Procurement
United-Continental and US Airways matched and expanded a $5 one-way price hike initiated by Southwest Airlines in domestic medium- and long-haul markets,
according to J.P. Morgan analyst Jamie Baker. "Given
Southwest's blessing, a broad, successful industry fare increase appears
likely," Baker wrote in a research note, adding that he expected American Airlines and Delta Air Lines to match today and suggesting that short-haul markets also may
experience fare increases. According to FareCompare CEO Rick Seaney, the price
hike "is the third domestic fare increase attempt of 2012—and the first
since mid-January." He added that "in over six years, there has never
been a Southwest-initiated hike that was not widely matched."