Go Back   CruiseMates Cruise Community and Forums > People > Chit - Chat for Cruisers
Register Forgot Password?

Chit - Chat for Cruisers Open Forum for non-cruise posts. Please refrain from inflammatory rhetoric that could be considered offensive. We reserve the right to edit or delete for any reason.

LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old May 9th, 2008, 09:44 AM
Sea Trekker's Avatar
Senior Member
Join Date: Mar 2004
Posts: 1,937
Send a message via AIM to Sea Trekker
Default More fuel charges add to airlines

Top 3 air carriers boost fuel charge by $20 roundtrip
By ADAM SCHRECK – 16 hours ago

NEW YORK (AP) — The three biggest U.S. carriers said Thursday they have again raised ticket prices, this time by $20 roundtrip, to recoup rapidly rising fuel costs.

The increases by American Airlines, United Airlines and Delta Air Lines affect the carriers' fuel surcharges, which now total $130 roundtrip on many flights. That means passengers on some cheap flights could be paying more in fees and taxes than for the airfare itself.

Delta Air Lines Inc. initiated the increase, which applies to most domestic routes. It is the Atlanta-based carrier's second hike in just over a week. The previous increase was quickly matched by competitors.

"This is obviously a result of the current market, and fares have to reflect the cost of doing business," spokeswoman Betsy Talton said.

Representatives for AMR Corp.'s American Airlines and UAL Corp.'s United Airlines said the carriers matched the increase on most routes Thursday.

Airlines have been racing to raise airfares, tack on surcharges, and charge for amenities such as extra bags and legroom as they struggle to cope with soaring energy prices. Many airlines now count fuel as their biggest cost.

The price of jet fuel, like gasoline, has risen rapidly along with the price of crude. A gallon on the spot market in New York was selling for $3.57 as recently as Tuesday, according to the Energy Information Administration. That is up about 78 percent from this time last year.

At the same time, carriers are cutting back on flights to reduce costs and maintain their pricing power as the economy slows. Even so, analysts expect many large carriers to post large losses this year.

"I would say to my CEOs: fasten your seat belts, tougher times are coming," Giovanni Bisignani, director general and chief executive of the International Air Transport Association trade group, said in an interview.

Rick Seaney, chief executive of airfare research site FareCompare.com, said the increases mean that fees and taxes together now cost more than the actual base fare on several short-haul flights.

"With a backdrop of a slowing economy, I continue to look for a tipping point where domestic air travelers begin to significantly push back on record high airline ticket prices. At best the jury is still out," Seaney said in an e-mail.

Delta shares fell 10 cents to $7.57. AMR shares fell 26 cents to $8.31, while UAL shares fell 28 cents to $13.54.
Reply With Quote
Sponsored Links
  #2 (permalink)  
Old May 9th, 2008, 10:56 AM
CruiseNOID's Avatar
Senior Member
Join Date: Apr 2008
Location: WV
Posts: 1,341
Send a message via Yahoo to CruiseNOID

Couldn't agree with you more!!! We ARE going to see more of this "trend" for many more months until all lines of business stabilize to cover the higher costs being incurred.

Carnival Inspiration 8/2009
Carnival Fascination 8/2008
Reply With Quote


Similar Threads
Thread Thread Starter Forum Replies Last Post
airlines - additional charges Michelle1959 Carnival Cruise Lines 10 May 13th, 2009 12:04 PM
Canadian Airlines DROP Fuel Surcharges Kuki Chit - Chat for Cruisers 4 September 19th, 2008 02:23 PM
Airlines and Fuel AR Chit - Chat for Cruisers 7 April 19th, 2008 11:54 AM
When or if airlines add more flights? tojobrat Royal Caribbean International 7 February 17th, 2007 03:17 PM
Airlines and Fuel Prices AR Chit - Chat for Cruisers 4 September 8th, 2004 01:38 AM

Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On


All times are GMT -4. The time now is 08:42 AM.
design by: Themes by Design

Search Engine Friendly URLs by vBSEO 3.6.1