THE CHALLENGE: Fuel prices have cooled recently, but they're still sucking profits from the airline industry. Jet fuel rose above $4 per gallon for the first time in the three-month period that ended June 30, almost double its cost during the same period last year. Most carriers have posted big losses this quarter including United parent UAL Corp., American Airlines parent AMR Corp., Delta Air Lines Inc., and US Airways Group Inc.
THE SOLUTION? Most carriers have cut large chunks out of their flight operations, offering passengers fewer flights in hopes of boosting fares. They're also charging passengers for checked bags, online ticketing, and in US Airways' case, for soda and choice seats.
WHAT TRAVELERS CAN EXPECT: US Airways chief Doug Parker says the industry could finally be profitable again in 2009. But airline experts say those a la carte charges are here to stay.
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