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Japan Airlines to raise fuel surcharge

Analysis

Tokyo (XFN-ASIA) - Japan Airlines (JAL), which is struggling

to return to profit, said it plans to again raise a surcharge on tickets to

cope with the high cost of fuel.

Asia's largest carrier said it hoped to increase the surcharge on some international flights for tickets sold on July 1 or afterward, subject to government approval.

The hike depends on the route. One of the widest changes would be on flights between Japan and Hong Kong, on which JAL hopes to raise the surcharge from 1,600 yen per sector to 5,200 yen.

The highest surcharge would be on flights between Japan and Brazil, going up from 120 usd to 129 usd per route.

JAL and its rival All Nippon Airways first introduced surcharges in 2005 to cope with rising kerosene costs.

JAL has suffered two straight years in the red, but said last week it anticipated returning to profit in the current year as passenger revenue rebounds.

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