United, Continental merger could raise airfares

Consumers probably have more to lose than gain from a merger of United Airlines and Continental Airlines.

The two airlines have already entered into code-sharing agreements and a frequent-flier alliance that provide travelers with many of the benefits of a combined airline. But if the merged airline cuts capacity, it could lead to higher fares and reduced service in some markets.

The consumer impact "is mainly bad," says Ed Perkins, a columnist with SmarterTravel.com. "If you look at what the financial people are saying, the whole purpose of the merger is to reduce competition so they can raise fares. The airlines put up a smokescreen about seamless service and more destinations, but they already do that through these worldwide alliances."

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Govt Scientist: Air Travel 'Completely Safe

The Government's chief scientific adviser says air travel is "completely safe" as the operation to bring home thousands of stranded Britons begins.
Professor John Beddington told Sky News the decision to lift the flight restrictions covering the UK after six days was sound.

Asked whether he would fly, he said: "I would indeed, I think it's completely safe.

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Five airlines won't charge for carry-ons

U.S. Sen. Charles Schumer, D-N.Y., says he'll meet with the head of Spirit Airlines today to try to end the airline's upcoming fees for carry-on luggage and that the heads of five other airlines have assured him they won't mimic the policy.

The flying public has been dealing grudgingly with fees airlines have been adding to airfares, including for checked bags, Schumer said.

"But charging for carry-on bags is a step over the line and it shouldn't happen," Schumer said at Westchester County Airport. "When I heard Spirit Airlines was going to charge $45 for each carry-on bag, I said, 'Enough already.' "

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Good News for American Airlines frequent flier club Members

American Airlines frequent flier club members can get extra bonus miles on certain transcontinental flights. Customers can earn up to 50,000 bonus miles on nonstop transcontinental routes between New York’s John F. Kennedy International Airport and Los Angeles International Airport or San Francisco International Airport.

The company is also offering more flights between Chicago O’Hare and Buffalo, Rochester and Syracuse, New York. They will double their airline miles on those routes from April 6 and June 30, 2010.

There are rumors that the airline may be headed towards a labor strike this summer. Two of the three unions say the employees deserve more money.

Chairman and CEO, Gerard Arpey, said he didn’t think the merger of two U.S. rivals posed a threat to AMR. There are talks of a merger between UAL Corp.’s (UAUA) United Airlines and US Airways Group Inc. (LCC). The merger would make American the third largest air carrier.

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