Airfares May Sag in '09: Report

Declining demand, dropping oil prices likely to bring prices down
By Ambreen Ali,  Newser User
Posted Oct 22, 2008 4:47 PM CDT
Companies are reconsidering business travel as they look for ways to cut costs.   (AP Photo)
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(Newser) – The slumping economy may bring some good to the travel industry: Domestic airfare and hotel rates could fall next year as strapped individuals and companies think twice about globetrotting. A slash in oil prices, down to half of summer’s record high, has also brought airlines relief, Reuters reports. In its annual forecast, American Express sees declining demand as travel budgets become a “boardroom issue.”