For the first time in its 86-year history, Hawaiian Airlines generated more than $100 million in one year from fees for checked bags, canceled reservations and flight changes, according to data released Monday by the U.S. Department of Transportation.

A record 10.7 million Hawaiian passengers last year set a record for fees paid.

The carrier collected $19.5 million in baggage fees in the fourth quarter to boost its full-year total to $81.2 million. Hawaiian also took in $4.8 million in the final three months in cancellation and change fees to increase its 2015 total to $20.3 million in that category. The full-year total for both categories was $101.4 million.

“The entire airline industry has moved to an unbundled model, in which passengers choose which service they would like to pay for,” Hawaiian spokesman Alex Da Silva said. “This keeps base fare prices lower but requires airlines to recoup other costs — such as baggage handling — via separate charges.”

Hawaiian is in line with most airlines in charging $25 for a first checked bag and $35 for a second. Other bag fees can be assessed if the luggage is oversized or overweight.

On interisland flights, HawaiianMiles members pay $15 and $20, respectively, for first and second checked bags.

Reservation cancellation and change fees at Hawaiian range from $30 to $300 a ticket, plus fare difference, depending on the destination. But Hawaiian does offer a full refund for cancellations made within 24 hours of purchase and seven days prior to travel.

Hawaiian Chief Commercial Officer Peter Ingram said the airline’s “value-added revenue” per passenger, which includes upgraded seats, increased in 2015 by $2.29, to $22.01, from the previous year.

“The growth in 2015 was due to the continued success of our sales of Extra Comfort and Preferred Seats and the sale of HawaiianMiles,” Ingram said in January during an earnings conference call. “December was our best month ever for premium economy seat sales, boosting our annual revenue over the $40 million threshold. HawaiianMiles sales also set a record for the year, powered by account growth and stronger-than-industry average spend on our co-branded credit card.”

Hawaiian’s baggage, cancellation and change fees, as well as its value-added revenue, helped boost the airline’s net income for 2015 to $182.6 million and its revenue to $2.3 billion.

The airline’s value-added revenue continued to strengthen in the first quarter of this year as it grew $1.34 from the year-earlier quarter to $22.66.

Hawaiian is not alone in its dependence on fees as a significant part of its revenue.

The 13 top U.S. airlines raked in $3.8 billion in baggage fees last year and an additional $3 billion in cancellation/change fees to bring the combined total to $6.8 billion.

Island Air, the state’s second-largest airline, took in $569,000 in baggage fees during the fourth quarter to boost its full-year total to $2.8 million while it generated $66,000 in cancellation/change fees to end the year with $316,000.

American Airlines became the first major carrier to charge for a first checked bag when it assessed passengers $15 in May 2008 to help offset offset soaring fuel costs.

Eight years later it is standard practice in the industry, and Hawaiian is justified in charging for checked bags, according to two industry experts.

“They took in $81 million (in baggage fees last year) because it takes money to handle luggage; it’s not a freebie,” Colorado-based airline consultant Mike Boyd said. “If someone checks a bag, it makes good sense to pay what it costs to handle it. It’s good business. They don’t have ticket counters anymore. So the baggage fees are in exchange for the service of handling your Samsonite. People picking it up and loading it costs money. It’s union labor, which has good compensation. You’re not talking about lowly paid people working at Hawaiian. If you have to use them to load luggage, it costs money.”

Local aviation historian Peter Forman said if Hawaiian wasn’t charging baggage fees, it would have to charge higher ticket prices.

“This is just a redistribution where the money comes from to run the airline,” Forman said. “It’s not gravy. It’s something that is in lieu of higher ticket prices. The good news for passengers is if you don’t use these services, you are effectively getting a discount on your travel compared to other passengers.”

While Boyd supports the baggage fees, he takes issue with cancellation and change fees.

“Every airline but Southwest charges them, and passengers will pay it, but it doesn’t cost 100 bucks to change a reservation,” he said. “That’s just nuts. But if you’re the airline, why leave it on the table? It’s a charge for the customer not making the right decision. Now every airline will say it costs them money because it ties up a seat, but it still doesn’t cost $100 to change a reservation.”

Da Silva said the reservation cancellation fee applies to nonrefundable tickets purchased at reduced rates.

“When such a ticket is purchased, we take that seat out of inventory,” he said. “When it is released back into the inventory — often at the very last minute — we have lost our ability to sell it. Higher-priced refundable tickets offer flexibility to the customers who need it.”