Northwest
spokesman Kurt Ebenhoch said the
airline matched American except in markets where they offer
fares to compete with Dallas-based Southwest Airlines and
JetBlue Airways. Northwest also
didn't raise its higher-priced walk-up business fares, he
said.
Houston-based Continental and Delta also acknowledged
matching the increases Friday afternoon.
American
said it needs the higher ticket prices to offset high fuel
costs. American, a unit of Fort Worth-based AMR, has said
that each $1 increase in the price of a barrel of oil costs
it about $80 million a year.
Rising
fuel prices have bedeviled most airlines this year.
Southwest has been an exception, making heavy use of
financial hedges to lock in lower prices, including 85% of
its fuel for the rest of this year at prices that are about
half the going rate. Northwest and Delta both said they have
no fuel hedges in place.
Northwest
Chief Executive Doug Steenland
blamed fuel prices as one of the factors in the $458 million
loss it reported last week — its largest quarterly loss
ever. Several other airlines also blamed fuel prices in
reporting results this month, when combined losses at the
six so-called legacy carriers reached $33 billion since
2001.
This is
at least the fifth fare increase since February, said Tom
Parsons, who runs discount travel Web site Bestfares.com. He
said that in recent years, it's often been Northwest that
acted as a spoiler, refusing to go along with increases by
others.
"When you
lose 400 and some million dollars in a quarter, and you
don't go along with fare hikes, I think some of your
shareholders will get a little irritated with you," Parsons
said.