*JAL hopes to expand international sales to a 30% share by 2010

Developing its inbound business strategy in response to the government's leading program to increase foreign visitors to 10 million annually by2010, JAL Group aims to expand a share of international sales from about 20% today to 30% of all sales by 2010. Jun Nishiwaki, International Passenger Sales Manager of JAL International, said, "The ultimate target is to stabilize the revenue structure. In the Japanese market-focused structure today, revenue largely depends on economic conditions in Japan and outer negative factors. By raising a share of international sales, including sales for inbound travels, we will be able to diversify our revenue structures."

This Week Headline
*JAL hopes to expand international sales to a 30% share by 2010
+Web airfares will be offered in Asia and Australia
+Seeking new sales channels overseas
*TWA adds AU$1.5 million for tourism promotions to Japan
+TA and Qantas embark on a destination marketing partnership
*JATA focuses on development of three tourism segments together
*Kansai has still hit by the anti-Japan campaigns in China
*Haneda-Kimpo charter flights will double from August
*JAL CEO will resign from Chairman of SAAJ
*JAL and KAL extend code-share tie-ups
*NWA will serve its new Micronesia flights

*The travel industry cries for longer time until collection of fuel surcharges

Japan Association of Travel Agents (JATA) and major travel agents officiallyrequested JAL and ANA to begin collecting the additional fuel surcharges 40 days later than their acquiring approvals at least. Collection of the fuel surcharges vary with airlines in when they start collecting and how much they collect, and the term between the airlines' acquiring approvals from the authority and their beginning collection of the additional fuel surcharges is too short for travel agents that must notify their customers of the additional charges onthe travel products.

This Week Headline
*The travel industry cries for longer time until collection of fuel surcharges
*JAL Sales determines to accomplish a revenue target for FY2005
+The ratio of internet bookings reaches 50% on domestic flights
*Tourism white paper refers to the full-scale development of VJC
*Fukuoka is crying for continuous operation of Honolulu flights to JAL
*JAL ties up with BA for e-ticketing services
*J-Air succeeded in increasing both revenue and profit for FY2004
*Global Wings ties up with Kansai for business jet operation
*Commuter flights between Haneda andnew local airports are expected

*Philippine aims to welcome 1 million Japanese visitors by 2010

Philippine Department of Tourism (DOT) Secretary Joseph Durano said at the Tourism Business Seminar in Tokyo that the country aims to welcome 1million Japanese visitors by 2010. This year DOT is developing a new tourism campaign called "Koko Doko? ("Where is this?"in English)" for the Japanese market to appeal a new brand image of "Premium Island Resorts" particularly for Japanese female travelers.

This Week Headline
*Philippine aims to welcome 1 million Japanese visitors by 2010
+Appealing easy access and safe travel
*Cebu Pacific Airlines is preparing for flying into Centrair
*Amadeus begins selling "e-Travel" products in Japan
*Cruise Vacation is selling Aussie style casual cruise products
*ACCJ requests NAA to make further efforts to reduce landing fees
*ANA follows JAL to raise fuel surcharges on its international routes
*The number of taking-offs and landings at Narita exceeded 3 million
*Australian Airlines will add two flights weekly on its Cairns-Centrair route
*ADO secured net profit of 1,810 million yen for the full year of FY2004

*JAL Group to raise thefuel surcharges on its international flights largely

JAL Group announced on June 3 that it has decided to raise the fuel surcharges on its international flight tickets available from July 1 to September 30 this year and has already applied for it to the Ministry of Land, Infrastructure and Transport. According to the plan, JAL Group will double the fuel surcharges to 5,000 yen on one way from2,500 yen on one way today on its long-haul international route. Itis inevitable that the JAL's action will damage the overseas travelmarket in this summer as a family with four persons has to pay 40,000 yen additionally when they travel to Hawaii with a JAL flight, for example.

This Week Headline
*JAL Group to raise the fuel surcharges on its international flights largely
*Sri Lanka will double a promotional budget for Japan next year
+Diversity is a key factor for Sri Lanka tourism
+SriLankan Airlines will begin direct Kansai-Colombo flights
*New GVB GM intends to develop infrastructures to welcome more Japanese
+GVB targets a variety of markets
*Narita proposes 20% reduction of landing charge on the average
*Star Alliance to develop a new booking system to reduce distribution costs
*ANA President is interested in launching its second brand airline against real LCCs
*ANA President hopes to open Centrair-Seattle route
*ANA Group carried 22.8% more international passengers through FY2004
*Narita achieved 4% more revenue than the original target
*Narita handled 4% more international passengers for April