Sunday, April 10, 2011

Airlines raise fares, offer some deals


Airlines again are seeking to boost round-trip ticket prices $10 on many domestic routes, while quietly offering huge limited-time discounts between other U.S cities. US Airways on Thursday raised most of its domestic round-trip fares by $10, and three competing airlines — Delta, American and Continental — matched the increase Thursday and Friday. It was the 10th attempted rise in fares this year by airlines, which have been raising prices to meet escalating jet-fuel prices says Seaney, CEO of FareCompare.com. On March 1, American Airlines successfully raised most domestic round-trip fares $10 — the sixth successful attempt to raise fares $4 to $10 this year, Seaney says. If the current increase sticks, it would be the seventh since Jan 1.

American, United Airlines and Continental Airlines made three subsequent attempts in March to raise fares $10, but the increases didn’t stick, because other airlines didn’t match the prices, he says. While fares on many routes went up $10 last week, there were huge price reductions on others. Some price drops lasted less than a day, and the number of tickets sold at bargain prices was limited.

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