The airline says increased membership fees for its United Club — an additional $25 for individuals and up to $100 for members with spouses — are needed to pay for upgrades to its lounges, CNBC notes.
With the increased fees, General members of United Club will pay $500 a year. Premier Silver members, who fly 25,000 miles annually, will pay $475, while Premier Gold members, who fly at least 50,000 miles annually, will pay $450. Premier Platinum members will pay $425 and Premier 1K members, who fly at least 100,000 miles annually, will see their membership fees rise to $400.
Rival airlines charge similar rates for their lounge memberships, with Delta (NYSE:DAL) charging between $300 to $450 for individuals, depending on miles flown during the year. Delta hasn’t announced any plans to increase those fees.
United Airlines is also ending its three-year membership deal, effective at the end of this year. Members who chose that option could save up to $250 over the term of the membership, but the company said the option had been dropped due to lack of customer interest.
Shares of United Airlines slipped almost 1% in Friday morning trading.