IN EARLY JANUARY, Delta Air Lines mailed a form letter to its meeting planner customers announcing the demise of the Delta Meeting Network.

As of February 28, Delta will no longer have a meeting department, offer meeting zone fares, or honor previously negotiated meeting concessions. The letter from Pam Elledge, Delta's vice president of sales and distribution, stated, “this letter shall serve as our notice of Delta's election to terminate your Delta Meeting Network Agreement.” Planners were directed to Delta's SkyBonus program Web site for information on incentives for meeting travel, such as upgrades and online account management.

What the airline is offering is a new SimpliFares structure — also announced in the January 5 letter. The new structure eliminates the Saturday night stay requirement, reduces the change fee to $50, and cuts the costs of unrestricted business fares up to 50 percent. “Corporate America will save a ton of money,” said Alan Krensky, president and CEO, Colpitts World Travel, Dedham, Mass., speaking on the issue at a meeting of the Northeast Chapter of ICPA, an association of insurance and financial services conference planners. “The problem,” he was quick to add, “is that Delta is going to have the same pricing for individuals as for big groups. It doesn't make sense that business-to-business will be the same price as business-to-consumer, but that is the model.”

Planners at the ICPA meeting were stunned and concerned. “This is huge,” said one Delta customer, upset at losing a relationship that had helped her to get important concessions and to track airline spend. Her airlift agreements with Delta for two large 2005 meetings that will take place after February 28 are now null and void.

Krensky predicted that other big carriers will follow suit. “The airline industry is reactionary,” he said. “Other airlines will follow Delta's lead.”