American to begin charging for first checked bag

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American to begin charging for first checked bag

By DAVID KOENIG
Associated Press
Published on: 05/21/08

Fort Worth, Texas — American Airlines will start charging $15 for the first checked bag, cut domestic flights and lay off workers as it grapples with record-high fuel prices.

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The nation's largest carrier said Wednesday the fee for the first checked bag starts June 15 and that it would raise other fees for services ranging from reservation help to oversized bags. The other fees will mostly range from $5 to $50 per service, the airline said.

Last month American announced it would join other carriers in charging $25 for second bags checked for some passengers, but it wasn't immediately clear how Wednesday's announcement would affect that.

American plans to cut domestic flight capacity by 11 percent to 12 percent in the fourth quarter. American had previously expected fourth-quarter capacity to fall 4.6 percent from the same period in 2007.

Parent AMR Corp. said reduced flying will lead to an undisclosed number of job cuts at both American and its American Eagle subsidiary.

AMR expects to retire 45 to 50 planes from its fleet, most of them gas-guzzling MD-80 aircraft. Those were the plane grounded for faulty wiring last month.

American said rising oil prices have increased its expected annual fuel costs by nearly $3 billion since the start of the year.

AMR shares tumbled $1.10, or 13.4 percent, to $7.10 after the announcement which came as its shareholders gathered for their annual meeting.

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Comments

By Grumps

May 22, 2008 3:12 PM | Link to this

This is total BS. For years airlines charged less than the product cost them due to stupid MBA and CEO ego's and errors. Just raise the ticket prices and tell the people what the real deal is. These add on fees are an insult to the intelligence of most travelers. If this continues, along with fuel prices you will not be able to count the bankruptcies unless you take your shoes off. Some will be liquidations.

By "C"BERRY

May 22, 2008 1:42 PM | Link to this

I THINK AA HAS MADE A HUGE MISTAKE.

THEY SHOULD HAVE JUST FOLLOWED SUIT

AND CHARGED $25.00 FOR THE SECOND

CHECKED BAG. IT WILL BE JUST LIKE

WHEN AN AIRLINE HAS A FARE INCREASE

AND NO ONE FOLLOWS. THEY THEN HAVE TO

BACK OFF AND REJOIN THE REST. I JUST

KNEW SOME MORON WOULD HAVE TO BLAME

PRESIDENT BUSH FOR THE $15.00 CHARGE

AND THE AIRLINE'S WOES. GET A LIFE

LIBBY !!

By FrequentFlyer

May 22, 2008 12:09 PM | Link to this

No big deal to me---I never fly on that worthless airline, American. Their employees are a bunch of morons and their flights are always late. I fly Southwest whenever possible--they know what they are doing. American will either file for bankruptcy soon or get bought out by a real company.

By Richard Carruthers

May 22, 2008 11:58 AM | Link to this

The historic cachet of flying seems permantly lost for all but those capable of private flight. Never has there been an industry that tried so hard to alienate its clientele as has the airlines. Nickle and dime pricing is consistent with the nickel and dime customer service. It is also insulting to have a ticket price NOT reflect the true price. How will one know if a blanket will be on the plane, a snack, a toilet,... maybe standing room only with hang straps for the hardy? We all recognize that airlines are pressured on price. What we don't accept is the poor human approach in discussing it. Are we such rubes that we can be told one price and accept another when delivered in car salesman practice? No, the airlines believe there is no alternative and that when presented with the charge we will just add it to our credit cards quickly in order to stay on schedule. The general demise of the wonder of airflight has left American firms exposed and vulnerable. Will it all come down to two flights a day, manned by three pilots, passenger self-service, delivered on a super stretch AIRBUS carrying 1000 people like cattle? "Shhh", they may be listening.

By RamblinLonghorn

May 22, 2008 11:41 AM | Link to this

From last year to this year, the estimated total cost for fuel increased by $24.6 Billion. The best ever yearly earnings for the industry was $5.3 Billion.

explain to me how they're supposed to recoup those costs? The reality of the situation is that the Fossil Fuel Economy is collapsing under the demand from the U.S. and emerging powers overseas. Alternate energies and flight plans have to be developed to counteract this staggering cost if they industry is to survive. 30 years of technological stagnation is going to end up dooming all of these airlines.

By j

May 22, 2008 11:27 AM | Link to this

I recently flew to Vegas for a week and decided not to check a bag. Mainly because i didn't want my luggage lost, like the last few times i flew. It was actually nice only having 1 bag and not having to worrky about 2-3 bags. Really, you don't need that much stuff for a vacation, cram it into one bag and carry it onto the plane, not a big deal.

By Pago Flyer

May 22, 2008 11:14 AM | Link to this

Don't laugh, pay toilets,paying for a cup of water,paying for life vests etc., is coming.]\[

By Wont Fly AA

May 22, 2008 9:34 AM | Link to this

Just dont fly American Airlines and see how long this fee would last. :)

By dd

May 22, 2008 7:45 AM | Link to this

The airlines don't care about you.

Their only concern is getting you (not your luggage) from point A to point B without crashing to avoid lawsuits.

Does this really surprise anyone?

It's only a matter of time before it's standard practice.

Delta's ready when you are.

By GaryM

May 22, 2008 7:41 AM | Link to this

As if flying isn't already painful enough! Pile it on....I'll see all of you at the Eastern Employees reunion.

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