Press Release
JAL Increases Normal Japan Domestic Fares
- Domestic Fuel Surcharge To End -
Tokyo, Tuesday December 27, 2005: Japan Airlines (JAL) will increase the price of domestic Japan normal passenger airfares during the period April 1st - September 30th 2006 to help the airline group cope with the financial impact of sustained high fuel prices. JAL filed today a fare increase application with the Japanese Ministry of Land, Infrastructure and Transportation (MLIT).
During the period, JAL domestic Japan normal airfares will increase from between 3.0% to 11.3% per one-way sector. The amount of increase will depend on the distance of the sector(s) flown (see the chart below).
JAL expects high fuel prices to continue into the future. JAL has estimated that its fuel bill in fiscal year (FY) 2005 will be 90 billion yen higher than that of FY2004, and in FY2006 will be 130-140 billion yen higher than that of FY2004.
JAL has taken a wide range of countermeasures to offset the price increase including hedging and cost cutting. The JAL Group's medium term corporate plan for the period 2005 through 2007 includes reform of structural costs by 75 billion yen annually by 2007 but despite these measures the company is reluctantly obliged to ask its passengers to bear part of the burden.
From April 1st 2006, JAL will eliminate the present domestic fuel surcharge established in January 2005. The fuel surcharge is 200 or 300 yen per one-way sector.
Domestic Fare Increase Per One-way Sector (April 1st - September 30th 2006) Units: yen (JPY)
|
Distance (km) |
Example Route |
Example Low Season Fare during FY2005* |
Domestic Fare Increase (Apr 1st-Sept 30th, 2006) |
Example Low Season Fare (Apr 1st - Sept 30th,2006) |
% Fare Increase |
|
Under 200 km |
Naha- Kumejima |
JPY 9,600 |
JPY 500 |
JPY 10,100 |
5.2% |
|
200 - 299 km |
Fukuoka- Kagoshima |
JPY 15,700 |
JPY 700 |
JPY 16,400 |
4.5% |
|
300 - 399 km |
Tokyo - Komatsu |
JPY 18,700 |
JPY 700 |
JPY 19,400 |
3.7% |
|
400 - 799 km |
Tokyo - Osaka |
JPY 18,800 |
JPY 900 |
JPY 19,700 |
4.8% |
|
800 - 999 km |
Tokyo - Sapporo |
JPY 28,300 |
JPY 1,100 |
JPY 29,400 |
3.9% |
|
1000 km + |
Tokyo - Naha |
JPY 34,800 |
JPY 1,300 |
JPY 36,100 |
3.7% |
* Fare includes current domestic fuel surcharge : 200 yen = under 300km/ 300 yen = 300km & above.
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For further information contact: geoffrey.tudor@jal.com / stephen.pearlman@jal.com
Telephone: 81-3-5460-3109 / Fax: 81-3-5769-6487/ www.jal.com/en/corporate/
|
| Dom Fare Increase.pdf |
