Judge allows flyer advocate’s suit to go forward (AP)

ATLANTA – A lawsuit by a passenger rights advocate seeking at least $11 million from Delta Air Lines Inc. for allegedly conspiring to obtain hacked e-mails from her computer has survived a challenge from the airline.

A federal judge in Houston has rejected Delta’s request to throw out the lawsuit. U.S. District Judge Sim Lake said in an order dated Thursday that a reasonable person could conclude that it was more likely than not that it was Delta that hacked into Kate Hanni’s computer and stole her files.

Hanni, of FlyersRights.org, alleges that Delta wanted to derail her efforts to protect air travelers from lengthy tarmac delays and other inconveniences.

Delta, based in Atlanta, denies wrongdoing.

The judge said Delta had motive and means and despite the carrier’s explanation that it came upon the e-mails through legal means, there is genuine dispute about how Delta got them. Sim is allowing the case to move forward. No trial date has been set.

A Delta spokesman declined Friday to comment on Lake’s ruling.

Hanni and her group have been a thorn in the side of the airline industry, pushing Congress to enact a passenger bill of rights at a time when airlines have been suffering from big revenue declines due to the drop-off in demand for air travel during the recession.

In late December, the Department of Transportation imposed new rules on airlines, including one that limits tarmac delays to three hours. Hanni and her group supported the limit.

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Peru hopes to get last tourists out Friday (AP)

MACHU PICCHU PUEBLO, Peru – Buoyed by the return of good weather, authorities are hoping to evacuate on Friday the last tourists stranded near Machu Picchu, the fabled Inca citadel that is likely to stay closed for weeks even if the region dries out.

Peruvian Tourism Minister Martin Perez said only about 800 tourists — mostly younger travelers — were still in Machu Picchu Pueblo, the closest village to the ruins that stand on an Andean mountain ridge 8,000 feet (2,400 meters) up.

Clear skies Thursday allowed helicopters to fly 1,402 people out of the town, and Perez said the rest could be evacuated in another day if the weather held.

“Right now it is raining heavily in Cuzco, but we believe the weather will be better tomorrow (Friday) to continue evacuations,” Perez told Lima’s RPP radio late Thursday.

He said 2,542 tourists in all had been evacuated since Monday, a day after heavy rains caused mudslides that blocked the only land route in and out of the Machu Picchu area.

The hordes of outsiders caught in the town of 4,000 people strained food and water supplies and there weren’t enough hotel rooms, testing tourists’ patience. Many were left to eat from communal pots and sleep outdoors.

“It’s been an adventure, a bit more than we bargained for,” Karel Schultz, 46, of Niagara Falls, N.Y., told The Associated Press as she waited to be flown out Thursday.

Even with the end of the evacuation operation close, authorities said Machu Picchu will remain closed for weeks, until the government can repair highway and railroad tracks washed out by mudslides and the raging Urubamba River. Authorities closed the Inca trail, a popular four-day trek that ends in Machu Picchu, after a mudslide killed two people Tuesday.

Evacuations were conducted by age — oldest and youngest first. Elderly travelers and children were among the 1,131 tourists who were taken out through Wednesday.

Rain prevented helicopters from landing in the town until after midday both Tuesday and Wednesday, but clear skies allowed Thursday’s flights to begin at 8 a.m.

Dozens of ragged-looking, middle-aged tourists lined up outside the train station, where they waited to walk the few hundred yards to a makeshift helicopter clearing. Younger backpackers played soccer with locals and lent a hand stacking sandbags and clearing train tracks to pass the time.

People had grown frustrated over chaotic relief efforts, price-gouging and scarce food, but the mood lightened as the weather cleared, helicopters descended from the skies and soldiers brought order to the evacuation.

When mudslides Sunday destroyed the railway, the only land transportation to Machu Picchu Pueblo, many hotels and restaurants raised prices exorbitantly — separating wealthier tourists who could afford to pay extra from those who spent days sleeping in train cars and waiting for delayed food shipments.

Dina Sofamontanez, who runs Hostal El Inka, said she dropped prices when tourists ran out of money, while some hotels on the main avenue raised theirs fivefold up to $50 a night.

“The people here are abusive. It’s all about money,” she said.

Many backpackers found themselves out of money when ATMs ran dry and they slept in the central plaza.

“We had to eat what the locals gave us, out of communal pots. There are young people who are having a real rough time because they don’t have money. The last few days I’ve shared beds with other people,” 34-year-old Argentine tourist Sandra Marcheiani told the AP.

Some 400 Americans were said to be among those stranded when train service stopped Sunday. Schultz, the New Yorker, said most Americans paid for beds and bought their own food, while those who slept in the streets were typically Argentines and other South American backpackers.

“Young backpackers from our (South American) countries have taken it all in stride … we’ve had a melting pot out here where we share everything, and that’s what we will take away from it,” Marcheiani said.

Rescue efforts were complicated by bad weather and terrain — the village is wedged between a sheer, verdant mountainside and the Urubamba River.

Another complication was the arrival of hundreds more tourists who were walking on the Inca trail hiking path when the train line was cut off.

Some 250 more tourists reached the village Wednesday and more likely came in on Thursday, though the head porter of Llama Path tourist agency, Fredy Condori, told the AP that almost all those who set out on the path Monday turned back when they heard the citadel was closed.

Also stuck were about 150 local porters who carry tourists’ packs and equipment for as little as $8 a day, said Jose Antonio Gongora, owner of Llama Path tour agency.

Authorities initially kept them from returning by foot on the train tracks that run next to the river.

“They are always the last considered and they’ll be the last ones to be evacuated if they don’t let them walk. There’s little food there, nothing. It’s rough,” Gongora said.

Condori told the AP that soldiers let the porters pass early Thursday and they reached Cuzco in 14 hours by foot and car.

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Associated Press writer Martin Mejia reported this story from Machu Picchu Pueblo and Andrew Whalen from Lima.

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Asia’s budget airlines eye growth, high fuel costs (AP)

SINGAPORE – Asia’s budget airlines will prosper as the region’s economic recovery takes hold and its middle class grows, but rising fuel costs could hurt profits, the industry’s top executives said Thursday.

Low-cost airlines fared better during last year’s global recession than their full-service competitors as individuals and companies looked to cut costs by scaling back expensive business-class travel.

Just last week, full-service carrier Japan Airlines Corp. filed for bankruptcy protection after years of heavy losses while Singapore-based low-cost airline Tiger Airways raised $178 million at an initial public offering.

Budget carriers are now hoping broad regional economic growth can boost leisure travel in 2010.

“The size of the travel market in this region is going to explode as economies come back,” said Garry Kingshott, chief executive adviser for Manila-based Cebu Pacific Air.

The region’s growing population, especially in China and Southeast Asia, and high economic growth rates bode well for low-cost airlines as millions of Asians are lifted out of poverty and travel abroad for the first time, experts said.

“The creation of first-time middle class households in emerging markets is continuing,” said Yuwa Hedrick-Wong, an economist for MasterCard Worldwide in Singapore. “If you look at the budget airlines, budget travel and so on, these are typical services that the newly-minted middle class use.”

Industry executives said higher fuel costs could cut into profits and undermine the cost advantages they have over full-service peers.

“I’m sure all of us have sleepless nights worrying about jet fuel prices, the one thing you don’t control,” said Sam Sridharan, chief commercial officer of India’s SpiceJet.

Crude oil prices have traded $10 either side of $75 a barrel in recent months after hitting $147 and crashing to $32 in 2008. Most economists say prices could rise this year and breach $100 again during the next two years, straining budget carriers where fuel accounts for up to 40 percent of operating costs.

“We all know it’s going to keep heading up and that’s one of the big risks of this industry,” said Brett Godfrey, chief executive of Australia’s Virgin Blue.

To stay competitive, executives said low-cost carriers must use the latest technology to cut costs, become more efficient and satisfy customers.

Jetstar Airways, based in Melbourne, Australia, plans next month to start sending boarding passes by text message to reduce check-in times.

“We have to constantly innovate to stay ahead,” said Jetstar CEO Bruce Buchanan.

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