News & Observer | newsobserver.com | More airlines cut capacity

Published: Apr 05, 2008 12:30 AM
Modified: Apr 05, 2008 02:45 AM

More airlines cut capacity

 

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ATLANTA - More airlines are announcing plans to cut capacity this year to grapple with high fuel costs and growing signs of a traffic slowdown.

US Airways said Friday that it will cut capacity as much as 4 percent this year, joining similar moves announced by Delta Air Lines, Northwest and United. US Airways and most other big carriers this week reported year-over-year declines in traffic in March, lending evidence that the industry could be headed into a period of contraction.

Also on Friday, Continental Airlines joined competitors in charging passengers $25 for a second checked bag to help blunt rising fuel bills.

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