Flying frills ditched as airlines cut costs

Airlines lost $4 billion through June this year

A third suitcase may now cost you $40 to $80 when you check it on some airlines. Here, Bob Stein puts a piece through a screening machine at Baltimore-Washington International.

WASHINGTON (CNN) -- So you thought you got a cheap airfare?

Airlines are increasingly stripping out those little extras to save money.

"The economic condition of the airline industry is as dire as it has ever been. And as a result they're looking at every way possible how they're going to be able to make cuts or changes that will improve the bottom line," said Carol Hallett, president of the Air Transport Association, which represents the major airlines.

CNN NewsPass VIDEO CNN's Kathleen Koch has more on decreasing services on flights, as airliners say they need to cut back to save money. (August 24) Play video

The nation's airlines did lose $7.7 billion last year, more than $4 billion through June of this year.

But some passengers -- already weary from security delays -- say the cuts are just too much.

Saving on plastic and drinks

Among other changes, Continental Airlines hopes to save more than $1 million a year by giving passengers smaller beverages and plastic knives only on request.

And at several airlines, many senior citizen discounts have been eliminated.

"A lot of the airlines, it really seems, are balancing their books on the backs of their passengers," said one traveler.

Travelers' organizations say the success of budget airlines may have driven larger carriers to trim services.

To further cut costs, airlines are trimming schedules and talking consolidation. Now some powerful frequent fliers -- members of Congress -- are calling for regulating airlines again.

Travelers' organizations point out that the no-frills trend is driven in part by the success of budget carriers.

"Everyone's been flocking to the discount carriers which don't provide much of these amenities such as meals and movies and other kinds of things," said David Stempler, president of the Air Travelers' Association, "and so the big carriers are trying to cut these services out because passengers aren't willing to pay for them."