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Cathay set to cut basic rate


CATHAYPacific is expected to reduce its basic rate of commission from 9% next summer.



UK country manager Adrian Gane said the airline had been prepared to cut rates to 7% this winter but the European Commission’s ruling on British Airways had postponed the plans (Travel Weekly July 19).



He said Cathay was waiting for BA’s reaction next spring before changing payments.



Gane said a standard commission rate was becoming out-dated and suggested rates could vary each season, depending on the market. He also wants payments to reflect agency support.



If Cathay cuts the rate to 7%, it will bring it into line with Oneworld partners.


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