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Low-Cost Airlines Raise Fares The Wall Street Journal Online By Avery Johnson
Rising Fuel Costs and Overexpansion Bring Discounters in Line With Old-Line Rivals
Facing new financial pressures, low-cost airlines are raising their prices -- in some cases, making their fares higher than those offered by traditional carriers.
Discount carriers including JetBlue Airways, Southwest Airlines, Spirit Airlines and AirTran Holdings Inc., citing rising fuel costs and the introduction of more high-end perks, have been steadily boosting prices in recent months. Traditional airlines, meanwhile, have been increasingly moving into the low-cost carriers' routes and copying their simplified fare structures.
The result on a growing number of routes is that the low-cost carriers' fares are no longer always the cheapest. One example is the fares between Northeastern cities and Florida, a big focus of the low-cost carriers' expansion. Spirit Airlines' cheapest round-trip fare (before taxes and fees) between New York's La Guardia Airport and Fort Lauderdale, Fla., now tops US Airways' -- a $148 sale fare compared with $138. The same pattern is playing out with Southwest and AMR Corp's American Airlines on flights between the Washington, D.C., area and Chicago, where American has a fare of $197 (including taxes) compared to $232 for Southwest (that's for round-trip travel between May 12 and May 17).
With a girlfriend who's a flight attendant I fly for $55 round trip anywhere in the country. For example, we went to Seattle for the day/night yesterday and I got back this morning. It's kind of sweet. Anyway, I'm still torn about trying to fly to Nashville for Bonnaroo. I love driving, but the drive from Denver will be brutal on the body and the wallet. I can't find anyone to join me from my way at this point so flying and renting a car might be much better. Anybody have any advice on this?