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Airlines

Delta Execs Downplay Importance of Basic Economy

Andrew Sheivachman

Photo Credit: Delta Air Lines reported a strong first quarter for 2017. In this photo, Delta Air Lines' Cuba crew celebrates the launch of flights to the island nation. Delta Air Lines

Skift Take

Delta says it's using basic economy fares to help better differentiate its products. The jury is still out on whether it will help them compete on routes where they face low-cost competitors.

Delta Air Lines executives downplayed the importance of basic economy fares on the airline's quarterly earnings call Wednesday and said the jury is still out on how competitors' bargain fares will affect its business. Delta was the first major U.S. carrier to offer fares aimed at undercutting its low-cost competitors. Rivals American and United have also recently introduced the no-perks fare class. "I think it's early for us to be able to communicate what their implementation is going to do to us," said Glen Hauenstein, president of Delta Air Lines. He said consumers are paying attention to what they'd lose with basic economy and not auto

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