Rash of US air fare increases coming “unglued?”

Saturday, 16 Aug, 2005 0

American and Southwest Airlines became the latest in a growing line of US carriers to increase surcharges but questions began to surface whether the added fees would hold up.

The fare increases raised the cost of airline tickets to their highest level in more than two decades.

American, the world’s largest airline, increased surcharges on fares to most of its international destinations and some routes to the Caribbean by $10 one-way.

Several other US airlines have matched American’s new fees, set at $20 round trip, including United Airlines, Delta, US Airways and others.

United Airlines earlier raised their fares from $4 to $10 on round-trip flights within the US and Canada.

“This increase was to help offset the rising cost of fuel,” said Robin Urbanski, the airline’s spokesperson.

Citing the same reasons, Southwest increased most ticket prices by as much as $8 per round trip. Jet fuel prices lingered near record highs.

But the increases may be coming “unglued,” reported Pacific Business News, after

Northwest Airlines quickly rescinded its hikes.

Tom Parsons, the CEO of Bestfares.com, said Northwest’s move will force other airlines to roll back the fare hikes to previous levels.

Report by David Wilkening



 

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