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Business Briefs
Reported by Star-Bulletin staff & wire

Friday, May 18, 2001



Hawaiian Airlines posts slow month in April

Hawaiian Airlines' passenger load decreased in April. The airline said it carried 498,051 passengers last month, a drop of 6.9 percent from 534,922 in April 2000. Revenue passenger miles dipped 3.8 percent to 472.1 million from a year-earlier 490.8 million. A revenue passenger mile is one paying passenger carried one mile.

A 1.7 percent decrease in capacity continued a decline in the airline's systemwide load factor, which is the percentage of available seats that were occupied. Load factor last month was 81.5 percent, down from 83.3 percent in April 2000.

Hawaiian's figures include its mainland-Hawaii and Hawaii-South Pacific services as well as its interisland business.

Oceanic boosting prices for new 'Net subscribers

Starting June 8, Oceanic Cable is increasing the monthly fee 5 percent for new Road Runner cable modem subscribers, to $41.95 from $39.95.

The company said the move makes up for rising costs of providing service, and brings prices in line with other areas on the mainland. Oceanic will re-examine prices for new subscribers at the end of the year.

The one-time start-up fee for new service will remain at $100, although different promotional prices are available. Current customers of Road Runner will continue to pay $39.95 a month for the next year, after which Oceanic will review prices.

Oceanic Cable is Hawaii's largest Internet service provider, with 56,000 subscribers, adding nearly 1,000 new subscribers a week, the company said.

Major U.S. airlines reduce first-class fares

NEW YORK >> Major U.S. airlines are introducing cheaper first-class fares in an effort to combat cutbacks in business travel by firms scurrying to reduce costs.

Northwest Airlines Corp., the No. 4 U.S. carrier, started the discounts rolling Wednesday by cutting 50 to 60 percent off its regular first-class ticket prices. AMR Corp.'s American Airlines, the biggest U.S. airline, quickly followed suit by matching the fares on some nonstop routes. Delta Air Lines Inc. lines is also cutting first-class fares 50 to 60 percent, with some restrictions, on flights within the United States and Canada.

A Delta first-class, full-fare return from Norfolk, Va. to Los Angeles, for example, has dropped from $2,072 to $1,217, Delta spokesman Russ Williams said. That price is conditional on a 14-day advance purchase with a one-night stop over.

Industry experts said the cutbacks were expected with U.S. firms dampening business travel as they feel the pinch from the slower economy.





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