Southwest Airlines yesterday extended a systemwide fare sale into the autumn months, prompting financially troubled competitors to reduce already depressed airfares. Southwest's lower fares, which range from $39 to $99 one way and require a 14-day advance purchase, are available only through southwest.com and the Swabiz corporate booking portal. Fares apply for flights between Aug. 16 and Oct. 29 to all destinations, except Orange County and Houston Intercontinental airports, and must be booked by Aug. 5.
"The news that Southwest will extend a pretty serious airfare war into the fall means we could see continued peak travel beyond the summer, into September or October, which we normally do not see," said Randy Petersen, frequent flyer guru and editor of
Inside Flyer. "Southwest is saying, 'Hey, we may lose money, but we'll take some of the big guys down with us.' "
Officials from American, Continental and US Airways said the carriers matched Southwest in all competing markets and for the duration of the sale. A United Airlines spokesperson said the carrier still was reviewing possible responses. Officials from Delta and Northwest at press time were not available for comment.
On the international front, United confirmed it partially rescinded the 5 percent fare hike to foreign destinations that was implemented last week
(BTNonline, July 1). A spokesperson said the price increase remains in effect in Latin American markets, excluding Brazil and Mexico, but pricing in all other international markets returned to previous levels "in order to remain competitive."