CHICAGO – UAL Corp. , parent of United Airlines, on Monday said it withdrew a business fare increase it initiated last week.
The parent of the No. 2 U.S. carrier had raised fares by $5 for one-way trips and $10 for round trips. The increase had applied to United's first-class seats and to seats booked seven or fewer days ahead of flights.
A UAL spokeswoman did not offer a reason for the airline's withdrawal of the fare increase.
U.S. airlines, battered by low-cost competition, have initiated several lasting fare hikes lately, offsetting soaring fuel prices and bolstering revenue. For a fare hike to last, it generally must be matched by competitors.
Shares of UAL were down 3.62 percent at $23.98 on Nasdaq.