| Show ij W5 The Salt Lake Tribune Sunday September 30 1990 : Airline fares are taking off again as fuel prices soar I By Jim Molnar Seattle Times Writer Travelers looking forward to the annual fall decrease in air fares this year are reserving space on a flight of fancy Set for Oct is the second round of general fare increases since the Persian Gulf crisis began six weeks ago—at percent increase on top of the 53 percent that took effect Aug 30 That's nearly 10 percent And no analyst or industry executive expects the price of crude oil will retreat enough from the current level — nearly $34 a barrel up from about $20 in July — to brighten the outlook at least this year However leisure travelers (as op1 traffic The present economic and business climate appears more threatening to the stability of the airline industry than to consumer budgets Industry leaders such as American United and Delta airlines will survive if not thrive in the current environment As weaker companies such as Eastern TWA and Pan Am struggle to maintain their shares of the travel market while juggling debts and trying to upgrade their fleets the leaders may be looking at assuming even greater dominance Some economic consulting firms such as Morgan Stanley in New York are speculating about the possible demise of some smaller struggling ' and promotional blitzes to improve cash flow the bigger airlines can be counted on to match — with the idea that they can outlast their weaker competitors and hold their position in volatile times Overall the US airlines are entering the fall season balancing opposing needs: They must raise fares to recoup fuel expenses but they can't afford to lose too many passengers to the higher fares or an recession As international traffic patterns are healthier than domestic ones the largest carriers with good and Pacific business (such as United with its booming Asia routes) are better able to absm b temporary slowdowns trans-Atlant- ic fuel-efficie- ' ' 1: 1 26-A- May 1 - July Sept Wilbur Webb 1400-658451- 9664242 14004484242 - T CO: ' A January : r - II l ' The calendar may say it's fall But here at Lake Powell M Eke summer has come back fora return engagement The perfect for boating The lake is still inviting for water sports enthusiasts Plus the crowds are gone the fish are biting and best of all the prices on houseboat rentals and marina accommodations at Lake Powell are down I ahip! Inside cabin Regularly $1465 Our Price $1219 OutsLle cabin Regularly $1775 Our Price $1479 - rht t- - '4 i r r - 1 114 r j1 1' -- 1 -" ''''':- 'It ‘ ' IL ifir44 '' li 1p) II 0 Iktust be booked by Oct 15 Call Toby or Sheila se--t 268-447- 0 I - LL resa f"1 Irciew4 ii2-42- tir - '''w - beton 'T—o ''' 186- --- - 7 ! ' - - Im' 1! ' ti4 r 1 L 1 : 1 i ' :!'::-- ca:-- osi ' ":::-'- :- - ' N tv '''''' ''' ':''' "" '''-- - ' - - t 6- N ali ''4'60b ' Itiltf f4 ' ' 4itt t'' )V k7li HiiA 1 i C' : oft ' ' A 4 -- " 1 lit f - - -- - ' ' 1 - t- ' ''''Nt r t ' ' - '- -- " - dek 4cr' - e'-- kc--- - 1-- 4' 0 Ao 46 ' 1 t' ' 47 i t 4 i t4 Af000-:04-1r- -' e- ' - November Call for all the 2 t stTi4407 money-savin- g details I avelragniPee raathrgehs of 77 degrees in October and59 degrees in Novemben Water's nice too it averages 69 degrees in October and remains in the 60's through Nv ember 7 00: I I The fishing's il'41"4' A great this tirae of year 1 Find a favorite alcove and cast your line for largemouth smallmouth and striped bass crappie walleye and more 47- k' 1 1 ( 4 I t fli - 800-528-61- - 54 In Greater Phoenix call - 7 : 4lostmewt l': : - 1 cI(":?orLre3 --- aa:r 1 '- You'll save 25 on all boat rentalsand marirtt lodging starting October I: then the prices drop to 4070 in n tx it) u 5 't - 777- :- ---f ' - -- IN -- - -- 004c-4'7r-- - -- 1-4- h ' - '' 41 ke-r- - : e' ae :Y- -- -b - s -- -: Powell—more miles even than the ': ' L- 4 at Lake - - - - I Lots of unique terrain and sandy beaches are just waiting for you to explore ' --- N-Icii ' ' '' ' 74' - shoreline of California ' K-i'- -- ' tl - °F11 --4 - 111ar:FIT7' :AT?rtt 4ks:t TP ' i -- - - " - '''''Planning a a reunion? family a ' A club outing? Have a lot of friemis who just want to have fun? Rent one of our houseboats at the already reduced seasonal rate and you can get additional houseboats for halfpricel ' — ' - -' t141t)f-°hli-A--- - 111:7c - 1 i- ----- 2' 11 r f '''' : '' - -1 ' 3E4 ''' il : - ' - e--- - -- '' - -- 4 '' ' : ' 14 1- : '" - lawpw - ' - ' ' - A f°643'64"'''' vta L "'2! 'A 3 1 '' n r3 emrm-- -4 ' f'!:: N - a --- 4'" - s 00::t 4''cir':! ''4$ : $' :Ls7 ' ' '7171f-74-:-4- o on our most popular package Ifki - - 4 k One of the best ways to see world-famou- s Rainbow Bridge is aboard one of our tour boats! Call about seasonal savings ff :' ' 0 :- - it t 0 4 lic:Ntie-----4- 7 -- INialaaNtio ::"-'-- '0' la ‘:7!::14: - -- tothoomalimit a z ril here'll never be a better time to experience Lake g z r0 Powell than this fall The temperatures kalare still warm you've practically got the whole place to yourself and the prices are down So come to where the southwestern sun shines 78 percent of the time and summerjust doesn't know when to quit: Lake Powell Call today t278-88- 88 ' - I 1 CNA I 1 i ital4trIejlalirtei:IPall Amerids Natuxal Playgmund: py Lake Powell Resorts & Marinas is ARA Leisure Services a National Park Service Gonoessioner Gien Caw liauonal Recreation Area 1 : I ' 1 1 - t: 1: 113 'Allsolikimmamaimaukiammmommommommilmonimonomadball ' 1- 2 f : - ' "A : : t - s"r's"'"a Ir777e:!)th—1 :Ia 4'' ot i ya'k"'"(--1 444ftv 4''' p- 1 Plus We'll make a tax deductible donation (5 of your fare) 'in your name to the Ronald McDonald House! Guest Escort KALL Radio's own Tom Barberil Ask about our exciting optional golf tournament ' A'r---:- - -: ' :0k'ror7 htNLs''' 44 (tr:" ' e ' -- - R l' : vw I( Vte 1:0a Sr 0 - Your slii P offers swimming jaeuzzi whirlpools sauna a gym paddle tennis basketball Emvmg range a casino and more Our price is so low we're not i 1 - " 1' 44- - k 'A :1' ': ic '' e Sizzling San JuanTranquil Tortola Seenic St MaartenaAmazing Antigua Stunning St Thomas—Luscious St Lucia Glorious Guadeloupe I i : 4-''''' '' non-golfer- li t 11tr ' I: f: IT - 19 - 26 Lovingly called The Barberi challenge" this cruise is for golfers alike The optional tournament is only one of the s and av allable delights We'll visit— many 11 t 1 :' For The Ronald McDonald House - 84109 :e7e':410 !:''' CarIther's Deep 1991 1991 1991 1991 Lake Powell's er Ericore ere Prices Go South lb114 The Winter - Here It Is—The Second Annual KALI Radio ' — UT 1990 dlrlitN017 278-310- 1 RC 1 I 127 EastrokialnicallitvdtStutei 00 9 2380 Evergreen Ave L 11 i 566 101 Atmosphere Friendly II I C ROSSROADS 0 TRAVEL 7 23-O- 11S lk 1111701111-11mtt01:7111- ) - IF 1t7 ly tillA1efil'ecterN - 1 All Tours Will Enjoy A or WRITE $ Ronald MODonald Ihor Specials Fall Spring & Fa1 Summer Europe Alaska Summer So Pacific Winter Please RSVP by October I 14-2- 9 Sept 5 p ' - L IL Tuesday October 2 1990 7:00 PM Crossroads Travel 1275 E Ft Union Blvd 1200 Princess Cruise Lines Hosted by: Judy Pippin of Princess Cruises FALL FOLIAGE TOUR 5259 SOUTH 2200 WEST SIC UT 84118 r '- ' PAGEANT TOURS CUMORAH DEATH VALLEY & LAS VEGAS December 34 ' Y 6 25-Ju- CANADIAN ROCKIES TEMPLE TOUR & STAMPEDE 8 June 26-Jul-y LAUGH0VN GETAWAY' 11 Air Caribbean SPECIAL ALASKAN CRUISE TOUR ROSE PARADE SPECTACULAR r2 I Apr 722 SO PACIFIC TEMPLE TOUR In Apr December 30 3 1991 This tour may be short but I is loaded View the Rose Parade from reserved seats enjoy a New Years Eve Medieval canner and entertainment Universal Studios Calico and much more CALL 0t ' NeE111Q17Z I TO OUR CRUISE SOCIAL DEEP SOUTH TOUR December 271990-Januar- y 2 1991 Ixtuded on the tour are Holiday Bowl tickets if a local team is invited or a harbor dinner cruise Lawrence Welk dinner and theater San Diego Zoo and Sea World or Ureversal Studios and reserved Disneyland seats at the Rose Parade and much MIXO 4 EpluvruirAlpIrlloni SPRING TEMPLE TOUR 5 Mat SAN DIEGO EXTRAVAGANZA 91012 your hand" to HAWAII TEMPLE TOUR In Feb a i MMMWANIMMIMEiiiill 11 Dec 27Jan 2 Catalina or Disneyland and much more $200 On multistop trips usually cruises Americans traveling to the US Virgin Islands and Mexico are permitted a $1200 exemption of which no more than $400 of merchandise can be purchased in Mexico Americans combining the US Virgin Islands and Jamaica get a $1200 exemption of which up to half is acquired in Jamaica The increases were authorized by Congress when it enacted the Customs and Trade Act of 1990 The new limits apply to US residents who left the United States on or after 4 II ROSE PARADE TOUR back $600 worth of merchandise up American Samoa and Guam now have higher duty-fre- e shopping allowances Also travelers doing multistop trips — ie visiting England and the Bahamas the US Virgin Islands and Mexico or the US Virgin Islands and Jamaica — also get hefty duty-fre- e breaks according to the new rules issued by the Customs Service New limits for the US Virgin Is- lands American Samoa and Guam are $1200 up from WO Travelers to the Caribbean Basin countries are permitted to bring A Personally ceItt: ROSE PARADE in L QI1hbUn travel gets new limits Duty-fre- e US residents traveling to the Caribbean the US Virgin Islands should simply avoid putting off grabbing any fare that seems reasonable Azzbibaszaki December 27 brate 4 with us the Tournament of :tai Francssco San highlighting exciting California coast Danish So Nang Universal Qty Usually said Miller fuel represents about 17 percent of the airline's overall expenses (second only to labor in airlines' overhead costs) Now it's 20-2- 5 percent Cammisa said the industry standard is that each $1 added to the price of a barrel of oil requires a 1 percent increase in fares for an airline just to maintain its position Already last month USAir laid off 7 percent of its workforce reports suggest that it may retire 50 airliners by next year and delay delivery of a dozen new planes for five years -- The biggest cruise lines are a third: "One day the airlines say they're going to do one thing then turn around and do something completely different Promotions blitzes discounts — they seem to folliron the heels of promised -fare increases And vice versa Don't believe anything the airlines tell you anymore until you have your ticket Said another: "The advice I have equipped with modern fleets — "We took our lessons from the last fuel crisis" Skinner said — so fuel costs represent a relatively small percentage of overhead Travel agents themselves frustrated with the maddening fluctuation of fares have little sympathy with the airlines "Some person back in a cubbyhole vE ROSE PARADE CALIFORNIA COAST Said for travelers is don't look for any logic or reason in what's happening because there isn't any Travelers For 1991 r available" get" rs ' t!ep 1111WS! er than that right now" oil-bas- Holland-AmericaWestou- Escorted Tours penny-per-gallo- fast-breaki- air-trav- el Seattle-base- d because if they wait for even a day a seat at that price might no longer be in Chicago has come 111:s with this 27 different fares to Honolumess lu alone" said one Seattle agent who asked not to be quoted by name "The airlines have created their own monster and deserve whatever they seek packages whose porlions were contracted with carriers before the fare increases For major cruise lines the crisis should have no great direct effect on operating costs said Rich Skinner of The International Air Transport Association the industry group representing overseas carriers and US carriers with international routes approved fuel surcharges of from 5 percent to 8 percent by Oct 1 Most flights between the US and Europe are expected to increase 5 percent to 6 percent The biggest increases will be in travel to and from Canada from and within Africa between the southwestern Pacific and North America Europe and Central America and within the southwestern Pacific region The cost of tour packages is likely to reflect airlines' fare increases Those that have already begun marketing full packages for 1991 based on fares projected before Aug 1 may fuel-efficie- nt carriers For travelers the situation means keeping a close eye on bargains as the airlines compete to hold their shares of the market Although it's usually the smaller carriers that introduce lower fares be caught in a bind Travelers should fares iitt posed to business passengers who have less schedule flexibility and are considered more willing to absorb fare increases) still may find sporadn ic bargains on trips Also international fares seem less likely to rise as much and as quickly as domestic fares Promotions such as frequent-flie- r mileage bonuses are set or being planned by most airlines to stimulate - TWA is expected to retire 15 jets and cut back service to a number of cities Although the crisis seems to be having its biggest impact in the domestic market travelers can expect some changes in international air "The US airline industry as a whole was thrown into this situation after two years of no real growth in passenger traffic" said James V Cammisa Jr publisher of the Florida-based Travel Industry Indicators newsletter "Now the rise in fares combined with the generally weak economy and real prospects for a recession is likely to result in a passenger fall-of- f that the airlines — especially the weaker ones can't afford "But from 've consumer's point of rtNund in inview even the creases will result in real-dollfares not much more than 10 percent higher than in 1985 — compared to an overall 21 percent increase in the Consumer Price Index In those terms air fares still aren't too bad" For most vacation travelers howexever adding $50 to a round-tri- p cursion that cost $500 just two months ago is enough to douse the travel impulse no matter how economically justifiable the fare increase may be for airlines Through midyear most airlines were paying about 60 cents a gallon for jet fuel Doug Miller a spokesman for Northwest said his airline was paying 56 cents at the end of June 66 cents at the end of July Within 48 hours of the Iraqi invasion of Kuwait Aug 1 his airline's cost jumped to about 74 cents a gallon Miller said Now it's hovering around 90 cents At midweek Alaska Airlines was paying $103 a gallon said spokesman Lou Cancelmi For United Airlines — whose size financial health fleet and a strong passenger levels make it better able to withstand the market n fuel crisis — each increase means $225 million a year The airlines agree that supply is been assured not a problem that our contracts for fuel will be met" said Miller "It's cost — plain and simple At Northwest 5 million gallons of jet fuel a day at 60 cents would amount to a cost of $3 million a day At 90 cents a gallon we're talking a jump of $15 million a day — and the price of fuel is even high- passenger minimum beginning fill at Bullfrog groups only October lfith at Wainveap Lodge and Haring 1 4 0 4 - RMINMaMftRWam |
