AIR China posted a 77 per cent loss in net profit for the first half of 2012, year-on-year, according to Agence France-Presse.

Dampened demand for air travel and higher fuel costs – up 12.8 per cent year-on-year – saw the carrier’s net profit fall from RMB 4.1 billion (US$724 million) in the first half of 2011 to RMB 944.5 million during the same period this year.

Although the number of passengers carried peaked at 34 million during the first half – an increase of three per cent – Air China expects the downward trend in earnings to continue for the second half of the year, due to continued fluctuations in fuel costs and currency exchange rates.

The depreciation of the yuan against the US dollar saw the airline record an RMB 341 million foreign exchange loss in the first half of this year, compared to a gain of RMB 1.48 billion for the same period in 2011.

PAN Pacific Hotels & Resorts yesterday officially launched its third Chinese property in Ningbo, a city in the north-east of Zhejiang province.

“Together with our sister hotels, Pan Pacific Suzhou and Pan Pacific Xiamen, we look forward to winning over more fans in China,” said Chris Ong, general manager of Pan Pacific Ningbo.

Situated beside the Ningbo International Conference & Exhibition Centre in the central business district, the 415-room Pan Pacific Ningbo comprises two hotel towers, Pacific Tower and Ocean Tower.

The hotel offers nine separate meeting and conference venues – including a 420m2 multi-purpose auditorium and a 2,000m2 pillar-less ballroom. F&B options include Cantonese restaurant Hai Tien Lo, Italian eatery Avanti Culina, Café Pacifica serving up Asian cuisine, and Japanese restaurant Keyaki.

Meanwhile, business travellers to Ningbo can look forward to the impending launch of Pan Pacific Serviced Suites Ningbo, located on the same site as Pan Pacific Ningbo.

Occupying its own tower within the hotel complex, the 175-suite property will offer a mix of one-, two- and three-bedroom suites. Recreational facilities will include a fitness centre, an outdoor tennis court, a squash court, an indoor swimming pool and a spa.

BEST Western International’s (BWI) Asia & the Middle East head office is looking to grow direct bookings through the hotel chain’s brand website and cut back on commissions paid to OTAs, which currently account for 35-40 per cent of its overall business.

To achieve this, employees working at various hotels have undergone training and education on how to implement rate parity, said the group’s director of marketing & communications, Kalaya Sukprasertchai.

BMI revenue & distribution manager-Asia & the Middle East, Paul Suvodip, noted: “If rates are the same, consumers will tend to book on the brand website.”

Despite the high growth potential for OTAs in the short term, he pointed out that it was difficult to predict what the industry would be like in the medium to long term.

“Five years ago, we never even thought of OTAs. It is important to keep the market mix, which includes direct hotel bookings as well as OTAs,” Suvodip said.

To drive direct bookings, BWI will ramp up online marketing efforts and promotions to boost awareness of its brand website, as well as tap social media channels and search engine optimisation strategies to reach out to consumers.

CATHAY Pacific Airways will commence four-weekly flights between Hong Kong and Hyderabad, the state capital of Andhra Pradesh, on December 1.

Cathay Pacific chief executive, John Slosar, said: “Hyderabad is a fast-growing technology hub and we are excited by the opportunities it offers.”

“This latest addition to the Cathay Pacific passenger network will promote ties between India and Hong Kong, and help to strengthen Hong Kong’s position as a leading aviation hub,” he added.

Operated using Airbus A330-300 aircraft, the Hyderabad service will depart from Hong Kong on Wednesday, Friday, Saturday and Sunday evenings, and will complement the flag carrier’s existing flights to Mumbai, New Delhi and Chennai.

The new service will also offer travellers from India onward connections to China, Australia and North America via Hong Kong.

THE Philippines’ Department of Tourism (DoT) has rolled out the It’s more fun in the Philippines campaign in India, targeting the southern cities of Bengaluru and Chennai to reach out to an extended customer base.

Last year, 50,000 Indians – the majority from New Delhi and Mumbai – visited the Philippines, a 23 per cent increase over 2010.

Speaking to TTG Asia e-Daily at The Great Domestic Tourism Bazaar last weekend, Tess H Mauricio, DoT’s officer-in-charge of marketing and promotions, said the NTO was planning to promote Cebu, Bohol, Boracay and Palawan to the Indian market.

Vicky Soin, assistant vice president–outbound MICE of Abercrombie & Kent India, said: “The average length of stay for Indians is seven days. While Manila is the focal point for Indian business travellers, Boracay and Palawan offer the kind of leisure options Indians like.”

Arjun Shroff, director, Shroff Travel Center Philippines, said: “The lack of (direct) air connectivity impedes larger Indian inbound numbers to the Philippines. However, we expect to see very good growth from India in 2013.”

Currently, Indian travellers to the Philippines have to transit via Bangkok, Singapore or Hong Kong.

INDIA has earmarked health and wellness tourism as niche segments to boost inbound travel, with spa and hospital certification under way.

Speaking to media at the recently concluded The Great Domestic Tourism Bazaar in New Delhi, India’s tourism minister Subodh Kant Sahai said: “India has potential for health tourism, (but this sector) is yet to be fully exploited. India has always been known for its rich heritage of wellness traditions and has enormous possibilities to offer in this field.”

To ensure quality standardisation, Sahai stressed that all spas and hospitals in the country would be certified by the National Accreditation Board for Hospital & Healthcare Providers. He also urged inbound operators to leverage India’s strengths in pilgrimage tours, and to add spiritual tourism products to encourage extended stays among wellness tourists.

Mitesh Dani, director, Parul Tours & Travels Mumbai, said: “Wellness tourism has been a major contributor to the increase in inbound (arrivals) in 2011, and we have seen a growth of 20 per cent in the first half of 2012 in this segment.”

India will host the Global Spa & Wellness Summit 2013, which offers an opportunity to showcase Indian wellness products on an international platform.

FIREFLY, which earlier this month introduced four-weekly flights between Singapore and Kota Bharu, the state capital of Kelantan (TTG Asia e-Daily, June 29, 2012), is keen to launch more routes from Singapore, but has to first overcome the limited slot availability at Changi International Airport.

Firefly CEO, Ignatius Ong, said: “Changi is highly congested, especially in the morning. We are constantly in talks with Changi Airport Group to negotiate for more slots, but for the time being, as far as we know, none are available.”

“That’s why we’ve had to reduce our weekly services between Subang and Singapore to accommodate the new Kota Bahru-Singapore route, and use what slots we have creatively,” he explained.

Ong said the Singapore-Kota Bharu flights were targeted at business and VFR travellers, and that Firefly was expecting “around 60 to 70 per cent of traffic to originate from Kelantan, with the remainder coming from Singapore”.

The Malaysia Airlines subsidiary, which will shift its Singapore operations from Changi Airport’s Budget Terminal to Terminal 2 from September 25 (TTG Asia e-Daily, March 1, 2012), has also boosted its Kuantan-Singapore services to a daily from four flights a week previously.

“Firefly is constantly evaluating the viability of new routes, and we are hoping to (acquire) two to three more ATR planes in the medium term to extend our reach,” Ong added.

MARRIOTT International has opened the Renaissance Shanghai Caohejing Hotel, the group’s sixth Renaissance property in the city.

Simon Cooper, Marriott International’s Asia president & managing director, said: “The opening of the Renaissance Shanghai Caohejing represents our 19th hotel in this vibrant city. It also demonstrates our confidence in the strength of the Renaissance brand, which continues to grow in China.”

The Renaissance Shanghai Caohejing offers 383 deluxe rooms, club rooms and suites. Facilities include 14 meeting rooms of varying sizes, a divisible, pillar-free 570m2 Grand Ballroom, four restaurants, a fitness centre and a spa.

Situated near Metro Line 9 in the Caohejing New Technology Development Zone in Xuhui district, the hotel also boasts easy access to the Hongqiao and Xujiahui districts.