Latest round of low airline prices -economic suicide?
US airlines announced a spring sale on thousands of domestic and international flights.
United and US Airways announced broad fare sales earlier this week, “an action other major airlines typically follow,” according to The Chicago Tribune.
Northwest quickly matched those rates.
Travelocity said it recorded more than 47,000 airfare reductions ahead of the sale, which it said accounted for one of the most widespread price markdowns in recent history, according to a company spokeswoman.
One example was United, which dropped the price of a ticket from Chicago to London from $488 to $420.
Each airline had restrictions, however. Some flights must be made in the next few months, for example.
Some industry experts, however, questioned the wisdom of the move when most U.S. airlines are strapped for cash.
“I love how two bankrupt airlines are lowering prices at the same time oil prices are surging upwards,” Henry Harteveldt, vice president and travel specialist for Forrester Research, told the Tribune. He added:
“The airlines are just continuing to commit economic suicide.”
Report by David Wilkening
David
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