Airlines add fees to raise revenue

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Airlines add fees to raise revenue
By Marilyn Adams, USA TODAY

Low fares, long lines and body searches aren't the only hallmarks of air=20
travel this summer. Travelers also face an array of new or higher charges.=
=20
Need a paper ticket? That'll cost you, because paper tickets cost airlines=
=20
more than electronic ones. This week, American doubled its paper-ticket=20
charge to $20. Most charge $10. United has no charge. Packing golf clubs?=20
Checking a third piece of luggage now costs $80 on American, Northwest and=
=20
Continental, $75 on United, $50 on Alaska. Delta allows a third bag free if=
=20
there's no carry-on. Want a travel agent's help? That'll be $40 and up per=
=20
ticket. Most airlines have quit paying agent commissions to cut costs.=20
"These are hidden price increases," says Jim Parker, analyst at Raymond=20
James Financial.
It adds up to $150 a month for Suzanne Caplan, a frequent flier and author.=
=20
"I think a business traveler has to have a travel agent," says Caplan, who=
=20
flew 125,000 miles last year. "The problem is paying a $40 commission on a=
=20
$150 ticket." She now pays her agent a $150 monthly retainer.

Airlines have lost billions since Sept. 11, and passenger volume is still=20
off 11% from a year ago. Several attempts to raise prices have failed=20
because of resistance from some airlines. After cutting schedules, parking=
=20
planes and laying off workers, airlines are still seeking ways to boost=20
revenue or trim costs. Even profitable Southwest Airlines last month began=
=20
consistently requiring that large passengers pay extra if they need two=20
seats =97 a move that could squeeze more revenue out of some flights. Other=
=20
major carriers have similar rules. Some new fees strike passengers as=20
nickel-and-diming. Continental this week started charging $4 for beer, wine=
=20
or a cocktail on trans-Atlantic flights, where drinks used to be free. "The=
=20
rest of our system already has a $4 charge," says Continental spokesman=20
Dave Messing. "About a third of trans-Atlantic passengers have alcoholic=20
beverages. This policy now places the charge on folks who choose to drink."

The near-absence of food on domestic flights is one of travelers' biggest=20
gripes. Fliers have to skip meals, bring something from home or stand in=20
line for usually ho-hum airport food at heart-stopping prices. USA TODAY=20
Road Warrior Jerry Galiger, a North Carolina-based sales manager who's=20
flown nearly 30 years, offer this advice: When in an airport, eat where you=
=20
see "plenty of uniforms" =97 pilots and flight attendants, who know where=20
better restaurants are.

Contributing: Alison Maxwell



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