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JetBlue will add bag fees and squeeze seats a bit closer together as it tries to boost profit.
The airline said that it will create three ticket classes beginning in the first half of 2015, and only the top two will include at least one free checked bag.
Other big airlines have added fees for checked bags since 2008, when they needed to cover rising fuel costs. In the first six months of this year, U.S. airlines raised $1.7 billion from bag fees. JetBlue’s decision will leave Southwest as the only major U.S. airline to let all passengers check a bag free.
The changes seemed to please investors ― shares of JetBlue Airways Corp. rose more than 4 percent. Analysts said they showed that incoming CEO Robin Hayes was sharply focused on boosting revenue and controlling costs. (AP)
The airline said that it will create three ticket classes beginning in the first half of 2015, and only the top two will include at least one free checked bag.
Other big airlines have added fees for checked bags since 2008, when they needed to cover rising fuel costs. In the first six months of this year, U.S. airlines raised $1.7 billion from bag fees. JetBlue’s decision will leave Southwest as the only major U.S. airline to let all passengers check a bag free.
The changes seemed to please investors ― shares of JetBlue Airways Corp. rose more than 4 percent. Analysts said they showed that incoming CEO Robin Hayes was sharply focused on boosting revenue and controlling costs. (AP)
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Articles by Korea Herald
