World Soccer Cup 2010 - Facts and Information.

Dear Valued client.

Gold Reef Place have embarked on putting together an information

pack that we envision will assist our corporate clients in the planning

of their day to day corporate travel during the FIFA 2010 World Cup ™.

The source of our information is gathered from a wide pool of suppliers

as well as from within the public domain. We hope that this compressed

version will be of assistance.

Business Travel during the FIFA 2010 World Cup ™ will be very

restrictive due to the magnitude of this event and Gold Reef Place

trust that this document will create awareness and assist our valued

clients to plan itineraries in advance to ensure the minimum cost and

frustration possible over this period of June and July 2010.

Please look out for regular updates to our travelers and travel bookers.

The FIFA 2010 World Cup ™ will be held in nine cities across South Africa from 11 June 2010 and it will be

concluded with the final game, 11 July 2010. Thousands of people will visit South Africa during this period,

and the matches will have an estimated cumulative worldwide audience of around 6 billion people.

The South African host cities during 2010:

The FIFA 2010 World Cup will have a huge impact on Business Travel possibilities, but the pre- and

post- events also need consideration. The diagram below can be used as a guideline indicating the

magnitude of disruptions to the business travel environment

                   Football Dates                                                     School & Public Holidays.

The FIFA 2010 World Cup  is considered to be close to 15 times larger than the 1995 Rugby

World Cup held on South African soil. Business travel will without any doubt be disrupted due to the

volume of supporters and media traveling with South Africa.

Key impact areas:

With little less than 8 months to go before the kick-off of the World Cup, many International

airlines have already confirmed that they are already fully booked especially over the start and

end of the tournament. ACSA has confirmed that high-volume expectations could top 20 000

passengers on a fly-in and fly-out basis at any given point over this period. Huge delays are

expected due to the sheer volume of Air Traffic over the period of the tournament. One of the

ways to reduce the pressure in travel movement planning would be to add considerable more

flights throughout the night between soccer stadiums. To date, no airline has

released any prices for the World Cup period. Please see our interim estimated fare sheet that

flights into and out of the host cities will be overbooked.

Football ruling body, FIFA has identified accommodation as one of the major challenges

before the tournament kicks off. According to FIFA there is an approximate shortfall of 15

000 rooms for the FIFA 2010 World Cup ™ . All the major hotel brands within South Africa

have already contracted with MATCH at a pre-defined room rate; therefore corporate rates

will not be available during this period.

Many hoteliers and apartments see the FIFA 2010 World Cup ™ as a unique opportunity,

causing huge price inflation in areas. Prices for Hotels and Guesthouses in the smaller

venues have already rocketed by up to five times normal rates for the duration of the FIFA

2010 World Cup .

There will be a limited supply of rental cars available due to the high demand during the FIFA

2010 World Cup It is therefore vital that travelers book well in advance

As the main International airport in South Africa, OR Tambo International Airport is a transport

hub for the country. The airport's new R2.2-billion central terminal building is well on its way to

completion, with parts of it already in public use. The new atrium at international arrivals,

opened in September 2008, is proving to be a popular area for people waiting for passengers.

With additional retail facilities and an enlarged and refurbished food court, there is now no

shortage of things to do while waiting at OR Tambo. Seventy-five additional check-in desks

were commissioned in the enlarged departures area in April 2009, along with an additional six

baggage carousels, allowing passengers to be processed and put on their flights more

efficiently. The addition of a second multi-story parking bay, which will see an additional 5 200

bays in place in time for the World Cup, will go a long way towards accommodating the

increase in passengers. The introduction of bay detection technology has also vastly

improved the ease in which passengers can find parking, with green or red lights indicating

whether bays are open or not.

Over six-million passengers pass through Cape Town International Airport each year, and this

a figure is expected to double by 2015. Construction of a new R1.5-billion central terminal

building is progressing well, with the new departure facilities currently being commissioned. A

new multi-level, 4 000-bay  parkade, built at a cost of R400-million, is due to open in

December 2009, with the first 400 bays already open to the public. The last phase of Cape

Town International's development, due to be complete in March 2010, is the extension to the

existing arrivals terminal, with pedestrian connectivity to the central terminal building.

Work is going well on the brand new R7.5-billion airport which will eventually take over the

services of the existing Durban International Airport. With progress now standing at 72%, the

landscape on which the new airport is developed has undergone dramatic changes. The 3.7-

kilometre runway will be capable of accommodating the largest carriers, such as the A380,

while 6 500 parking bays are under construction.

An additional 2 000 buses have been imported to transfer supporters – adding to the highly

congested traffic on the roads. When the teams are not playing, supporters will frequent the

Fan Parks or embark on tours within or around the cities of their choice.

There will be limited access and in some instances complete road closures in the areas

surrounding the stadiums and fan parks during the matches as well as training venues for the

national teams.

These are situated in central areas of South Africa to enable the general public and fans, who do not have

match tickets, to watch all the games on big screens in a festive environment. Entrance to the Fan Parks is

free and it is expected that these Fan Parks will attract a lot of visitors. The fan parks are linked directly to

the bus, taxi and pedestrian routes.

Considered areas for Fan Parks:

Western Cape

The Grand Parade / Bellville Velodrome / Atlantis / Khayelitsha / Maynardville

Johannesburg

Mary Fitzgerald Square / Innes Free park / Walter Sisulu Square

Durban

Durban Beachfront

The officially selected training venues (Western Cape: Athlone Stadium and Philippi Stadium) for the FIFA

2010 World Cup are located in disadvantaged areas. The majority of these communities are ardent

football fans, and the turnout to watch open training sessions is sure to be massive. Teams practicing in

Cape Town will enjoy a significant following and enjoy the privilege of being a part of a lasting legacy

through their involvement in improving local infrastructure. And of course they will make a lasting impression

by interacting with the local communities

One needs to consider that on any match day close to 100 000 travelers could possibly use a travel

commodity (flight / rail / bus / road).

An important date to remember is the 04th of Dec 2009. The 2010 final draw for the groups of national

teams competing in the FIFA 2010 World Cup will be held in Cape Town on this day. This draw will

indicate where the teams will be based and where their supporters will be spending most of their time.

Plan business trips far in advance and consider changes to tickets during this period will not be possible and

rather expensive.

Conclude meetings at a location that is in the opposite direction of a stadium / fan park.

Plan travel in off peak periods, considering time and days of matches (13h30, 16h00 and 20h30) as there

will be traffic congestion around the stadiums and the Fan parks.

Allow for a minimum of 2 hours to get to the airport in Cape Town and possibly 3 hours for Johannesburg

due to the congestion on the roads both to and from the Airports

Parking at the airport will be impossible

Consider Video Conferences or teleconferencing over this period.

1. What is your 2010 strategy with regards to your current corporate clients?

2. Will there be pre allocation for 2010 World Cup?

3. Will you be communicating with your current corporate clients as to when bookings can be made and confirmed

4. How far in advance should Corporate be making bookings to guarantee a seat

5. What areas and dates in South Africa will be most affected by 2010?

We have blocked out corporate travel from 09 June 2010 to 20th of July 2010. We will in all

probability open this up a bit but can only finalize once the draw has been done in December.

Block outs will purely be based on demand of the matches.

Currently we have blocked out the above period but again cannot finalize.

Corporate clients will be able to book but it will be at the normal public rate and at a first come,

first serve basis.

Once the draw has been done on the 4th of December and we have finalized all the dates, we

will notify our clients if the afore mentioned period will be open for corporate travel at the

corporate rate.

It would be good to book far in advance but again nothing is final.

I would say that your main sectors like JHB, DBN & CPT would be most affected but as yet no

dates or sectors have been finalized. We will be able to provide more clarity after the draw on

the 4th of December.

At this stage BA Comair have decided to only release Y and

J class fares. These Y and J class fares will be sold at a

premium as per below dates 8 June to 29 June: Y class fare

will increase from R1910 to R2000 and J class from R2680

to R3000.

These fares have been set at these levels to prevent

speculators in the market buying up allocation now. These

fares will also be reviewed after the draw in December

when we will then have an accurate idea of demand and in

which directions the traffic will be moving. There is a strong

possibility that price may be reduced, or lower class

availability will be released, based on where the larger

games would be, and direction of travel. In other words

flights may be over subscribed to CPT, but empty on the

return which would affect pricing, that is why the draw is so

important to determine strategy.

Clients are welcome to buy allocation upfront as per the

above mentioned pricing and Corporate discounting. This

can happen immediately at the pricing mentioned above.

Corporates can book immediately up until day of departure

subject to Y and J class availability. It is difficult to predict

what the demand would be, so there may very well be seats

available on departure. Volumes and availability will be

determined by where the big games will be played.

Also difficult to answer until the draw in December. We do

expect that if the anticipated number of supporters do

arrive, all destinations will be extremely congested, and all

transportation and accommodation will be over subscribed.

Comair will review its current 2010 pricing strategy after the

draw, where we will then have a more accurate picture of

where the demand will be highest, and in which direction

the flights will be fullest. As and when new information

becomes available, this will be communicated in due

course.

It is widely documented that the FIFA World Cup will ensure

a major influx of visitors to our shores. There is no doubt

that Southern Sun is definitely geared up to welcome each

and every visitor and is fully prepared and ready to

accommodate them in true Southern Warmth. Local

travel  be it Business and/or Leisure is certainly bound to

pick up radically within the period of the World Cup and

beyond. Signals are positive that as Southern Africa is a

long haul destination, visitors will either extend their time

after the games or ensure that some leisure time is worked

in, should they be here for business purposes. Our

centrally located hotels in various major cities also give the

visitor the opportunity to explore the environment beyond

the soccer stadiums. Southern Sun is geared to ensure that

each visitor to our country, becomes a return visitor  and

this has become our mantra with every single

interaction. We truly believe and have a concrete belief that

the FIFA World Cup will stimulate the hospitality like never

before in our history.

"Due to the public school, private school & tertiary institution

holidays being over the same period, the 2010 World Cup

does pose a good opportunity for Club Med. However, until

the match itineraries have been formalized (we believe it will

be around the 4th December) and the airlines release their

flight schedules we cannot determine what the lift impact to

Mauritius & the Far East will be

Like many other tourism organizations, Avis Rent A Car has

dedicated internal resources to develop plans to absorb the

anticipated spike in demand during June / July 2010 despite

the expectation that corporate travel will reduce significantly

over this period, due to highly reduced rooms and flight

availability. Herewith their 2010 focus areas;

FLEET

Avis Rent A Car do not intend purchasing additional

vehicles specifically for the World Cup period, however they

will maximize their available fleet at the time.

RESERVATIONS

It is already apparent that there is a great demand for

people carriers (eg. VW Kombi) and automatic vehicles.

Several conditions are likely to be placed on the various

vehicle groups to try and ensure an uninterrupted level of

service to our customers during this period. Customers are

advised to book as early as possible to avoid

disappointment.

PRICING

Avis Rent A Car will be honoring their contracted customer

rates during the World Cup period whilst maintaining the

non-contracted business rates based on vehicle demand.

The contract fee will change from a per-rental charge to a

daily charge per vehicle group during the World Cup period.

Both the need to relocate vehicles and the increase in

resources to meet the FIFA World Cup 2010 rental demand

at the various host cities will result in some changes to their

usual price structures such as one-way fees.

DEPOSIT REQUIREMENTS

In General, no deposits will be required for reservations

from customers with existing accounts, however customers

with unusually high rental requirements over the World Cup

period may be required to pay a deposit.

Low cost airline Mango says it will offer a 24-hour operation

during the 2010 World Cup, comprising an extended

schedule as well as charter operations, along with support

services such as its call centre and Guest Services facilities

open at all times to assist Guests. The airline says it

expects a massive uptake in bookings following the final

draw, due to take place on 4 December, when match

venues will be confirmed.

Mango has planned substantially for the event, says CEO

Nico Bezuidenhout. However, unlike some of our

competitors, Mango will not be increasing its fares simply to

cash in on the influx of tourists.

Bezuidenhout says he was disheartened to see some

airlines charging close to R10 000 for a return trip between

Johannesburg and Cape Town next year July.

Bezuidenhout says that Mango will operate around the

clock over the period of the tournament, and that the airline

is already geared to manage the sharp increase in travelers

expected. With an extended schedule and our charter

operations, Mango should quadruple the number of Guests

we transport during this period, adding that along with the

upgraded airport infrastructure, handling of increased

volumes should be efficient.

Beyond scheduled flights, we have already had several

charter bookings and expect the rush for flights after the

December 4 draw, adding that Mango expects the rest of

the travel industry to follow the same trend

Low cost airline Mango says it will offer a 24-hour operation

during the 2010 World Cup, comprising an extended

schedule as well as charter operations, along with support

services such as its call centre and Guest Services facilities

open at all times to assist Guests. The airline says it

expects a massive uptake in bookings following the final

draw, due to take place on 4 December, when match

venues will be confirmed.

Mango has planned substantially for the event, says CEO

Nico Bezuidenhout. However, unlike some of our

competitors, Mango will not be increasing its fares simply to

cash in on the influx of tourists.

Bezuidenhout says he was disheartened to see some

airlines charging close to R10 000 for a return trip between

Johannesburg and Cape Town next year July.

Bezuidenhout says that Mango will operate around the

clock over the period of the tournament, and that the airline

is already geared to manage the sharp increase in travelers

expected. “With an extended schedule and our charter

operations, Mango should quadruple the number of Guests

we transport during this period,” adding that along with the

upgraded airport infrastructure, handling of increased

volumes should be efficient.

“Beyond scheduled flights, we have already had several

charter bookings and expect the rush for flights after the

December 4 draw,” adding that Mango expects the rest of

the travel industry to follow the same trend.

Europcar Germany reported that the 2006 World Cup did not materially benefit their car rental industry. However, the car rental

industry in Sydney experienced similar low demand during the 2000 Olympic Games. They reported that most of the requests

for transport came from the coach and bus operators and for luxury chauffeur driven minibuses. This may be because German

public transport is far superior to that of South Africa’s. Due to the close proximity of the European countries and excellent

public transport system much of the requests were for luxury vehicles and bus operators.

Europcar are fast seeing increased interest from organizers, sponsors and the general public and expect requests to increase

substantially after the 2010 draw in to be held in December when fans will firm up on their travel plans once they know where

their teams will be playing.

Any demand for rental vehicles during the six week event period, will be balanced out by a major drop in business travel due to

the limited availability of flights and hotel accommodation, with many turning to teleconferencing. And even though the

Government has rescheduled school holidays to coincide with the event, the premium rates charged by hotels and airlines will

decrease the amount of local leisure travel significantly.

So is it wise for car rental companies to increase their fleets for the 2010 World Cup? This is an absolute necessity. Demand

will undoubtedly exceed the industry’s expectation. Besides delaying the de-fleeting of vehicles, we are fully geared to easily

increase our fleet by up to 30%. Europcar is able to flex the fleet up and down due to the vast infrastructure and wide dealer

network within the Imperial Group.

In addition, Europcar have plans to launch some key products and services that will afford great value to their customers,

including tourists during the 2010 World Cup.

Another key learning from the German World Cup was the increased tourism for years after the event. If South Africa can

present itself as the friendly and beautiful country that it is then the car rental & tourism industry stands to gain substantial long

term growth.