New Report Shows 2% Ticket Price Hike Over Last Year

World Airline News, July 24, 1998

The Air Transport Association (ATA) released its first monthly Domestic Airfare Report last week, showing a small hike in average ticket prices from this time last year. The data shows a month-by- month breakdown in average one-way first class and coach class fares as well as an average of the two classes.

Excluding taxes and with fares based on a 1,000 mile journey, the report shows that the average fare was $136.83 at the end of June, reflecting a modest 2.2 percent increase from June, 1997. Average first class fares increased from $312.79 to $316.21 in the same time period, reflecting a 1.1 percent increase.

ATA President Carol Hallett said the report (with data from actual ticket prices) shows that airfares have remained low due to depressed fuel prices and continued productivity gains made by the carriers. "Demand for air travel remains strong and consumers continue to benefit from the low fares available in the vigorously competitive marketplace," said Hallett. >> ATA, tel. 202/626-4172, website: http://www.air-transport.org << The Fare Facts Selected data from the ATA's new Domestic Airfare Report:

June 1998:                First Class:      Coach Average

Ave. one way Fare:        316.21            118.19 136.83

Yield (in cents):         31.62             11.82 13.68

Annual Price Change:      1.1%              2.2% 2.2%

June 1997:                First Class:      Coach: Average

Ave. one way Fare:        312.79            115.67 133.91

Yield (in cents):         31.28             11.57 13.39

Annual Price Change:      21.0%             8.5% 3.3%

Source: ATA