From: Reuters
Published March 19, 2008 09:43 AM

Delta adds another $10 to fares to offset fuel

NEW YORK (Reuters) - Delta Air Lines Inc <DAL.N> said on Wednesday it added another $10 to U.S. domestic round-trip fares to offset soaring jet fuel prices.

A spokeswoman for Delta, the No. 3 U.S. airline, said the $10 is an increase to the fuel surcharge. The hike comes on the heels of one from last week, when major carriers, including Delta, increased their fuel surcharges by as much as $50 round-trip.

The increase reflects the pain that airlines are feeling as jet fuel prices, which rise with the price of oil, soar to record levels, and the U.S. economy weakens. A barrel of crude <CLc1> touched a record high of $111.80 on Monday.

On Tuesday, Delta unveiled plans to cut 2,000 jobs and scale back flights as it led efforts by U.S. carriers to cut costs.

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Delta, which has been unable to seal a merger with rival Northwest Airlines Corp <NWA.N>, will offer voluntary retirement and buyout packages to 30,000 employees.

It is aiming to cut 1,300 rank-and-file jobs and 700 administrative and management jobs, or more than 3 percent of its work force overall.

Delta shares were trading up about 2 percent at $10.30 on the New York Stock Exchange on Wednesday morning.

(Reporting by Mark McSherry, editing by Gerald E. McCormick and Dave Zimmerman)

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