ARC STATS REVEAL STRONG SALES JULY THROUGH DECEMBER

Arlington, VA, January 15, 2004 - ARC today announced that it settled higher dollar volumes of total fares and total sales in each of the last six months of 2003 than in the same months the previous year.  Total fares and total sales settled in 2003 were 4 percent lower than 2002.

"Travel agency air sales stabilized quickly after the most intense fighting in Iraq ended, demonstrating the resilience of the American people and the travel industry, as well as the strength travel agents provide the industry," said David R. B. Collins, CTC, ARC president and CEO.  "The shift from decreasing sales and fares to increasing sales and fares happened more rapidly after the war in Iraq than after the 1991 Gulf War or the terrorist attacks of September 11, 2001.  Domestic fares began increasing in July, and have grown each month over 2002, and international fares started growing in October over the same month last year."

For the first half of 2003, ARC processed decreasing sales and fares each month, compared to the previous year, including double-digit percentage declines in March and April.  In July through December, 2003, fares and sales increased as compared to the previous year.  A year-end comparison shows that total sales and total fares decreased 4 percent in 2003 as compared to 2002.

Collins continued, "The other important story of 2003 is the constant growth in average per-location sales.  Although the decrease in accredited locations is often discussed, the increase in average sales is frequently overlooked.  While the number of accredited ARC locations declined in 2003 by 13 percent, the average weekly per-location sales grew by 12 percent, showing the important role the distribution network continues to play in the travel industry."

ARC's current and archived monthly statistics are available at http://www.arccorp.com/news/news_sales_doc_stats.html.