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United raises surcharge
Citing rising fuel costs, No. 2 airline raises fuel surcharge by $5 a flight; previous hikes failed.
May 26, 2004: 4:03 PM EDT

NEW YORK (CNN/Money) - United Airlines announced Wednesday it is raising its fuel-surcharge by $5 a flight, less than a week after a fuel-inspired $10 fare hike was dropped by most major carriers.

United, a unit of bankrupt UAL Corp. and the nation's No. 2 airline, said that the surcharge applies to fares in first and business class, unrestricted fares and some discounted economy fares.

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United and many other major carriers have had a $10 a flight surcharge in place since February 2003 on more expensive seats or on discounted seats on routes where they do not face competition from lower cost, low-fare carriers such as Southwest Airlines or JetBlue.

Last week Continental Airlines announced a fare increase of about $10 on most flights, citing the rising cost of jet fuel. United and many other carriers matched that increase.

But when Northwest Airlines did not go along with the increase, the airlines all dropped the fare increase Monday.

One air fare expert said he doubted the United surcharge increase would have a much better chance of taking hold.

"We've had surcharge increases tried since Dec. 17," said Tom Parsons, president of Bestfares.com. "The one Continental tried last week lasted longer than any of the others."  Top of page




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Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.