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No bag fees but fares could rise, says Southwest CEO

Good news and not-so-good for customers of Southwest Airlines from the company's quarterly earnings call Thursday. CEO Gary Kelly told financial analysts the airline won't start charging for first and second checked bags like nearly all its competitors. The strategy shifted 1 percent of the domestic airline market to Southwest last year — worth between $500 million and $1 billion. But the carrier, which owns a commanding 31 percent of the passenger traffic at Tampa International, will look for opportunities to raise fares to offset higher costs, particularly fuel, Kelly said.

No bag fees but fares could rise, says Southwest CEO 01/21/10 [Last modified: Thursday, January 21, 2010 5:31pm]
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