Average Fares Up 4% in Fourth Quarter

The U.S. Department of Transportation issued a report that showed average domestic air fares in the fourth quarter of 2007 were up 4 percent from the same period of 2006. The report, issued by the DOT's Bureau of Transportation Statistics, reported that the average domestic fare was $331, the highest fourth-quarter average since 2001 but 2.7 percent below the high mark set in 2000.

Airports with the highest average domestic fares were were Anchorage ($539.21); Cincinnati ($531.73); and San Francisco ($427.58). And those with the fastest rising average fares were Houston Bush (16.2 percent), Washington Reagan (13.3), Boston Logan (13.2).

Carriers attempted to raise fares 23 times in 2007, and succeeded 17 times.