AIRLINES

Air Fare ‘Value Pricing’ Called Mistake: American Airlines Chairman Robert Crandall acknowledged that his company made a mistake in drastically slashing fares last year with a pricing plan that sparked a devastating summer fare war and cost the airline industry hundreds of millions of dollars. Crandall said he had no regrets, however, during a morning news conference after his second day of testimony in an antitrust suit being tried in Galveston, Tex. Continental Airlines and Northwest Airlines are seeking more than $3 billion in damages from American Airlines, a unit of Fort Worth-based AMR Corp. They allege that American Airlines’ fare plan, which slashed coach fares an average of 38% and eliminated most discounts, was an attempt to drive them out of business.