Increases in ticket prices and squeezed commission rates are imposed by some, although not all, airlines (196 words)

Published: 10/19/2001

Aeroflot has decided to pass on higher security costs to passengers, from 15th October 2001, increasing its ticket prices to Europe and the Middle East by $10-20 and to Asia and Africa by $40. The hikes are accompanied by an agreement with agents to reduce commissions from 9% to 7%. According to Elena Elagina, spokeswoman for St Petersburg-based Pulkovo Airlines, the airline has increased prices both on domestic and international flights by $3-$5 and $10-$20 respectively, but agent commission remains unchanged. The Russian Association of Travel Agencies says that travel agencies recently discussed changes in ticket prices and commission with Russian and foreign airlines as well as the need to ensure high levels of safety on flights. Lufthansa also decided to decrease commission by 2% and to introduce an additional insurance fee on each ticket of $8. British Airways has, however cut ticket prices to Moscow and St. Petersburg in order to stimulate demand, with a return flight from Moscow to London now reported to be as low $273.

Article ID: 2839