LAFAYETTE HILL, Pa. -- Business Travel Contractors Corp.
president Kevin Mitchell suspended the firm's operations after
failing to secure funding from mega-agencies.
BTCC, which was formed in 1994 to create a "more rational" air
fare pricing structure for corporations, had operated primarily
with funds paid by its corporate members.
Mitchell said he attempted to get four mega-agencies to
contribute about half of BTCC's $250,000 annual budget, which would
be used to lobby for increased airline competition. However, only
two firms agreed, he added.
Mitchell said he solicited funds from virtually every top
corporate agency in the U.S. Allan Slan, senior vice president of
Woodside Travel Trust, said the Bethesda, Md., consortium agreed to
fund Mitchell's lobbying efforts. Sources said American Express
also agreed to financially support Mitchell; officials there
declined to comment on the funding issue, but said the agency
backed BTCC's efforts.
Ivan Michael Schaeffer, chief executive of Woodside, has become
an outspoken critic of the airline industry and recently became a
registered lobbyist to support several bills in Congress designed
to promote greater competition.
Mitchell said he still hoped to resurrect BTCC with new funding.
Meanwhile, Mitchell said he is looking for a job that will let him
work part time on the Business Travel Coalition, which he founded
in 1996. Prior to launching BTCC Mitchell was vice president of
conference and travel management at Cigna Corp.
Earl Foster, president of the Washington-based Association of
Corporate Travel Executives, said the industry was losing a strong
advocate. "Business travel is the mainstay of the industry, it's
the bread and butter," Foster said. "Without Kevin [the discussion]
is not going to be as visible as it was."