All Nippon Airways said Monday it will raise its discount fares for domestic flights beginning in June to offset a deteriorating business environment amid the war on Iraq.

The move follows that of Japan Airlines System Corp., which also decided recently to raise its discount airfares for domestic flights in June.

The latest price increases will not affect normal rates.

ANA's price increase is almost the same as that of Japan Airlines System.

ANA said it will raise the discount prices of round-trip tickets and four-ticket coupons by 2 percent, special discount tickets that can be purchased until the day before departure by an average of 200 yen and early discount tickets, which must be reserved three weeks in advance, by an average of 700 yen.

ANA had considered raising regular fares but put off the measure.

ANA punishes execs

Staff report All Nippon Airways Co. announced Monday it has taken punitive measures against its president and three other executives in connection with a March 21 computer glitch that inconvenienced around 100,000 travelers.

The early morning breakdown caused 155 flights to be canceled and many others to be delayed when it paralyzed the network that manages flight schedules, nationwide cargo transport and check-ins at Haneda airport in Tokyo.

President Yoji Ohashi had his March salary cut by 20 percent.

Subject to a 10 percent pay cut for the month were Vice President Yoshiyuki Nakamachi, who is in charge of the computer system and flight operations at Haneda airport; Yuzuru Maki, managing director in charge of promoting information technology; and Tadashi Ota, head of ANA's Haneda branch.

More help for airlines

Kyodo News The government decided Monday to extend until July 1 a temporary measure aimed at helping airlines pay third-party liabilities in the event of a hijacking or other incidents, according to government officials.

The temporary measure, which was to expire Tuesday, allows the government to pay the difference between the huge insurance payouts demanded in connection with damage to third parties -- such as buildings that airplanes may strike -- and the cash actually paid by insurers to the airlines.

The measure was introduced Oct. 2, 2001, soon after the Sept. 11 terrorist attacks in the United States. It had already been extended to Tuesday.

The government decided on a further extension amid mounting terror concerns following the start of the war in Iraq, the officials said.