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Airline Ticketing Management

Lecture 1

INSTRUCTOR

M U H A M M A D A R S L A N ( M . P H I L B . A & AV I AT I O N M G T )
Aviation Regulatory Organizations
1. ICAO (International Civil Aviation Organization)-Chicago Convention 1944
2. IATA (International Air Transport Association)
3. CAAP (Civil Aviation Authority of Pakistan)
4. FAA (Federal Aviation Administration)
5. EASA (European Aviation Safety Agency)
ICAO & IATA at a glance
Both IATA and ICAO are international organizations that oversee civil aviation operations.
However, the IATA generally supports the airline industry, while the ICAO provides global
standards for air transport operations.
IATA was founded in Havana, Cuba, in April 1945. It is the prime vehicle for inter-airline
cooperation in promoting safe, reliable, secure and economical air services - for the benefit of the
world's consumers.
At its founding, IATA had 57 members from 31 nations, mostly in Europe and North America.
Today it has some 300 members from 120 nations in every part of the globe.
IATA is a trade association that represents its airlines around the world. Initially founded by 57
carriers, it now has some 300 member airlines from 120 countries. ICAO, on the other hand, is a
specialized organization that is part of the United Nations with 193 members, with its
headquarters in Montreal, Canada.
Cont.
ICAO looks to set standards and procedures for civil aviation, particularly as it pertains to the
actual process of flight but also, increasingly, climate change mitigation and environmental
protection. These standards are then recognized by governments around the world as a means to
ensure consistency in the operation of aircraft, airports, and air traffic services.
ICAO also undertakes compliance audits of member states' aviation institutions. It also performs
studies and analyses and provides technical assistance and guidance to member states.
ICAO & IATA Together
The association promotes cooperation between its member airlines and other stakeholders. It also
provides a number of products and services to its members, including the IATA Operational Safety
Audit, IATA Safety Audit for Ground Operations, IATA Travel Pass, and IATA Cargo-XML
messaging standard.
While both organizations may have their own respective safety initiatives, IATA has a strong focus
on the commercial health of its member airlines. While the ICAO may examine economic
development through air transportation, it is much more focused on aviation safety for its member
nations.
Founded at similar times
While the Convention on International Civil Aviation (commonly referred to as the Chicago
Convention) was drafted in 1944, the ICAO was actually founded in 1947, based on the core
principles of the convention. Perhaps inspired by the Chicago Convention's spirit of international
cooperation, IATA was founded in 1945, two years before the ICAO was officially established.
A Matter of Codes
Airport codes are one field where the two organizations overlap (for London Heathrow, IATA's code is LHR
while the ICAO equivalent is EGLL). The variance in these codes highlights the differences between the
two organizations: IATA's airport codes have been developed for use by airlines as they relate to passengers
and customers - think boarding passes and flight reservations.
For ICAO, its respective list of airport codes is used by pilots and air traffic controllers (or air navigation
service providers).
City & Airport Codes
Each city with an airport has a 3-letter IATA code that is used in reservation messages, fares and ticketing.
Often, the first three letters of the city name are used,
e.g.
ATH is ATHENS
SIN is SINGAPORE
DEN is DENVER
Cont.
Some codes are instantly recognisable, even when the first three letters are not
used. E.g.
NBO is NAIROBI
HKG is HONG KONG
Some codes are difficult to remember, in particular the Canadian city codes. E.g.
(All Canadian city codes start with a Y)
YMQ is MONTREAL
YEA is EDMONTON
Take care, there are some traps. Never guess - if you are not sure about the code
for a city always check. E.g.
LOS is LAGOS, not LOS ANGELES
MAR is MARACAIBO not MARSEILLE
The Airline Deregulation Act 1978
The Airline Deregulation Act is a 1978 United States federal law that deregulated the airline
industry in the United States, removing U.S. Federal Government control over such things as
fares, routes and market entry of new airlines, introducing a free market in the commercial airline
industry and leading to a great increase in the number of flights, a decrease in fares, and an
increase in the number of passengers and miles flown. The Civil Aeronautics Board's powers of
regulation were phased out, but the Act did not diminish the regulatory powers of the Federal
Aviation Administration (FAA) over all aspects of aviation safety.
2-Letter IATA Code for Airlines
To simplify communication in the airline world, IATA (International Air Traffic Association) has
designated all scheduled airlines with two letter codes.
E.g
NL-SHAHEEN AIR WY-OMAN AIR
PA-AIRBLUE GF-GULFAIR
EY-ETIHAD AIRWAYS ER-SERENE AIR
QR-QATAR AIRWAYS 9P-FLY JINNAH
TK-TURKISH AIRLINES PF-AIRSIAL
IATA 3-Letter Codes of Airports
Airport Country IATA Airport Codes
Abu Dhabi - Abu Dhabi International United Arab Emirates AUH
Abuja - Nnamdi Azikiwe International
Nigeria ABV
Airport
Ahmedabad India AMD

Amritsar India ATQ

Amsterdam - Amsterdam Airport Schiphol Netherlands AMS

Ankara - Esenboğa International Airport Turkey ESB


Atlanta (GA) - Hartsfield Atlanta
USA ATL
International Airport
Bahawalpur Pakistan BHV

Bahrain - Bahrain International Airport Bahrain BAH

Basra, Basrah Iraq BSR

Beijing China PEK


Beirut - Beirut Rafic Hariri International
Lebanon BEY
Airport
Berlin Germany BER
IATA 3-Letter Codes of Airports
Airport Country IATA Airport Codes
Chicago (IL), Midway USA MDW

Chicago (IL), O'Hare International Airport USA ORD

London Metropolitan Area United Kingdom LON

London - City Airport United Kingdom LCY

London - Gatwick United Kingdom LGW

London - Heathrow United Kingdom LHR

London - Luton United Kingdom LTN

London - Stansted United Kingdom STN

Montreal - Dorval (Montréal-Trudeau) Canada YUL

Rome - Fuimicino Italy FCO

Rochester (MN) USA RST

Salalah Oman SLL


ICAO & IATA Codes
ICAO Codes IATA Codes Airport
EGLL LHR London Heathrow Airport
OPLA LHE Allama Iqbal Intl. Airport
EGKK LGW London Gatwick Intl. Airport
OMDB DXB Dubai Intl. Airport
OEJN JED King Abdul Aziz International
Airport
Categories of Scheduled Flights
Scheduled flights are categorised into six main types, which are each given a name depending on their routeing:
A DOMESTIC flight is between two cities in the same country. E.g. Manchester to London
 An INTERNATIONAL flight is between two cities with the departure city in one country and the arrival city
in another city. E.g. London to Stockholm
An OPEN-JAW flight is one where a flight operates into one city but returns from a different city within that
country. E.g. London to Berlin, inbound Frankfurt to London
A SHORT HAUL flight is usually no longer than 5 hours, possibly within Europe and the Med. E.g. London
to Madrid
A LONG HAUL flight is anything over 6 hours, possibly flying to another continent. E.g. London to Miami
A ROUND-THE-WORLD flight would include numerous destinations with travel in one continuous
direction, whether this is via Eastern or Western Hemisphere. E.g. London - Rome - Bangkok - Sydney –
Melbourne-Auckland - Los Angeles - London
IATA Geography
If you remember, the International Air Transport Association (IATA), the governing body of the
airline industry has, for easy reference, divided the world into 3 main areas:
IATA Area One:
Also known as the Western Hemisphere
IATA Area Two and Three:
Together these constitute the Eastern Hemisphere
IATA Areas are also called Traffic Conference Areas -
TC1, TC2 and TC3.
These IATA areas are divided into sub-areas.
IATA Area One—(TheWestern Hemisphere)
North Atlantic - USA (including Hawaii, Puerto Rico, US Virgin Islands
and Alaska), Canada, Mexico, Greenland.
Mid Atlantic - Bermuda, the Caribbean Islands, Bahamas, Belize, Costa
Rica, Guatemala, El Salvador, Honduras, Nicaragua, Panama, Bolivia,
Colombia, Ecuador, French Guiana, Guyana, Peru, Suriname, Venezuela.
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 Continent
of Africa excluding Egypt, Algeria, Tunisia and Morocco.
IATA Area Three - (Within the
Eastern Hemisphere)
SouthWest Pacific - Australia, New Zealand, Papua New Guinea, Fiji,
French Polynesia, New Caledonia and nearby islands.
North Central Pacific - Includes Russian Federation
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,
Chinese Taipei, Guam, Hong Kong SAR (China), Indonesia,
Kazakhstan, Kyrgyzstan etc.
North Central Pacific
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.l mountains and the continent of Asia.
Interlining b/w Airlines
Interline is a relationship between airlines in which allows one airline sells services to a
customer that are provided by another airline. Airlines use interline to sell itineraries that they
would otherwise not be able to serve alone.
Interlining is the most basic commercial agreement between airlines that allows them to sell
each other’s tickets and services to passengers on itineraries with more than one flight.
Interlining was introduced by IATA, the trade association representing the global airline industry
in 1947.
Due to interlining, passengers can buy a single ticket for complex itineraries with several
flight legs, check in only once, and have their baggage transferred through to the final
destination. In case of disruptions, travelers are rebooked to other flights.
Interlining Cont.
like Emirates signing multiple interline agreements with local carriers to maximize bookings.
The downside of an interline agreement is that passengers can’t collect frequent flyer miles for
the whole trip. On an Emirates booking, for example, Skyward miles would only be eligible on
the EK-carrying flights. There can also be variances in things like luggage allowances for carry-
on and checked bags, and there is no coordination on flight timings, so it’s not always the most
efficient choice by duration.
An example of an interline agreement is Etihad - the airline is not in partnership with airline
alliances but it has interline agreements with British Airways and American Airlines.
Code Sharing of Airlines
Code sharing is a commercial agreement between two or more airlines that extends the concept
of interlining. The scheme appeared in 1989 when American Airlines and Qantas provided the
first connecting flights of this type. In addition to all interlining capabilities, carriers sell seats on
each other’s flights under their own flight numbers. Travelers booking a flight with, for example,
Delta Airlines can find themselves on a flight operated by Air France. Still, the flight will have a
Delta flight number.
Code sharing enables airlines to expand routes without inflating fleet size, have more control
over itineraries and pricing, and spread loyalty programs across partner flights.
Air Canada and United Airlines as examples: Air Canada offers a flight with its own flight
number and sells tickets for it. However, the actual trip is operated by United Airlines
A ticket you purchased from Finnair but is operated on a British Airways plane, by British
Airways.
Travelling Passengers
ADULT: Passenger one who has reached his /her 13th birthday as of the date of travel.
INFANT: An infant is a minor that has not yet reached his/her 2nd birthday as of the date of
travel.
YOUNG PASSENGER: Passenger between the age of 12 years and 18 years are so called
Young Passenger (YP)
CHILD: A child is a minor between 2 and 12 years of age, having reached his/her 2nd birthday
but not his/her 12th birthday. Generally travels by a child fare which is 50% of an adult fare or
67% of an adult fare.
UMNR (Unaccompanied Minor): Minors or Childs travelling alone but with the responsibility
of the airline to handle (
Passenger Ticket
It is a contract b/w the passengers and the airline.
A record (for the office issuing the ticket)
A receipt (for the passenger as a proof of payment)
An accounting document (for the airlines to collect the revenue on each sector the passenger was
transported)

Electronic Ticket
Electronic ticketing is a method to document the sale and track the usage of the transportation of a
passenger without requiring the issuance of a paper value document- Resolution 722F
A ticket for which the flight coupons are not printed on paper but stored electronically in a data base.

Flight Coupon:
The portion of a ticket which bears the annotation ‘GOOD FOR PASSAGE’ or a segment of an electronic
ticket.
Types of Tickets
Revenue Ticket
Rebated Ticket (or Staff Tickets)
a. ID00/FOC Tickets (Free of Cost)-Normally issued to Airline Employees or shareholders or
high valued clients.
b. Sublo (Subject to Load) Ticket
c. ECT (Employee Confirm Ticket)
d. ID50 & ID90 Tickets
Staff Tickets
Subject to Load (SUBLO) is a concessional ticket for employees with zero fare and only airport
and government taxes payable, and the status of the ticket being NOT confirmed.

Employee Confirmed Tickets (ECT) is a concessional ticket for employees with zero fare and
only
airport and government taxes payable, and the status of the ticket being confirmed.
FOC / ID00 Tickets:
ID90 Ticket:
ID50 Ticket:
Ticket Checks
Following checks are mandatory on a flight coupon:
Name of the Passenger
Validity of Ticket
Routing (From and To Box)
Fare Basis
Reservation Details
Ticket Designator
Baggage Allowance
ITINERARY
Airline/Flight Number
Name
Origin
Date
Class
Status
Baggage Allowance
Final Destination
What is Fare?
The amount charged by the carrier for the carriage of a passenger and his allowable free baggage
as per the class of travel.
What is Fare Base?
Taxes in Airline Ticket
Following taxes are added up in the fare of ticket and it is mandatory to pay by each passenger to
the airline. When you purchase an international or domestic air ticket, airlines are directed by
FBR to collect tax which is adjustable against your tax liability:
Federal Excise Duty (RG): 5000/-PKR- FED was proposed to be 20 percent of the gross
amount of ticket or Rs50,000 per ticket, whichever is higher
Embarkation Fee (SP): 2000/-PKR- Collects PCAA from the airline.
Infrastructure Development Charges (YD): 2800/-PKR
Stamp Duty (Int)(N9): 250/-PKR- The excise duty shall be chargeable on all international air
tickets issued directly by the airlines or through their agents for the international journey starting
from any where in Pakistan or terminating in Pakistan, whether such tickets are issued in
Pakistan or outside Pakistan.
Taxes in Airline Ticket Cont.
Advance Passenger Information(ZR): 410/-PKR
Security Charges (XZ): 1030/- PKR
Service Fee (YR): 405/- PKR
Combined Taxes (XT): Code used for combined taxes when there are more than three taxes.
Electronic Ticket Checks
1 - Address of the issuing agency - in this case, this is our
address.
2 - Issue date of your flight ticket.
3 - Passenger name.

4 - Our telephone number - you can always call us in case


of problems, questions and/or comments.
5 - The airline that issued your ticket does not mean that all
your flights are with this airline. Some airlines have contracts
with other airlines, so your flights may be with different
airlines.
6 - This is the number of your electronic ticket. We
recommend that you save it on your phone or computer in
case you lose your ticket.
Electronic Ticket Checks Cont.
7- This is the 6-digit code of the Amadeus system.
Sometimes, a 6-digit code for individual airlines is also listed.
You may need these when checking in online.
8 - The first line contains the starting point of the flight, and
the second line lists your destination. Sometimes, the
terminal from which you depart is also listed. The name or
code of the airport is sometimes listed.
9 - This is your flight number. It starts with a two-letter code
representing the airline (JP - Adria Airways, LH - Lufthansa,
etc). The following is the flight number with this airline. This
information is important, especially to find the gate for
boarding at the airport, as most signage shows flight numbers.
Electronic Ticket Checks Cont.
10 - Date and time of departure. Remember, you need to get to the
airport earlier (depending on flight and airport) - 2-3 hours are
recommended. ATTENTION: All times and dates are listed in local
time. The departure time is based on the departure airport time zone.

11 - This is the code that lists the price and rules of your ticket.

12 - Time of arrival. It is usually the same date as departure; if not,


this is labeled (+1 or the actual date). ATTENTION: The times and
dates are local, which means that the arrival time is governed by the
time zone at your destination airport.

13 - This is the validity period for your ticket - this does not mean
that you can leave the plane at any time between the written dates,
but that it is possible to change the date for an additional charge
within those dates, if other rules allow it.
Electronic Ticket Checks Cont.
14 - The column indicates how much luggage can be
checked in.
15 - Indicates the status of your ticket - this always
says OK, or the ticket could not be issued.
16 - This is the booking class - it determines the price
and conditions of your ticket. Usually, the lower
classes are cheaper, but they do not allow for many
changes. The class also indicates which class you are
flying in.
Various Flight Coupons Status
O-Open (Open for travel)

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