Southwest Airlines ends free checked bags policy

• Jettisoning the policy will likely make it harder for the company to distinguish itself from budget competitors like Spirit and Frontier.

State of play: The new policy changes go into effect on May 28.

• Starting then, only Southwest's Rapid Rewards A-List Preferred members and passengers who book Business Select will receive two included checked bags.
• Select customers including frequent flyer A-List members and Southwest credit card holders will be allotted one.
• The airline hasn't said what the fees will be.

Plus: Flight credits will expire after a year.

What they're saying: In a video statement Tuesday morning, Southwest CEO Bob Jordan said the changes "will help us return to the levels of profitability we all expect and to support our collective long-term success. It's also about adapting to what our customers want."

• United Airlines CEO Scott Kirby said at a JP Morgan Chase online event Tuesday that Southwest's policy change is like "the slaying of a sacred cow."

Meanwhile, Southwest Airlines' presence in Houston continues to deepen, with a $470 million project underway to expand its west concourse.

• The project will add seven gates, a modernized baggage system and improved amenities — and it's slated to be completed in the summer of 2027.

Go deeper: Southwest's changing business model