Air Transport World

U.S. majors are controlling passenger service expenses.

The conflicting pressures on U.S. major carriers to reduce costs while keeping service standards high appear to be balancing each other, with cost reduction coming out slightly ahead, according to data filed with the Department of Transportation.

Overall passenger service expense among the majors in 1984 rose at a slightly lesser rate than passenger boardings, leading to a two-cent drop to $13.40 in cost per passenger. Reflecting the influence of route systems, Pan Am had the highest per-passenger expense at $30.21, followed by TWA at $23.94, while Piedmont was the lowest at $6. …

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