December 3, 2011-Major airlines in the United States have increased prices on many of their domestic routes. Delta Airlines announced on Friday it had increased fares to Las Vegas, Phoenix and Florida. The increases were between $5 and $10 dollars for a round trip ticket.
Also increasing its prices on many flights around the U.S. was JetBlue Airways. It raised round trip fares by $6. U.S. Airways said it matched the increases of JetBlue. The fare increases indicate there is still a strong demand for seats despite the continued sluggish economy.
An analyst from J.P Morgan who follows closely the prices of airfares, said a fare increase that was successful would help the airline industry stocks. Those stocks have been on the increase since the parent company of American Airlines, AMR Corp, filed for protection in bankruptcy court this past Tuesday.
Many investors are hoping that other airlines will see improved revenues and profits since American will most likely reduce its number of flights. Over the course of this year, airlines have increased fares on 10 separate occasions.
There has also been another 10 times this year that airfare increases were unsuccessful because some of the carriers opted to maintain their prices. Ticket prices can vary depending on the route, time of the flight and if it is non-stop. Many times airlines will increases some fares, but cut others at the same time.