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WiFi returning to airlines

Recession-battered carriers believe they'll get a modest revenue boost from fees for the wireless Internet service.

May 16, 2009|Peter Pae

The extra revenues from bag fees have softened the blow of losing billions of dollars in the aftermath of high fuel prices last summer and the downturn in travel that began last fall, particularly among business customers.

With more airlines adding or hiking bag fees, revenues could exceed $3.5 billion this year, according to Airline Information, a Miami management consulting firm.


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Free flights Down Under?

The number of visitors to Australia is plummeting, so much so that a travel industry group there has come up with a novel enticement: free flights for foreign visitors who agree to spend lots of money at Aussie hotels, restaurants and attractions.

It's just an idea for the moment and there is no indication it's gaining any traction from the Australian government, which would have to foot the bill for the plane tickets. South Dakota launched a similar initiative during the fuel hike last year, offering $50 gas vouchers for visitors to that state.

But Australia's "Mayday Project" -- to signify the country's economic distress -- has had "significant interest from travelers from the U.S., and particularly from the West Coast," said Steve Cusworth, commercial director for Sydney-based Independent Tourism Holdings Inc., a consortium of travel industry companies that is pushing the initiative.

"People are latching on to this."

So far the Australian government has been mum.

"I think the concept was thrown up to the government but there hasn't been any commitment or anything like that," said Amanda Bolger, spokeswoman for V Australia, an airline started by British billionaire Richard Branson that began flying between Australia and LAX in February.

Carry-ons . . . American Airlines passengers can now use frequent-flier miles to book one-way tickets at half the round-trip mileage rate. . . . San Francisco International Airport is looking at building a hotel with small sleeping pods for international travelers on long layovers. . . . The fare war for flights between Orange County's John Wayne Airport and San Francisco International Airport has escalated, with American dropping its one-way fare to $42 after Virgin America started with $49, followed by Southwest at $45.

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peter.pae@latimes.com

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