Air fares must go up, Delta chief says

CITES CONTINUING INCREASES IN COST OF FUEL

WASHINGTON — Domestic airlines need to raise fares by 15 percent to 20 percent just to break even at current fuel prices, the chief executive of Delta Air Lines, which seeks to acquire Northwest Airlines, said Tuesday.

“An airline ticket has got to reflect the full cost of fuel,” Delta Air Lines Inc. CEO Richard Anderson told reporters, adding that such an increase was likely to depress demand and prompt carriers to further trim their flight schedules.


Cost-cutting measures “have largely been exhausted,” Northwest Airlines Corp. CEO Doug Steenland said.

Since Dec. 20, carriers have raised fares nine times, according to BestFares.com, and a number of airlines in recent weeks have also raised fees for checking a second bag and other amenities.

AP