European airlines cutting fares to entice passengers

European air carriers have begun to cut fares in a price war that is aimed at filling empty seats during the coming fall and winter travel seasons.

Despite their claims over the last few months that fares would continue to rise to help pay for the crippling cost of fuel, British Airways and others have started to reduce airfares dramatically. Prices on some economy-class tickets on long-haul services are being slashed by as much as 40 per cent.

In a largely unprecedented move, both BA and Lufthansa are offering substantially reduced fares for flights scheduled well into 2009. The tickets on BA, which are being offered at prices that are as much as 36 per cent cheaper than normal, are valid on selected departures from 22 August 2008 through 30 June 2009.

Lufthansa, Heathrow’s third-largest airline, has reduced economy class prices by up to 20 per cent through the end of March 2009.

Virgin Atlantic has airfares on sale in a promotion extended until Tuesday, for flights that departure over the next several months. Prices have been cut from 15 to 41 per cent on services to Dubai, Hong Kong and Johannesburg. A ticket to New York in economy class is available for under £300.

On Tuesday of this week, Air France and KLM will announce their new airfares, which will show reductions of as much as 21 percent. American Airlines will also be running a special discount promotion.

www.britishairways.com