US Airlines Stand By Fare Increase

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  1. uggboy
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    uggboy Gold Member

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    US Airlines Stand By Fare Increase:mad:

    US airlines are not likely to bow to pressure from the White House and elsewhere to roll back a fare increase facilitated by a Washington political standoff that could net the industry more than USD$1 billion in unexpected third quarter revenue.

    Analysts and carriers have said the industry justifiably capitalised on quick profits when, because of congressional inaction on temporary aviation funding legislation last month, they stopped collecting certain ticket taxes and raised fares by a like amount.

    "Airlines are not making tons of money. They're barely surviving," said Helane Becker, an industry analyst with Dahlman Rose.

    Major airlines lost an estimated USD$440 million for the first six months of 2011 due mainly to higher fuel costs, industry figures show.
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