Now for some good news.
US Airways said today that it will again offer free beverages on flights starting March 1, after other competitors did not follow its lead.
Philadelphia's dominant airline became the first major carrier last June to charge $2 for sodas, juices, water and coffee on flights to help offset a staggering increase in fuel costs.
US Airways chief executive Doug Parker acknowledged that "being the only large network carrier to charge for drinks put us at a disadvantage."
"The beverage program was distracting" from other improvements in on-time performance and baggage handling, he said.
Still, the Tempe, Ariz. company remains "firmly committed to the a la carte model and believe it's the right one for our business," Parker said. "It is also a work in progress."
US Airways expects to make $400 million to $500 million this year from charging for checked bags, choice cabin seats, and pillows and blankets.
As the uncertain economy has eroded demand for air travel, airlines need new ways to generate revenues, Parker said. "We are not making this decision because the airline industry is now healthy," he said. "To the contrary, while oil prices have dropped, a global recession is having a material negative impact on industry revenues."
The Radnor-based Business Travel Coalition applauded US Airways "for listening to the customer" and abandoning the policy.
Kevin Mitchell, chairman of the business travel group, said all the extra fees airlines charge confuse passengers and "impede a consumer's search for low fares, as one does not see these 'extras' until well into the transaction."
Mitchell said "airlines would be well-advised to not drive the corporate travel community" to ask for "government intervention in airline customer service policies and practices."
Analyst Ray Neidl with Calyon Securities said in a research note to clients while no large carrier is in immediate threat of bankruptcy, "if the credit markets do not thaw or the economy continues to deteriorate" over the next 12 months, "some weaker carriers face the threat of bankruptcy or even liquidation." US Airways - which twice filed for Chapter 11 bankruptcy protection since 2000 - is among the "weaker capitalized airlines," Neidl wrote.
US Airwaysn shares were up 23 cents, or 7.4 percent, to $3.35 in midday trading.