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American Airlines to charge for first checked bag

NEW YORK - For some time now, cash-strapped airlines have been doing away with once-complimentary perks such as earphones, meals and extra legroom in exit rows.

Now the largest U.S. carrier is testing the limits of passengers' willingness to pay for extras, announcing plans to start charging $15 for what many fliers consider a downright necessity: a single checked bag.

What's next?

"Pay toilets in the coach cabin, maybe," joked longtime airline consultant Mike Boyd.

American Airlines' move is part of a larger effort by the industry to find new ways to improve revenue in the face of soaring fuel prices and a slumping economy. The airlines anticipated a multibillion-dollar loss this year, even before oil's latest spike above $130 a barrel Wednesday.

Still, the latest effort could be a tough sell with passengers.

"It's ridiculous," said Louise Schum, a 23-year-old student from Steamboat, Colo., on a 10-hour layover at Miami International Airport. "Charging for luggage is the cutoff line."

Fort Worth, Texas-based American announced the change at the same time it said it would slash capacity and retire at least 75 older, gas-guzzling planes. Gerard Arpey, chairman and chief executive of American parent AMR Corp., said the industry cannot withstand sky-high oil prices and must find ways to cover rising costs.

Travelers are likely to see other carriers follow suit, assuming the change becomes permanent.

"They're always going to be looking for additional ways" to make money, said Ray Neidl, who monitors the airline industry for Calyon Securities. "Customers want low ticket prices, and they seem willing to pay for extra services."

The added baggage fee amounts to a fare increase, and it comes on top of a series of ticket price increases and fuel surcharges the industry has pushed through in recent months. But it is also the industry equivalent of a trial balloon that could pop before it gets too far off the ground.

"There comes a time when the nickel-and-diming starts to be annoying," Boyd said.

Under American's plan, many domestic passengers who buy tickets after June 14 will have to pay $15 each way for the first piece of checked luggage. The fee does not apply to passengers who pay full-price for tickets, elite members of its frequent-flier program or people traveling overseas.

Carry-on bags, popular with business travelers on overnight trips, will remain free.

"This is not going to apply ... to the people who can most afford it, the business traveler," said Bob Harrell of New York-based travel and aviation consulting firm Harrell Associates. "It's going to be the poor schmo, the vacation traveler, who ends up paying these fees."

American also said it is raising fees for a number of other services, including those to transport pets and check oversized luggage. The airline last month agreed to join other major carriers in charging $25 for a second checked bag.

That means a family of four, with each member checking two bags, must now spend an additional $320 just to get their luggage to and from a destination.

"I think that it's outrageous," said Bill Thompson of New York as he waited to board a flight at LaGuardia Airport. "You get the gas surtax, you get all these baggage fees ... It's awful."

Other passengers were resigned to the fact that flying will continue to get more expensive.

"It wouldn't stop me from traveling ... It's better than having to keep increasing the fares," said Sheryl Bennett, 58, an insurance underwriter from Woodstock, Ga., who was in Miami en route to Key West, Fla.

"If they start charging for carry-ons, then that would be going over the line," Bennett said, although she acknowledged that fliers are "stuck unless we start taking the train or the bus."

American is the first major carrier to charge for a single bag, but it is not the only U.S. airline to do so. Last June, low-cost carrier Spirit Airlines said it would begin charging $5 for the first bag when booking online, or $10 otherwise. Spirit's online charge for the first piece of luggage is set to rise to $10 next month.

With American leading the way among major carriers, other airlines will be tempted to impose baggage charges, too.

"We are actually seriously studying it," said Robin Urbanski, a spokeswoman for United Airlines, the second-biggest U.S. carrier. The Chicago-based airline has not yet decided whether it would match the fee, she added.

No other carriers immediately announced plans to match the fee. But like United, not all ruled it out either.

With energy prices climbing, "all options for reducing costs and generating revenues are on the table," said Tad Hutcheson, vice president of marketing and sales for AirTran Airways. "As bags add weight to the aircraft and burn more fuel, it may get to the point ... where checking bags is unbundled from the air fare."

By goin_south on May 23, 2008, 00:42 in Friendly Talkzone.

goin_south says on May 23, 2008, 00:43:

American? Well, you still might have to take it to Miami or Atlanta for your Colombian Connection.

Ciao! Gustav. Bienvenitos, Ike.

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ietk says on May 23, 2008, 06:04:

I had three tickets from Miami to Barranquilla reserved on Tuesday for a total of $ 1494.00, when I went to pay for them on Wednesday I paid $1647.00 and yesterday I checked again to see the price and they were $ 1797.00, I know is not AA's fault but this is insane!

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ColombianoGringo says on May 23, 2008, 07:33:

We discussed this here http://poorbuthappy.com/colombia/post/american-to-charge-for-checked-b...

The silver lining for us that travel to Colombia a lot is that the checked bag charge will not apply to international itineraries.

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tomtom33 says on May 23, 2008, 07:40:

The bag weight limit used to be 70#. Then it was reduced to 50# for domestic travel only. Then it was reduced to 50# for international travel as well.

It is only a matter of time before the bag charge applies to international travel as well.

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ColombianoGringo says on May 23, 2008, 07:47:

Oh I don't doubt it for a minute. I was pretty surprised at that exemption. Maybe the time will soon come for weight based fares.

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goin_south says on May 23, 2008, 10:03:

Now, maybe that would be a good incentive to make the world a little less obese .

oh,... oh,... CG, you were talking about the bags?

Ciao! Gustav. Bienvenitos, Ike.

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ColombianoGringo says on May 23, 2008, 10:32:

Well, not entirely. I do think that some 400lb pounder should pay more than a person that weighs 200lbs, especially when they can't fit in their own seat.

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romy says on May 23, 2008, 10:38:

AA has long lost me as a customer, since they hassled me at the airport in Cali and then screwed me and I had to stay in Dallas on my own expense.
It's a shame too because AA Miami-Cali was the most fun a flight could possibly be

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ColombianoGringo says on May 23, 2008, 10:42:

romy, How long ago was this? They have really improved their Colombia service in the last few years. I'd still rather fly Avianca, but sometimes I end up taking AA.

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Mononoke28 says on May 23, 2008, 11:29:

Me too. I love AA and much prefer it than Avianca.

Diana

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ColombianoGringo says on May 23, 2008, 11:36:

I wouldn't go that far. I find in-flight service and atmosphere to be much better on Avianca. Besides, the Avianca stewardesses are young, pretty and sweet, whereas the AA crew is usually old, ugly and surly ;) On AA, only the gay stewards are nice. Ha Ha.

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kat1 (Moderator) says on May 23, 2008, 11:38:

romy says on May 23, 2008, 10:38: flag

AA has long lost me as a customer, since they hassled me at the airport in Cali and then screwed me and I had to stay in Dallas on my own expense.
It's a shame too because AA Miami-Cali was the most fun a flight could possibly be

same here. no more AA even if he has that gorgeous Argentinean stewardess ;)))

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Desideria (Moderator) says on May 23, 2008, 11:53:

Kat1 you surely meant the Argie steward? CG thinks he was gay anyway.

"I have opinions of my own, strong opinions, but I don't always agree with them."-President George W. Bush

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kat1 (Moderator) says on May 23, 2008, 12:08:

no he wasn't i can assured you that jejejje

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goin_south says on May 23, 2008, 14:00:

THE BEST THING THE AIRLINES COULD DO TO SAVE MONEY AND MAKE US ALL HAPPIER IS.............

..............Just leave all that trashy food in the terminals for the other rats to eat. I don't know why they even bother serving that TRASH.

Let people bring their own.
We know what we want/like to eat.

Ciao! Gustav. Bienvenitos, Ike.

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kat1 (Moderator) says on May 23, 2008, 14:05:

no way.. ain't cooking!!!

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kat1 (Moderator) says on May 23, 2008, 14:07:

or shall i bring pescado frito con patacon, chicha y unos buenos frijoles

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goin_south says on May 23, 2008, 15:32:

Si! especially if I can sit by you ;-))

Ciao! Gustav. Bienvenitos, Ike.

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goin_south says on May 23, 2008, 15:33:

oh! wait. I may want to sit on the other end of the plane: frijoles!!! yikes.

Ciao! Gustav. Bienvenitos, Ike.

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ColombianoGringo says on May 23, 2008, 15:42:

We need to make a Colombian version of "Soul Plane".

Kat would be frying up patacones in the galley with Monpirri and LisaZee spitting into a chicha bowl.

Elmo would be in the cargo hold sweet talking a burra, while morphus chats up all the virgins.

Buggy would be handing out farc literature until Simon and Tasco beat him up and lock him in the bathroom.

Mitch and Paleo would be arguing with some Rolos and Desi would be frantically trying to moderate the whole madhouse.

Peter just sits in the back and shakes his head.

At the end, everybody applauds when the plane lands in Colombia.

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romy says on May 23, 2008, 15:46:

CG- It was quite a few years ago... it also coincided with the opening of the continental Houston-Cali flight so that made my travel to Colombia a lot easier with only one layover anyways. My friend just started dating a continental stewardess so hopefully that will be the hook up I need to be able to go down to Cali for long weekends.

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ColombianoGringo says on May 23, 2008, 15:49:

Speaking of long weekends in Cali, make sure you're on the Continental specials mailing list. You constantly see weekend specials from Houston to Cali for $350 or 25,000 OnePass Miles. You typically have to travel Friday or Saturday and return Monday or Tuesday.

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goin_south says on May 23, 2008, 15:51:

CG,.. you think that is still intact?
Also today on msn, was a feature article about skyrocketing price of jet fuel and airfares.

I'm going to see right now, what that Continental flight is.
I suspect a lil higher due to summer time anyway for now...
and, maybe a lil higher, due to industry pressure

Ciao! Gustav. Bienvenitos, Ike.

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ColombianoGringo says on May 23, 2008, 15:52:

I got that Cali offer in this weeks email. I see it all the time, but the Bogota flight is rarely on special.

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goin_south says on May 23, 2008, 15:56:

$739.00 for now, off peak times, through January... If you bought now. Jus checked.

Carambita! those weekend specials.. I never knew about!

Ciao! Gustav. Bienvenitos, Ike.

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kat1 (Moderator) says on May 23, 2008, 15:58:

cg i will be frying the patacones away from the spitting, don't want the oil to set on fire

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goin_south says on May 23, 2008, 16:00:

""At the end, everybody applauds when the plane lands in Colombia.""

You left out ... Webmanco.... who changed the flight program and the plane landed in (some other country) lol

Ciao! Gustav. Bienvenitos, Ike.

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ColombianoGringo says on May 23, 2008, 16:22:

Yep. He stole CBs boarding pass and snuck onboard posing as her.

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