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Southwest buying AirTran for $1.4B

PRNewsFoto/AirTran Airways ATLANTA – Southwest Airlines said it is buying AirTran Airlines for $1.4 billion. “Both companies have dedicated people with kindred Warrior Spirits, who care about each other, and who care about serving Customers. We will continue to enhance our award-winning Customer experiences and high-quality operations,” Gary Kelly, Southwest Airlines’ chairman, president, and chief executive officer, said in a statement. The cash and stock deal is pending regulatory and AirTran stockholder approval. The purchase

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Southwest to buy AirTran

ATLANTA — Southwest Airlines said it is buying AirTran Airlines for $1.4 billion. “Both companies have dedicated people with kindred Warrior Spirits, who care about each other, and who care about serving Customers. We will continue to enhance our award-winning Customer experiences and high-quality operations,” Gary Kelly, Southwest Airlines’ chairman, president, and chief executive officer, said in a statement. “We believe this deal can benefit all Stakeholders through an expansion of low fares for customers,

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Legislation targets airline fees

New legislation aims to increase transparency of hidden airline fees. U.S. Sen. Jim Webb, D-Va., said he introduced the “Airline Baggage Transparency and Accountability Act” in response to passengers’ concerns about hidden fees and mishandled baggage. In 2008 and 2009, airlines reported approximately $7.9 billion in revenues from baggage fees and reservation change and cancellation fees — the two largest sources of fee revenues, according to Webb. “In recent years, airlines have been adding various

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Feds investigate airline fees

The federal government is taking note of the fees that airlines charge for checked bags and other services, and additional regulations of — and federal tax revenue from — these fees could soon follow. “Travelers often experience difficulty understanding what airlines charge since fees are not printed on boarding passes, are not displayed on travel Web sites, and are often not clearly displayed on airlines’ Web sites,” U.S. Rep. James L. Oberstar, D-Minn., said in his prepared

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Spirit Airline pilots strike

ATLANTA – Spirit Airlines has canceled all flights through Thursday because of a pilots strike. Spirit Airlines, which serves Atlanta, said it “is processing future flight credits for customers for the full amount of their unflown flight purchase, and is also giving them a $100 future flight credit.” The airline also said it is doing what it can to resolve the strike. “Spirit Airlines is continuing to work with our pilot union to reach a

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Senators take aim at airline fees

Democratic senators have introduced legislation aimed at stopping airlines from charging travelers for carry-on bags by closing what they call a “tax loophole” that allows airlines to avoid paying taxes on fees for non-essential services. The “Block Airlines’ Gratuitous (BAG) Fees Act” follows last week’s announcement from low-cost carrier Spirit Airlines that it plans to charge travelers up to $45 for carry-on bags to be stored in overhead bins. According to the senators, the legislation