Airlines Stick With Fare Increases

The first across-the-board air fare increases in 18 months appear to be here to stay as all major domestic carriers opted to keep in place increases implemented during the last four days. Delta Air Lines touched off the trend last week when it raised its leisure fares by 4% and its business, first-class and full-fare coach tickets by 2%. Analysts had predicted that the nation’s No. 2 airline would roll back the increases had even one major competitor balked at matching them. Northwest Airlines, which had thwarted attempts at industrywide fare increases last year, was the first to match Delta’s move Friday, and three other airlines followed suit that day. United Airlines, Trans World Airlines and US Airways joined in during the weekend. Under the new rates, a round-trip business-class ticket on Delta from Los Angeles to New York jumped $36 to $1,872. A round-trip leisure ticket on United with a 14-day advance purchase rose by $29 to $750.