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21 May 2008

American Airlines will soon be charging for Checked in Luggage

It is almost certain that American Airlines is going to introducing a $15 Dollar charge, for every passenger's first piece of checked in luggage, with additional charged of around $25  for second piece of luggage.

This is one $15 charge that will definately cause a lot of negative press for American Airline. Every Airline traveller takes it for granted, that included in the price of the flight ticket is a certain amount of luggage allowance included in the price of their air fare.

To begin to charge for every piece of checked in luggage is certain to deter some customer from booking with American Airlines, and this is just another piece of bad press that is unwanted for American Airlines, after the problem earlier in the year, with the wiring in the MD80 Planes that were grounded for safety checks, causing cancellations and customer disappointment.

This is a simply an increase in the price of air fare, they could have found a good medium to increase the price of thier tickets instead of charging customers to check in Luggage.

The question is, will they remove the charge of the checked in luggage, when the price of oil reduces?

The  problem of American Airline, is the union, the high cost of employment, that has vertually rendered them bankcrupt not the price of oil. Even if the price of oil is $50 a barrel, American Airline will still have high Operating costs. The only way they can solve this problem in my opinion, is by firing the entire American Airlines Staffs and employing new ones, which is impossible. Or closing down and setting up an entirely new Airline

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