11-17-2014, 07:27 PM
When Delta sez "UP!", they mean your ticket price.
Why airfare keeps rising despite lower oil prices
By SCOTT MAYEROWITZ
NEW YORK (AP) -- U.S. airlines are saving tens of millions of dollars every week because of lower prices for jet fuel, their largest expense. So why don't they share some of the savings with passengers? Simply put: Airlines have no compelling reason to offer any breaks. Planes are full. Investors want a payout. And new planes are on order.
In fact, fares are going higher. And those bag fees that airlines instituted in 2008 when fuel prices spiked aren't going away either.
In the 12 months ended in September, U.S. airlines saved $1.6 billion on jet fuel. That helped them post a 5.7 percent profit margin in the first three quarters of this year, robust for the industry but lagging behind the 10 percent average for the Standard & Poor's 500.
MUCH more right here===> http://hosted.ap.org/dynamic/stories/U/U...EL?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2014-11-17-13-24-50
Why airfare keeps rising despite lower oil prices
By SCOTT MAYEROWITZ
NEW YORK (AP) -- U.S. airlines are saving tens of millions of dollars every week because of lower prices for jet fuel, their largest expense. So why don't they share some of the savings with passengers? Simply put: Airlines have no compelling reason to offer any breaks. Planes are full. Investors want a payout. And new planes are on order.
In fact, fares are going higher. And those bag fees that airlines instituted in 2008 when fuel prices spiked aren't going away either.
In the 12 months ended in September, U.S. airlines saved $1.6 billion on jet fuel. That helped them post a 5.7 percent profit margin in the first three quarters of this year, robust for the industry but lagging behind the 10 percent average for the Standard & Poor's 500.
MUCH more right here===> http://hosted.ap.org/dynamic/stories/U/U...EL?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2014-11-17-13-24-50