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Paint Not Dry on Last Fare Hike, United Fires Out New One

July 3, 2008
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By Scott Nishimura, Fort Worth Star-Telegram, Texas

Jul. 3–United Airlines fired out another airfare hike late Wednesday, “before the paint could dry” on the price increase the airlines just put into place last week, Rick Seaney of the farecompare.com farewatcher reported.

United raised fares by $20-$40 roundtrip, “across the bulk of its route system,” Seaney said in an email message.

Most of the increases were $20.

It was the airline industry’s 21st attempt this year to raise fares, Seaney noted. United has initiated half of them.

Earlier Wednesday, Delta Air Lines raised fares on routes to “dozens of smaller cities” by $10 to $20 roundtrip, but that wasn’t “enough to be considered a full-blown attempted hike,” Seaney said.

Still, he said, it might have been the “trigger for United’s move.”

Outside the broad fare hikes, airlines recently have made a number of changes in pricing for travel later in fall, as they react to rivals’ moves, Seaney said.

“Consumers should be cautious about buying tickets right now for travel starting after early November as many airlines do not seem to be set on their price points yet for this time period as they make final decisions on flight cutbacks,” Seaney said. The major carriers are slashing their schedules and laying off thousands of workers starting this fall, in moves to cut costs in the face of high fuel prices.

“Air travelers should lock any tickets under $350 roundtrip for long trips and $225 roundtrip for shorter trips,” Seaney said. “Price points are likely to be much higher in the coming weeks and months as more airfare hikes pile up.”

Scott Nishimura (817) 390-7808

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