The HSA Charter Flights Agency may be forced to cancel some of its flights to Europe for the summer of 1968.
Nineteen commercial airlines will probably offere fewer charter flights to HSA and other independent charterers, because they recently agreed at the International Air Air Transport conference in Rome to cut group fares on their own transatlantic flights. These rate slashes should enable airlines to use more of their planes on regularly-scheduled flights, without settling for the less profitable charters.
None of the ten flights offered Harvard faculty and students for next summer will be affected, according to Fred Gruber, President of Harvard Student Agencies. The group and charter flights which were to be offered to alumni in 1967 have been cancelled.
A similar shortage of aircraft in the summer of 1966 forced the cancellation of some charter flights. In 1964 and 1965, HSA arranged charters for an average of 1500 passengers, but could only send 1250 to Europe in 1966.
HSA is bothered by the aircraft shortage, but not by fare competition, since the new fare plan, originally proposed by Pan American Airlines, has a number of disadvantages for students. A passenger might travel New York to London and return for as little as $230 -- less than HSA's rate -- but he is required to schedule and pay for an additional $70 worth of European tourist services when he buys his ticket. Such services might include lodging, transportation, and meals in Europe.
Another deterrent is the maximum three week stay -- most of HSA's flights are five to twelve weeks. And the announced rates will be higher in the peak summer months, so that HSA will still have competitive fares.
Competition will not alter the Charter Flights' present financial status, since they are a non-profit organization, charging only for administrative fees. This year Charter Flights will refund an average of six to eight dollars to passengers who travelled on "profitable" flights last summer.
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