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

April 17, 2008 | Posted in: Airfare News,Southwest | 0 comments

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.”

Aussies/Americans, Rejoice: Virgin Blue is Coming to LA

April 17, 2008 | Posted in: Airline News | 0 comments

As I mentioned in an earlier post about Open Skies-Australia, Virgin Blue is coming to the United States.

Destination: LAX. Non-stop service between Sydney and Los Angeles will begin in December.

Travel will be onboard a Boeing 777-300ER aircraft, which the Mayor of Los Angeles hailed as “one of the most…green commercial aircraft available.” As they say in LA, “green is good.”

Meanwhile, as we get closer to the inaugural flights, keep your eyes open for special inaugural deals.

Latest Fuel Surcharge Increase: All Major Legacy Airlines Onboard

April 17, 2008 | Posted in: Airfare News,Fuel Surcharges | 1 comment

Starting early Wed., the legacy carriers began to match the United Airlines fuel surcharge increase of an additional $10-$20 roundtrip initiated late Tues.

IMPORTANT NOTE: This brings the domestic fuel surcharge for many markets to $70 roundtrip from its previous high of $50 roundtrip.

Here’s how the matching went (and in this order):

  • US Airways matched only at the $20 roundtrip level
  • Delta matched at the $10 and $20 roundtrip level
  • Continental matched only at the $20 roundtrip level
  • American matched only at the $20 roundtrip level
  • Northwest just matched at 12:30 today

For more details, and my take on this…keep reading.

Latest Fuel Surcharge Increase: All Major Legacy Airlines Onboard

Ominous Sign: Marriott Profits Down, Travelers Not Booking

April 17, 2008 | Posted in: Uncategorized | 1 comment

 

Marriott International’s profits declined by 34% the first quarter of this year, according to a Bloomberg report.

The “why” is a no-brainer: the U.S. economy is slowing down.

According to Bloomberg, “higher gasoline prices and dropping home values led consumers to cut back on vacations and companies to curb travel.”

Silver lining dept.: international guests are helping Marriott’s bottom line, by taking advantage of the falling dollar; for example, this translates into bargain hotel rates in New York for the Euro-set.

US Airways’ New Fee: Pay to Sit (in the best seats, anyway)

April 17, 2008 | Posted in: Airline News,US Airways | 0 comments

I saw this one coming: US Airways has announced that, beginning May 7, it will start charging $5 minimum per flight (not roundtrip) for the privilege of sitting in aisle or window seats in the first several rows.

You know, the seats we all want. See more on the airline’s FAQ page.

For members of US Airways’ “Dividend Miles Preferred” program, this is free. But, for a lot of us out there, it means paying for the seat you want, or sitting in the back, or getting squashed in the dreaded middle seat. For the airline, it’s $ub$tantial $um$ of Ca$h.

DOT Increases “Bump Rule” Compensation

April 16, 2008 | Posted in: News,Passengers | 1 comment

Good news for people who get bumped from a flight starting next month. The Department of Transportation has increased the amount of money airlines must pay to passengers who are involuntarily denied boarding:

“The Department today finalized changes to its so-called bumping rule, which doubles the limit on compensation airlines must pay passengers who are involuntarily bumped from their flight. Under the new rule which goes into effect next month, fliers who are involuntarily bumped would receive up to $400 if they are rescheduled to reach their destination within two hours of their original arrival time or four hours for international flights, and up to $800 if they are not rerouted within that timeframe.” (from DOT)

With increased capacity loads on flights and talk of a reduction of flights, we could see bumping rates increase this year. It’s important to realize that airlines overbook flights in order to account for those people who miss connections, get a flat tire on the way to the airport, or just plain miss the plane. However, as we all know, sometimes everybody makes it, and there are more airline tickets than available seats. Generally, an airline will ask for volunteers who will be placed on a later flight and receive travel vouchers…

DOT Increases “Bump Rule” Compensation

More Aircraft Groundings This Summer? (Be Prepared – I Show You How)

April 16, 2008 | Posted in: Airline News,Ask Rick,Tips and Tricks | 0 comments

This could happen — more aircraft groundings — according to an article in the latest issue of Time magazine. The writer quotes the man charged with protecting the FAA whistleblowers as saying, “There are additional revelations about oversight issues with regard to airline safety that are coming forward.”

An FAA spokesman says, there’s no way to predict future groundings.

However, my friends, the busy summer travel season is just ahead, so let’s be prepared: please check out these tips for travelers stranded in airports.

The most important tip? Plan ahead in case of trouble, so check out the tips NOW.

Did You Know? TOP 10 Largest US-Based Airlines

April 15, 2008 | Posted in: Uncategorized | 0 comments

The merger between Delta Air Lines and Northwest Airlines will create the world’s largest airline. And, we may see more mergers in the near future — Continental and United perhaps?

I thought it would be interesting to see just how things are going to get shaken up by taking a look at the pre-merger airline traffic rankings. This list of Top 10 U.S. airline rankings is from January 2008 and is based on domestic and international scheduled enplanements.

Combine Delta and Northwest’s numbers you’ll see how they’ll nab the top spot. Take a look at Continental and United, to see what a merger between those two airlines would mean. Now, let’s look at the list — just click “more”.

Did You Know? TOP 10 Largest US-Based Airlines

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