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Southwest logs its biggest gain since 1978 as it says bag fees and seating changes will quadruple profit
['Max Knoblauch']
Sherwood News | RSS Feed
Southwest shares closed up 19% on Thursday, their biggest daily gain in nearly half a century.
Despite some initial friction from the flying (and posting) public, Southwest Airlines is feeling pretty bullish about its recent revenue-boosting initiatives like bag fees and premium seating options.
Driving those profits are low-cost, high-reward changes like bag fees, which Southwest earlier this year said would bring in more than $350 million in 2025, tracking at $1 billion annualized.
On its Thursday earnings call, Southwest highlighted another byproduct of its new fees.
“We are not seeing book away from Southwest Airlines.