JAL to introduce Fuel Surcharge on Domestic Fares

The JAL Group is to introduce a special fuel surcharge of 300 yen on domestic air fares.

The increase in the cost of jet fuel, which has been rising since the last fiscal year, is unprecedented. It is estimated that the negative effects on the FY2004 results of the JAL Group will amount to 50 billion yen or thereabouts as of today.

The special fuel surcharge is as follows:

- Rate of surcharge: 300 yen per flight sector (200 yen where the flight is less than 300 kilometers or 187.5 miles). (At the current exchange rate of \106:US$1.00, the 300 yen surcharge corresponds to US$2.83)

- Date of introduction: January 11, 2005

- Condition of termination: The surcharge will be withdrawn should the average monthly price per barrel of Singapore kerosene falls below US40.0

Application conditions

- The same surcharge will apply to adults and children.

- Cancellation and refund handling charges will not apply to “special-fuel-surcharge-added air fares” if refunds are required.

In earlier fuel price counter measures JAL increased international passenger fares by 5% in July. The airline also introduced a cargo fuel surcharge of 18 yen per kilogram in February this year. which has been increased and is now 30 yen per kilogram.

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