Route Cuts, Increased Fares, and We’re Not Done Yet

Today we got more details about the route cuts that Delta Air Lines has put into place — all part of the airline’s efforts to cut costs. The airline also announced that it had put anotherĀ  $10 fare increase into place. This comes on top of the $50 roundtrip fare increase that United Airlines initiated last week. Continental Airlines quickly matched that increase last week and as of today, the increase appears to be sticking.

Meanwhile, on the route front, Delta announced today that it has slashed its flights into Orlando. The airline announced that by June, the average number of seats it flies into Orlando will decrease by 45% compared to June 2007.

The airline said that it intends to “streamline its network” by reducing marginal routes, and reducing the number of point-to-point flights.

For John. Q. Passenger looking to fly this summer I think it’s pretty clear what they are going to find.

Fewer flights.

Fewer non-stop flights.

Reduced frequencies on particular routes, particularly low-yielding “leisure” routes.

Fewer regional flights (depending upon the routes.)

Oh, and the flights they do find? The fares are going to be higher.

With the end of the first quarter almost upon us — will we hear of more cuts and route changes from other airlines before we hear details of first quarter earnings?

Yep.