NEW YORK – U.S. airlines raised fares by up to $10 one-way for tickets geared at business travelers, taking advantage of robust demand at the tail end of the peak summer travel season.
United Airlines, owned by UAL Corp. (UAL), Monday said it initiated a domestic fare increase, raising by $5 each way tickets on flights of less than 1,000 miles and $10 on flights of more than 1,000 miles.
The carrier did rescind the fare increase, which was put through Friday, in markets served by low-cost carriers, spokeswoman Robin Urbanski said.
Continental Airlines (CAL) and bankrupt Northwest Airlines Corp. matched the increase, which is for fares purchased seven days or less in advance, representatives of the airlines said.
U.S. airlines, helped by a cut in domestic capacity and fuller planes, have been raising fares to offset the effect of high fuel prices. The most recent round of price increases was about two weeks ago.