Delta, AirTran end fare dispute
By RUSSELL GRANTHAM
The Atlanta Journal-Constitution
Rivals Delta Air Lines and AirTran Airways have agreed to continue handling each other's stranded passengers -- but at steeper prices demanded by Delta.
To minimize hassles for passengers, most airlines have deals with other carriers to offer seats to the other's passengers when a flight is canceled. However, a spat erupted this month when Delta said the fees charged under a 3-year-old deal with AirTran were too low and proposed raising them.
Delta said the change, which sets the cost of reimbursements between the two carriers, will not affect its passengers.
AirTran complained about the planned fee increase, which starts today, and had hoped to talk Delta out of the change.
Previously, the two carriers reimbursed each other at about the average fare for the route. Now they will reimburse each other at prices above the highest coach fares for the route, raising the cost per passenger by hundreds of dollars in some cases.
AirTran said it agreed to the higher fees to preserve the so-called interline agreement.
"The interline agreement will remain in place. However, it's unfortunate that Delta is not putting the needs of the Atlanta passengers first," said AirTran spokesman Tad Hutcheson. "We'll continue to send passengers over to Delta, but we're just going to have to pay a lot more."
Delta said it demanded the higher fees because AirTran is sending over twice as many passengers this year as last year, disrupting its operations.
But in a recent letter to Delta, obtained by The Atlanta Journal-Constitution, AirTran said the number of passengers Delta sent to AirTran has grown 24 percent, compared with 19 percent growth in AirTran passengers traveling on Delta. AirTran acknowledged, however, that the total number it sends to Delta is about 20 percent higher.