Manufacturing Industry
US airlines hike business fares over weekend
Airline Industry Information, Oct 3, 2000
AIRLINE INDUSTRY INFORMATION-(C)1997-2000 M2 COMMUNICATIONS LTD
The USA`s largest airlines hiked business airfares over the weekend, led by Delta Air Lines on 28 September which implemented a USD30 increase each way on domestic unrestricted fares for flights longer than 1,000 miles.
Delta Air Lines` increase was matched by all major carriers by 2 October, representing the 10th fare hike to stick in the last two years according to Dow Jones News. The new price hike had not been matched by Southwest Airlines by 2 October, but was matched by American Airlines, America West Airlines, Continental Airlines, Northwest Airlines, United Airlines and US Airways according to Reuters.
Business fares for trips up to 499 miles increased by USD10 each way, while those for trips between 500- and 999-miles increased by USD20 each way.
The carriers have stated that the increase is aimed at covering the higher cost of jet fuel and analysts have indicated that the hikes are also a response to strong demand for air travel.
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