American to Begin Charging for First Checked Bag

By: Associated Press Email
By: Associated Press Email

FORT WORTH, Texas (AP) - AMR Corporation shares plummeted in
morning trading today.
That's after the Fort Worth-based corporation's American
Airlines announced it would start charging $15 for the first
checked bag, cut domestic flights and lay off workers. That's as
the nation's largest airline grapples with record-high fuel prices.
American says it'll begin charging the fee for the first checked
bag June 15th. It'll also raise other fees for services ranging
from reservation help to oversized bags. The other fees will mostly
range from $5 to $50 per service.
Last month, American announced it would join other carriers in
charging $25 for second bags checked for some passengers. But it
wasn't immediately clear how today's announcement would affect
AMR plans to cut domestic flight capacity by 11 percent to 12
percent in the fourth quarter and cut an undisclosed number of jobs
at American and American Eagle.
AMR expects to retire 45 to 50 planes from its fleet, most of
them gas-guzzling MD-80 aircraft. Those were the plane grounded for
faulty wiring last month.

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