American Airlines to charge $8 for blankets on all domestic flights, some international flights from May 1, 2010

American Airlines, based in Fort Worth, Texas, the United States, will charge passengers in coach-class for a blanket and a pillow on all its domestic flights as well as on flights to and from Canada, Hawaii, Mexico, Central America and the Caribbean from May 1, 2010.

However, passengers on long-haul international flights and those travelling in premium-class cabins will continue to be given blankets free of charge for in-flight use.

The blue fleece blanket and an inflatable neck-pillow, packed in clear zippered pouch, will together cost $8. The passengers can take with them the pouch and its contents and can be kept for future use, American Airlines, a subsidiary of AMR Corporation, said in a statement.

Included in the bag is a $10 off-coupon that is good on a $30-purchase at Bed, Bath & Beyond stores.

A spokeswoman for American Airlines explained that the decision to charge for blanket and pillow was an “economic decision” after the carrier evaluated all aspects of the business to ensure the company’s “long-term success.”

The United States-based budget airline JetBlue Airways had begun selling blankets and pillows in 2008. US Airways, another carrier based in the United States, started charging fees for sleep-kits in 2009. While both airlines charge $7 for a blanket and a pillow, US Airways also provides earplugs and eye-shades.

Southwest Airlines, based in Dallas, Texas, the United States, had withdrawn providing in-flight blankets in 2009, citing as reason health concerns during the outbreak of the H1N1 flu.

Airlines across the world have been, since 2008, either adding charges or increasing charges for services like checked baggage and for buying ticket from a reservation agent, in their efforts to cope with higher costs of fuel and to offset the huge losses.

AMR Corporation, the parent company of American Airlines, had incurred losses to the tune of $1.47 billion in 2009 – and total losses of $3.59 billion in the last 2 years – mainly because of a drop in demand for air travel during the global economic depression and also since the carrier could not increase fares in the face of competition.