Airlines Raise Fee For Changing Reservations

The companies say they incur costs when a customer changes a reservation, and the higher fee compensates for that. Analysts say cancellation and change fees make a big difference on airlines' bottom lines, at a time when many are facing financial difficulties

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DAVID GREENE, HOST:

NPR's business news begins with sky-high airline fees.

First United did it, then U.S. Airways followed suit, and now Delta and American say they too are raising the fee for changing a domestic flight reservation to 200 bucks - that is up from 150.

The companies say they incur costs when a customer changes a reservation, and the higher fee compensates for that. Analysts say cancellation and change fees make a big difference on airlines' bottom lines, at a time when many are facing financial difficulties.

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