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Analysts expected oil to surge above $200 but China has quietly kept prices half of that—and can’t for much longer

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Analysts expected oil to surge above $200 but China has quietly kept prices half of that—and can’t for much longer

2

Corporate America has been draining the world's water. Matt Damon's new campaign calls on Gap, Starbucks, and Amazon to help give it back

3

Marc Lore’s robots make 500 burrito bowls an hour. A human can make 45

This will be the only major airline with free checked bags

By
Claire Groden
Claire Groden
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By
Claire Groden
Claire Groden
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June 29, 2015, 5:08 PM ET
5 Things Airlines Do Right
FILE - In this June 19, 2014 file photo, baggage carts are towed to a Southwest Airlines jet at Bill and Hillary Clinton National Airport in Little Rock, Ark., as the Boeing 737 is serviced. For a fee, several airlines, including Southwest, will now let you skip the baggage carousel and have your bags delivered straight to your home, office, hotel or any other location within 40 miles of the airport. (AP Photo/Danny Johnston, File)Photograph by Danny Johnston — AP

JetBlue, long a hold-out among its low-cost airline peers, has given in.

Starting as soon as Tuesday, the airline will introduce a fare scale wherein the lowest-priced tickets won’t include a free checked bag, according to Bloomberg. That would make Southwest the only major American airline to allow all customers to check up to two bags for free.

JetBlue is also debuting redesigned “slimline” seats later this year, with less padding and a configuration that makes room for up to 15 more people on a 150-passenger plane.

The changes were announced in November, but customers have been enjoying the last days of the complimentary baggage policy until this week. By 2017, JetBlue expects the baggage policy change to boost its operating income by at least $200 million.

JetBlue’s consumer-friendly brand took a hit when it announced the planned changes in November. But that might just be a speed bump on JetBlue’s way to the bank: While JetBlue made only $21.99 million off its previously generous baggage fees in the first quarter of 2015, its more miserly competitor Delta made $198.1 million. Southwest, meanwhile, only took home $10.1 million.

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