Entry 20600370

The fuel prise is getting more and more expensive and is not likely to get any cheaper in nearest time. The raise of fuel price strongly influences American aircompanies. To adjust to continious oil price raise many of them have to make some changes services they provide.

In case of Northwest few changes appeared. Northwest raised prices for international flights and cut domestic schedule by 5 percent.
Significant changes appeared in such airlines as ATA or Aloha Airlines. Because of fuel price two companies had to shut down and Champion Air is about to stop flying by May 31. Some companies have to freeze hiring new pilots.

Because of the high fuel price aircompanies fear that the demand will go down therefore it will lead to attempts to save money by "cost reductions, productivity improvements and revenue enhancements." "every effort will be made to achieve these reductions through attrition," the airline said. Airlines said they will not seek for pay cuts.