BOEING and US regulators fell short in quality control over subcontractors during the development of the 787 Dreamliner, according to a Federal Aviation Administration (FAA) review. However, the aircraft design has been found to be safe.

Battery failures last year in the 787 planes to be flown by Japan Airlines and ANA had led to a three-month grounding of the aircraft.

“After the first Boeing 787 battery incident last year, I called for a comprehensive review of the entire design, manufacture and assembly process for the aircraft as well as a critical look at our own oversight,” said FAA administrator Michael PHuerta.

In a press statement, FAA said as one indicator of the B787’s intended safety level, An FAA review team compared service reliability data from the time the aircraft first started service with similar data from other previous Boeing airplane models.

The team determined that the B787’s reliability performance in the first 16 months of service was comparable to the reliability of other new Boeing models over the same time period.
It however, identified issues in the manufacturing and supplier quality areas and made four recommendations to Boeing accordingly.

Three recommendations were made to FAA for improved, risk-based FAA oversight to account for new business models. FAA is already revising internal policies and procedures for manufacturing oversight.

Boeing is recommended to continue to implement and mature gated design and production processes; ensure suppliers are fully aware of their responsibilities; establish a way to ensure suppliers identify realistic program risks; and require its suppliers to follow industry standards for personnel performing Boeing-required inspections.

The team recommends that FAA revise its order on certificate management of manufacturers to recognise new aircraft manufacturing business models; revise its order on production approval procedures to more fully address complex, large-scale manufacturers with extended supply chains; and revise other orders to ensure engineering conformity inspections for all projects are based on risk.

HRS is employing a new brand logo and will gradually expand its products and services internationally to become a hotel solutions provider instead of just a hotel booking portal.

“The hotel market is highly fragmented and complex. Therefore, companies have an increasing demand for relevant data and individual solutions to optimise their travel management,” said HRS CEO, Tobias Ragge, in a press statement. HRS now covers the entire value-added chain for hotel bookings from hotel procurement, over booking transactions and innovative payment solutions to the transmission of relevant data for the analysis of the accommodation expenses.

“Our customers expect us to promote a strong presence globally. Especially the dynamically growing markets in Asia and Eastern Europe are in the focus of our international expansion,” he said, adding that HRS will also expand its hotel portfolio and negotiate corporate discounts for business travellers in other important growth regions such as South America and India.

Since 2012, HRS has provided companies with free support with the procurement of accommodation services. Requests for proposal and negotiations are supported by local purchasers in more than 50 markets and are conducted via a specially developed online-eRFP-platform, which meets the standards of the Global Business Travel Association.

Additionally, the company’s Paperless Travel solution centrally records and digitally organises and processes all hotel expenses, which are separately itemised, facilitating processing in Enterprise Resource Planning and accounting systems, relieving the single employee and reducing errors.

SHANGRI-LA’S two hotels under construction in Sri Lanka are slated to open in 2015 and 2017, confirmed the Hong Kong-based hotel group in response to reports that costs and room oversupply in the country had caused the projects to be scaled down.

The group’s Colombo office told TTG Asia e-Daily the first phase of its US$120 million, 300-room Shangri-La Hambantota Resort & Spa is targeted for opening in 3Q2015. It features an 18-hole golf course, a scenic lake and an Eco Centre.

“Shangri-La is also investing more than US$500 million in a mixed-use development in Colombo, to bring an international experience to Sri Lanka. Shangri-La Hotel, Colombo will consist of 500 rooms in a 32-storey luxury building which is due to open in 1Q2017,” the spokesperson said.

The mixed-use project’s 410 residential units in two 50-storey luxury towers are set to open in 3Q2017 while in 4Q of the same year, 68,000m2 of high-end retail and a 39-storey office tower will be ready.

Sri Lanka aims to attract 2.2 million visitors in 2016, from less than 500,000 five years ago, and hundreds of hotel rooms are currently being built.

SPANISH budget airline Vueling is rolling out what is claimed to be the world’s first ‘wearable’ boarding card from end-March.

A member of IAG group that includes British Airways and Iberia, Vueling has teamed up with Sony to launch an app for use on the airline’s SmartWatch 2. Those using the Android device will be able to download boarding cards for flights to their wrist.

The two companies said the app would enable passengers to carry not only their embarkation card in a 2D barcode but also receive text messages and emails regarding their flight.

The app is being launched following the relaxation of European Union’s rules on the use of mobile devices during all phases of a flight, including take-offs and landings.

Vueling’s IT director, Samuel Lacarta, said the new application is targeted at “offering clients a complete and unique connectivity experience”.

HILTON Hua Hin is being offered for sale through an international expressions-of-interest campaign launched this week by appointed brokering agent, JLL’s Hotels and Hospitality Group.

In a press statement, JLL said the campaign has already received a number of both domestic and international enquiries.

Its managing director, Mike Batchelor, said: “Hua Hin has emerged as one of Thailand’s dynamic resort markets over the past 10 years, in terms of demand and supply. Within only a two-hour drive from Bangkok, it is a popular weekend destination for Bangkokians.

“Hua Hin also continues to be a favoured holiday destination for Europeans and is gaining more popularity amongst international tourists. This is reflected by the strong trading performance of the hotel with average occupancy of over 70 per cent year-round.

“Hotels of this calibre are rarely offered to the market especially given that it is a strong trading asset with solid growth prospects due to its exceptional location, spectacular views and a globally recognised brand.”

The 298-key beachfront property in the heart of downtown Hua Hin features a large ballroom, a number of popular F&B outlets, as well as a high-rise tower which is irreplaceable today, as high-rise developments are no longer allowed to be built in such proximity to the beach under current zoning regulations.

THE UK government has announced it will abolish two higher bands of air passenger duty for longhaul destinations with effect from April 1, 2015.

This effectively means that taxes on all longhaul flights beyond 2,000 miles (3,219km) will now be imposed at the lower Band B rates of £71 (US$118) for every economy class passenger and £142 for every business class passenger.

In his budget speech on March 19, UK chancellor George Osbourne said: “We will also reform air passenger duty to end the crazy system where you pay less tax travelling to Hawaii than you do travelling to China or India.

“It hits exports, puts off tourists and creates a great sense of injustice among our Caribbean and South Asian communities here in Britain.”

Andrew Herdman, director general of Association of Asia Pacific Airlines, welcomes the reform: “The air passenger duty is a regressive tax on aviation that does untold damage to the broader economy, threatening the UK’s competitive position as a major business services hub and popular tourist destination.”

Herdman added: “Whilst the reform is a positive first step, there is a clear case for completely abolishing this tax. We hope the UK government will move further in that direction, recognising the positive role played by aviation as a key catalyst of social and economic development.”

MERELY a week after announcing its maiden property for Indonesia, Hilton Worldwide has signed a new management agreement with Putragaya Wahana for Waldorf Astoria Jakarta, which is scheduled to open in 2018.

The 181-key hotel will be located along Jalan MH Thamrin road inside the central business district and about 32km from Soekarno-Hatta International Airport.

Waldorf Astoria Jakarta will be built as a 74-storey mixed-use development and feature an all-day dining restaurant, specialty restaurant, destination bar and signature Peacock Alley lobby lounge.

In terms of meeting facilities, Waldorf Astoria Jakarta will offer a 2,000m² ballroom, state-of-the-art meeting rooms and a business centre.

An outdoor pool, health club and spa, and library lounge round up the hotel’s facilities.

Last week, Hilton Worldwide clinched a deal for the 96-villa Waldorf Astoria Bali located in Bukit Pandawa precinct in south Bali (TTG Asia e-Daily, March 12, 2014) and in February opened Waldorf Astoria Beijing (TTG Asia e-Daily,February 24, 2014).

TRAVEL and tourism bodies in the Philippines are banding together to combat the dearth of Korean-speaking tour guides in the country by launching language courses before the year-end.

The Tourism Industry Board Foundation – comprised of tourism players from government, private sector and labour – in tandem with Philippine Travel Agencies Association (PTAA) and the Korea National Tourist Organization, are currently in discussions on the plan.

The course will be made up of two modules, each comprising eight Saturday lessons for 3,000 pesos (US$67).

John Paul Cabalza, president of PTAA, said: “We need to train guides because while South Korea is the country’s biggest market, comprising 1.2 million or 25 per cent of total visitors in 2013, there’s only one local tour guide who speaks Korean – and she’s not even working full time.”

“There is a demand for Korean-speaking guides, but no supply,” he said.

Cebu, a favourite destination among South Koreans, has 200 Korean tour guides that make up half of the destination’s total number of guides last year, said a government official.

However, Korean-speaking guides active in the tourism sector are usually also tourists to the Philippines, including those studying English as a second language or other courses.

JTB’S global expansion has kicked into high gear with the acquisition of Singapore’s Dynasty Travel and new appointments within its Singapore-based operations.

Tadaaki Zaima, who moved to Singapore a year ago as senior manager, corporate planning department at JTB, will become Dynasty’s executive director and general manager of corporate planning.

Meanwhile, managing director of JTB-owned Star Holiday Mart and Singapore Alive, Dennis Law, has been named executive officer and general manager of global inbound business, JTB Asia-Pacific Headquarters from April 1. He will be replaced by Dominic Ong.

Zaima said Dynasty and Star Holiday Mart will continue to be run separately, but JTB will tap possible synergies between the former’s predominantly outbound and the latter’s predominantly inbound businesses.

He is responsible for business strategy, expansion beyond Singapore and developing unique Japanese products for Singapore’s outbound market, while also acting as the bridge between the Asia-Pacific headquarters and JTB headquarters,

Law said: “JTB has taken the next step to move forward to become a global player by 2020, and there are plans to acquire more companies to expand its non-Japanese global business.”

Managing director of Dynasty and now also COO, Clifford Neo, said the family-run business could only do so much to expand the brand in Asia. Since acquiring the company in 2004 and focusing on mid- to high-end outbound travellers, revenue has grown from S$13 million (US$10.2 million) to S$94 million last year, and peaked at S$120 million two years ago.

Neo named Malaysia, Indonesia, and Australia as potential markets for Dynasty’s expansion. He said technology innovation would continue to feature in its expansion plan.

“My goal now is to keep the staff who have been with us over the years and to help them and the brand to continue to grow and succeed with JTB. I would like to thank them and those who worked with us in the past for taking the company to where it is today.”