Auto club unloads on Delta for $1 service charge

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Auto club unloads on Delta for $1 service charge

Business
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STORIES GO HERE##################-->

Auto club unloads on

Delta for $1 service charge

A major auto club is taking dead aim at Delta AirLines.

AAA announced last week that Delta's imposition of a $1

surcharge each way on domestic airlines not sold through the Delta

Web site is unfair to consumers and restricts their airline

travel purchase choices.

"The airline industry made billions last year and just

completed the second best fourth quarter ever," said

Jennifer McMurtrie, senior vice president, AAA Auto Club South

Travel Agency. "It surprises us that Delta would feel the need

to penalize consumers for rising distribution costs."

"AAA is concerned that a new surcharge will set a

precedent in ratcheting up costs to air travelers on a regular basis,

in addition to normal airfare increases," said McMutrie. "Even

if an airline offers a discount to those buying through the

Internet, the airline would be introducing a whole new negative,

two-tiered pricing system."

Although overall costs to airlines may have risen, jet

fuel costs have dropped significantly in the last year. In addition,

the number of passengers and the resulting profits are rising

faster than costs and have for several years. The greatest

negative impact to airlines' profitability has come from foreign

markets, not domestic distribution channels.

"We trust that other airlines won't join Delta in this effort

and that the consumer recognizes the importance and value of

using travel agents to get the lowest fare and receive high

quality service," said McMurtrie.

"Travel agents represent the consumer's best source

for information, service and low fares, not just the lowest fares

on a particular carrier's site," she added.

AAA Auto Club South is the third largest affiliate of

the American Automobile Association, with more than 3.1

million members in Fla., Ga. and the western two-thirds of Tenn.

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