NYTimes.com: Big Fare Increases, Crowded Planes, and More Delays

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BUSINESS | January 15, 2008
Memo Pad: Big Fare Increases, Crowded Planes, and More Delays
By JOE SHARKEY
BIG FARE INCREASES After United Airlines raised domestic fares across the board by $50 a round trip on Friday, most major carriers quickly followed with similar increases on many routes, according to FareCompare.com. The reason was sharply higher fuel costs. Delta Air Lines raised its round-trip fares by $50 immediately after United's move. American Airlines also posted $50 round-trip increases on 55 percent of its route system, though "conspicuously absent" are increases on its routes that overlap with many Southwest Airlines routes, said Rick Seaney, the chief executive of FareCompare.com. Then on Monday, Northwest Airlines also joined in the $50 increase on most of its routes. Continental Airlines, which initially raised fares by $50 on some routes on Friday, withdrew the increases Monday morning, but Mr. Seaney said it was unclear whether Continental might reverse course again soon. This was the second broad fare increase in 2008, and the 10th since last Labor Day, Mr. Seaney said, adding: "It seems the legacy airlines, United in particular, are forgoing the nickel-and-dime strategy of increases every few weeks and are going for the whole enchilada at one time.".

http://www.nytimes.com/2008/01/15/business/15memopad.html?ex=1201064400&en=736b8228e5e94cca&ei=5070&emc=eta1




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