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Wed, Jun 15, 2011

BTS: Airlines Collected Almost $5.7 Billion From Fees In 2010

Other Hidden Fees Point To More Airline Revenue

U.S. airlines collected almost $5.7 billion from baggage fees and reservation change fees in 2010, according to the airline financial data released today by the U.S. DOT’s Bureau of Transportation Statistics (BTS).

The airlines received $3.4 billion from baggage fees and $2.3 billion from reservation change fees in 2010. These are the only fees paid by passengers that BTS can identify separately. All other fees paid by passengers are included in larger categories with other types of revenue.

CNN reports that the Air Transport Association defended the fee structure. In a statement, spokeswoman Jean Medina said the carriers require the revenue to "add routes, add workers, (and) buy new airplanes." She said the fees are structured in such a way that passengers can pick and choose to pay for the "products and services they value."

The fee structure was forced into the spotlight recently when a group of U.S. servicemen returning from Afghanistan were charged almost $3,000 for checked baggage on a Delta flight, and they produced a video on YouTube voicing their displeasure. The airline has since refunded the fees to the soldiers, and changed its policy to accommodate service members returning from deployment. Other carriers have followed suit.

FMI: www.bts.gov

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