NEW YORK, Feb. 5 (UPI) -- U.S. airlines are slashing air fares in response to lagging sales due to the recession, but industry analysts say prices will head up as summer approaches.
Fares are at their lowest level in at least a year on many routes, USA Today reported Thursday. Citing an analysis by FareCompare.com, the newspaper said some fares are down more than 50 percent from last winter, and considerably cheaper than they were last summer, when fares generally were rising and passengers were paying surcharges because of skyrocketing fuel costs.
Air travel analyst Michael Boyd told the newspaper travelers should book flights now because some airlines are cutting scheduled flights in response to lagging demand, and low fares will not likely still be available by July.
FareCompare.com examined the lowest-cost round-trip fares on heavily traveled domestic routes to conduct its analysis for USA Today. FareCompare.com Chief Executive Officer Rick Seaney said he was surprised at the size of discounts on non-stop flights, which normally sell at a premium.
"It underscores just how uncertain airlines are about future bookings," Seaney said.
