A majority of industry leaders in a recent Business Travel
Coalition survey say they have concerns about the proposed
acquisition of Rosenbluth International by American Express.
The acquisition, which was announced last month, would combine
two of the world’s largest travel companies. The deal is subject to
Justice Department review.
The coalition said it sent the results of a survey of more than
250 travel and industry executives and leaders to the U.S.
assistant attorney general’s antitrust division. The coalition said
it was only providing information to aid public policy
decisions.
The coalition said survey respondents generally believed the
acquisition, if approved, would have widespread affects including
on corporate-travel pricing and service, and smaller travel
agencies’ access to supplier incentive dollars and deals.
The coalition said respondents generally spoke about there being
more potential anti-competitive impacts than pro-competitive
ones.
And the coalition said only 32 percent of survey participants
felt this transaction, if completed, would create value through
increased efficiencies, competition or innovations.
About 56 percent of those surveyed believed that a larger
American Express would have the means and incentive to leverage the
travel side of its business with airlines and corporations for the
benefit of its charge card to the potential long-term detriment of
other industry participants.
The report: http:// btcweb. biz/uploads/tmc.pdf.
