The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1996, Landmark Communications, Inc.

DATE: Thursday, March 7, 1996                TAG: 9603070570
SECTION: BUSINESS                 PAGE: D1   EDITION: FINAL 
SOURCE: BY MYLENE MANGALINDAN, STAFF WRITER 
                                             LENGTH: Medium:   58 lines

AIR-FARE WAR: AIRLINES SLASH PRICES ON SOME SPRING FLIGHTS BY UP TO 40%

If you try to call Northwest Airline to get airfare prices, you'll have to learn how to spell on your touchtone telephone pad.

The agents are so busy fielding calls on discount airfare that consumers must punch in the first four letters of their destinations to get information on the savings.

The Minneapolis-based airline and Dallas-based American Airline started a spring airfare war Tuesday, slashing prices on some flights by 40 percent. As a result, Continental and USAir have followed suit and matched some of the discounts on routes where they compete with the two airlines.

``These phones are ringing off the hook,'' said Rhonda, a travel agent at CI Travel's Lynnhaven office. She didn't have time to chat.

The nonrefundable tickets must be purchased at least two weeks in advance and include restrictions like a Saturday night or three-day minimum stay.

Some Hampton Roads travel agents say this spring sale isn't as spectacular as those in the past.

The sale does not affect every market. Most major East Coast cities aren't included. For example, fares to Boston, New York City and Florida haven't changed.

``We haven't seen any of the markets in the Northeast drop at all,'' said Marcia Little, a travel agent at Uniglobe Adventure Travel.

``There are some travel restrictions,'' said Jackie O'Brien at Cooke's Travel Service in Chesapeake. ``But if you're flexible in your travel, it's great to accommodate people with these low fares.''

The fares leaving from Norfolk to the West Coast and the Midwest appear to be the ones most affected by the sale, she said.

On all the airlines, prices to Los Angeles are cut from $720 roundtrip to between $437 and $510, O'Brien said. Travel to San Francisco is $449, down from $740. A flight to Little Rock, Ark., costs between $251 and $293, a drop from $418. And Hawaii is a bargain: it's $599 roundtrip, previously $912.

There's not a significant discount on international travel, either, Little said. ``The fares right now to Europe are pretty stable.''

``There are certain cities where there's no competition so there's no need to drop the rate.''

Tickets on Northwest must be purchased before Friday for travel from March 20 to April 30 in the United States and Canada.

American Airlines will extend its sale through March 15. The discounts apply to travel through June 30 in North America; May 23 to Mexico, Europe, and Central and South America; and June 15 to the Caribbean.

USAir moved to match its competitors' sales, saying it would reduce fares for tickets purchased before Friday by up to 40 percent. The discounts apply for travel through April 30.

Continental said it will match the sale in markets where it competes with Northwest, but extended the travel period from March 20 to May 22. MEMO: The Associated Press contributed to this report. by CNB