Airlines Reporting Corp. (ARC) announced that it has processed $1 billion in refunds to U.S. travel agents.
Between March 9 and July 12, 2020, ARC reported more than $745 million in refunds paid in cash and the remainder applied as credit toward agency sales.
The organization noted that this represents a 558 percent increase in cash refund volume compared to the same period in 2019.
“In a time of unprecedented refund activity facing the travel community, we had to ensure ARC’s systems could continue to support reliable, timely refund payments for our customers,” said Lauri Reishus, ARC’s executive vice president and COO.
“Airlines and travel agencies rely on ARC’s settlement system for commercial and financial stability,” Reishus added. “Just as we are committed to delivering payment to airlines for ticket sales, ARC made it a priority to ensure agencies received the full balance of their cash refunds on time and in full, maintaining a constant flow of liquidity between airlines and travel agencies.”
ARC is continuing to work with participating airlines to secure sufficient funding for these transactions since cash refunds are outpacing sales for many.
“ARC’s participating airlines have been tremendously supportive of their travel agency partners during this crisis,” said Jeannine Hankinson, ARC’s managing director of operations and customer experience. “The collaboration we have experienced with our customers during this volatile time demonstrates our industry’s resilience. Though airlines and agencies are both struggling, they are committed to maintaining positive business relationships with one another. ARC is proud to help facilitate these relationships.”
Source: Read Full Article