,” he said.

However, an ASEAN common visa remains a pipe dream. Said Tint Thwin: “To promote ASEAN as a single destination is to show the ASEAN spirit. The lack of a single visa is an obstacle.”

Read more ASEAN Tourism Forum (ATF) 2016 stories in the digital edition of our Show Dailies here.