Back-to-school tips to start the year off right
What’s on your Summer #CTBucketList?

JetBlue will cut legroom, charge for checked bags

This is an archived article and the information in the article may be outdated. Please look at the time stamp on the story to see when it was last updated.

NEW YORK (CNNMoney) — JetBlue is feeling the crunch, and soon, so will its customers.

The company unveiled plans to cut legroom and charge baggage fees.

The changes are part of a cost savings and management plan that company executives rolled out on Wednesday. They projected a $400 million a year increase in profits once the plans are enacted.

Legroom cuts and baggage fees have become the industry norm. JetBlue and Southwest Airlines bucked the baggage fees trend.

JetBlue said it would pare back the space between seats — known in the industry as seat pitch — by 1.6 inches to 33.1 inches. This will allow the company to add 15 seats to much of its fleet.

Even with the cut, it said it still expects its coach seats to have more legroom than similar seats at other major U.S. carriers like Virgin America, American Airlines and Delta Air Lines.

It does offer customers an option to pay more for increased legroom.

It will also change the way it prices tickets by introducing three tiers. The lowest level will not allow customers to check baggage, while the higher tiers offer one or two checked bags. Currently, it allows flyers to check one bag for free and charges for additional checked bags.

The company said the different levels “will enable JetBlue to tailor its offering to individual customers’ needs in a way that is simple and transparent.”

It made the announcements in a presentation to investors. The stock was up as much as 3% during the presentation and has climbed 53% so far this year.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

Notice: you are using an outdated browser. Microsoft does not recommend using IE as your default browser. Some features on this website, like video and images, might not work properly. For the best experience, please upgrade your browser.