Heinrich Demands Answers from Major Airlines on Fare & Fee Increases as Jet Fuel Costs Skyrocket Due to Trump’s Iran War

Heinrich, colleagues point to Spirit Airlines terminating operations as a result of increasing jet fuel prices

WASHINGTON - U.S. Senators Martin Heinrich (D-N.M.), Elizabeth Warren (D-Mass.), Bernie Sanders (I-Vt.), and Richard Blumenthal (D-Conn.) wrote to the CEOs of the six biggest U.S. airlines seeking information on the current economic conditions of the airline industry as President Trump's war in Iran continues, requesting that the airlines detail their plan to address rising jet fuel costs, and whether companies will cap or reduce executive compensation to help offset rising costs.

The senators also addressed Spirit Airlines ending their operations, highlighting worsening economic conditions due to Trump's war in Iran that led to the airline going out of business.

"We write following the announcement that Spirit Airlines has ceased operations effective May 2, 2026, citing high jet fuel costs, and seeking information regarding the current economic conditions of the airline industry as President Trump's war in Iran continues to increase costs for American businesses and consumers," Heinrich and his colleagues wrote to the CEOs of American, United, Delta, JetBlue, Alaska, and Southwest Airlines.

The senators continued, "The jet fuel crisis instigated by President Trump's Iran war 'is turning into a disaster for airlines,' and '[b]udget carriers are especially squeezed.' Airlines spent more than $5 billion on jet fuel in March, more than a 56 percent increase over February fuel costs, with at least one airline saying it aims to pass on 100 percent of the fuel increase onto passengers."

"Meanwhile, there has been little to no public indication that airlines will cap or reduce the salaries of corporate executives to help offset costs. In 2025, American's CEO made more than $13.8 million, United's CEO made more than $32.2 million, Delta's CEO made more than $19.2 million, Southwest's CEO made more than $16.5 million, Alaska's CEO made more than $9.9 million, and JetBlue's CEO made more than $5.1 million," the senators noted.

Following President Trump's launch of attacks on Iran, global oil and fuel markets were thrown into chaos. Before the start of the war, the average jet fuel price was $2.50. By the end of April, jet fuel prices had climbed to $4.51, increasing by 80 percent.

Travelers are facing potentially permanent fare and fee increases from airlines following the beginning of President Trump's war:

• American Airlines announced it raised bag fees by $10, to $50 for the first bag and $60 for the second bag.

• United Airlines claims it aims to pass on 100% of the fuel increase to passengers, hiking fares by as much as 20 percent and raising checked bag fees by $10, to $50.

• Delta Air Lines raised checked bag fees by $10, to $45 for the first bag and $55 for the second. Delta has also announced that it will eliminate food and beverage services for all flights shorter than 350 miles for all passengers who are not in first class.

• Southwest Airlines also raised checked bag fees by $10, to $45 for the first bag and $55 for the second.

• Alaska Airlines raised checked bag fees by $5 for the first bag and $10 for the second.

• JetBlue is reportedly working to "identify flights"- presumably to eliminate - that "won't bring in enough revenue to cover the costs of fuel, airport landing fees, and maintenance" and has raised baggage fees for economy passengers by up to almost $10, to a minimum of $39.

Yet, there has been no indication from airlines that they will take other measures - such as capping executive pay or limiting stock buybacks and dividends - to offset costs.

The senators concluded their letter by requesting that the airlines answer questions regarding the airlines' profit margins in 2025, how the airlines determine fares, whether the companies plan to offset rising costs by reducing CEO pay or limiting stock buybacks and dividends, and whether and when airlines will bring fares and fees back down if jet fuel costs decrease.

For more background on Heinrich's work to lower costs for New Mexico families and hold President Trump accountable for his costly and illegal war with Iran click here.

The text of the letters to the airline CEOs can be found here and below:

We write following the announcement that Spirit Airlines has ceased operations effective May 2, 2026, citing high jet fuel costs, and seeking information regarding the current economic conditions of the airline industry as President Trump's war in Iran continues to increase costs for American businesses and consumers.

In February 2026, Spirit Airlines appeared to be poised to emerge from Chapter 11 bankruptcy by the summer. Its reorganization plan would have allowed Spirit to "reinforce its position as America's leading value carrier." Spirit was so confident it would successfully emerge from bankruptcy that, in early 2025, it rejected a potential merger with Frontier that would have made the combined airline into the fifth-largest airline in the United States. But on February 28, 2026, President Trump launched attacks on Iran, beginning a war without legally required congressional authorization and throwing global oil and fuel markets into chaos. On February 27, 2026, the average jet fuel price was $2.50. By the end of April, jet fuel prices had climbed to $4.51, an 80 percent increase. Spirit's financial situation appeared to worsen as prices soared: on April 15, the Wall Street Journal reported that "Spirit Airlines is facing a steeper climb out of bankruptcy due to rising fuel prices."

Reporting at one point suggested the Trump administration might enter into a $500 million deal to bail out Spirit and was considering a similar $2.5 billion action on behalf of other value carriers, who have been "disproportionately affected by the run-up in fuel prices." However, in late April, "Spirit was informed that this potential new financing was no longer an available option," and, on May 2, Spirit announced that the company had begun to wind down operations and had cancelled all flights. In a declaration filed in bankruptcy court, Spirit's Chief Financial Officer stated:

Geopolitical events and a massive and sustained increase in fuel prices will require U.S. airlines to spend billions of incremental dollars on fuel in 2026. And the material additional costs to Spirit proved to be too much for its available liquidity to absorb. Between March 1, 2026, and April 30, 2026, alone, Spirit's incremental fuel cost was nearly $100 million.

The jet fuel crisis instigated by President Trump's Iran war "is turning into a disaster for airlines," and "[b]udget carriers are especially squeezed." Airlines spent more than $5 billion on jet fuel in March, more than a 56 percent increase over February fuel costs, with at least one airline saying it aims to pass on 100 percent of the fuel increase onto passengers. Below is a summary of potentially permanent fare and fee increases airlines are imposing on consumers since the beginning of President Trump's war:

• American Airlines projected a potential loss in 2026 after forecasting earnings as high as $2.70 a share and reporting record revenues during the first quarter of 2026. American announced it raised bag fees by $10 to $50 for the first bag and $60 for the second bag. American CEO Robert Isom said "[f]uel prices [increasing] rapidly over the last few weeks" had a $400 million impact on the business as of March 20, 2026.

• United Airlines "slashed its profit outlook," hiked fares by as much as 20 percent, and raised checked bag fees by $10 to $50.21 United's Executive Vice President and Chief Commercial Officer seemed confident that Americans would take the price hikes, saying "price increases are going well and demand is hanging in there really strong." In addition to anticipating that the airline will pass on 100 percent of fuel cost increases onto passengers, United's CEO Scott Kirby also said, "I'm hoping that oil prices go down, but in a way, like it's an opportunity for us. We will definitely win on the other side."

• Delta Air Lines raised checked bag fees by $10, to $45 for the first bag and $55 for the second. Delta has also announced that it will eliminate food and beverage services for all flights shorter than 350 miles for all passengers who are not in first class. Delta's Chief Operations Officer Joe Esposito said, "the speed in which you've seen [higher fares] in just the past two to three weeks has, I think, put a lot of credibility that the industry wants to make money." Delta's CEO Ed Bastian confirmed the airline is emphasizing "fuel recapture," or offsetting the costs of high fuel due to President Trump's war in Iran, and Esposito reported that "consumer demand continues to be strong, even as we pass through higher fuel."

• Southwest Airlines also raised checked bag fees by $10, to $45 for the first bag and $55 for the second. Southwest's CEO said, in relation to hiking prices, "[w]e don't control the war, we don't control fuel prices. If input costs come up and they stay there-it's like any other industry where supply chain costs rise …. The fares will have to adapt, and therefore that'll affect the consumer."

• Alaska Airlines raised checked bag fees by $5 for the first bag and $10 for the second. Alaska Air Group's CEO Ben Minicucci has said, "We've been pleased that we've been able to get people to buy at the higher level so far."

• JetBlue is reportedly working to "identify flights" - presumably to eliminate - "that won't bring in enough revenue to cover the costs of fuel, airport landing fees and maintenance," and has raised baggage fees for economy passengers by up to almost $10 to a minimum of $39.

Meanwhile, there has been little to no public indication that airlines will cap or reduce the salaries of corporate executives to help offset costs. In 2025, American's CEO made more than $13.8 million, United's CEO made more than $32.2 million, Delta's CEO made more than $19.2 million, Southwest's CEO made more than $16.5 million, Alaska's CEO made more than $9.9 million, and JetBlue's CEO made more than $5.1 million.

It is now around 20 percent more expensive to fly this year than at the same time last year. But the airline industry is not the only sector hiking prices. Gas prices have risen by more than $1.50 per gallon since President Trump launched the war in late February, topping $4.50 per gallon. Food prices, which are already too high, could be next. Furniture prices rose 7 percent from December 2025 to February 2026. More than one in four Americans has not filled a medicine prescription due to cost, and nearly one in five has cut pills in half or skipped doses to save money. Nearly two in three Americans report being worried about health care costs and gas costs, and more than half are worried about being able to afford food and grocery prices. Americans are carrying $1.68 trillion in car debt.

Americans are paying the high price for President Trump's war. To help inform Congress's work to understand and address rising costs for American families, we ask that you answer the following questions by May 29, 2026:

1. With regard to fares:

a. What was the average fare for domestic economy tickets on your airline in April 2026?

b. What was the average fare for domestic economy tickets on your airline in April 2025?

c. What was the average fare for international economy tickets on your airline in April 2026?

d. What was the average fare for international economy tickets on your airline in April 2025?

2. What was your company's profit margin in 2025?

a. What would it have been absent credit card revenues?

3. Please explain how your airline determines fares, and what steps you have taken to change fares since February 28, 2026.

4. Will your company cap or reduce executive compensation to help offset rising costs? If not, please explain why not.

5. Will your company commit to refraining from engaging in stock buybacks or issuing dividends at least until fares and fees return to what they were before the beginning of President Trump's war in Iran? If not, please explain why not.

6. Have you or your representatives, lobbyists, or lawyers met or communicated with Secretary of Transportation Sean Duffy, Secretary of Commerce Howard Lutnick, Secretary of the Treasury Scott Bessent, President Trump, or other Trump administration officials in the last six months? If so, please detail the dates of the conversations, who was present, and what was discussed.

a. Did any of these conversations involve a discussion of a possible bailout for Spirit Airlines or any other airline?

7. If jet fuel costs decrease, will you lower fares and fees, such as baggage fees?

a. Please explain why or why not.

b. Please detail how much you will decrease fares and fees, and when you will make such adjustments.

Sincerely,

###

• Print
• Email
• Share
• Tweet