The skies were not friendly to travelers in 2006. And while they haven't been much kinder so far in 2007, some positive developments are in the air.

Coming off a year of airline bankruptcies, slashed domestic routes, and airfares skyrocketing 10 percent to 18 percent, this year will show slight improvements. But capacity remains 18 percent to 20 percent less than pre-2001, and airfares are still expected to rise 3 percent to 5 percent this year — depending on fuel prices.

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