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Southwest, the only U.S. airline that lets passengers check two pieces of luggage for free, says the no-fee policy has helped the airline increase its share of the domestic market by about 1 percent, or $800 million to $900 million.

The no-fee policy can be a gamble. At a time fewer people are flying and airlines seek every dollar, checked-bag fees added up to $1.24 billion for airlines in the first half of 2009.

Southwest’s policy is “a smart marketing ploy, particularly given the economic circumstances most Americans are experiencing these days,” says Lopo Rego, a University of Iowa marketing professor.

source: Sun Times

Southwest Airlines will temporarily halt flights on three routes early next year as it deals with a decline in air traffic and tries to bend its schedule to fit seasonal demand.

The airline will cut one flight per day on 92 routes and increase service on 42 routes, usually by one trip per day as well.

source: Associated Press

Southwest Airlines, which has bashed competitors for charging fees, said Friday that it will add new fees for passengers who bring small pets onboard and for unaccompanied minors.

It also will raise the charge for checking a third piece of luggage or an overweight bag from $25 to $50.

Other airlines have raised hundreds of millions of dollars since last year with new fees that include charges for checking one or two pieces of luggage and for talking to reservations agents on the phone.

source: Newsday.com

Southwest Airlines has put a Chicago-based pilot on paid leave and is investigating an incident Tuesday in which the pilot allegedly prepared to operate a flight from Columbus, Ohio, with alcohol on his breath.

Southwest spokesman Brad Hawkins said Friday that the carrier “immediately replaced the captain,” and the flight to Orlando, Fla., operated on time.

The airport police officer who investigated said in his report that the pilot never appeared under the influence of alcohol or drugs and didn’t stagger or fall.

source: Dallas News

Southwest Airlines plans to hook up with Canada’s leading low-cost airline to offer “seamless” travel across the U.S.-Canadian border.

Once the partnership with WestJet is in place, customers will be able to book a flight with either carrier on one ticket. Southwest will fly its part of the route and WestJet the rest of the flight. WestJet flies to 49 destinations in Canada, Mexico and the Caribbean.

source: Cleveland.com

Southwest Airlines is conducting a “fierce study” of potential partnerships with other airlines that could result in the discount carrier offering international service for the first time in its history, a top executive said Friday.At the same time, it has been pulling back from long-haul flights in the United States and is focusing on shorter trips that are more profitable, said John Jamotta, Southwest’s senior director of schedule planning.

The Dallas-based airline has implemented a number of changes to its strategy in the past year as it struggles to boost revenue to offset higher costs. But the possibility of offering international travel to customers would likely be the biggest change for the airline, which is the most profitable in the nation.

source: star-telegram.com

That’s the choice air passengers are likely to have later this year as progress in both systems was announced this week.

Southwest Airlines on Wednesday said it is testing satellite-based service developed by Row 44. Southwest said it hopes to begin testing Internet service on four of its aircraft this summer.

Meanwhile, American Airlines on Tuesday reported that it has installed Aircell’s Internet broadband on one of its 15 Boeing 767-200 aircraft. The air-to-ground technology utilizes a network of 92 cell towers scattered across the continental U.S.

Both technologies are expected to deliver Wi-Fi service — likely for a fee — to passengers. While users will be able to surf the Web and access their e-mail accounts, they will be blocked from using cell phones and VoIP.

source: Information Week

Southwest Airlines is adding new nonstop flights in a number of the carrier’s key markets, including San Antonio.

In May, Dallas-based Southwest is adding a San Antonio to Denver flight on May 10, its first nonstop flight from San Antonio International Airport to the Mile High City.

Southwest is conducting a “refining” of its current flight schedule. It is eliminating 57 of its existing roundtrip flights from its May flight schedule and will add 40 roundtrip flights to key growth markets.

fuente: Business Journal

Southwest Airlines Co (LUV.N) said on Tuesday it plans to cut its capacity growth in 2008 on concerns that a weakening U.S. economy will stifle travel demand.

The largest U.S. low-cost carrier said in a statement that it plans to increase its fleet by five to 10 aircraft in 2008. The capacity growth will amount to 4 percent to 5 percent year over year, the airline said.

Southwest said it is concerned about the surge in energy prices.

“We are concerned about growing evidence of slowing economic growth that would inevitably affect passenger demand, coupled with a surge in energy prices,” Southwest Chief Executive Gary Kelly said.

source: Washington Post

Low-fare bigshot Southwest Airlines is making some big changes.

In a move to attract the more lucrative class of business travelers, Southwest is putting a higher fare structure in place today, offering perks for passengers willing to pay more.

Southwest said its new “business select” fare will offer the ability to board first, additional credits for frequent fliers and a cocktail on the house.

The airline said it expects to make at least $100 million a year more with the change.

source: Chron.com