Market Overview

Increased Passenger Trips in 2017 Spur 3.4 Percent Sales Increase

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ARC EMD Processing for Ancillaries Increased 58 Percent

Airlines Reporting Corp. (ARC) reported today that the consolidated
dollar value of airline tickets sold by U.S.-based travel agencies
increased 3.4 percent* in 2017 compared to 2016, totaling
$88.5 billion vs. $85.6 billion. December 2017 ticket sales were up
nearly one percent at $5.4 billion compared to $5.3 billion in December
2016.

The sales increase can be partly attributed to the decrease in the
average ticket price, increase in passenger trips and strong economic
conditions throughout 2017. Overall, in 2017 the average price to fly a
domestic roundtrip itinerary dropped about one percent to $483 compared
to 2016, continuing the trend of decreasing average ticket prices since
2015. The number of passenger trips settled by ARC for U.S. travel
agencies also increased 3.5 percent to 268,906,109, up from 259,717,133
in 2016.

Electronic Miscellaneous Document (EMD)** sales and
transactions also continue to increase over time. EMD sales comprised
nearly $77 million of the year-to-date sales vs. $50 million in 2016.
EMD transactions increased 58 percent to 1.3 million in 2017 vs. about
825,250 in 2016.

More detailed information is available on ARC's
website
.

About ARC:

The Airlines Reporting Corporation (ARC) is the premier driver of air
travel intelligence and commerce in the travel industry with leading
business solutions, travel agency accreditation services, process and
financial management tools and high-quality data. In 2017, ARC settled
$88.5 billion worth of airline ticket transactions for more than 7,000
travel agencies with 12,000 points of sale. Established in 1984, ARC is
an ISO 27001 certified company headquartered in Arlington, Virginia,
with offices in Louisville, Kentucky, Tampa, Florida and San Juan,
Puerto Rico. For more information, please visit www.arccorp.com
and www.twitter.com/arctalk.

Notes for Editors:

*Ticket Sales

  • Results are based on monthly sales data ending December 31, 2017, from
    12,087 U.S. retail and corporate travel agency locations, satellite
    ticket printing offices and online travel agencies. Results do not
    include sales of tickets purchased directly from airlines.
  • Average ticket price (in USD) for a roundtrip ticket settled through
    ARC for an itinerary that included only U.S. domestic travel.
  • Passenger trips include the total number of passengers taking a trip
    from one airport to another using either direct or connecting flights.
    Newly issued trips are added and refunded trips are deducted to
    provide a net view of traveling passengers.
  • Total sales are equal to the total amount paid for a ticket, which
    includes taxes and fees.

**Electronic Miscellaneous Documents (EMD)

  • Includes fees for products and services such as upgraded seats,
    checked luggage, an unaccompanied minor, pet-in-cabin, etc.

©2018 Airlines Reporting Corporation (ARC). All rights reserved.

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