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Go! goes ahead with Hilo fare hike

By Dave Segal

POSTED: 01:30 a.m. HST, Jul 11, 2009

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Interisland carrier go! increased its lowest one-way fare from Hilo to Honolulu by $20 yesterday, one day after warning that a state-imposed 371 percent increase for the use of the Hilo Airport waiting lounge would result in higher prices.

Go! is now charging $63 for outbound Hilo-to-Honolulu flights because the so-called holdroom fee is assessed from the departure airport. The other half of a round-trip fare — from Honolulu to Hilo — is still $43, but an error by Sabre, the airline's computerized travel reservation system provider, resulted yesterday in passengers also being charged $63 for the Honolulu-Hilo leg.

Paul Skellon, vice president of go!, said those passengers assessed $63 for the Honolulu-Hilo leg would be credited for the $20 difference.

Skellon defended the Hilo-Honolulu increase after the state Department of Transportation, citing airport activity and revenue and expenditure forecasts, boosted the holdroom rate it charges airlines at Hilo to $18.43 a passenger from $3.91. It is 100 times higher than the holdroom rate of 18 cents a passenger at Kona Airport.

"We had no intention in raising fares, but it's in direct response to the new rates," Skellon said.

DOT spokeswoman Tammy Mori said the agency is "re-evaluating the rates at this time."

"Our airports administration today contacted each of the affected air carriers in Hilo to let them know that we are re-evaluating the rates," she said. "We will reconvene with them early next week with the decision that is made."

Hawaiian Airlines spokesman Keoni Wagner and Mokulele Airlines Chief Executive Scott Durgin said yesterday that they were studying the situation.

Interisland carrier go! increased its lowest one-way fare from Hilo to Honolulu by $20 yesterday, one day after warning that a state-imposed 371 percent increase for the use of the Hilo Airport waiting lounge would result in higher prices.


Go! is now charging $63 for outbound Hilo-to-Honolulu flights because the so-called holdroom fee is assessed from the departure airport. The other half of a round-trip fare — from Honolulu to Hilo — is still $43, but an error by Sabre, the airline's computerized travel reservation system provider, resulted yesterday in passengers also being charged $63 for the Honolulu-Hilo leg.

Paul Skellon, vice president of go!, said those passengers assessed $63 for the Honolulu-Hilo leg would be credited for the $20 difference.

Skellon defended the Hilo-Honolulu increase after the state Department of Transportation, citing airport activity and revenue and expenditure forecasts, boosted the holdroom rate it charges airlines at Hilo to $18.43 a passenger from $3.91. It is 100 times higher than the holdroom rate of 18 cents a passenger at Kona Airport.

"We had no intention in raising fares, but it's in direct response to the new rates," Skellon said.

DOT spokeswoman Tammy Mori said the agency is "re-evaluating the rates at this time."

"Our airports administration today contacted each of the affected air carriers in Hilo to let them know that we are re-evaluating the rates," she said. "We will reconvene with them early next week with the decision that is made."

Hawaiian Airlines spokesman Keoni Wagner and Mokulele Airlines Chief Executive Scott Durgin said yesterday that they were studying the situation.

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