The following article was recently published in the New York Times, and I thought I would share it here.
As some of you may already know, in addition to reducing its fleet size and cutting 10,000 jobs, British Airways has recently introduced a new fare structure.
First introduced in April, the new fare structure eliminated the Saturday-night-stay and advance-purchase requirements on 18 of 189 BA's routes. It now appears that by the end of the summer, the airline will have this fare structure in-place on all of its 189 routes. In addition, this new structure is aimed at directly competing with Europe's low-fare carriers (i.e. Ryanair, easyJet) and at retaining their business-class passengers. Due to the growth of low-fare carriers in Europe--especially in England--BA lost $348 million on its short-haul routes last year.
Here in America, major airlines (especially Delta) are looking at this bold move by BA. It should be interesting to see whether or not some U.S. airlines follow suit.
You can find the rest of the article by following this link: http://www.nytimes.com/2002/08/10/business/10FARE.html?8hpib.
Chris in Orlando