Independence: Fly free if luggage is lost Low-fare carrier Independence Air, which began offering flights from Los Angeles International Airport to Washington, D.C., on Sunday, will offer customers a free one-way flight if the airline loses their checked baggage. Recent Company News ? Atlantic Coast Airlines Holdings Inc. ? JPMorgan Chase & Co. ? US Airways Group Inc. Latest News ? Triad Financial sold to investor group ? Quantum unit wins $25 million contract ? PlayStream makes buy in Seattle ? New technology plugs into hybrid car market ? Independence: Fly free if luggage is lost More ? Companies in the News ? People in the News The carrier will offer a credit for travel in the amount of the one-way fare paid for the flight in which the luggage was misplaced. The credit must be used within a year. Independence Air says the service is designed to increase awareness about the airline's commitment to customer satisfaction. However, industry analysts say time may be running out for the discount airline, once a regional contract carrier, as it struggles against high oil costs and intense competition, The Deal reports. JPMorgan Chase & Co. analyst Jamie Baker said in a research note Friday that Independence is at risk of running out of cash by year end. "Potential external sources of liquidity and/or [debtor-in-possession] financing are difficult to identify, and a return to its regional roots appears unlikely," Baker wrote. An Independence Air spokesman says the airline will discuss its situation when it releases first-quarter earnings Thursday. The move to offer free flights also responds to a common consumer complaint regarding the airline industry. For example, US Airways Group Inc. experienced widespread baggage-handling problems over the Christmas holidays. Arlington, Va.-based US Airways (OTCB: UAIRQ.OB) had more claims for lost or damaged baggage in November, December and January than any major airline, according to the U.S. Department of Transportation. Independence Air (NASDAQ:FLYi) is owned by Atlantic Coast Airlines Holdings Inc. of Dulles, Va. Roger EWROPS