Airlines raise prices to cover rising cost of fuel

Yes, the price of a gallon of gas has risen considerably in the past year. How, though, would you feel if the increase had been ninety percent? That would put a dent in your pocketbook, right? That's exactly what has happened to the price of jet fuel. In an effort to stem losses, major carriers such as American Airlines, United Airlines and Delta Air Lines have raised their round-trip airfare prices between ten and sixty dollars, depending on the length of the flight. International flights will carry the largest surcharge, while shorter flights will be hit with smaller amounts.
In related news, Boeing has delayed the release of its upcoming 737 replacement. Introduced way back in the sixties, the jet has sold more than 6,000 units and is a staple in the industry. Those same high fuel prices are causing Boeing to go back to the drawing board, though, as airlines are demanding that the airplane manufacturer make technological improvements, many of which need to be invented first, in order to cut fuel usage.

[Source: The Detroit Free Press]

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