$2.00 R/t Y Fares, $39.00 R/t F Fares

[JAMAKE1]

Hello Everybody:

I was just wondering if you all heard about the computer error that occurred at USAirways on Friday night. Apparently, R/T fares ranging from $2.00 Y-class to $39.00 F-class were put out on USAirways.com and other online travel sites such as Orbitz and Travelocity.

Some of the rather saavy mileage runners over on flyertalk.com put out the word and over the course of the entire afternoon on Saturday, April 16, several mileage runners were able to swoop up R/T tickets on very circuitious routings all over the US to maximize their mileage accrual. Being that United is a a US code share partner, several tickets were booked and confirmed on United Airlines flights.

Several flyers successfully made numerous confirmed bookings in UA First Class for as little as $39.00 R/T plus taxes.

I am just curious at to what the revenue implications will be to United as a result of this computer error. From what I understand, thousands of tickets were booked, confirmed, and ticketed on USAirways and United Airlines flights. The base fare on most of the flights ranged from $1.86 to $2.00 with airport taxes and security fees bringing the total cost to about $40 R/T.

Thoughts? Comments?

 

[whlinder]

I too am wondering how this is handled, when the operating carrier transports a passenger on a marketing carrier's fare error. I would think that such circumstances would be outside the two carriers normal prorate agreement and would invoke special rules, but I am not sure. Either way, it would suck for UA to take a bath due to US' pricing error. (Or for that matter, the one on Air Pacific last week that sold $120 base fares from SFO/PHX to NAN, with UA flying the SFO/PHX-LAX portion and FJ flying the LAX-NAN portion.)

 

[avek00]

Typically, the transporting carrier has 24 hours to accept or refuse any booking made by the issuing carrier. So in theory, UA could refuse all of the erroneous bookings made by US. That said, given how badly US handled this in in the first place, it's entirely possible that they haven't even contacted UA yet to coordinate...

 

[UAL_TECH]

Hello Everybody:

I was just wondering if you all heard about the computer error that occurred at USAirways on Friday night. Apparently, R/T fares ranging from $2.00 Y-class to $39.00 F-class were put out on USAirways.com and other online travel sites such as Orbitz and Travelocity.

Some of the rather saavy mileage runners over on flyertalk.com put out the word and over the course of the entire afternoon on Saturday, April 16, several mileage runners were able to swoop up R/T tickets on very circuitious routings all over the US to maximize their mileage accrual. Being that United is a a US code share partner, several tickets were booked and confirmed on United Airlines flights.

Several flyers successfully made numerous confirmed bookings in UA First Class for as little as $39.00 R/T plus taxes.

I am just curious at to what the revenue implications will be to United as a result of this computer error. From what I understand, thousands of tickets were booked, confirmed, and ticketed on USAirways and United Airlines flights. The base fare on most of the flights ranged from $1.86 to $2.00 with airport taxes and security fees bringing the total cost to about $40 R/T.

Thoughts? Comments?

[post="262762"][/post]​

Take it out of my check.
What the heLL......

B) UT

 

[whlinder]

Typically, the transporting carrier has 24 hours to accept or refuse any booking made by the issuing carrier.

[post="262766"][/post]​

Typically? Where is this rule written? I've never heard of it...

 

[awayfrmitall]

From what I have been reading on the other board is that US is going to honor the tickets. Can anyone explain how it works with the US/UA relationship? Does US have to reimburse UA for the "normal" ticket price or is UA required to take a loss on the tickets because of US's mistake?

 

[spacewaitress]

Take it out of my check.
What the heLL......

B) UT

[post="262816"][/post]​

heehee...that's the one thing our management does well!

 

[N230UA]

Ahoy there folks, I'm now at WHQIM so I have some idea of how things work in this area.

My understanding is that US has already paid UA to be able to sell these seats so US will in effect be the ones to lose money.

 

[whlinder]

Ahoy there folks, I'm now at WHQIM so I have some idea of how things work in this area.

My understanding is that US has already paid UA to be able to sell these seats so US will in effect be the ones to lose money.

[post="262913"][/post]​

Interline settlement occurs before tickets are sold? news to me....

 

[N230UA]

Interline settlement occurs before tickets are sold? news to me....

[post="262915"][/post]​

Scratch what I said before. I spoke to my boss and I misunderstood the way we did our codeshare with US Airways. Keep in mind I am very new to RM.

I was under the impression that most codeshares were done with seat block purchase at pre-defined rates, but not so...

So yes, we are studying the impact of this.

 

[whlinder]

A ha! More proof of revenue management and revenue accounting not communicating!

You're going to have to PM me who your manager is at UA, I wonder if I know him/her...

 

[AA191]

I am so looking forward to my $12 ticket from LAX - JFK on the PS service next month!!

 

[Fly]

Anyone hear what they are going to do about this? Deny the tickets? Honor them?

 

[whlinder]

They have to be honored, the fares are guaranteed. Whether US will apologize with some $$$ is up to them, but isn't required by any contract.

 

[Fly]

I wonder if UAL will cut US off from selling our metal then. hmmmmmm, the idea is to MAKE $$!