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Source: Reuters
The first broad-based US airline fare increase of 2010 has been
rolled back by several major carriers as they struggle to bolster
fares amid depleted travel demand, a top fare expect said.
The increase, which was from $US6 to $US16 round-trip, was
initiated last week by American Airlines and later matched by
rivals, including Delta Air Lines and Continental Airlines, said
Farecompare Chief Executive Rick Seaney.
The airline industry has been groping for pricing power after
demand for business travel sagged during the economic downturn of
2008 and 2009.
Seaney said Delta was the first to retreat from the hike, followed
by American, Continental and American Airlines.
