Biz Fares Up As Carriers Fold In Fuel Surcharges

Business fares offered by U.S. carriers this week were up 2 percent year over year and 3 percent versus last week, according to the latest information from Deutsche Bank Securities and Harrell Associates. Various sources confirmed the increase resulted from major carriers matching Continental Airlines' move to eliminate separate fuel surcharges and instead include those $10 one-way fees into base fares (BTN, July 29). Though travelers will not see any immediate impact on the overall prices paid, it is unclear how carriers will adjust base fares should fuel prices fluctuate significantly. Incidentally, Deutsche Bank Securities noted jet fuel spot prices last week were down 4.4 percent year over year.