canyonblue
Everyone loves Southwest
- Joined
- Nov 26, 2001
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By Elizabeth Souder
DOW JONES NEWSWIRES
NEW YORK (Dow Jones)--The fare hikes that Northwest Airlines Corp. implemented late last month remain largely in place, marking a change in the general direction of airfares despite some spring sales.
On Feb. 25, the Eagan, Minn., airline hiked all fares on routes shorter than 1,000 miles by $5 each way, and by $10 each way for longer routes. Other major airlines largely matched the blanket increase.
On Tuesday, Northwest spokesman Kurt Ebenhoch said the higher fares remain in place, except for some routes where Northwest competes with low-cost carriers. Also, the airline rescinded the hike on some of its highest fares, where the fares were higher than Delta Air Lines Inc.'s (DAL) new fare cap.
The round of fare hikes was the first since Delta simplified its fare structure and slashed its highest fares in half. Last year, a number of airlines attempted to hike fares to pay for rising fuel costs. But in nearly every case, rival carriers refused to match the fare hike, and the attempts failed. Northwest had been accused of spoiling a number of attempts led by other airlines.
Meanwhile, US Airways Group Inc. and UAL Corp.'s United Airlines, both of which continue to restructure under bankruptcy protection, launched spring fare sales. Online travel agent Travelocity said in a press release that the sales hit 47,000 markets, with some fares discounted by 50%.
Travelocity industry researcher Amy Ziff said in a statement she expects other airlines to match the special promotions.
DOW JONES NEWSWIRES
NEW YORK (Dow Jones)--The fare hikes that Northwest Airlines Corp. implemented late last month remain largely in place, marking a change in the general direction of airfares despite some spring sales.
On Feb. 25, the Eagan, Minn., airline hiked all fares on routes shorter than 1,000 miles by $5 each way, and by $10 each way for longer routes. Other major airlines largely matched the blanket increase.
On Tuesday, Northwest spokesman Kurt Ebenhoch said the higher fares remain in place, except for some routes where Northwest competes with low-cost carriers. Also, the airline rescinded the hike on some of its highest fares, where the fares were higher than Delta Air Lines Inc.'s (DAL) new fare cap.
The round of fare hikes was the first since Delta simplified its fare structure and slashed its highest fares in half. Last year, a number of airlines attempted to hike fares to pay for rising fuel costs. But in nearly every case, rival carriers refused to match the fare hike, and the attempts failed. Northwest had been accused of spoiling a number of attempts led by other airlines.
Meanwhile, US Airways Group Inc. and UAL Corp.'s United Airlines, both of which continue to restructure under bankruptcy protection, launched spring fare sales. Online travel agent Travelocity said in a press release that the sales hit 47,000 markets, with some fares discounted by 50%.
Travelocity industry researcher Amy Ziff said in a statement she expects other airlines to match the special promotions.
