Global airlines hike fares, cut routes as fuel costs balloon
The Straits Times
March 17 - Global airlines sounded the alarm on Tuesday over soaring jet fuel prices triggered by the U.S.-Israeli war against Iran, warning of hundreds of millions of extra costs, higher fares and cuts to some routes. Read more at straitstimes.com.
March 17 - Global airlines sounded the alarm on Tuesday over soaring jet fuel prices triggered by the U.S.-Israeli war against Iran, warning of hundreds of millions of extra costs, higher fares and cuts to some routes.
Delta Air Lines Chief Executive Ed Bastian said the dramatic run-up in jet fuel prices had increased the airline's costs by as much as $400 million in March alone. The industry is moving quickly to pass on higher expenses through fare hikes, he told a J.P. Morgan industrials conference.
American Airlines said it expects a $400 million increase in first-quarter expenses due to fuel costs.
Among the first to act, Scandinavia's biggest airline SAS AB said it is cutting a limited number of flights because of the "sharp and sudden increase" in fuel prices.
"The entire European aviation system is now feeling the pressure from a sudden fuel shock," it said in an email.
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