1 Department of Transportation

Office of Aviation Enforcement and Proceedings

)

)

British Airways ) February 5

, 2 0 13

)

Multiple Price Advertisin g Violations of )

49 U.S.C. § 41712 and 14 CFR 399.84(a) )

)

‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ )

British Airways charges fuel surcharges of amounts impermissible under DOT rules, fails to disclose

these su rcha rg es in the manner required by DOT rules and, for certain around

‐ the

‐ world tickets,

misrepresents fuel surcharges as “tax.”

I hereby request that DOT docket this complaint as a request for DOT to exercise its authority under 49

USC 41712 to investigate and impose sanctions on British Airways for the unfair and deceptive practices

described herein.

British Airways Fuel Surcharges Do Not Repr esent a Reasonable Estimate of Per

‐ Passenger Fuel Costs

Above Any Plausible Baseline

The DOT requires that “When a cost component is described as a fuel surcharge

... that amount must

actually reflect a reasonable estimate of the per

‐ passenger fue l co sts incurred by the carrier above some

baseline calculated based on such factors as the length of the trip, varying costs of fuel, and number of

flight segments involved.” The DOT instructs airlines to accompany any such fuel surcharge disclosure

with an explanation of the method of ca lculation: “For example, descriptions such as th e following

would be acceptable: ‘Fare includes a fuel surcharge. On average our passengers paid $xx.xx more for

fuel during 2011 in their ticket price than they did in 2000;’ or ‘Fares include a charge for fuel. On

average in 2011 our passengers paid $x x.xx for fuel as a part of their ticke t price.’ Of course, such

assertions must be based on the carrier’s actual paid enplanements and fuel expenditures.” See

Additional Guidance on Airfare/Air Tour Price Advertisements (available at

http://airconsumer.dot.gov/rules/Not ice.Taxes.fees.sam.dl.13.website.pdf ).

In May 2012, I booked BA OnBusiness award travel from Singapore to Boston. At that time, BA quoted

“fuel surcharge” of $521 for first class travel SIN

‐ LHR

‐ BOS. See Attachments 1 and 2 (prepared May 30,

2012).

Current BA fuel surcharges for BOS

‐ LHR are $229 per person each way (fo r coach and World Traveler

Plus) and $414 each way (for Business Class and First Class). See Attachments 3 and 4 (prepared January

12, 2013).2 To the best of my knowledge, these amounts are not a reasonable estimate of the per

‐ passenger fuel

cost incurred by British Airways above any reasonable baseline. While fuel prices are high, they are

stable and have not been increasing significantly over recent years. See Attachment 5, taken from the

IATA Economics web site, showing stable fuel prices over the past two years, an d prices consistently well

below the peak of 2008.

British Airways Fuel Surcharges Are Implausibly High Vis

‐ à

‐ vis Ordinary Paid Tickets

For further evidence that BA fuel surcharges are not a reasonable estimate of per

‐ passenger fuel costs

above a basel ine, I chec k ed ordinary paid bookings on BA flights. I quickly found instances in which the

BA “fuel surcharge” exceeded 70% of the total cost of an ordinary paid ticket. For example, on January

20, 2013, I used the BA web site to quote an ordinary paid coach ti cket for BOS

‐ LHR

‐ BOS at $ 640 plus

governmen t taxes of $218.85. See Attachment 6. In contrast, when I asked to redeem points for the

same flights on the same dates, the BA Executive Club and OnBusiness redemption tools noted the

required points plus $458 of British Airways fuel surcharge and govern me n t taxes of $218.85. See

Attachment 7.

It is not plausible that $458/$640=71.5% of total airfare is fuel cost above a baseline. This confirms that

the British Airways “fuel surcharge” does not reflect a reasonable estimate of per

‐ passenger fuel costs

above a baseline.

British Airways Fuel Surcharges Appear to Exceed BA’s Actual Cost of Fu e l

As best I can determine from publicly

‐ available sources, BA fuel surcharges currently exceed BA’s actual

cost of fuel. To make this calculation, I checked capacity, fuel surcharges, and fuel consumption on BOS

‐

LHR and LHR

‐ LAX. This combination of routes offers both transatlantic directions, BA’s two prevailing

equipment types, and a mix of shorter and longer transatlantic routes. The table below summarizes my

calculations:

BOS

‐ LHR (777 service) LHR

‐ LAX (747 service)

Fuel surcharge revenue

Passengers

First Class 16 * $414

= $6,624 14 * $452

= $6,328

Club 48 * $414

= $19,872 52 * $452

= $23,504

World Traveler Plus 40 * $229

= $9,160 36 * $229

= $8,244

World Traveler 122 * $229

= $27,938 243 * $229

= $55,647

Total passenger fuel surcharge $63,594 $93,723

Cargo

Capacity 35,000 kg 34,000 kg

Fuel surcharge $1.16/kg $1.16/kg

Total cargo fuel surcharge $40,600 $39,440

Total fuel surcharge revenue $104,194 $133,163

Fuel expense

Scheduled travel time 6:20 10:10

Fuel consumption per hour 7,600 liters/hour 12,788 liters/hour

Price of jet fuel $0.766/liter $0.766/liter3 Total fuel expense $36,870 $99,589

Notice that total fuel surcharge revenue for these routes is $104,194 and $133,163, respectively. In

contrast, total fuel expense is less, specifically $36,870 and $99,589. This indicates that fuel surcharge

revenue appears to exceed BA’s actual cost of fuel.

BA may argue that my fuel surcharge revenue estimates should be adjusted in light of the pa ssenger and

cargo load fa ctors. I have not fully evaluated that argument. But even such an adjustment would not

alter the conclusion that BA’s fuel surcharges are not a reasonable estimate of increased fuel costs

above a baseline. Specifically, BA parent IAG publicly reports its transatlantic pas senger load fac t or as

83.7% and its systemwide cargo load factor as 73.9%. After these adjustments, fuel surcharge revenue

would be $83,231 and $107,592, respectively

– still exceeding fuel expense. Note that lower passenger

load would increase cargo capacity, a factor I have not considered in this analysis.

Sources:

Passenger ca pacity: http://www.britishairways.com/travel/seatfirst/publi c /en_gb

, http://www.britishairways.com /travel/seatcwfb/public/en_gb

, http://www.britishairways.c om/travel/wldtrv/public/en_gb

, http://www.britishairways.c om/travel/worldt/public/en_gb

Passenger load factor: http://www.iagshares.com/External.F ile?t=2&item=g7rqBLVLuv81UAmrh20Mp62

KWtmRe7AmP/jMDLh25hI4zE5OYGrQfWoB 2EgXqxb2ah4NeTcmQYr4rQQVIYYQDQ== (at heading

Passenger Load Factor %

‐ North America

‐ Year To Date 2012)

Cargo capacity: Calculated as follows:

Cargo Capacity = Payload

– Passenger Weight

= (Zero Fuel Weight

– Operating Weight)

– (Passenger Capacity * Weight Per Passenger)

Operating weight and zero fuel weight obtained from

http://www.boeing.com/commerc ial/airports/acaps/777_23.pdf and

http://www.boeing.com/commerc ial/airports/acaps/747_4.pdf for the equipment types, engine types,

and maximum ratings BA operates (as listed on the BA pages noted in the fuel consumption sources,

below). Passenger weight calculated at 95kg per passenger, times 100% passenger load in all cabins.

Cargo capacity rounded down to the next 1000kg. We also confirmed that payload plus zero fuel weight

plus required fuel would not exceed ma x take off weight.

Cargo surcharge amount: http://www.baworldcargo.com/surcharges/

Travel times: SABRE (reporting scheduled times, not flight times)

Fuel consumption: http://web.archive.org/web/20030408042829/h ttp://www.britishairways.com/flight

s/factfile/airfleet/docs/777.shtml

, http://web.archive.org/web /20030223055148/http:/www.britishair

ways.com/flights/factfile /airfleet/docs/7474.shtml

Fuel cost: http://www.transtats.bts.gov/fuel.asp (2012 YTD figures)4 British Airways Fuel Surcharges Are Not Supported with Required Calculations

The DOT has instructed that airlines must substantiate fuel surcharges with statements supporting the

surcharge amounts. Specifically, the DOT instructs: “For example, descriptions such as the following

would be acceptable: ‘Fare includes a fuel surcharge. On average our passengers paid $xx.xx more for

fuel durin g 2011 in their ticket price than they did in 2000;’ or ‘Fares include a charge for fuel. On

average in 2011 our passengers paid $xx.xx for fuel as a part of their ticket price.’” See Additional

Guidance on Airfare/Air Tour Price Advertisements (available at

http://airconsumer.dot.gov/rules/Not ice.Taxes.fees.sam.dl.13.website.pdf ).

To the best of my knowledge, BA has never provided any such substantiation. For example, when BA

quotes a ticket that includes a fuel surcharge, BA generally labels the fuel surcharge as such, but BA

never provides the sort of calculation specified in the DOT notice.

Nor are details easily available from BA staff. Indeed

, when I wrote to British Airways customer service

(via the BA web site) seeking information about the calculation of fuel surcharges, I was referred to

telephone staff. (See Attachment 8.) I called BA telephone reservations staff but was unable to obtain

any information on this subject.

BA OnBusiness Points Ta bl e Does Not Disclose Carrier

‐ Imposed Surcharges

The DOT requires that “If there are government fees or taxes or mandatory carrier charges such as

processing fees that must be paid by consumers in frequent

‐ flyer awards programs, then the respective

amounts or a range of those amounts must be shown on carrier websites together with the mileag e

award levels. They must, moreover, be given the same prominence as the mileage award

requirements.” See Guidance on the Use of the Term ‘Free’ in Air Fare Advertisements and Disclosure of

Consumer Costs in Award Travel (available at http://airconsumer.dot.gov/rules/Use%20of%20the%20

word%20free%20in%20fare%20advertisements.pdf ).

In sharp contrast to the DOT’s requirements, the OnBusiness Reward Flight Points Page (Attachment 9)

lists points required for various awards without putting fuel surcharges in equal prominence. The body

of the table says nothing about any surcharges. Rather, a tiny footnote marker directs a user to a note

mentioning only “taxes, fees, charges, an d security charges.” Th is footnote suffers mul tiple deficiencies

vis

‐ à

‐ vis DOT requirements: 1) The small type at the far bottom of the lengthy page does not have ”the

same prominence” as the full

‐ size points requirements present throughout the page. 2) The footnote

mentions “fees” and “charges” but says nothing of “carrier

‐ imposed fuel surcharges” (B A’s own

characterization of the amounts at issue). 3) Th e footnote does not indicate the amounts or range of

amounts that may apply.

Impermissible Combination of Government

‐ Imposed Taxes and Fees with BA Fees

The DOT warns that “Combining government

‐ imposed taxes and fees with those imposed by carriers or

agents is lik e ly to confuse consumers and deceive them into believing the government taxes and fees

associated with their airfare are higher than they actually are.” The DOT instructs that “advertisers who

desire to separately list government taxes and fees as well as carrier

‐ or agent

‐ im po se d fees should

ensure that they are not lumped together and described as ‘taxes and fees.’ Language such as ‘Taxes5 and carrier

‐ imposed fees’ would be acceptable, for example.” See Additional Guidance on Airfare/Air

Tour Price Advertisements (available at

http://airconsumer.dot.gov/rules/Not ice.Taxes.fees.sam.dl.13.website.pdf ).

As I booked recent BA OnBusiness award travel, the British Airways site presented the label “taxes, fees,

charges and surcharges per person” with a footnote mentioning “The price of your ticket may include a

fuel surcharge per flight levied by the carrier.” (See Attachment 1.) This disclosure does not satisfy DOT

rules. In particular, contra ry to the DOT’s instructions, this disclosure omits th e crucial words “carrier

‐

imposed”

– words necessary to alert consumers that these surcharges are set by BA, in sharp contrast to

genuine taxes and fees imposed by governments and airports. The footnote is also inadequate because

the DOT instructs that this information is to be provided in the main disclosure (not in th e footnote) and

because the footnote is i mpermissibly vague (referencing fees that “may” apply, which lacks the

required level of specificity).

Ongoing Misrepresentation by Around

‐ The

‐ World Booking of Carrier

‐ Imposed Surcharges as “Tax”

–

for Tickets Issued by BA

BA advertises around

‐ the

‐ world air travel via the tool at ht tp://rtw .oneworld.com/

. This tool

systematically mischaracterizes carrier

‐ imposed surcharges as “tax.” These amounts can be substantial

– regularly more than $1000 on a single ticket, and I believe in some instances more than $2000.

If a passenger chooses an itinerary with the first segment on BA, BA charges the customer’s credit card

and issues the entire ticket. See http://www.oneworld.com/flights/plan

‐ book

‐ online/?faqOnly=1 at

heading “FAQ”

– “Who is my ticketing airline?”

I have quoted a variety of around

‐ the

‐ world tickets using this tool. For example, on January 20, 2013, I

quoted a coach ticket JFK

‐ LHR

‐ DXB

‐ LHR

‐ ARN

‐ LHR

‐ HKG

‐ SIN

‐ NRT

‐ HKG

‐ YVR with the first five segments on

BA. Taxes were quoted at $1,191.24 USD. Se e Attachment 10. I clicked the “Proceed” button and

received the lengthy itinerary and fare quote shown in Attachment 11, reiterating the $1,191.24 quote

of “Taxes.” There, the word “Taxes” appeared as a hyperlink. I clicked this link, receiving the itemization

in Attachment 12. The top two lines of that i tem iz ation report “Surcharge” of $579 and “Multiple

surcharges” of $367.

However, as best I can tell there are no actual government taxes totaling the $1,191.24 “tax” charged on

this itinerary. Rather, I believe the majority of the $1,191.24 “tax”

– specifically, the $579 and $367 later

characterized as “surcharge”

– are actually carrier

‐ impo se d surcharges. Thus, 79.4% of the $1,191.24

“tax” is not actually tax but rather carrier

‐ imposed surcharge.

Crucially, the initial disclosures (as shown in Attachments 10 and 11) mischaracterize the amounts at

issue as “taxes”, not “taxes and surcharges” or the like. Moreover, every user using this booking tool

must see the screens in Attachments 10 and 11; in contrast, the information in Attachment 12 is shown

only if users specifically click the “Taxes” hyperlink to view details. Thus, even though Attachment 12

describes the surcharges within a page entitled “taxes and surcharges information”, most users are

unlikely to see this screen. Mo reov er, the “and surcharges” label appears only in HTML title, not in page

text

– insufficiently prominent to cure the false statements made previously. Indeed, at the same time

that the “taxes and surcharges” label appears at the top of the page (indicating that some of the listed6 charges are “surcharges” rather than taxes), the wording “TaxBreakdownPopUp” appears immediately

below (in the popup’s URL bar) (indicating that everything in the listing is a “tax”). Finally, even on the

most favorable view, the statements in Attachment 12 still fall short of applicable DOT rules: Note the

absence of the crucial wor ds “carrier

‐ im posed” as well as the failure to include statements

substantiating the surcharge amounts (“On average our passengers paid...” or similar). These omissions

are in sharp contrast to the requirements of Additional Guidance on Airfare/Air Tour Price

Advertisements (http://airconsumer.dot.gov/rules/Notice.Taxes.fees.sam.dl.13.website.pdf ).

My Attempts to Alert British Airways to These Violations

I have attempted to alert British Airways to these violations and obtain a refund of amounts unlawfully

charged to me. I sent substantially the same material presented above (with the exclusion of the

Around

‐ the

‐ World section) to BA Customer Relations by fax on June 7, 2012, then again on July 23,

2012. On November 8, 20 12, I took the liberty of escalating this matter to Richard Mendles, BA General

Counsel, Americas. Mr. Mendles replied in an email of November 14, 2012 to confirm receipt. Despite

two further messages from me seeking a response in substan ce, he has offered no su bstantive reply.

Thus, British Airways has failed to reply in substance despite the passage of more than seven months

since I first brought these matters to its attention.

Required Resolution

I ask that the Department of Transportation:

(1) Exercise its authority under 49 USC 41712 to open an investigation of Britis h Airways for having

engaged in, and continuing to engage in, the unfair or deceptive practices described above;

(2) Order British Airways to refund to ticket purchasers all monies represented to ticket purchasers as

"taxes" or government

‐ imposed fees, but not actually remitted to governments, and all “fuel

surcharges” i mpermissible under the law or regulation applicable as of the date of purchase of the

corresponding tickets;

(3) Impose appropriate civil penalties on British Airways;

(4) Refer this matter to appropriate US and foreign tax collection agencies for investigation of possible

tax fraud or other violations of tax law in non

‐ payment to governm e nts of monies collected as “taxes” or

government

‐ imposed fees; and

(5) Issue any guidance or revised regulations needed to clarify to other airlines and ticket agents, and to

preclude any future claim of ambiguity, that these practices are unfair and deceptive in violation of 49

USC 41712.

Submitted F e bruary 4 2013,

/s/

Benjamin Edelman7 Attachment 1

Attachment 28 Attachment 3

- Itinerary and Quote +



### + Q Brrttsh Auways pic 1GB) https://WW'tt.l. brit i shairways

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BR I TISH AIRWAYS 

# > B ook w i th Avios points

> Home

1 Oa tes 2 F li g h ts

- Pass e ngers Payment b Confirmation

Your pr i ce q u ote You r Avios: 1 0 2576

a 2 0000 Av i os + $ 25 3 .20

(') 1 8000 AVIOS + $ 283.20

(') 16000 AVIOS + $ 308.20

(') 14000 AVIOS + $ 333.20

(') 12000 AVIOS + $ 358.20

(') 10000 AVIOS + $ 383

. 20 

# l Avios Price per Taxes

, f e es and

per p e rson car rier charges•

person per person

1 Adult 20000 $ 0.00 $ 253.20 $253.:J

To t a l 200 0 0 A vios + S 253.20

• The pnce of your ticket may 1ndude a fuel surcharge per fhght lev1ed by the

earn e r.

> Bntlsh

> Baggage > More deta t ls

> COndtt t ons of camage

i Brrt1sh Airways pic ( GSI**http~ lrwww.** **britishairways.com ltravelfredeem/execclub/_gf/en_gb?e.ld:100132** 

B R I T I S H A I RWAYS 

### ?

C h arges app l ie d to y o ur fl ig h t

There are certatn taxes, f e es and charoes that are applied to your**bookin~** by Bnt t sh**Ai~ys,** airport operators, governments or other authorities. Here you will find a full breakdown and

explanation of the ta x es, fees and**surchal'~es** apphed to you I' booking.

Government

, authority and airport cha rg es Per adult

Transportation T ax(Oeparture) • USA uso 17.20

Passenger Ctvil Aviation Security Service Fee

- USA uso 2.50

Passenger Facthty Charge uso 4.50

Tota l government, authonty and atrport charges• uso 24.20

> More informatton

British Airwa ys fees and surc harg es Per adu l t

Fuel Surcharge•• uso 229.00

Total Bnt1sh Atrways fees and sul'charges uso 229.00

> More information

Total taxes, f ees and surc harge s per person USD 253.20

*Government and/or atrport taxes are refundable, however some countnes wtll apply a Value

Added Tax, Sales T ax or equivalent, whtch will only be refunded on fully flexible tickets.

••tn lme wtth the fare rules, a refund of fuel surcharoe can be made on fully fle x 1ble ttckets

only wrth unused fltghts tn your ttinerary. p 

## *9 Attachment 4

BRITISH AIRWAYS ::;ll> Book wi th Avios points

>Home

1**ate~** 2 F li gh ts

- Passengers Payment 0 Confirma t i on

Your price quote Your Avios : 102576

" 60000 Avios + $ 438.20

0 54000 Avios + $ 558.20

0 45000 Avios + $ 728.20

0 36000 Avios + $ 903.20

0 30000 Avios + $ 1,018.20 Avio s Pric e per Taxe s, fees and

per person c arrier charges •

per

s on per per s on

1 Adult 60000 $0.00 s 438.20 ID

Total 60000 Avios + $ 438.20 Indusiv --;--,

total 

### I

$ 438.20 

# J

• The price of your ticket may i nc l ude a fuel surcharge per Right levied by the

earner.

> More detai l s

> Conditions of carr ia ge

Details of your baggage allowance and any applicable charges are lower down th1s page

About your flights**~** Outbound

- Tuesday 15 October 2013

19:35

15 Oct**Loo~m** Internationa l (MA) Heathrow ( L ondon) BA0238

Brit i sh Airways

BR I T I S H A I RWAY S 

### ::;;:.

Charges app l ied to your flight

There are certa•n taxes, fees and charges that are applied to your booking by Brit•sh A•rways,

airport operators, governments or other authonttes. Here you w 11l find a fu ll breakdown and

exp l anation of the taxes, fees and surcharges app li ed to your booking.

Government, authority and airport charge s Per adult

Transportation Tax(Departure)

- USA USD 17.20

Passenger**C~vil** Aviation Security Service Fee • USA USD 2.50

Passenger Facthty Charge USD 4.50

Total government, authonty and a 1 rport charges• USD 24.20

> More information

British Airways fee s a nd s ur c harges P e r a dult

Fuel Surcharge•• USD 414.00

Total Bnt 1 sh Airways fees and surcharges USD 414.00

> More information

Total tax es, f ees a nd s ur c h a rge s per p e r s on USD 4 3 8

. 20

•Government and/or aarport taxes are refundable, however some countnes wi ll apply a Value

Added Tax, Sa l es Tax or equ 1 va l ent, wh1ch wdl on l y be refunded on fully flex1b l e t1ckets.

••[n line w i th the f are ru l es, a refund of fuel surcharge can be made on fu ll y flexible t i ckets

only with unused flights in your i tinerary. p10 Attachment 5

IATA Economics: Jet Fuel Price Development

Source: http://www.iata.org/publications/economics/fuel

‐ monitor/Pages/price

‐ development.aspx11 Attachment 6

+

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BRITISH AIRWAYS 

### :;. Buy trave l

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1 Oate s 2 F li g hts 

## Still Passengers Paym e nt b Confirmat i on**~** flight: Oepartmo L09an lntematlonal (MA), 4 Mar 2013

Tot a l prh : e t o p a y {US D o ll ars, USO

, $ ) $ 858

. 85

> Got a promotion code or e Voucher ?

Oeta •l s of your baggaoe a ll owi!llnce**t~nd** any appl•eab l e charges are lower down th • s page

Check your fl i ght i tinerao;Y details**~** Outbound

- Honday 4 Har, 2013

';o( os,oo

4 Mar 19 ; 25

4 Mar L09an Internat i onal

(MA)

f. Inbound

- Monday 11 Mar

, 2013

"' 09,55

"" 11 Mar 13 : 50

11 Mar

Price breakdown Heathrow (London) Heathrow (London)

L ooan Intemat•onal

(MA)**~** World

Bntlsh Airways Traveller**~** Amer i can

Alrhnes Economy $858.85

iMI

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> Cur r e n cy calculator

> Cl'la n ge fh g hts

Fare

---- Taxe s, fee s and carrier 

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•• The • ndus•ve total of your t • cket •ndudes a fue l surcharge per f li ght lev•ed by the carr i e r.

> More deta il s

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BR I T I S H A I RWAYS :;,

Charges applied to your flight

There are certa u ' ta)(es, fees and charoes that are app h ed to your book.lno by 8r.bsl'l A i rways,

aurport operators, governments or other author i t • e:s. Here you w i ll find a full breakdown and

explanat i on of the taxes, fees and surcharoes appl i ed to your book • no.

Government, a uthority and a irport c harge s Per adult

Customs User Fee

- USA uso 5.50

Transportat i on Ta x (De:parture) • USA USD 17

. 20

Transportat i on Tax{Am'll'al)

- USA USD 17.20

Ammal & P l ant Health User fee (Aph 1 s)

- USA USD 5.00

Imm i grat•on User Fee • USA USD 7.00

P.!lssenger Civ il Avtat 1 on Sea.mty Serv1ce Fee

- USA uso 2.50

A i r Passenger Duty

- Umted Kinodom USD 104.50

Passenger Service Charge

- Un•ted K i ngdom USD 55.45

P.!ss e nger Fac il • ty Charge USD 4.50

Tota l oovernment, authonty and .!l l rport charges• uso 218.85

> More informabon

British Airways fees and surcha r ges Per ad ult

fuel Surcharge•• USD 458.00

Tota l Br 1 t1sh A 1 rwavs fees and surcharges uso 458.00

> More information

Total t a x es

, fe es and s ur c: h a rg es p e r p e r s on u s o 676.8 5

*Government and/or a • rport taxes are refundab l e, however some countnes will app l y a Value

Added Tax, Sales Tax or equ i va l ent, wh1ch w i ll only be refunded on fu ll y f l ex 1 ble tickets.

••tn li ne wJth the fare ru l es, a refund of fuel surcharoe C8n be made on fully fle x ib l e t•ckets

on l v w 1 th unused f1 1 ghts 1n your i tmerary.

> Informat•on about World Tra'll'e ll er Plus oys

and from UK

of l'land

y d1ffer for f li ghts

rl i n e s, lbena and12 Attachment 7

- J

t inerary and Quote +



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BRITISH AIRWAYS 

### :Iii Book with Avios points

>Home

1 Dotes 2 F l 1ghts

- Passengers Payment 6 Con fi rmation

Your price quote Your Avios : 10 2576

Avios Price per Taxes, f ees and Inclusiv e

per person carrier charges • tota l

person per person @ 4 0 000 A vios + $ 676. 8 5

0 36000 AV I OS + $ 736.85

0 32000 AVIOS + $ 786

. 85

0 28000 AVIOS + $ 836.85

0 2 4 000 AVIOS + $ 886

. 85

0 20000 Avios + $ 936.85

# ~ 1 Adult 40000 s 0.00 s 676.85**$676~**

Tota l 4 0000 A v i os + $ 676.85

• The pnce of your ticket may 1ndude a fuel surcharge per flight lev1ed by the

earner.

> fo1ore details

> Conditions of carnage

Details of your baggage allowance and any appl i cable charges are lower down th1s page

tJl**~** Brea k down

- Moz i lla Fir e fox I 

## = I @I iWJIIoll

Q Brrbsh Auways pic ( GB}**http ~//www** **britis airways.com** **trav e:** **redeem /exec** **club /**  _gf

I en_us?eld; 100132 

### . I

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BRITISH AIRW A

YS**~**

### ~ W orld Traveller

Charges appl i ed to your Hight

There are certam taxesf fees and charges thi!lt are applied to your bookmg by Bnt1sh Airways, World Traveller a1rport operators, governments or other a uthon t •es. Here you w1ll find a full breakdown and

explanation of the taxes, fees and surcharges Zlpplied to your booking.

Gover nment

, authority and airport c harg es Per adul t 

## I

A1r Passenger Duty • United Kmgdom uso 104.50 I

An1mal & Piant Health User Fee (Aphis)

- USA uso 5.00 I

Passenger Civ 1 l Avllltlon Security Serv1ce Fee

- USA uso 2.50 :'

Immtgrat•on User Fee

- USA uso 7.00

Transportation T ax(Arnval)

- USA uso 17.20

Customs User Fee

- USA uso 5

. 50

Transportat i on Tax(Oeparture)

- USA uso 17.20**:-** Passenger Serv • ce Charge • Umted Kinodom uso 55.45

Passenger Facility Charge uso 4.50 

## I I

T otal government, authority and a1rport charges• uso 218.85

> More I nformation

British Airways fees and surcharges Per adult u of hand baggage,**ptop,** handbag or

Fuel Surcharge•• uso 458.00

Total Bntish Airways fees and surcharges uso 458.00**'-**

> Mo re I nformation

Total ta xes, fees and sur c harges per person USD 676.85**~** of hand baggage,**~p top,**  handbag or

'1 7 t:as1er cneac·m on m e or ussna**~elr·:servtce** Lneac·tn KIOSKS 1

113 Attachment 8

From: British Airways North America

Sent: Wednesday, June 06, 2012 3:01 AM

To:

Subject: I write in regard to tickets and for OnBusiness aw...

[Incident:

Subject

I write in regard to tickets and for OnBusiness aw...

Response Via Email (Amey) 06/06/2012 07.00 AM (GMT)

Dear Mr Edelman

I am sorry we are unable to help about your fuel surcharge query by email.

For assistance, please contact your nearest British Airways office, where one of our agents will be able

to assist you. Their telephone numbers and opening times can be found at:

http://www.britishairwa ys.com/travel/ctclist

I hope they resolve this swiftly for you.

Regards

Amey

British Airways

...

Customer By Web Form (Benjamin Edelman) 05/06/2012 10.20 PM (GMT)

I write in regard to tickets and for OnBusiness award travel from

Singapore to Boston.

I notice that these tickets include a British Airways fee of $521 described as a "fuel surcharge." How was

that amount calculated? Does that reflect the cost of fuel relative to a particular baseline? What is the

method of calculation of the baseline? I could not find this information on BA's site. Th ank you.

[

‐14 Attachment 9

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'-' No Manage My Booking I nformation Executive Club

Rewa r d flight points

To he l p you cakulate the points you w•ll need to redeem for reward fhghts 1

, take a took at the

table and examp l e below.

on**Bu~nes.s** Points c annot be redeemed on Arnenc.an Airl i nes, bm 1

, lbena or Qantas

operated fl i ghts.

Her e ' s an example to help you cal c ulat e th e po i nts you n e ed t o r e d ee m for a

r e w a rd flight:

If you want to redeem for a round • trip Club World reward flight from New York to Ind.a, v1a

london, you would need 44,310 Po 1 nts ( 1 8,900 + 25,4 1 0 • 44,310) •

Eli g ible**cabin ~** 

R outes between london and:

U K Do m e s t i c 2

Intra UK llr. Ireland routes exdudong Jersey

Europ e A

All European countnes 1 ndud u

· aog Jersey,

exc: l ud • ng**Cypn.~s,** Greece, R.uss 1 a, Turkey

and Ukra 1 ne

Europe 8 a North Africa

Algene, Cyprus, Greece, LJbya, Morooco,

R.USSIII (exdudong MO$COW), TUniS I II,

Turkey and Ukra1ne, exdud • no Egypt

Isra e l a Ru ss ia

Te l Av t v end Moscow

Middle Ell s t

lndudes Egypt

North Ameri c a**a~ t**  8. caribbean

All North Amenc.an routes e x dud1ng those

listed under North. Amence West

North Ameri c a W M t

Dallas, Denver, Houston, las Vegas,

los Ange l es, Phoemx, San Dteoo,

San franCisco, Seatt l e and Van<lOuver

Afri c a &. SOuth Mla 3

All Afr.can countnes i ndud i no domest i c

oonnecbons wrth Coma 1 r but e x dud1ng

Algene, Egypt, L • bva, Monxx:o and

Tums 1 e

. Includes Ind 1 11 and Me l d 1 ves

Ce:ntral 8. South Ame:rica 8. F a r East

Argent i na, SriZJI and Me x KO;

Ctuna, HoogKoog,**Jap.~~n,** Sm9apore and

Tha 1

land

Au!litralia

Sydney

R oute s within;

Ca r i bb ea n

Intra Car i bbean routes

Middle Eut

Abu Dhabi tolfrom Muscat,

Bah.ram to/from Doh.a

South America

Sao Pau l o to/from Buenos Aires

R outes operate:d by Comair:

Afncan Domestic: (exc l ud i ng MauntJU5)

South**Afr.~;a** to Maur.t 1 us

Routes operated by OpenSkies:

E ligible**abin ~** 

Pans (Orty) to New York (New.,rk)

Note s : n/a n/a

n/a 6,240

n/a 9,360

17,320 13,860

23,760 18,480

24,300 18,900

29,160 22,680

32,670 25,410

35,640 27,720

47,520 36,960

5,94() 4,620

5,940 4,620

17,320 13,860

n/a 5,200

n/a 9,360

First B i z Bed

n/a 25,140 n/a

n/a

n/a

9,360

12,480

13200

15,840

17,160

U S

,720

24,960

3,120

3,120

9,360

nl•

n/a

Prem Plus

16,320 World

Traveller /

Euro

Traveller

1,560

3,120

4,680

4,680

6,240

6,600

7,920

8,580

9,360

12,480

1,560

1,560

4,680

2,600

4,680

Ec o•

9,270**~** Pomts listed are for round

· t rip A1ghts. Tl!!lxes, fees, charoes and secunty s u rcharges

reml!!l•n payable on reward AIQh.ts and rewl!!lrd R i ght upgrades.

1 Routes operated by franc:hase partner Sun-Air of Scand • rww •

a A/S w 1 ll redeem at the same

po4nts levels as UK Domest t c.

3**D~rect** Sf!I"VIOI!:S between Austra li a tO/from S 1 ngapore w1ll redeem at the same pomts l eve l s

a.s Africa&. SOuth As i a.

& Eco c:ab 1 n on OpenSk 1 es routes 1 s ava1 l ab l e from 19 June 2012 onwards. !!!![! USA

- Enghsh Q.15 Attachment 1016 Attachment 11

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onewo ri d

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- M ozi ll a F i re fox 

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# n

A d ul t tra v e ll e r (s)

Surcharge 579

. 00 USD

l.lultiple Surch a rges 367

. 00 USD

U

. S

. Internationa l Tr a nsportation Tax- Departure 1 7

. 20 USD

Sep t ember 1 1 th Security Fee 2

. 50 USD

UK Passenger Serv i ce Charge 1 12

. 78 USD

Tax descr i ption u na v a i lable ( AEAD ) 20

. 42 USD

Tax description una v a ilable (TPS E ) 1

. 36 USD

Passenger Service a nd Security Ch a rge 24

. 68 USD

Hong Kong A i r P a ssenger Departure Tax 15

. 48 USD

Passenger Serv i ce and Security Charge Singapore 1 1

. 34 USD

Tax descr i ption un a v a i lable ( OPA E ) 4

. 98 USD

Tax description una v a i lable ( OOSE ) 6

. 53USD

Passenge r Serv i ce Fac i lities Charge -Japan 22

. 35 USD

Tax descr i ption una v a i lable ( OIS E ) 1

. 1 2USD

P

assenger F ac irr ty Charges 4

. 50 USD

1,19 1 .24 USD

x 1 Adult(s l = 1,19 1 .24 USD

tota l taxes = 1

, 1 9 1 .2 4 USDVerification

Pursuant to Title 18 United States Code Section 1001, I, Benjamin Edelman, in my individual capacity,

have not in any manner knowingly and willfully falsified, concealed, or failed to disclose any material

fact or made any false, fictitious or fraudulent statement or knowingly used any document which

contains such statements in con nection with the preparation, filing

, or prosecuti on of the pleading. I

understand that an individual who is found to have violated the provisions of 18 U.S.C. Section 1001

shall be fined or imprisoned not more than five years, or both.

Benjamin Edelman, Esq.Certificate of Service

Pursuant to 14 CFR 302.7(b), I served this document on Richard Mendles, General Counsel for Americas,

British Airways Plc, by electronic mail to richard.mendles@ba.com. I received no indication that any

transmission had failed. I sent the emai l on Fe b ruary 5

, 2013 at a ppr oximately 9:50pm Pacific time.

Signed February 5 th 2013 in San Franci sc o, CA,

Benjamin Edelman