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April 17, 2008

Rare Glimpse at Southwest Airfare Pricing Activity: “Modest” Increases

Filed under: Airfare Increases, Southwest — Rick Seaney @ 4:28 pm

As some of you know, Southwest does not file their airfares publicly; but I was curious as whether the largest U.S. carrier (in terms of domestic passengers) had joined in the latest airfare increase and the other seven successful legacy airline increases this year. This is what I learned, directly from a Southwest representative:

“On April 10, we followed an increase by United with a very modest, mileage-based increase of from $2 each way for short haul, $4 each way for medium haul, and $6 each way for long haul.”

“Last night, we instituted a fare increase that takes effect for travel beginning June 13: it ranges from $3 - $5 one-way for short haul; $8 one-way for medium haul, and $10 one-way for long haul.”

Yes, Southwest has fuel hedges in place, but as the rep put it, “no airline is immune to astronomical $115/barrel oil.”

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