Passenger Prime Coupon Billing

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SIS Simplified Interline Settlement

• Passenger Prime Coupon Billing
• Webcasts

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Welcome to the SIS webcast!

• Audio available over this webcast or via a
  dial-in number
• Phone Number 1 514 392 3303
• Conference ID 7026529
• 1 hour long
• 30 minute presentation
• 30 minute Question Answer (QA) session
• Please hold all questions until the second half
• You will be unable to speak
• All questions must be typed into a QA
  windowwhich will appear later
• Feedback can be entered using the statusbox on
  your screen ------------------------------gt

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Welcome to the SIS webcast!

• Audio available over this webcast or via a
  dial-in number
• You should now be able to hear something if
  youraudio is working! If not, you need to dial
  in
• Phone Number 1 514 392 3303
• Conference ID 7026529
• 1 hour long
• 30 minute presentation
• 30 minute Question Answer (QA) session
• Please hold all questions until the second half
• You will be unable to speak
• All questions must be typed into a QA
  windowwhich will appear later
• Feedback can be entered using the statusbox on
  your screen ------------------------------gt

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Overview of this webcast

• Simplified Interline Settlement Webcasts
  Introduction
• Interline Settlement Today Scope of Webcast
• Time of Sales (including Own Prorate Storage
  Switching, NFPs)
• After Uplift / Usage (including Value
  Determination Auto-Billing)
• Sampling
• File Formats
• Next Steps
• Questions Answers

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Presenters

• Gianna Monsch, External ConsultantProject
  Management
• James Shannon, IATAProject Coordination

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SIS Webcasts

• August 6
• Passenger Billings (including prime, sampling,
  auto-billing, non-prime, audit trail, and
  supporting documents)
• August 7
• Integrated Settlement Data Interfaces (including
  IS-WEB and validation)
• Cargo Miscellaneous (including Cargo original
  billings and rejections)
• September 3
• General SIS Webcast (repeat of webcast done in
  July)
• See http//www.iata.org/whatwedo/finance/clearing/
  sis/webcast.htm for schedules and materials

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Introduction to SIS (General Webcast)

• Integrated Settlement is based on the
  principles of completely paperless billing,
  invoicing, and settlement
• Benefits include
• Data quality improvements to the billed carrier
• Billing carriers upload format doesnt impact
  billed carriers download format
• Reduction in paper and courier fees and internal
  supply chain (paper handling) costs
• Automation Optional Services
• Quicker cash flow due to reduced rejection
  timeframes
• Airline Profile to be a centralized database
  for all IS options and permissions
• IS features discussed are subject to change

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Non-core Functionality

• Core functionality of SIS enables paperless
  billing and settlement.
• The non-core functionality is considered by the
  SIS Working Groups to be value-added services
  its final inclusion is dependent upon
  implementation costs and airline demand and will
  likely be billed to carriers separately, based on
  usage.
• Non-core functionality includes (but is not
  limited to)
• Time of Sales Processes
• Some file formats for some processes
• Sampling-specific functionality for processes
  other than Provisional Billing and Rejections
  (Sampling over general IS processes is core)
• Non-core functionality is coloured orange on the
  following pages

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Interline Settlement - Now
Paper invoices, with coupon listing, coupons,
rejects, supporting documents (monthly)
Recap sheets - weekly
Settlement sheets (weekly)
Billed Airline
ACH
Billing Airline
F12 (weekly) F1 net amounts of inv F2 -
summary
F3 (weekly)
ICH
ATPCO
Cargo IDEC File (monthly)
Cargo IDEC File (monthly)
Pax IDEC File (monthly)
Pax IDEC File (monthly)
(incl FF pre IDEC Validation)
prorate engine
prorate engine
ARC-Compass (NFP storage)
Previously released sales record
GDSs BSPs
AIA FF
FF receives NFP value All May receive sales
records
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SIS Simplified Interline Settlement
Integrated Settlement
IS-WEB
IS-WEB
Billed Airline
Billing Airline
Digital Signature Company
IS-XML
IS-XML
Enabling Processes
Enabling Processes
Billing Invoicing Processes
IS-IDEC
IS-IDEC
Prorate Engine
Usage File
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Time of Sales Now (Optional)
Billed Airline
Recap sheets - weekly
Settlement sheets (weekly)
Billing Airline
ACH
F12 (weekly) F1 net amounts of inv F2 -
summary
F3 (weekly)
ICH
ATPCO
Pax IDEC File (monthly)
Pax IDEC File (monthly)
(incl FF pre IDEC Validation)
prorate engine
prorate engine
ARC-Compass (NFP storage)
Previously released sales record
GDSs BSPs
Sales Records, NFPs
FF receives NFP value All May receive sales
records
AIA FF
Sales Records
Optional Proration, Storage, Switching
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Time of Sales With IS
Integrated Settlement
IS-WEB
IS-WEB
Billed Airline
Billing Airline
Digital Signature Company
IS-XML
IS-XML
Enabling Processes
Enabling Processes
Billing Invoicing Processes
IS-IDEC
IS-IDEC
Prorate Engine
Usage File
Processes at time of Sales
ARC COMPASS
NFP engine
Sales Records, NFPs, Sales Carriers Own
Prorates
Sales Records Own Prorates
Optional Proration (final non-final), Storage,
Switching (based on airline profile)
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Neutral Fare Prorates With IS

• NFP engine will be available to carriers for
  FIRST FINAL (NFP Final) and non-FF (NFP
  non-final) purposes
• NFP non-final could minimize rejections without
  any obligation by the carriers
• Neutral Prorate Correction Service (NPCS)
• Corrects errors with sales records
• Prorate still considered to be neutral
• Increasingly complex levels of correction as
  allowed by the carriers profile (Update the
  master tables, etc)
• Correction level added to record
• All Time of Sales processes, including NFP and
  NPCS are non-core

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Time of Billing Now
Billed Airline
Billing Airline
Pre-IDEC Validation for FF NFP values (updates
the PMI)
ATPCO
Pax IDEC File (monthly)
Pax IDEC File (monthly)
(incl FF pre IDEC Validation)
prorate engine
prorate engine
ARC-Compass (NFP storage)
Previously released sales record
GDSs BSPs
AIA FF
FF receives NFP value All May receive sales
records
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Submitting Billing Information With IS
Integrated Settlement
Billing File / Data (similar to today)
Billing File / Data (similar to today)
IS-WEB
IS-WEB
Billed Airline
Billing Airline
Digital Signature Company
IS-XML
IS-XML
Enabling Processes
Enabling Processes
Billing Invoicing Processes
IS-IDEC
IS-IDEC
Central Repository
Prorate Engine
Usage File
Billing Value Confirmation (Leaves Original
PMI, updates Value Confirmation PMI)
Core/non-core illustration applies to prime
coupon billings only
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Time of Billing IS Value Determination
Integrated Settlement
Billing File / Data (similar to today)
Billing File / Data (similar to today)
IS-WEB
IS-WEB
Billed Airline
Billing Airline
Digital Signature Company
IS-XML
IS-XML
Enabling Processes
Enabling Processes
Billing Invoicing Processes
IS-IDEC
IS-IDEC
Central Repository
Prorate Engine
Usage File
Usage File
Prorate Values
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Time of Billing IS Auto-Billing
Integrated Settlement
No Billing File From Carrier
Billing File / Data (similar to today)
IS-WEB
IS-WEB
Billed Airline
Billing Airline
Digital Signature Company
IS-XML
IS-XML
Enabling Processes
Enabling Processes
Billing Invoicing Processes
IS-IDEC
IS-IDEC
Prorate Engine
Usage File
Usage File
Billing and Invoice Files Created Within IS
Daily Revenue Recognition File
Weekly Pro-forma Invoice Report
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Sampling

• Provisional Invoice (as today with prime coupon
  billing via IS-IDEC, IS-XML, and IS-WEB, but with
  elements from Forms A and B)
• Universe Adjustment (Form C)
• Digit Announcement
• Digit Selection
• Digit Evaluation (Forms D and E)
• Rejection Memos Correspondence (as today with
  non-sample but with elements from Forms F and XF)
• More than other areas, final Sampling
  functionality will be based on cost and demand

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Sampling Provisional Invoice
Integrated Settlement
IS-WEB
IS-WEB
Billed Airline
Billing Airline
Digital Signature Company
IS-XML
IS-XML
Enabling Processes
Enabling Processes
Billing Invoicing Processes
IS-IDEC
IS-IDEC
Prorate Engine
Usage File
Provisional Invoice Weekly or Monthly (P4)
Provisional Invoice Weekly or Monthly (P4)
Store Invoices (Monthly Consolidation Digit
Selection)
Consolidated Provisional Invoice (P4)
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Sampling Universe Adjustment
Integrated Settlement
IS-WEB
IS-WEB
Billed Airline
Billing Airline
Digital Signature Company
IS-XML
IS-XML
Enabling Processes
Enabling Processes
Billing Invoicing Processes
IS-IDEC
IS-IDEC
Prorate Engine
Usage File
Universe Adjustment (No breakdowns)
Universe Adjustment (No breakdowns)
Store Adjustment (Digit Selection)
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Sampling Sample Finalization
Integrated Settlement
IS-WEB
IS-WEB
Billed Airline
Billing Airline
Digital Signature Company
IS-XML
IS-XML
Enabling Processes
Enabling Processes
Billing Invoicing Processes
IS-IDEC
IS-IDEC
Prorate Engine
Usage File
Digit Selection (optional)
Digit Evaluation (like Forms D E)
Digit Evaluation (like Forms D E)
Digit Announcement
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Passenger File Formats

• Subject to change based on costs and carrier
  demand
• See IS File Formats and Pax Non-Prime
  webcasts for more information

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Next Steps Sep to Dec 2008

• Webcasts through September
• RA annual meeting (September 08)
• Presentation and breakout sessions for
  information and discussion
• FinCom (September 08)
• Update on SIS (they strongly support the project)
  
• Board of Governors (December 08)
• They wish to see radical change and will decide
  the way forward
• They will be looking for initiatives that reduce
  operating costs, improve data quality, and help
  to meet environmental objectives
• SIS Project Team
• Continues the momentum through to Phase 3

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Questions?

• Email
• sis_at_iata.org
• SIS Website
• ?www.iata.org/whatwedo/finance/clearing/sis/index.
  htm