JAPAN AIRLINES

PRESS RELEASES

  • November 16, 2007

JAL Increases International Fare Fuel Surcharge from January 1, 2008

TokyoNovember 16, 2007: Today the JAL Group requested approval from the Japanese Ministry of Land, Infrastructure and Transport (MLIT), to revise the fuel surcharge placed on all international passenger tickets issued for the 3 month period starting January 1, 2008.

JAL has decided to increase the fuel surcharge for tickets issued between January 1 and March 31 2008, as the price of Singapore kerosene-type jet fuel has averaged US$90.65 per barrel over the 3 month period August - October 2007.

Based on ticket sales in Japan, the new surcharges per person per sector flown range from 2,400 yen on a Japan - Korea ticket (up from 2,000 yen) to 21,000 yen on a Japan- Brazil ticket (up from 17,000). The surcharge on a Japan-Europe ticket or a Japan- North America ticket will be 17,000 yen, up from 13,000 yen. (See chart below).

JAL originally introduced the fuel surcharge on international tickets in February 2005 in response to unprecedented rises in the cost of fuel. The surcharge will be progressively reduced as the price of fuel decreases, and will be cancelled completely when the price of Singapore kerosene stays below the benchmark of US$45.00.

The fuel surcharge charged for tickets issued from April to June 2008 will be reviewed based on the average price of fuel for November 2007 through to January 2008.

The company will continue conducting a wide range of countermeasures to limit the full impact of the price increase including fuel hedging, fuel consumption reductions, and the introduction of more fuel-efficient small and medium-sized aircraft to its fleet. 

Despite these measures, the company is still reluctantly obliged to ask its international passengers to bear part of the burden caused by the unprecedented increase in the price of fuel over the past few years.

 

Fuel Surcharge Revision (January 1 - March 31, 2008)*

Route

Current (As of Oct 1, 2007)

Revised (From Jan 1,2008)

(Per person per sector flown)

For sales in Japan

For sales outside Japan

For sales in Japan

For sales outside Japan

Japan-Korea

2,000

US$16.00

2,400

US$20.00

Japan-China

4,700

US$39.00

5,900

US$49.00

Japan - Hong Kong**

6,000

US$50.00

7,500

US$62.00

Japan- Guam, Philippines, Taiwan, Vietnam

6,000

US$50.00

7,500

US$62.00

Japan- Hawaii , India, Indonesia, Malaysia, Singapore, Thailand,

9,900

US$82.00

12,500

US$104.00

Japan- Canada, Europe, Mexico, Middle East, Oceania, USA (excluding Hawaii)

13,000

US$108.00

17,000

US$141.00

Japan-Brazil

17,000

US$141.00

21,000

US$174.00

Vancouver - Mexico City

2,300

US$19.00

2,500

US$21.00

New YorkSan Paulo

6,000

US$50.00

6,500

US$54.00

AmsterdamMadrid

3,000

US$25.00

3,300

US$27.00

Within Europe, Oceania (excludes those specified above/ includes some domestic sectors)

1,700

US$14.00

2,000

US$17.00

Within Asia, Hawaii, North America, (excludes those specified above/ includes some domestic sectors)

400

US$3.00

500

US$4.00

*Fuel surcharges may differ depending on the country in which the ticket is sold. For full details please visit http://www.jal.co.jp/en/other/info2006_0714.html

**Fuel surcharge levels are set based on the flight distance for each sector. The Japan -Hong Kong sector would fall into the same fuel surcharge level charged on Japan- Guam, Philippines, Taiwan, Vietnam sectors. JAL has requested approval from the relevant government authorities to be allowed to increase the fuel surcharge on the Japan -Hong Kong sector to more accurately reflect the distance aircraft travel and the amount of fuel used.  

- Applicable to all international passenger tickets issued on or after January 1, 2008 to March 31, 2008.

- The surcharge applies to flights operated by Japan Airlines and its international subsidiaries JALways & Japan Asia Airways including JAL code-share flights operated by other airlines.

- The same amounts apply to adult/child/infant fares. The surcharges also apply to frequent flyer program international award tickets issued to members of the JAL Mileage Bank.

- In the case of refunds, the fuel surcharge will be refunded in full and no cancellation or refund charge will be applied.

- The planned increase and extension of the fuel surcharge is subject to government approval.

 

Fuel Surcharge Benchmark List

For the convenience of customers and travel agents, the following chart provides details of the fuel price benchmarks (US$/bbl) JAL uses to determine the amount of fuel surcharge (JPY\) placed on tickets per person per sector flown. For full details please refer to http://www.jal.co.jp/en/other/info2006_0714_3.html

 

Benchmark List

A

B

C

D

E

F

Fuel Price (US$/bbl)

Singapore Kerosene Hedge

From US$45 -under US$50

From US$50-under US$55

From US$55-under US$60

From US$60-under US$65

From US$65-under US$70

From US$70-under US$75

JapanKorea

300

500

700

900

1,200

1,400

JapanChina

800

1,300

1,800

2,400

2,900

3,600

Japan - Guam, Hong Kong, Philippines, Taiwan, Vietnam

900

1,700

2,300

3,100

3,900

4,600

JapanHawaii, India, Indonesia, Malaysia, Singapore, Thailand

1,300

2,600

3,900

5,200

6,500

7,700

Japan - Canada, Europe, Mexico, Middle East, Oceania, USA (ex Hawaii)

2,000

4,000

6,000

7,400

9,700

11,000

JapanBrazil

2,700

6,200

9,500

11,000

13,000

14,500



 

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Benchmark List

G

H

I

J

K

L

Fuel Price Per Barrel (US$/bbl)

Singapore Kerosene Hedge

From US$75- under US$80

From US$80- under US$85

From US$85- under US$90

From US$90- under US$95

From US$95- under US$100

From US$100- under US$105

JapanKorea

1,700

2,000

2,200

2,400

2,700

2,900

JapanChina

4,100

4,700

5,300

5,900

6,500

7,000

Japan - Guam, Hong Kong, Philippines, Taiwan, Vietnam

5,200

6,000

6,800

7,500

8,200

9,000

JapanHawaii, India, Indonesia, Malaysia, Singapore, Thailand

8,700

9,900

11,200

12,500

13,700

15,000

Japan - Canada, Europe, Mexico, Middle East, Oceania, USA (ex Hawaii)

12,000

13,000

15,000

17,000

19,000

21,000

JapanBrazil

15,500

17,000

19,000

21,000

23,000

25,000



  

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