Direct Procurement Notice - GSA SUA

1. Purchaser: S.C. COMPANIA NATIONALA DE TRANSPORTURI AERIENE ROMANE TAROM S.A. („TAROM”);

2. Technical specifications of the products: TAROM representation on USA market as General Sales Agent (GSA);

3. Purpose of the project:

  • TAROM representation on USA market as General Sales Agent (GSA);
  • Promotion and sales of passenger tickets on the air services of TAROM.
  • Use of a proper office space on their premises, exclusively for developing the activity to the benefit of TAROM.
  • Booking of seats for passengers and performance of operations derived from this activity.
  • Selection and appointment of subagents for selling the Transport Documents for passengers within the territory of USA. The General Sales Agent being directly liable for their activity concerning the sales of the Transport Documents, the settlement of accounts and the account for the collected amounts, the observance of rules concerning the rates and the IATA Resolutions.
  • The supervision and training of their own staff and agents, within the territory of the General Sales Agent and the settlement of accounts with them, concerning the sales performed on basis of the Transport Documents of TAROM.
  • Distribution and display of the timetables and advertising materials supplied by TAROM;
  • Organizing the advertising of the activities of TAROM. Shall be done under the conditions agreed upon with the latter, by means and on the expenses of the General Sales Agent, based on an advertising plan mutually agreed by the parties.
  • To undertake any effort meant to increase the good reputation of TAROM within the territory of the General Sales Agent, relations with the government authorities, official and unofficial organizations, press, public and any other persons.
  • Submitting to TAROM on quarterly basis and/or when requested by TAROM, a report of its activities, the market conditions, statistics, as well as any local rules and regulations pertaining to the activities covered by this Agreement.
  • Drawing up and submitting in due time all the documents required by the local or international regulations and by the domestic regulations of TAROM. The General Sales Agent shall place at the disposal of TAROM, upon the request of the latter, all and any supporting documents required by TAROM.
  • Representation and assistance of TAROM, upon its request, in the relation with governmental authorities or other authorities, officials, offices or agencies including IATA agencies, who exert jurisdiction or control over the territory of the General Sales Agent. The above mentioned should cover the representation and assistance for airport operations, obtaining landing and overflying permissions, airport slots, submitting the documents to aviation authorities, etc.
  • Act TAROM interface within ARC regarding all ARC administrative matters of concern to TAROM. (i.e.: TAROM relation with its appointed IATA agents, including signing contracts- "Airline Agency Agreement" - with IATA agencies who request "Ticketing Authority" – if necessary, etc,)
  • Assign "Ticketing Authority" to TAROM appointed IATA agents in ARC;
  • Issue and/or reissue of the TAROM Transport Documents, at all it’s offices, including Airport office – if any, that is: tickets for passenger air transportation, excess baggage tickets, EMD’s and any other document related to air transportation.
  • In the event of irregularities in issuing these documents or should these documents be missing as result of the General Sales Agent’s failure to supply the necessary information, the General Sales Agent shall be responsible for the entire prejudice.
  • Keeping statistics and up-to-date records of the received, sold and accounted documents.
  • Upon specific request of TAROM, the General Sales Agent pays invoices on behalf of TAROM. The payments made on behalf of TAROM will be performed only according to the authorization received from TAROM Financial Department.

5. Place where the products / services / works are provided: _____________

6. Delivery term for products supply / services provision / works execution: After the Agreement is signed and the bank guarantee is confirmed by TAROM bank;

7. The price of the products / services / works shall be expressed in: Percentage of the sales performed by the GSA and the appointed agents within the territory of the GSA. Applicable currency: USD (VAT excluded);

Other mandatory provisions regarding the supply of products / performance of works:

The bidders must be legally registered companies in USA, with verifiable experience in the field of commercial representation as GSA for passengers to foreign airlines in USA;

The bidders must not have the quality of an IATA ARC sales agent registered on the same address but may have a different location (the office / correspondence address different) that can be a member of IATA ARC in USA.

In order to participate to the open tender procedure, each bidder shall, within the term mentioned in this document, send by post / courier to TAROM a file containing the following documents prepared and / or translated into English and certified as appropriate:


Official letter of presentation of the company, including its parent company (if applicable and if it will be involved in the process of negotiating and signing a GSA contract) explicitly stating the intention to participate to the open tender with the purpose of appointing a GSA for TAROM on USA market;

Presentation of the business owner and board members, presentation that will contain, besides studies and experience, any other information related to commercial activities in which they are eventually involved;

Detailed description of available facilities, including:

- Number of locations (offices);

- Their geographical location;

- Number of employees at each location;

- Qualification and experience available of the staff;

- Available/used reservation systems;

- Annual sales volume for the past three years.

A general description of the country where the GSA will represent TAROM;

Feasibility study that will include the following:

- Detailed analysis of the market, including USA total market potential;

- The total volume of passenger traffic, and the estimated part eligible to be secured on TAROM flights in both directions;

- The amount of revenues expected to be provided to TAROM on USA market;

- Positive and negative factors regarding TAROM operation on USA market;

- The value of the annual income generated in USA by the tourism and air transport sectors;

- Statistics referring to the number of passengers carried by airlines in the last 3 years;

- Market share of these companies on the most important 5 to 10 routes;

- Analysis of the operation of competition, number of flights, aircraft type, total number of seats offered in the past year;

Technical and professional contacts that the company have with:

- The national airline;

- Other airlines operating on the market;

- Airport and air traffic authorities.

Cooperation project, estimates of the volume of traffic that the bidder will be able to provide on TAROM flights, type of traffic, etc,;

GSA commission amount/percentage that the bidder will request from TAROM and the calculation formula;


Company registration documents, last financial report registered with the USA Fiscal Authorities, proof of the existence of the legal personality within the corporation of which belongs (if applicable), documents certifying that there are no additional formalities to be fulfilled in order to allow the bidder to operate legally as GSA for TAROM, and a statement on own responsibility that the above information are accurate and complete. These documents will be translated into English and notarized;


References obtained from other airlines and from the bank / banks with which the bidder cooperate on USA market;


Last financial statement received from the bank;


The company's latest financial report;


Statement on own responsibility that the bidder is willing and able to provide a bank guarantee in favour of TAROM;

Bank guarantee will be open under the following conditions:

- Value of 100.000,00 USD (one hundred thousand US Dollars only);

- Bank guarantee will be valid for one calendar year. The bidder is required to renew this guarantee at least 30 days before the expiry date;


Bank guarantee shall be open with a first ranking international bank with which TAROM banks are in correspondence, namely BRD - Groupe Societe Generale Romania, Citibank or ING Romania;


- Empowered people to sign GSA agreement.

8. Any interested business operator can obtain additional information upon written request sent to TAROM by email, at: mihai.bornaz@tarom.ro;

9. Email address for the submission of offers: mihai.bornaz@tarom.ro and by mail/courier at the following address:

Mihai Bornaz

TAROM – Romanian Air Transport

224F Calea Bucurestilor, Otopeni, 075100, Ilfov, Romania

10. Deadline for the submission of offers: 03rd January 2019 at 16.00 local time Bucharest (GMT+3);

11. Criterion applied for the offers selection: Lowest commission required by the bidder providing that all the above conditions are observed.

.Annex: Draft of the standard GSA Agreement. The negotiable provisions are mainly the ones related to the commercial aspects of the cooperation, provisions mentioned in the Annexes of the Agreement.

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