Right on. A Surcharge is a temporary remedy. AA's average fuel cost ( I am sure ) was lagging the spot price on the way UP ( and lagginng on the way down due to hedges) However, pattern should be symmetrical. If AA thinks that demand is somewhat inelastic and wants to protect profit margins, it should just raise base fares ( and hope they do not loose market share to TAM and UA. A surcharge is for a specific - sudden and temporary increase in 1 element of "Cost-of-Goods Sold". Its either a component of permanent cost structure or its not - choose and set your regular prices accordingly.