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US AIRWAYS ROLLS OUT MORE GOFARES ADD PHILADELPHIA-BOSTON TO GROWING LOW-FARE NETWORK

ARLINGTON, Va., May 13, 2004 -- US Airways rolled out more GoFares today, adding Philadelphia-Boston to its growing network of cities where these new permanent and simplified low fares are available. These fares are effective immediately.

US Airways’ Philadelphia-Boston GoFares start at as low as $44* each way in Coach. The First Class fare is $299* each way. Coach Class GoFares are no more than $239* each way on this route. The previous walkup fare on this route was $430** each way. US Airways operates 15 nonstop roundtrip flights each day between Philadelphia and Boston.

US Airways introduced the first phase of its GoFares in Philadelphia on April 29, 2004, making them available on 13 routes. GoFares range from $29 - $499* each way, with no Coach fare ever more than $499*, and, there is no Saturday-night stay requirement.

"When we tell customers that they can get our low fares to Boston, we mean Boston and not an airport one state away," said B. Ben Baldanza, US Airways senior vice president of marketing and planning. "As a result of positive customer reaction to our GoFares, we plan to roll out more GoFares to more cities very soon."

In addition to Boston, US Airways now offers GoFares between Philadelphia and Chicago (O’Hare), Fort Lauderdale, Fla., Las Vegas, Orlando, Phoenix, Providence, R.I., and Tampa, Fla. US Airways also announced GoFares between Philadelphia and Houston, Los Angeles, Manchester, N.H., New Orleans, Raleigh-Durham, N.C., and West Palm Beach, Fla., for travel beginning July 6, 2004.

In addition to low fares, customers flying US Airways enjoy:

Advance seat assignments

Pre-boarding for Preferred Dividend Miles members

A First Class cabin with the ability to upgrade from Coach Class on many fares

In-Flight Café on select flights

Ability to earn frequent flier miles for travel to and from more than 700 worldwide destinations through US Airways’ participation in the Star Alliance beginning May 4.

*US Airways’ GoFares are simple, however, in addition to the fare, the federal government requires that the company collect a tax of $3.10 every time a customer takes off on one of US Airways’ planes, plus $2.50 per segment or $10 per trip (the September 11th Security Fee). Some of the airports that customers might visit also charge up to $4.50 for passing through, but the total is capped at $18 per trip. The lowest fares must be purchased seven or 14 days in advance.

** Highest walkup fare charged before the implementation of GoFares.

US Airways has many other airline partners, and a part of a GoFare or any other trip might be on one of the partner’s airplanes. These GoFares are available for travel on the US Airways Express carriers Allegheny, Air Midwest, Chautauqua, Colgan, Mesa, MidAtlantic Airways, Piedmont, PSA, Shuttle America or Trans States. A flight also might be operated by our Star Alliance partner United Airlines®. For all of the details about GoFares, including a few other restrictions, please go to usairways.com.

At Philadelphia, US Airways and US Airways Express operate 392 daily nonstop departures, and at Boston, US Airways, US Airways Express and US Airways Shuttle operate 102 daily nonstop departures.

US Airways is the nation’s seventh-largest airline, serving nearly 200 destinations in the U.S., Canada, Europe, the Caribbean and Latin America. Its transatlantic service comprises Amsterdam, Dublin, Frankfurt, London, Madrid, Manchester, Munich, Paris, Rome and Shannon. Service to Glasgow began May 10, 2004. For more information on US Airways schedules and fares, visit usairways.com.

Reporters needing additional information should contact US Airways Corporate Affairs at (703) 872-5100.

US was forced to offer these "GoFares" to compete with WN at PHL. If WN were to miraculously pull out of PHL tomorrow, they would then be referred to as "GoneFares" as US would undoubtedly raise them back up to previous levels. I don't think the legacy carriers can simply continue to try and match LCCs market to market and keep their high fare structure in place everywhere else. Sooner or later the LCCs will invade everywhere. Even worse is the concept of an airline within and airline, aka Song and Ted. This sends a message that they are not truly committed to a low fare strategy, but only offering it where they have to. If the LCC competition ever goes away, I guarantee you Song and Ted go away too.

I know some people on this board hate LCCs and how they are ruining the quality of service industry wide. But the fact of the matter is that the WNs and B6s of the world have opened up leisure air travel to many of us that would not otherwise be able to go anywhere. In fact, I'm sure many of those who complain about the LCCs are the same ones who would be relegated to Greyhound if the LCCs didn't exist to keep fares down. And I'm not just talking about the trailer park people you see on 'Airline' either. For example, I have an advanced degree, and have a household income of over 175k. But I still would not be able to afford $1200 Rt from IAD to LAX, just for fun.

Just my 2 cents.

Don

I have one reason for US' GoFares being extended to PHL-BOS:

A I R T R A N  

FYI, FL will be increasing its number of PHL-BOS flights to 5 this coming July.

Only BDL seems to be the only New England airport that does not have a LCC offering a route to PHL. Hopefully, that'll change soon.

Currently, on the lowest price available with the new GoFares program, US loses $149.48 per seat each way PHL - LAS based on a 10.5 cent CASM. I really want US to pull through, but sometime (soon, it seems) the well will run dry...

Long live US Airways

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AAndrew

When we tell customers that they can get our low fares to Boston, we mean Boston and not an airport one state away

Ouch! Touché! While that statement was clearly meant for WN, may one only look to the big a for flights to Boston. While I appreciate what US is trying to do, I think it's a bit foolish trying to take on FL and WN at the same time.

LH423