Airlines Say, “Keep Your Damn $6″

Several U.S. airlines gave up an attempt to raise round-trip airfares by $6 after United Airlines, the airline that initiated the fare hike, returned to their old rates over the weekend.

Southwest refused to increase its fares at all; while Northwest looked stupid after announcing an increase moments before United Airlines gave up on their own.

The airlines cited raised “fuel costs” as the reason for the abortive fare hike.

Business Week says, “Airlines have raised fares many times in the past two years…But such attempts generally fail to stick when not all competitors join in bumping up prices.”

Meet the Airline industry, a group so ass to elbows in disarray, they can’t send around a memo.

Comments

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  1. RumorsDaily says:

    Well, of course they LEGALLY can’t send around a memo as it would be an antitrust violation.

  2. adamondi says:

    Ah, glorious competition. I am very glad that the airlines cannot all get together and conspire to raise everyone’s fares by getting all of the airlines to hike prices.

  3. Triteon says:

    I don’t believe that’s a trust issue but rather a collusion issue.

  4. acambras says:

    That’s ok about the $6 — they’ll get it back selling headphones.

  5. AcilletaM says:

    Collusion is a trust issue. A good example is the case against the major league baseball team owners which prevented them from capping player salaries in the 80’s. Wikipedia

  6. Triteon says:

    Acilleta– Interesting. I always thought the distinction was that a trust openly controlled its given commerce, whereas collusion involved a private (secret) agreement. A fine line– yes; and I wasn’t trying to disagree with Ingen, just make a distinction.
    Thanks for the clarification! (BTW: I’m from St. Louis, and our awful Cards team from ’88 could have used a guy like Jack Morris…none of the fans could understand why we didn’t have interest at the time. But I digress…)

  7. Solo says:

    This is just in, the conversation went something like this:

    “If we all stick together, we can squeeze another 6 bucks per leg out of every traveler! Come on guys!”
    “Err… How about no? You can raise your fare by however much you want, and I’ll wager I can undercut your fares, any of them by 6 buck forever. As a matter of fact, I’m renaming my own airlines Always 6 bucks cheaper than United Airlines. As a matter of fact, I’ll stop publishing quotes altogether, because people can always look up your fare and know that mine is always 6 bucks under.”
    “Ok, forget it. I’m not playing anymore, you all suck.”

    I wonder who will make the most money.

  8. Grrrrrrr, now with two buns made of bacon. says:

    They’ll just charge you $6.00 for the package of pretzels now or they’ll just narrow the width of the average coach seat by another 2″ and take another $6 worth of hurt out of your butt.

    Besides, the actual cost of the flight is only like 60% of the cost of a ticket. I’m always amused (and bemused) when I see that the base fare is $150 and taxes, airport fees, homeland security charges, Starbucks facilities taxes and whatever else adds up to another $100.

  9. What would it take for airlines to list the ACTUAL price of a ticket…Everytime I fly (usually international), I end up paying an extra $200 in airport taxes, fuel surcharges and other fees that are added on after the ticket price.

    I mean really…what good is a ticket without these “fees?” How can they justify separating the price? Can I somehow board the airplane outside of the airport and without using fuel?

    Jerkwads, all of them.

  10. Kornkob says:

    It’s not just airlines– I’d like to see honesty in pricing for all products. It sure woudl be nice to be able to look at a price at a store and know that the price stated is how much you have to dig outta the piggy bank to take it home— tax, title, fuel fees and everything else already computed and included.

  11. Pelagius says:

    Airlines just need more drunks on board.

    Stewardess! Another $5 gin and tonic, please!