Southwest's bag fees and other changes could backfire, Fitch warns

Southwest's bag fees and other changes could backfire, Fitch warns

The ratings agency put the airline on "negative" outlook, saying the company could become less financially conservative.

Southwest’s bag fees and other changes could backfire, Fitch warns

A Southwest Airlines jet approaches Midway Airport on Dec. 15, 2023, in Chicago. (John J. Kim/Chicago Tribune/Tribune News Service via Getty Images) John J. Kim | Chicago Tribune | Getty Images Southwest Airlines‘ new policies such as charging for checked bags for the first time could backfire, Fitch Ratings said Thursday. Southwest is reversing its decades-old two “bags fly free” policy for checked luggage in May, though there are exceptions f…

Southwest's bag prices and numerous different modifications can backfire, Fitch advises

A Southwest Airlines jet strategies Midway Airport onDec 15, 2023, inChicago (John J. Kim/Chicago Tribune/Tribune News Service by Getty Images) John J. Kim|Chicago Tribune|Getty Images Southwest Airlines‘ brand-new plans corresponding to billing for examined luggage for the very first time can backfire, Fitch Ratings claimed Thursday. Southwest is reversing its decades-old 2 “bags fly free” plan for examined baggage in May, although there are e…

Fitch Warns Tariffs Could Tip U.S. Into Recession, Tie Fed’s Hands - Wall Street Pit

Fitch Ratings warns that the U.S. “Liberation Day” tariffs, announced April 2, with a minimum 10% rate and up to 64% for China (from 35% in March 2025 forecasts), are heightening recession risks and limiting Federal Reserve rate cuts. The U.S. effective tariff rate (ETR) jumps to 25%, above the…

A Fitch economist believes that many countries could enter a recession due to the impact of the new U.S. import tariffs.

Fitch's head of economic analysis in the USA said in a statement on Wednesday that the country's tariffs on all imports are now around 22%, compared to 2.5% in 2024. This rate, Olu Sonola noted, was last seen around 1910 - more than 100 years ago. “This changes the rules of the game, not just for the U.S. economy, but for the global economy. Many countries are likely to end up in recession,” especially if the tariffs remain in place for a long p…