News Releases

Travel Agencies Save More than $600,000 with ARC's New TRS Debit Memo
Process in 2015

$13.1 Million of Issued Ticket Resolution Service Debit Memos Paid within 15 Days of Issuance


ARLINGTON, Va. – February 02, 2016 - Airlines Reporting Corp. (ARC) announced today that in 2015 travel agencies leveraged a change in the Ticket Resolution Services (TRS) program, which eliminates TRS compensation fees for agencies if TRS tickets are paid within 15 days of issuance. This change has resulted in a significant reduction in travel agency fees, saving agencies $616,000 last year.

“The TRS program change has been very beneficial for Fareportal as it allows us the opportunity, and ample time, to research and resolve transactions without having to worry about incurring compensatory fees,” stated Dorota Szawrycka, senior manager of chargeback and airline debit memo department at Fareportal. “We saw significant savings on fees in 2015 with this new policy and look forward to continued savings this year.”

Airlines also benefited from faster payments as the number of TRS debit memos resolved within 15 days increased from 46 percent in the first half of 2015 to 65 percent in the last six months of the year.

Yvonne Garino, manager of finance and accounting at Scandinavian Airlines of North America (SAS), said of the change, “SAS has been a customer of ARC’s TRS debit memo program for years. We have seen positive results with the introduction of the 15-day grace period, including faster memo payments and a significantly reduced number of outstanding memos. We really appreciate the service ARC provides us by facilitating solutions to this industry wide problem.”

Prior to January 2015, ARC charged agencies a flat fee of $43 per ticket included in each TRS related debit memo, regardless of when the memo was paid. Beginning in 2015, a fee is not imposed if the memo is paid within 15 days of issuance; after 15 days a flat fee of $55 per ticket is applied. The policy change to the TRS debit memo was based on feedback from the ARC Debit Memo Working Group (DMWG).

The DMWG continued its progress in 2015 with the completion of reason code definitions for debit memo categories and will continue to address the complex issues around debit memos in 2016. Instituting standard reason codes will help both agents and carriers further analyze why debit memos are issued and better establish action plans to reduce them.


About ARC:
ARC powers the U.S.-based travel industry with premier business solutions, travel agency accreditation services, process and financial management tools, and powerful data analytics. In 2014, ARC settled $89.6 billion worth of carrier ticket transactions for more than 9,400 travel agencies with 13,000 points of sale. By providing world-class business services and products, ARC enables participating agencies and 200 carriers to focus on what's important–increasing their revenue. Established in 1984, ARC is headquartered in Arlington, Virginia. For more information, please visit www.arccorp.com.