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Published on Thursday, Oct 30, 2008
Domestic airfares soar to 13-year high
Average airfares on domestic routes have reached their highest level in the 13 years they've been tracked by the U.S. Department of Transportation, the agency said.
The department said the average domestic fares totaled $352 in the second quarter, up 8.1 percent from the same period in 2007. That number beats the previous high of $348 set in first quarter 2001, just before the industry plunged into a prolonged recession.
United allows fliers to ship bags for fee
United Airlines is teaming with FedEx Corp. to ship a passenger's bag overnight for as much as $358 round trip, betting that some customers will pay the higher cost to avoid taking luggage to the airport.
Travelers would get door-to-door baggage handling and avoid the wait at airport luggage carousels as well as the airline's fee of $30 to check one bag round trip. The new option's cost exceeds the $130 round-trip fee to check two bags with United, a unit of Chicago-based UAL Corp.
The service extends efforts by airlines to boost revenue from sources other than tickets.
Countries slowing rubber production
Thailand, Indonesia and Malaysia, the world's three biggest rubber producers, agreed to cut production by 210,000 tons next year by felling trees, said Luckchai Kittipol, president of the Thai Rubber Association.
The countries will also reduce tapping in a bid to curtail output and boost prices from three-year lows, Luckchai said.
Rubber has plunged 51 percent from a 28-year peak in June on concern the global lending crunch will push the world into recession, reducing demand for commodities. Representatives from the three countries that supply 70 percent of the world output met in Bangkok. The agreement has to be endorsed by governments, said Abdul Rasip Latiff, chief executive officer of the International Rubber Consortium Ltd.
Natural rubber for April delivery added 4.4 percent to $1,790 a ton on the Tokyo Commodity Exchange on Wednesday after hitting a three-year low Tuesday.
Tenneco to cut jobs, close Ohio plant
Tenneco Inc. of Lake Forest, Ill., on Wednesday announced that it will cut 1,100 jobs worldwide and close five facilities in a broad restructuring of operations as the company grapples with an industry downturn.
The maker of emission and ride control systems for automobiles said the move and other cost-cutting efforts are expected to save $64 million a year.
One facility being closed is in Milan, Ohio.
Chrysler ending trip into hybrid territory
Chrysler LLC, the third-largest U.S. automaker, said at the end of the year it will stop making its first gasoline-electric vehicles, which began sales this month, because the plant that builds them in Newark, Del., is closing.
Domestic airfares soar to 13-year high
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