American to Charge Fee for Paper Tickets

AMR Corp.’s American Airlines said Monday that it will charge passengers $10 each for paper tickets if a customer qualifies for an electronic ticket, as the carrier tries to reduce costs.

The fee will be levied in the U.S. and Canada for tickets on American and American Eagle bought directly by customers at the AA.com Web site; American’s reservations centers; its Travel Centers, which are outside airports; and airports, the airline said. About 82% of American’s U.S. domestic passengers are eligible for electronic tickets, said spokesman Marty Heires.

Airlines have been trying to get travelers to book flights through electronic methods such as the Internet, which eliminate commissions and reduce company costs.

American said its fees will recoup costs for paper-ticket distribution and processing. The airline didn’t say how much it expects the move to save.

“Given the pressures with their fuel and labor costs, they’re going to look for ways to keep costs down,” said CIBC World Markets analyst Paul Keung. “It’s a logical step for them.”

Charging for paper tickets is “fairly standard” among online ticketing companies, though not as common for airlines, Keung said.

The paper-ticket fee doesn’t apply to passengers who pay full fare or buy tickets through travel agents or to Executive Platinum members, said the Fort Worth-based airline.

Customers can get electronic tickets for American’s flights under most circumstances, Heires said. Some situations, such as booking a flight for an infant or where part of the trip will be on another carrier, still require paper tickets, he said.

The airline also set a $25 fee for passengers who plan to travel at least seven days after they buy a ticket and choose to have it sent by priority overnight delivery. Passengers who choose overnight delivery and plan to travel less than seven days after buying a ticket still won’t be charged for standard shipment, the company said.