1. Surface Transport Strategy Group Presentation Wednesday 4 th March 2015 Anthony Rissbrook - Managing Director - Hillgate Travel STSG Chair

2. STSG Objectives “To demonstrate and reinforce to rail and all other surface transport suppliers the value and necessity for third party selling and distribution versus direct channels and to lobby for parity on price, availability and content (to satisfy our customer requirements)”

3. Our Surface Transport Partners GROUND TRANSPORTATION CAR RAIL TICKETING SYSTEMS PARKING RAIL

4. Planned Agenda for the Year March 12 th 10.30 amTrainline Update and Strategy May 12 th 10.30 amAll 3 GDS invited to present rail strategy and content strategy for other surface transportsuppliers July 7 th 10.30 amAvis and possibly Diamond Air September 8 th 10.30 amFGW, East Coast/Stagecoach, Virgin November 24 th 10.30 amChiltern and offers to other partners “open” * Silverail meeting requested due to demand to know more…………

5. ATOC Consultations - Ongoing  Announcements from ATOC last September regarding commission plans for 2016-2019  Request for more consultation  Small group formed to (1) outline concerns (2) explain business models (3) explore options for increasing revenues  HRG, CWT, Capita, Statesman, Co-operative and Virgin, East Coast, Stagecoach, Chiltern and ATOC  Full Service TMC model explained – comparisons with rail only TMC made

6. 3 Fundamental Observations and Differences  Limited SMA/override incentives in place  No net fare opportunities  Very high distribution/ticketing costs – as opposed to GDS incentives for selling air and hotel content  Exploring options in all 3 areas to see what can be done  Most interactive consultations with ATOC and TOCs in many years  Considerable potential for TMC rail marketing to grow - if “commercials” are right

7. GTMC manifesto messages concerning rail market “If there is a single message in the GTMC manifesto……. - What we are asking for is a level playing field, to be freed of the self-imposed barriers to trade, competitiveness and productivity that will allow business to venture into the global market without one arm tied behind it’s back”

8. Strongly in Support of :  Rebalancing the UK economy – North and South, West and East  Supporter of HS2 and HS3  Linking HS2 to Heathrow or it is HS1.5……  Approval of more open access operations on mainline routes to promote competition and innovation  Maintaining pressure on ATOC to ensure clarity in fares and do more to reduce the cost of last minute rail travel  Improving productivity for travellers – Wifi on trains and in stations  Removing mobile “not-spots”

9. Actively involved in Office of Rail Regulation (ORR) Review  Lobbying advisors to the DFT  As well as ATOC and TOCs

10. In Summary  Lots going on!  Good meeting strategy for 2015  In the thick of “consultation and negotiation” with ATOC  Providing value to our partners – all surface transport – not just rail!  Providing knowledge and insight to our members  So “be there or be square” Only ATPi, CTM, Key, Reed and Mackay, Statesman, TMG, Baxter Hoare and Capita are regular attendees………