New York, N.Y. – Scott Solombrino, president of the Dav El
Chauffeured Transportation Network told attendees at the
Corporate Travel World Show in New York City in March that
his company would increase rates by six to 10 percent by
June, due to rising insurance and fuel costs.
He made the announcement at a Car Rental and Ground
Alternatives session, referencing rental car companies that
had recently gone out of business because they hadn’t
sufficiently increased rates to cover skyrocketing costs.
Solombrino and representatives from BostonCoach and Carey
Worldwide Chauffeured Services reported a steady climb in
sales, but those sales are not making up for rapidly
increasing costs, Solombrino said. This will be Dav El’s
first significant rate increase in three years.
Todd Stephens, senior vice president of BostonCoach, said
that a rate increase was not currently planned, but that
his company would continue to monitor economic factors.
Rising fuel costs could affect his company’s decision, he
Vince Wolfington, chairman of Carey International said
there are no plans for rate increases at his company,
despite rising costs.
Solombrino, Stephens and Wolfington were optimistic about
the ground transportation industry and the economy overall.
Stephens reported consistent incremental growth; Solombrino
noted a trend of strong sales that began in November 2003;
and Carey has seen significant volume increases since