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American Morning

`Ask CNN': Why Do One-Way Tickets Cost More Than Round-Trip?

Aired April 06, 2001 - 09:55   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
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ANNOUNCER: A CNN viewer wants to know: "Why is the price of a one-way ticket higher that a round-trip ticket?"

MICHAEL WASCOM, VICE PRESIDENT, AIR TRANSPORT ASSOCIATION: Every airline has what is called a break-even load factor. That represents the percentage of seats in service on a particular airline on a particular flight that the airline must sell in order to recover its costs and continue to be profitable and remain in service. In fact, the sale of just one or two seats aboard an aircraft can actually be the determining factor in whether an airline operates at a profit or a loss, or particular flight operates at a profit or a loss. For the airlines, the chief objective is to maximize the revenue for each flight by offering a variety of discounted fares, as well as premium fares to accommodate its customers and ensure the airline remains in business.

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