Basic Passenger Tariff Training<br />Presented By :  James Mathew<br />
Lesson Plan<br /><ul><li>Traffic Conference Areas ( TC )
Exercise – TC Areas
Global Indicators
Exercise – Global Indicators
Routings and Fares
Types of Routings & Fares
Factors influencing Fares</li></ul>	a.	Type of Intermediate Stops<br />	b.	Routing<br />	c. Mileage Principles<br />	d. NU...
Basic Fare Construction – Return and Circle Trip  Steps and Applications
Exercise 1 – One Way Fare Construction without BHC
Exercise 2 – One Way Fare Construction with BHC
Exercise  1 – RT/CT Fare Construction without CTM
Exercise  2 – RT/CT Fare Construction with CTM
Discussion & Questions</li></li></ul><li>Traffic Conference Areas<br />
IATA Areas ( Traffic Conference Areas )<br />	The Eastern Hemisphere and the Western Hemisphere which are the two parts of...
Global Indicators<br />
Global Indicators<br />
Routings  & Fares<br />
Type of Routings/Fares<br />Main Routings/Fares<br />One Way Fares	-     	Some fares are published as one-way fares, <br /...
Type of Routings/Fares<br />Main Routings/Fares<br />The Open Jaw -       An open-jaw flight is one that, in the simplest ...
Type of Routings/Fares<br />Main Routings/Fares<br />4.Circle Trip -	A circle itinerary typically begins and ends in the s...
Factors Influencing Fares<br />Type of Intermediate Stops:<br />	Stopover (> 24 hrs) or Transfer<br />Routing<br />	Global...
IROE -IATA Rate Of Exchange </li></ul>Certain Checks: <br />HIP	: Higher rated intermediate points<br />BHC	: One Way Back...
Basic Fare Construction<br />One Way – Steps and Application<br />FCP – Establish the Fare Construction Point or Fare Brea...
Basic Fare Construction<br />One Way – Steps and Application<br />TPM – Add up the Ticketed Point Mileage  of each sector ...
Basic Fare Construction<br />One Way – Steps and Application<br />EMS  - Excess Mileage Surcharge ( % )<br />
Basic Fare Construction<br />One Way – Steps and Application<br />HIP – Look for the Higher Intermediate Point fare from –...
Basic Fare Construction<br />One Way – Steps and Application<br />BHC – Apply the Backhaul Check when there is a fare from...
Basic Fare Construction<br />One Way – Steps and Application<br />STOPOVER/TRANSFER CHARGE ( S ) – Collect Stopover/transf...
Basic Fare Construction<br />RT/CT – Steps and Application<br />The  Round Trip/Circle Trip steps are same as One Way Rout...
Basic Fare Construction<br />RT/CT – Steps and Application<br />HIP – Look for the Higher Intermediate Point fare from – <...
Basic Fare Construction<br />RT/CT – Steps and Application<br />CTM – For CT pricing units only. Look for the direct route...
Examples<br />Exercise:1  One Way Fare Construction without  HIP and BHC<br />FCP	:<br />NUC	:<br />SR: <br />MPM	:<br />T...
Examples<br />Exercise:2  One Way Fare Construction with HIP and BHC<br />FCP	:<br />NUC	:<br />SR: <br />MPM	:<br />TPM:<...
Examples<br />Exercise:1  RT/CT Fare Construction without CTM<br />FCP	:<br />NUC	:<br />SR: <br />MPM	:<br />TPM:<br />EM...
Examples<br />Exercise:2  RT/CT Fare Construction with CTM<br />FCP	:<br />NUC	:<br />SR: <br />MPM	:<br />TPM:<br />EMA:<...
THANK YOU<br />
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
Basic Passenger Tariff Training
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Basic Passenger Tariff Training

  1. 1. Basic Passenger Tariff Training<br />Presented By : James Mathew<br />
  2. 2. Lesson Plan<br /><ul><li>Traffic Conference Areas ( TC )
  3. 3. Exercise – TC Areas
  4. 4. Global Indicators
  5. 5. Exercise – Global Indicators
  6. 6. Routings and Fares
  7. 7. Types of Routings & Fares
  8. 8. Factors influencing Fares</li></ul> a. Type of Intermediate Stops<br /> b. Routing<br /> c. Mileage Principles<br /> d. NUC<br /> e. IROE<br /> f. Certain Checks<br /><ul><li>Basic Fare Construction – One Way Steps and Applications
  9. 9. Basic Fare Construction – Return and Circle Trip Steps and Applications
  10. 10. Exercise 1 – One Way Fare Construction without BHC
  11. 11. Exercise 2 – One Way Fare Construction with BHC
  12. 12. Exercise 1 – RT/CT Fare Construction without CTM
  13. 13. Exercise 2 – RT/CT Fare Construction with CTM
  14. 14. Discussion & Questions</li></li></ul><li>Traffic Conference Areas<br />
  15. 15.
  16. 16. IATA Areas ( Traffic Conference Areas )<br /> The Eastern Hemisphere and the Western Hemisphere which are the two parts of the world as per the elementary geography is further divided by IATA into 3 traffic conference areas called IATA Areas or TC1, TC2 and TC3 which comprise of further sub areas<br /> TC1 comes under Western Hemisphere ( WH )<br /> TC2 & TC3 comes under Eastern Hemisphere ( EH )<br />
  17. 17. Global Indicators<br />
  18. 18. Global Indicators<br />
  19. 19. Routings & Fares<br />
  20. 20. Type of Routings/Fares<br />Main Routings/Fares<br />One Way Fares - Some fares are published as one-way fares, <br /> which you may use to travel in one direction ( Point A <br /> to Point B )<br />Round Trip Fares- Many fares are published as round trip fares.  Often a <br /> round trip fare costs less than twice a one-way fare, <br /> and indeed, often less than a single one-way <br /> fare.  Round trip fares generally have more restricted <br /> fare rules ( Point A to Point B and back again )<br />
  21. 21. Type of Routings/Fares<br />Main Routings/Fares<br />The Open Jaw - An open-jaw flight is one that, in the simplest terms, flies <br /> from Point A to Point B, then from Point C to Point A. Points <br /> B and C are often neighboring airports, or at least in the <br /> same TC ( Traffic Conference ) area. A sample open-jaw <br /> itinerary might be a flight from DOH – DXB - - MCT – DOH<br />Another open-jaw scenario is to fly into and out of the same<br /> destination city, but your starting and finishing points are <br /> different, thus: Fly Point A to Point B; then fly Point B to <br /> Point C.<br />
  22. 22. Type of Routings/Fares<br />Main Routings/Fares<br />4.Circle Trip - A circle itinerary typically begins and ends in the same city, but <br /> includes at least three separate flights that take you to two or <br /> more different cities without the overland portions of the open <br /> jaw.<br />Example: Fly from DOH to DXB, then DXB to MCT, then MCT to <br /> DOH ( can add Points D, E, F and beyond, but the start and end <br /> should be at the origin city – DOH in this example.)<br />
  23. 23. Factors Influencing Fares<br />Type of Intermediate Stops:<br /> Stopover (> 24 hrs) or Transfer<br />Routing<br /> Global Indicator<br />Mileage Principles<br />MPM :Maximum Permitted Mileage<br />TPM: Ticketed Point Mileage ( Actual Flown )<br />( If TPM > MPM a surcharge must be paid )<br />EMA: Extra Mileage Allowance<br />EMS:Excess Mileage Surcharge ( % ) <br /><ul><li>NUC - Neutral Unit of Construction ( Virtual Currency )
  24. 24. IROE -IATA Rate Of Exchange </li></ul>Certain Checks: <br />HIP : Higher rated intermediate points<br />BHC : One Way Backhaul Minimum Check<br />CTM : Circle Trip Minimum Check<br />
  25. 25. Basic Fare Construction<br />One Way – Steps and Application<br />FCP – Establish the Fare Construction Point or Fare Break Points<br />2. NUC – Take the OW Neutral Unit of Construction from the origin to the destination of the fare component using the correct Global Indicator ( check the fare rules and ensure that the itinerary satisfies all conditions, collect stopover/transfer charge –if any )<br />3. SR – Check out if the fare component qualifies as a Specified Routing. If it is, ignore the mileage system and take the NUC as the Applicable Fare ( AF )<br />MPM – Establish the Maximum Permitted Mileage between the fare construction points of the fare component following the same Global Indicator as that used in the NUC ( refer PAT – Passenger Air Tariff )<br />
  26. 26. Basic Fare Construction<br />One Way – Steps and Application<br />TPM – Add up the Ticketed Point Mileage of each sector and compare the total TPM to the MPM ( refer PAT – Passenger Air Tariff )<br />EMA – Deduct the Extra Mileage Allowance, if any, from the total TPM ( refer PAT – Passenger Air Tariff )<br />7. EMS – if the EMA is insufficient or not applicable, determine the Excess Mileage Surcharge ( % ) by dividing the TPM by the MPM. Take the result up to 5 decimals ( refer PAT – Passenger Air Tariff )<br />
  27. 27. Basic Fare Construction<br />One Way – Steps and Application<br />EMS - Excess Mileage Surcharge ( % )<br />
  28. 28. Basic Fare Construction<br />One Way – Steps and Application<br />HIP – Look for the Higher Intermediate Point fare from – <br /> 1. Unit origin to intermediate stopover point<br /> 2. Intermediate stopover point to another<br /> 3. Intermediate stopover point to the unit destination<br />( check the rules to ensure that the fare qualifies as an HIP, do not collect <br /> any additional stopover/transfer charges ) <br />Get the applicable One Way ( OW ) through fare in NUC using above steps<br />
  29. 29. Basic Fare Construction<br />One Way – Steps and Application<br />BHC – Apply the Backhaul Check when there is a fare from unit origin to <br /> intermediate stopover point is higher than the fare from unit origin to unit <br /> destination<br />Calculation:<br /> HI Fare - Unit origin to intermediate stopover point<br />Less ( - ) LO Fare - Unit origin to unit destination<br />Equal ( = ) BHD - Backhaul Difference<br />Plus ( + ) HI Fare - Unit origin to intermediate stopover point<br />Equal ( = ) OWM - OW Minimum fare<br />( check the rules to ensure that the fare qualifies as an HI Fare )<br />
  30. 30. Basic Fare Construction<br />One Way – Steps and Application<br />STOPOVER/TRANSFER CHARGE ( S ) – Collect Stopover/transfer charge.<br /> Select the charge published in the currency of the country of fare component origin. Convert this into NUC at the applicable IROE<br />Surcharges ( Q ) – Collect Security Surcharges, if any. Convert into NUC at applicable IROE<br />Total – Add up all the NUC’s to get the sum total<br />IROE – Multiply the total NUC by the IATA Rate Of Exchange based on the country of commencement of travel. <br />LCF – Round the resulting Local Currency Fare ( refer the required number of decimal units for the currency )<br />
  31. 31. Basic Fare Construction<br />RT/CT – Steps and Application<br />The Round Trip/Circle Trip steps are same as One Way Routing except for the HIP<br />and the check ( CTM )<br />
  32. 32. Basic Fare Construction<br />RT/CT – Steps and Application<br />HIP – Look for the Higher Intermediate Point fare from – <br /> 1. Unit origin to intermediate stopover point<br /> 2. Intermediate stopover point to another ( not applicable to special fare <br /> HIP check )<br /> 3. Intermediate stopover point to the unit destination<br />( check the rules to ensure that the fare qualifies as an HIP, do not collect <br /> any additional stopover/transfer charges ) <br />Get the applicable ½ RT through fare in NUC using the above steps<br />
  33. 33. Basic Fare Construction<br />RT/CT – Steps and Application<br />CTM – For CT pricing units only. Look for the direct route RT fare from unit origin to <br /> the highest rated stopover point. Compare this RT fare to the sum of all of <br /> the fare components<br />
  34. 34. Examples<br />Exercise:1 One Way Fare Construction without HIP and BHC<br />FCP :<br />NUC :<br />SR: <br />MPM :<br />TPM:<br />EMA:<br />EMS: <br />HIP : ------------<br />BHC : ------------<br />Stopover/Transfer Charge ( S ) :<br />Surcharges ( Q ) :<br />Total:<br />IROE:<br />LCF:<br />
  35. 35. Examples<br />Exercise:2 One Way Fare Construction with HIP and BHC<br />FCP :<br />NUC :<br />SR: <br />MPM :<br />TPM:<br />EMA:<br />EMS: <br />HIP :<br />BHC :<br />Stopover/Transfer Charge ( S ) :<br />Surcharges ( Q ) :<br />Total:<br />IROE:<br />LCF:<br />
  36. 36. Examples<br />Exercise:1 RT/CT Fare Construction without CTM<br />FCP :<br />NUC :<br />SR: <br />MPM :<br />TPM:<br />EMA:<br />EMS: <br />HIP : <br />CTM : --------------<br />Stopover/Transfer Charge ( S ) :<br />Surcharges ( Q ) :<br />Total:<br />IROE:<br />LCF:<br />
  37. 37. Examples<br />Exercise:2 RT/CT Fare Construction with CTM<br />FCP :<br />NUC :<br />SR: <br />MPM :<br />TPM:<br />EMA:<br />EMS: <br />HIP :<br />CTM :<br />Stopover/Transfer Charge ( S ) :<br />Surcharges ( Q ) :<br />Total:<br />IROE:<br />LCF:<br />
  38. 38. THANK YOU<br />
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