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Amadeus and British Airways Sign Major IT Services Agreement |
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British Airways confirms Amadeus as its IT partner for inventory, reservations
and departure control systems, in a deal worth up to EUR 600m over ten years.
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Amadeus to provide passenger management systems to over 80 aviation customers
currently supported by Speedwing's Hosted and TPF Applications. |
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| | Madrid,
Spain, 11 August 2000: further to the announcement of 19 April 2000, British Airways
PLC [BAY.LSE] and Amadeus Global Travel Distribution SA [AMS Madrid] have today
signed a ten year contract, whereby Amadeus becomes British Airways' global information
technology ("IT") partner for their passenger management and other transaction
processing facility (TPF) based systems. |
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agreement provides Amadeus with the potential for up to EUR 600m in revenues over
ten years. Significantly, it marks the start of a new business stream for Amadeus,
as the company begins providing integrated IT services to the airline industry.
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| | In
selecting a partner, British Airways was influenced by Amadeus' strength in travel
distribution technology and systems, as well as the potential for British Airways
to reduce significantly its operating and development costs, while providing enhanced
passenger management systems in the future. British Airways also stands to benefit
from the extensive e-commerce expertise of Amadeus. |
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| | In
addition to British Airways, Amadeus will provide aviation IT systems to over
80 customers currently supported by Speedwing's Hosted and TPF Applications department.
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| | Under
the terms of the contract, Amadeus will operate British Airways' reservations,
inventory and departure control systems, and it will also create the next generation
of passenger management systems for the airline industry. |
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| | Amadeus
will establish a third systems support and development centre, near Heathrow airport
in London, in addition to its existing facilities at Sophia Antipolis (France)
and Miami (USA). The search for a suitable site has begun and further details
are expected to be announced shortly. The new centre will be headed by Jean-Philippe
Mesure, currently Director of Systems Planning at Amadeus. He will be supported
by some 300 British Airways personnel, in addition to other Amadeus staff and
external new recruits. |
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| | Next
year British Airways will become an Amadeus System User, joining 120 other airlines
that have already chosen to out-source their airport and city ticket office sales
and reservations services to Amadeus, under the unique System User concept. The
opportunity to become an Amadeus System User is also available to current Speedwing
customers. |
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| | Responsibility
for British Airways' passenger management systems will be assumed by Amadeus immediately.
The provisional timetable for key activities is: |
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| | April
2001: British Airways' BABS reservations system transfers to the Amadeus data
centre in Erding, Germany October 2001: implementation of British Airways
as an Amadeus System User will begin, with completion expected by January 2002.
The new generation of inventory and departure control systems will be delivered
after the System User implementation. |
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| | The
contract includes the issue of warrants to British Airways, to subscribe for up
to 1.0 per cent of the current issued Class A share capital of Amadeus. |
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| | Commenting
on this news Bryan Wilson, Director of Information Management for British Airways
said: |
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| | "Today's
contract signing reflects British Airways commitment to achieve the finest technology
solution for our passenger service processes and other TPF systems. |
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| | "The
advanced technology and travel distribution expertise of Amadeus were key factors
for us in selecting them as our partner, for this vital area of our business.
We look forward to a long and rewarding partnership with Amadeus, as we begin
working on the extensive IT systems migration and development work that lies ahead."
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| | Hans
Jorgensen, Vice President of Partners and Providers Strategy for Amadeus, said:
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| | "This
agreement with British Airways marks the beginning of a significant new business
stream for Amadeus. By providing airlines with passenger management systems, including
inventory and airport services, we are strengthening our portfolio of inter-related
businesses. |
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| | "In
British Airways we have an outstanding partner, supported by experienced Speedwing
and Information Management professionals. We will introduce the next generation
of systems for airline critical core IT applications, with British Airways as
the launch customer. |
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| | "Together
we look forward to setting a new standard for passenger management systems, and
to extending this new Amadeus integrated IT services concept to other airlines
around the world." |
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-END- |
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| | Notes
to Editors |
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| | Amadeus
Global Travel Distribution In addition to British Airways, as announced on
3 May 2000, Amadeus is currently in negotiations with Australian airline Qantas
to provide them with similar passenger management systems. |
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| | Amadeus
is a leading global distribution system (GDS) and technology provider serving
the marketing, sales and distribution needs of the world's travel and tourism
industries. Worldwide, Amadeus is chosen by more travel agency locations, receives
more billable bookings and processes more international travel reservations than
any other GDS. Its comprehensive data network and database, amongst the largest
of their kind in Europe, serve over 50,000 travel agency locations and more than
8,200 airline sales offices worldwide. |
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| | Through
the Amadeus system, travel agencies and airline offices are able to make bookings
with some 500 airlines, representing more than 95 per cent of the world's scheduled
airline seats. The system also provides access to over 51,000 hotels, 49 car rental
companies serving some 24,000 locations, as well as serving newer provider groups,
including ferry, rail, cruise, insurance and tour operators. |
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| | Amadeus
is a significant provider of information technology and an enabler of e-commerce
for the travel industry. Amadeus also delivers the powerful booking engine behind
the web pages of more than 3,800 travel agencies, and over 60 Web sites serving
28 airlines. Additionally, it provides similar e-commerce solutions for partners
including BTopenworld (UK and Ireland), Gruppo L'Espresso (Italy) and Terra Networks
(Spain, Portugal and Latin America). |
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| | Founded
in 1987, and fully operational from 1992, Amadeus is headquartered in Madrid,
Spain. Its data centre is in Erding (near Munich), Germany and its development
offices are located in Sophia Antipolis (near Nice), France. The company has approximately
3,000 employees worldwide. |
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| | More
information about Amadeus is available at
www.global.amadeus.net |
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| | British
Airways PLC British Airways is the world's largest international passenger
airline. Its mainline scheduled route network is one of the world's most extensive.
In 1998-1999 the airline operated an average of over one thousand flights a day
on an unduplicated route network of about 686,000 kilometres. The British Airways
Group fleet as at 31st December 1999 comprised 356 aircraft. |
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| | The
airline's main bases are London Heathrow Airport, the largest international airport
in the world and London Gatwick Airport which is now the 6th largest. An average
of 63,779 staff were employed by the Group worldwide in 1998-99, 80 per cent of
them based in the UK. |
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| | The
British Airways Group carried a record 45 million passengers during 1998-99. |
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| | More
information about British Airways is available at
www.british-airways.com |
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| | Speedwing
Speedwing Hosted and TPF Applications is a department within Speedwing, which
is a division of British Airways. Speedwing's Hosted and TPF Applications has
been a major player in the passenger services reservations and departure control
systems market. |
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| | The
passenger and cargo management systems provided by Speedwing include: reservations,
fares, ticketing and inventory control, departure control, flight operations and
for cargo - operations and freight forwarding systems. The department also provided
resources to undertake complete TPF projects and technical training. |
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| | Speedwing
is now concentrating on its existing consulting and mobile communications businesses
and is growing its increasingly successful Indian based outsourcing operation,
WorldWide Working. |
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| | For
further information please contact: |
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| | Corporate
and Marketing Communication Amadeus Global Travel Distribution Tel :+34
91 582 0160 Fax :+34 91 582 0188 E-mail : info@amadeus.net
| Mike Thorne British
Airways PLC Tel:+44 208 738 6639 Fax: +44 208 738 9611 |
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