VS & BA to cut fuel surcharge

Hi all just read this, and thought it might be of interest

Do you think this will be deducted from existing bookings?





Edit by mod to shorten link.... Nick

Just deleted my topic to avoid duplication, reposted here.
Here and Here

-Steve

quote:Originally posted by V1

Do you think this will be deducted from existing bookings?


Unlikely as they didn't charge people who had previously booked when the charge increased earlier this year.

-Steve

quote:Do you think this will be deducted from existing bookings?

Chance and not a snowball in hells spring to mind.

[mitchja]

It's about time!!!!

They dont waste any time is increasing these surchagres but as ever, take their time in reducing them especially when crude has been below $50 a barrel (currently ~$43) now for several weeks and it's not far off the price before the surcharges where introduced.

Regards

quote:Originally posted by mitchja
They dont waste any time is increasing these surchagres but as ever, take their time in reducing them especially when crude has been below $50 a barrel (currently ~$43) now for several weeks and it's not far off the price before the surcharges where introduced.

Well said. As the BBC article points out surcharges were introduced when price was $36.50. As we have discussed many times on the forum these surchages are unrequired and lessen the value of reward flights.

FM

link
First and Club World flights over nine hours reduced by £35 per sector to £98 - shorter flights reduced £20 to £78.
Upper Class passengers will pay £98 (£35 less) on longer sectors, £78 (£20 less) on shorter sectors.

No price fixing of course. [}:)]

quote:Originally posted by V1
Hi all just read this, and thought it might be of interest

Do you think this will be deducted from existing bookings?





Edit by mod to shorten link.... Nick


Got a feeling you might see hell freeze over before they retro existing booked flights[}:)]

cheers
alex

[RichardMannion]

Whilst it's good to see them reduce I understand why it takes time. We call it hedging and the fuel surcharge was only covering a portion of the actual increased fuel cost.

quote:Originally posted by RichardMannion
Whilst it's good to see them reduce I understand why it takes time. We call it hedging and the fuel surcharge was only covering a portion of the actual increased fuel cost.


So the question is - how low and for how long would fuel prices need to stay at that level before surcharges dissapear altogether. Or how long before airlines decide that the fuel price has reached a normal level - after all surcharge suggests a variance on normal conditions or those that existed when the price was set. I would have thought that not charging / refunding existing passengers negates some of the fuel price hedging.

I know it's covering old ground but this whole surcharge issue just seems plainly wrong when fares can be adjusted fairly easily. Also since most of the reward points I have earned have been on flights where I have paid a surcharge should I not see the reward also offset some of the surcharge?

FM

O balls.

So I tried to delay booking my VH holiday for as long as possible in Nov and as a result missed out on the VAA Flight Discount offer VH had up until 1st Dec.

Then decided on 4th Dec I had better book in order to make sure the price doesn't go up. Book and then find out 7 days later the fuel surcharge is coming down. Murphys law hey.

quote:Originally posted by willd
O balls.

So I tried to delay booking my VH holiday for as long as possible in Nov and as a result missed out on the VAA Flight Discount offer VH had up until 1st Dec.

Then decided on 4th Dec I had better book in order to make sure the price doesn't go up. Book and then find out 7 days later the fuel surcharge is coming down. Murphys law hey.


That really is rotten luck old boy![i] Its normally me that happens too.

alex

[RichardMannion]

[quote]Originally posted by FamilyMan

So the question is - how low and for how long would fuel prices need to stay at that level before surcharges dissapear altogether. Or how long before airlines decide that the fuel price has reached a normal level - after all surcharge suggests a variance on normal conditions or those that existed when the price was set. I would have thought that not charging / refunding existing passengers negates some of the fuel price hedging.

I know it's covering old ground but this whole surcharge issue just seems plainly wrong when fares can be adjusted fairly easily. Also since most of the reward points I have earned have been on flights where I have paid a surcharge should I not see the reward also offset some of the surcharge?

FM


I think it will take some time to be honest - I don't have any figures on what they have hedged and at what prices.

What I will say is I wouldn't expect the total air fare to plummet - totals have not moved too much in the past 5 years, the base fare has dropped to a small ratio of the overall fare (as the fuel surcharges have climbed). I've seen base fares of ~£30 to NYC, with the rest of the fare ~£240 being fees and taxes. I'd expect the fare portion to climb back up as the fees go back down.

No sensible airline wants to be stupid, so why would you keep the base fare at £30 if the taxes are only going to be say £50 in the future? They will push the fare up as they know they have had a stream of people happy to pay £275+ for a flight to NY.

[Darren Wheeler]

Never mind fuel. I'm still confused as to why we still pay a $2.50 9/11 security fee.

quote:Darren Wheeler Posted - 18/12/2008 : 01:24:45
--------------------------------------------------------------------------------
Never mind fuel. I'm still confused as to why we still pay a $2.50 9/11 security fee.

Normaly male, works out, sitting in an isle seat, doesn't say much, doesn't drink booze, pocket has a large bulge! P.S. I'm not into YMCA before you all start!!

AC

quote:Originally posted by Always Chilled
[quote]Darren Wheeler Posted - 18/12/2008 : 01:24:45
--------------------------------------------------------------------------------

Normaly male, works out, sitting in an isle seat, doesn't say much, doesn't drink booze, pocket has a large bulge! P.S. I'm not into YMCA before you all start!!

AC


Answers on a post card please as to what it all means?[:?]

alex[:)]

quote:Originally posted by av_norw792
[quote]Originally posted by Always Chilled
[quote]Darren Wheeler Posted - 18/12/2008 : 01:24:45
--------------------------------------------------------------------------------

Normaly male, works out, sitting in an isle seat, doesn't say much, doesn't drink booze, pocket has a large bulge! P.S. I'm not into YMCA before you all start!!

AC


Answers on a post card please as to what it all means?[:?]

alex[:)]


I'm guessing the reference is to sky marshals?