Delta CEO Warns of Higher Tickets Prices Coming This Summer Due to Government Regulations The CEO says the costs of regulations aimed at compensating stranded passengers will trickle down to customers.

By Dan Bova

lev radin | Shutterstock

If you were excited about the government's new plan for new regulations that will require airlines to provide compensation and cover meals and hotel rooms for passengers who are left stranded at airports due to airline screwups, the CEO of Delta Air Lines is here to throw a wet blanket on your celebration.

Appearing on CBS Mornings, Ed Bastian said the associated costs of those regulations will surely trickle down to consumers, calling it "common business logic."

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"There's no question if there is another layer of government regulation and cost that's introduced into the system, it'll eventually find its way back into ticket prices," he explained.

President Biden said the new regulations (which exclude delays caused by weather or circumstances out of an airline's control) were created because travelers "deserve to be fully compensated."

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On CBS Mornings, Bastian disputed that travelers aren't being compensated, specifying that they've paid "hundreds of millions of dollars for customers." He added, "We do it at Delta because its great service… you know if something goes awry Delta's going to be there for you."

Fox Business News reports that airline fares dropped about 2.6% from March after four months of increases.

Dan Bova

Entrepreneur Staff

VP of Special Projects

Dan Bova is the VP of Special Projects at Entrepreneur.com. He previously worked at Jimmy Kimmel Live, Maxim, and Spy magazine. His latest books for kids include This Day in History, Car and Driver's Trivia ZoneRoad & Track Crew's Big & Fast Cars, The Big Little Book of Awesome Stuff, and Wendell the Werewolf

Read his humor column This Should Be Fun if you want to feel better about yourself.

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