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Southwest Airlines planning new fees for next year

Southwest Airlines Co., which advertises that "bags fly free" and doesn't charge for the first two checked bags, said Friday that it will implement a flurry of new fees next year.

Southwest Airlines which has a "bags fly free" policy for checking the first two bags, said it will implement several new fees next year and will raise fees on third checked bags and overweight luggage. The goal is to increase revenue by $1.1 billion. Philadelphia airport's second busiest carrier said it also will charge a no-show fee for tickets that are not canceled by passengers prior to departure. (AP)
Southwest Airlines which has a "bags fly free" policy for checking the first two bags, said it will implement several new fees next year and will raise fees on third checked bags and overweight luggage. The goal is to increase revenue by $1.1 billion. Philadelphia airport's second busiest carrier said it also will charge a no-show fee for tickets that are not canceled by passengers prior to departure. (AP)Read more

Southwest Airlines Co., which advertises that "bags fly free" and doesn't charge for the first two checked bags, said Friday that it will implement a flurry of new fees next year.

Southwest will charge a "no show" fee to passengers who fail to cancel a ticket before missing a flight.

The Dallas-based carrier aims to increase revenue by $1.1 billion in 2013.

Southwest fliers still won't be charged for the first two checked bags or for changing a reservation - both of which are standard fees on many U.S. airlines.

Sometime next year, customers who don't use a paid-for ticket on the cheapest "Wanna Get Away" fares will be assessed a "no-show" fee. The amount has not been decided and the process for assessing the fee was not announced.

Southwest chief commercial officer Bob Jordan said the no-show fee would give passengers an incentive to cancel a ticket before departure so that Southwest can resell those empty seats.

The cost of checking a third bag and overweight or oversize luggage will rise from $50 to $100. The fee for early check-in, allowing travelers to board early, will go from $10 to $12.50.

Checked bag fees on Southwest's subsidiary, AirTran Airways, will increase from $20 to $25 on the first bag and from $25 to $35 for a second bag.

"We didn't expect a lot of new information today at Southwest's analyst day, but we got some . . . driven by an apparently newfound appetite for fees," said analyst Hunter Keay, of Wolfe Trahan & Co. in a client note.