Southwest Airlines Community

Southwest Airlines Launches 72-Hour Fare Sale To/From Philadelphia Southwest Offers Fares of $30, $60, and $90 one-way to/from the City of Brotherly Love DALLAS, March 16, 2010 /PRNewswire via COMTEX/ -- For the next 72 hours, Southwest Airlines is offering Customers discounted airfares starting as low as $30 one-way to/from Philadelphia. Take advantage of these super low fares on southwest.com and start planning your getaway today! Fares are available in select markets for travel Tuesdays, Wednesdays, and Saturdays when purchased by Mar. 18, 2010, at 11:59 p.m. PDT. These fares are only available on southwest.com for travel between April 6, 2010, and May 26, 2010. To book these special online fares, visit: www.southwest.com. Examples of fares include (see Additional Fare Rules below): $30 one-way between Philadelphia and Raleigh/Durham $60 one-way between Philadelphia and Chicago $90 one-way between Philadelphia and Denver   To check out the latest Philadelphia specials Southwest has to offer visit, www.southwest.com/Philly. For travelers with flexible schedules, Southwest's Low Fare Calendar tool will show the lowest price available for each day using a monthly calendar view. To shop around for fare availability, visit: http://www.southwest.com/cgi-bin/lowFareFinderEntry. After more than 38 years of service, Southwest Airlines, the nation's leading low-fare carrier, continues to stand above other airlines--offering a reliable product with exemplary Customer Service. Southwest Airlines is the most productive airline in the sky and offers Customers a comfortable traveling experience with all premium leather seats and plenty of legroom. Southwest Airlines (NYSE: LUV), the nation's largest carrier in terms of originating domestic passengers boarded, currently serves 68 cities in 35 states (with additional service to Panama City Beach, Fla., in May). Based in Dallas, Southwest operates more than 3,200 flights a day and has nearly 35,000 Employees systemwide. Terms & Conditions Southwest Airlines sale fares are available for purchase from March 16 through March 18, 2010, 11:59 pm Pacific Daylight Time and travel must take place April 6 through May 26, 2010. Fares are available only on southwest.com or swabiz.com. Fares are available for travel only on Tuesdays, Wednesdays, and Saturdays. Fares do not include a federal excise tax of $3.70 for each flight segment. A flight segment is defined as a takeoff and a landing. Fares do not include airport-assessed passenger facility charges (PFC) of up to $9.00 and a U.S. government-imposed September 11th Security Fee of up to $5.00 one-way. Seats are limited. Fares may vary by destinations, flight, and day of week and won't be available on some flights that operate during very busy travel times and holiday periods. Fares are available for one-way travel. When combining fares, all rules and restrictions apply. Fares are nonrefundable but if unused, may be applied toward the purchase of future travel on Southwest Airlines. Sale fares are not combinable with Senior Fares. Fares are not available through the Group Desk. Any change in the itinerary may result in an increase in fare. Standby travel requires an upgrade to the unrestricted "Anytime" fare. Fares are subject to change until ticketed. Offer applies to published, scheduled service only. www.southwest.com SOURCE Southwest Airlines ... View more

Southwest Airlines Launches New 'Grab Your Bag: It's On!' Ads Airline's New Spots Feature Employees Who LUV What They Do DALLAS, March 15, 2010 /PRNewswire via COMTEX/ -- Southwest Airlines (NYSE: LUV) debuted a new set of FUN Employee-focused ads today. The airline saw great success with its "Grab Your Bag: It's On!" campaign which launched last summer and continued into the fall with a heavy presence during football season. The well-known "Ramper Spots" featured the airline's Ramp Agents showing "LUV" to Customers' baggage, which Southwest carries for free (first two checked bags per passenger, weight and size limits apply). Rampers bid farewell to the beloved bags as the aircraft takes off. All the advertising was successful in driving home the airline's Bags Fly Free policy. The new ads launching today are an extension of the popular "Grab Your Bag: It's On!" spots, but now feature a new set of Employees and some new messages. The ads aim to highlight that Southwest is an airline that consistently provides a positive experience that keeps Customers coming back and is a reliable and dependable travel partner. One spot, entitled "Battle Cry," features ten Ramp Agents "revealing" Southwest's Bags Fly Free policy. The airline will roll out seven new spots over the next few days. The ads will run in national and local media, with two spots airing during broadcasts of the college basketball championship games. One of the ads specifically focuses on the fact that Customers can purchase Southwest Airlines fares and flights online only on southwest.com. Customers cannot find Southwest's super low fares on any other travel web site. To view the new spots and behind-the-scenes video, please visit www.blogsouthwest.com or become a fan on Southwest's Facebook page at www.facebook.com/southwest. Additionally, Southwest Airlines is featuring Employees in innovative loading bridge, print, and digital advertising. Customers will see Southwest Employees in banner ads online and in the airport. After 38 years of service, Southwest Airlines continues to differentiate itself from other low fare carriers--offering a reliable product with exemplary Customer Service. Southwest Airlines is the most productive airline in the sky and offers Customers a comfortable traveling experience. Southwest Airlines is the nation's largest carrier in terms of originating domestic passengers boarded, currently serving 68 cities in 35 states, soon to be 69 with the addition of Panama City Beach on May 23, 2010. Based in Dallas, Southwest currently operates more than 3,200 flights a day and has nearly 35,000 Employees systemwide. www.southwest.com SOURCE Southwest Airlines ... View more

In this blog post, Merritt Colaizzi talks about our new Employee blog.  Click on the link above to read more. ... View more

SOUTHWEST AIRLINES CELEBRATES 15 YEARS OF “LUV” IN OMAHA DALLAS –March 4, 2010 – Southwest Airlines (NYSE: LUV) today is celebrating 15 years of service in Omaha.  In honor of the Anniversary, Southwest will throw a 90s-themed celebration with its Employees and Customers at Omaha’s Eppley Airfield today, complete with a DJ, decorations, games, and prizes.   “For 15 years, Southwest Airlines has been bringing Omaha low fares and Legendary Customer Service,” said Paul Jensen, Southwest’s Omaha Station Leader.  “I’m extremely proud and honored to work alongside the 57 hard-working and dedicated Omaha Employees to give Nebraskans the Freedom to fly.”   Southwest Employees are also celebrating the 15th Anniversary in Omaha by donating funds raised in a recent event to a local cancer center.  The airline’s Employees proudly Share the Spirit through volunteering in the communities where they work and live. Southwest began service to Omaha on March 4, 1995, with nine daily nonstop flights to three destinations.  Today the airline offers 15 daily nonstop flights to five destinations, with direct or connecting service to an additional 60 cities.  Omaha was the 44th city on the airline’s route map.     After 38 years of service, Southwest Airlines continues to differentiate itself from other low fare carriers—offering a reliable product with exemplary Customer Service.  Southwest Airlines is the most productive airline in the sky and offers Customers a comfortable traveling experience, with all leather seats, and all Boeing 737 jets.  Southwest Airlines is the nation's largest carrier in terms of originating domestic passengers boarded, currently serving 68 cities in 35 states.  Based in Dallas, Southwest currently operates more than 3,100 flights a day and has nearly 35,000 Employees systemwide.  www.southwest.com ... View more

SOUTHWEST AIRLINES CELEBRATES ONE YEAR OF “LUV” IN MINNEAPOLIS/ST. PAUL DALLAS –March 4, 2010 – Southwest Airlines today is celebrating the carrier’s one-year Anniversary in Minneapolis/St. Paul.  While the official Anniversary is March 8, Southwest couldn’t wait to celebrate.  So to commemorate the occasion, Southwest will throw a celebration with its Employees and Customers at the Minneapolis/St. Paul International Airport, complete with a DJ, decorations, games, prizes.  Additionally, Minneapolis-based breakfast favorite, Malt-o-Meal, will join the celebration by giving away snacks to Customers who are traveling on Southwest today.       “In just one short year, our service here in the Twin Cities has far exceeded our expectations,” said Mike Gregory, Southwest’s Minneapolis/St. Paul Station Leader.  “We have successfully proven that the Southwest Effect is alive and well by increasing traffic and significantly lowering fares, and I’m honored to work alongside the best Employees in the industry to continue bringing our legendary Customer Service to the good people of Minnesota.”   Southwest Employees are also celebrating the one-year Anniversary in Minneapolis/St. Paul by gathering diapers and baby wipes to donate to a local Women’s Shelter.  The airline’s Employees proudly Share the Spirit through volunteering in the communities where they work and live. The Department of Transportation has coined the phrase “the Southwest Effect” to describe a phenomenon when Southwest enters a market – namely that fares decrease and traffic increases.  Southwest’s service in Minneapolis/St. Paul in just one year’s time proves that the Southwest Effect is alive and well in the Twin Cities.  Average one-way fares between Minneapolis/St. Paul and Chicago have fallen while passenger traffic between the two cities has grown.  In third quarter 2008, before Southwest entered the market, the average one-way fare between Minneapolis/St. Paul and Chicago was $216.  In third quarter 2009, after Southwest’s entry into the market, the average one-way fare had dropped to $82 -- a savings of 62 percent!  At the same time, passengers loads on the route climbed by 44 percent.   The Minneapolis-Denver route paints a similar picture.  In third quarter 2008, the average one-way fare was $148.  After Southwest entered the market in May 2009, the average one-way fare was only $99, a savings of 33 percent.  At the same time, overall passenger numbers climbed 14 percent, another great illustration of the Southwest Effect. Southwest Airlines launched service into Minneapolis/St. Paul on March 8, 2009, with eight daily nonstop flights to Chicago Midway.  In May 2009, Southwest added three nonstop flights to Denver, and added two more nonstop flights to St. Louis in January 2010, bringing Southwest’s service up to 13 daily nonstop flights from Minneapolis/St. Paul to three cities, with direct or connecting service to 59 destinations.   After 38 years of service, Southwest Airlines (NYSE: LUV) continues to differentiate itself from other low fare carriers—offering a reliable product with exemplary Customer Service.  Southwest Airlines is the most productive airline in the sky and offers Customers a comfortable traveling experience, with all leather seats, and all Boeing 737 jets.  Southwest Airlines is the nation's largest carrier in terms of originating domestic passengers boarded, currently serving 68 cities in 35 states.  Based in Dallas, Southwest currently operates more than 3,100 flights a day and has nearly 35,000 Employees systemwide.  www.southwest.com ... View more

  Southwest Airlines Offers ‘A-List’ Status to Colorado Rapid Reward Members  By Flying Just Four Roundtrip Flights in Three Months   A-List Rapid Rewards Members Enjoy the Benefits of Priority Boarding, Priority Check-In, and Priority Security Lines               DENVER, CO – Feb. 15, 2010 --  Southwest Airlines (NYSE:LUV) is offering Colorado residents its fast-track, “A-List” status four times faster to Members of the carrier’s frequent flyer program, Rapid Rewards.  For a limited time, Coloradans can earn Rapid Rewards A-List status valid through Dec. 31, 2010, just by booking and flying four roundtrips to or from Denver between Feb. 15, 2010, and May 15, 2010.  To learn more about this promotion, visit: www.southwest.com/denveralist.     Being a Rapid Rewards A-List Member gives you special privileges from the moment you step into the airport. ·         Priority Boarding:  As one of the first to board, you’ll have better seating and overhead storage options since Southwest does not pre-assign seats.  ·         Priority Check-In:  Fly past the lines, right to the front of the ticket counter. ·         Priority Security:  Spend less time waiting in the security line.  It is fast and easy to earn free travel through Rapid Rewards.  Rapid Rewards Members earn credits by flying or using the program’s Preferred Partners.  It takes just eight roundtrips, or 16 credits, to qualify for an Award.  However, Members can accelerate their earnings by using the Southwest Airlines Rapid Rewards Credit Card from Chase, doing business with any of the airline’s other Preferred Partners, or by purchasing Southwest’s Business Select fares when flying.  Plus, once it’s earned, Southwest Airlines allows the Member to transfer the Award to anyone.  The Award is free but subject to the U.S. government-imposed September 11th Security Fee of up to $10 roundtrip. Southwest Airlines currently operates 114 daily nonstop flights from the Mile High City to 37 destinations, with direct or connecting service to 30 additional destinations.  In May 2010, Southwest will operate 129 daily Denver flights to 42 nonstop destinations, and by August 2010, Southwest will operate 144 daily Denver flights, making Denver Southwest Airlines’ fastest growing city in history.  Southwest currently has nearly 400 Employees in Denver, including Ground Operations, Provisioning, and Community Affairs Departments. After 38 years of service, Southwest Airlines (NYSE: LUV) continues to differentiate itself from other low fare carriers—offering a reliable product with exemplary Customer Service.  Southwest Airlines is the most productive airline in the sky and offers Customers a comfortable traveling experience, with all leather seats, all Boeing 737 jets.  Southwest Airlines is the nation's largest carrier in terms of originating domestic passengers boarded, currently serving 68 cities in 35 states.  Based in Dallas, Southwest currently operates more than 3,100 flights a day and has nearly 35,000 Employees systemwide.    Terms & Conditions   A Rapid Rewards Member who registers, books, and flies 8 qualifying one-way revenue flights from Feb. 15, 2010, through May 15, 2010, becomes eligible for limited time Rapid Rewards’ A-List membership. Limited time Rapid Rewards’ A-List membership entitles the Member to reserved boarding privileges through Dec. 31, 2010, which means that Southwest Airlines will automatically reserve a boarding pass for the member beginning 36 hours prior to each of the Member’s confirmed Southwest Airlines’ flights to ensure the member will receive the best available boarding pass. An A-List Member will be eligible for receiving reserved boarding pass privileges only for flights he/she completes during his/her designated A-List membership period.   Qualifying one-way revenue flight is defined as any flight to or from Denver International Airport.    To be eligible, Member must be a resident of Colorado. Member’s Rapid Rewards account must show Colorado residency.  Non-residents of Colorado are not eligible for this promotion. Reservations already booked during the qualifying timeframe are not eligible for the promotion.  Rapid Rewards membership number required at booking or the reservation will not count toward the promotion. Member must be registered for the promotion before May 15, 2010 in order to participate. To register for the promotion, go to www.southwest.com/denveralist.  If Member earns regular A-List status while qualified for promotional A-List status, the regular A-List status will supersede the promotional A-List status, entitling the Member to reserved boarding privileges for 12 months. Please allow up to 15 business days to receive A-List notification after qualifying during the promotional period. Qualifying segments can be booked by any means – online, phone, etc.   Southwest Airlines will “reserve” boarding passes for A-List Members, but Members are still responsible for “printing” their boarding pass. Passengers who do not obtain a boarding pass and are not present and available for boarding in the departure gate area at least ten minutes prior to scheduled departure time may have their reserved space cancelled and will not be eligible for denied boarding compensation A-List qualification is based on actual revenue flights flown, not Rapid Rewards credits earned. A qualifying flight that will count toward Rapid Rewards’ A-List membership is a one-way revenue flight on Southwest Airlines from an origin city to a destination city, including any intermediate stops and/or connections on Southwest Airlines. The following will not count toward Rapid Rewards' A-List membership qualification: Rapid Rewards Awards; Rapid Rewards Companion Pass travel; Rapid Rewards Preferred Partner credits; bonus Rapid Rewards credits, unless specifically designated as such; nonrevenue (free) and service-charged tickets, unless specifically designated as eligible; stops at intermediate cities on connecting or through flights; charter flights; tradeout tickets. For a Member with Rapid Rewards’ A-List membership to receive reserved boarding privileges, the Member must include his/her Rapid Rewards account number in his/her reservation at least 36 hours prior to check in. Reserved boarding privileges will be provided for A-List Members for both revenue and Rapid Rewards Award travel on Southwest Airlines-operated flights as long as the above requirement is met. Reserved boarding privileges will not be provided in instances where the A-List Member’s reservation meets any of the following criteria: reservations booked less than 36 hours prior to scheduled departure; changes made to an existing reservation less than 36 hours prior to a scheduled flight; standby travel on a different flight than what was originally confirmed; flights taken after a Member’s A-List membership expires. Irregular operations may also affect A-List membership benefits. Reserved boarding privileges will only be provided for A-List Members. If an A-List Member is traveling on a multiple-passenger reservation, reserved boarding privileges will not be provided for non-A-List Members in the same reservation. For A-List Members who are also Companion Pass Holders, reserved boarding privileges will not be provided for the Member’s designated Companion unless he/she is also an A-List Member. Reserved boarding privileges will only be provided for A-List Members. If an A-List Member is traveling on a multiple-passenger reservation, reserved boarding privileges will not be provided for non-A-List Members in the same reservation. For A-List Members who are also Companion Pass Holders, reserved boarding privileges will not be provided for the Member’s designated Companion unless he/she is also an A-List Member. All qualifying A-List Members have access to Fly By priority security lanes where available.   Southwest fares are available online only at www.southwest.com.   ... View more

Sleek New Look, Same Low Fares, Only on southwest.com Southwest Airlines Showcases Difference with Web Site Enhancements DALLAS, Feb 12, 2010 /PRNewswire via COMTEX/ -- southwest.com, the most popular airline web site in terms of unique visitors, is now offering an even better online Customer experience. Today, Southwest Airlines launched a new look and feel, along with improved navigation, on its award-winning web site. The new homepage offers Customers a more personalized experience and makes it easier to find what's needed including hotel and car rentals. The new homepage also showcases what makes Southwest Airlines different from other air carriers. southwest.com is the only place to book Southwest fares online, and the bookings made through the site account for more than 80 percent of all Southwest Airlines bookings. Check out the changes at www.southwest.com. The new web site enhancements include: The homepage image and other features can be personalized and pre-populated to the user's home airport. Saved searches make it easier for Customers to shop for flights, cars, and hotels. Customers can now easily plan any part of their trip directly from the homepage with new car and hotel booking widgets. New pages have been added to highlight how Southwest Airlines is different from its competitors. Every page of the site has updated, easy-to-use navigation and a search box to help users find exactly what they are looking for. Drop downs are available from the global navigation to help users get to interior pages faster. Every page now has a social media bar to help users engage with Southwest on social media sites such as Facebook, Twitter, and blogsouthwest.com.   The new homepage is another step in Southwest's efforts to ensure that southwest.com is the preferred full-service travel booking solution for Customers. In 2009, multiple enhancements to the site laid the ground work for the new southwest.com. Southwest launched an online travel community called TravelGuide, provided Customers tools to quickly find travel deals with a new Special Offers section, and completely redesigned the air booking functionality to make the process more useful and efficient. More updates to southwest.com are expected throughout 2010. After 38 years of service, Southwest Airlines (NYSE: LUV) continues to differentiate itself from other low fare carriers--offering a reliable product with exemplary Customer Service. Southwest Airlines is the most productive airline in the sky and offers Customers a comfortable traveling experience. Southwest Airlines is the nation's largest carrier in terms of originating domestic passengers boarded, currently serving 68 cities in 35 states. Based in Dallas, Southwest currently operates more than 3,100 flights a day and has nearly 35,000 Employees systemwide. www.southwest.com SOURCE Southwest Airlines ... View more

  Print Version Southwest Airlines Celebrates 35 Years of Luvin the Valley Carrier Renews Vows with Valley International Airport in Harlingen and Helps Launch a New Partnership with Unmistakable Southwest Spirit DALLAS, Feb 11, 2010 (BUSINESS WIRE) -- True LUV takes flight again as Southwest Airlines commemorates its 35th anniversary of service to Valley International Airport in Harlingen, Texas, with a ceremony honoring love, commitment and fun while hosting a Southwest-themed wedding and instant honeymoon for one lucky couple. Rio Grande Valley natives Justin Lang and Rhonda Miller started their new life together as husband and wife in the airport atrium surrounded by family, friends and hundreds of invited guests. Carrying a bouquet of flowers, peanuts and heart-shaped swizzle sticks, the bride and her beau walked down the aisle and onto one of Southwest's LUV jets after their essay was selected from among more than 300 contest entries submitted at www.southwest.com/luvinthevalley. "Just like the relationship between the Valley and Southwest Airlines, you'll be amazed how quickly the years fly by," said Teresa Laraba, Southwest's Vice President of Ground Operations. "This Valentine's Day weekend, Southwest and Harlingen renew vows we made to each other 35 years ago to bring low fares and legendary Customer Service to South Texans." Harlingen Mayor Chris Boswell noted Harlingen was the first expansion city for Southwest, a then four-year-old upstart Texas-only airline, "...marking the beginning of a long and prosperous relationship for both of us." Southwest Airlines started service in Harlingen on February 11, 1975, with four nonstop flights to Houston. Today, the airline operates 12 daily nonstop departures from Valley International Airport to three cities: Austin, Houston (Hobby), and San Antonio with additional and connecting service to 49 cities. "Our partnership changed the way people travel to and from the Rio Grande Valley," said Rick Ledesma, President of the Board of Directors of Valley International Airport. "We are forever grateful to Southwest founder Herb Kelleher for believing in the Valley as a destination." Southwest Employees who live and work in the Valley spent part of the day Sharing the Spirit of LUV by providing Valentine's Day cards, cookies and decorations to the families of critically ill and injured children at the Ronald McDonald House of the Rio Grande Valley, the carrier's corporate charity. After 38 years of service, Southwest Airlines, the nation's leading low-fare carrier, continues to stand above other airlines -- offering a reliable product with exemplary Customer Service and no hidden fees. Southwest Airlines is the most productive airline in the sky and offers Customers a comfortable traveling experience with all premium leather seats and plenty of legroom. Southwest recently updated its gate areas and improved its boarding procedure to make flying Southwest Airlines even more convenient. Southwest Airlines (NYSE: LUV), the nation's largest carrier in terms of domestic passengers enplaned, currently serves 68 cities in 35 states. Based in Dallas, Southwest currently operates more than 3,100 flights a day and has nearly 35,000 Employees systemwide. SOURCE: Southwest Airlines ... View more

This was in Daniel Hamermesh's "Freakanomics Blog" today   A Good Reason to Fly Southwest By DANIEL HAMERMESH Photo: StuSeeger I earned two free one-way coupons on Southwest Airlines. I tried to redeem them for a round-trip flight in March, but there were no coupon seats on the return flight. So I redeemed one coupon, and have one left over. That’s a clever strategy by Southwest, as I will now use the other coupon as part of a second round trip. Unlike the older trunk carriers, Southwest prices solely on one-way tickets — there is no gain to buying a round trip. That means that I have an incentive to pay (either with cash or coupon) for two Southwest trips. When I use my mileage to obtain a “free” ticket on the other main carrier out of Austin (American Airlines), it always pays for me to use it for a round trip. Southwest’s pricing and coupon policy ties me more strongly to them. American’s policy does allow use of mileage for a one-way ticket; but given their pricing policy, it only pays if I am planning one-way travel. ... View more

Longtime readers of Nuts About Southwest know that our own Paula Berg recently left us to move back to Colorado.  Paula will be participating in the webinar below:  (For more info, click on the link above.) Emerging Media Webinars People are caught up in the phenomenon of social media, as well they should be. It is highly compelling, incredibly influential, and amazingly sticky. Once people start using this technology, most get caught up in a tempo of communications unlike anything experienced before. One of the most wonderful aspects among users of emerging media is an incessant urge to learn. The challenge for many is quite simple - it's all so new and changing so fast. Is there a simple way to get immersed without drowning or looking stupid? The answer is yes. You will find great sympathy and empathy among people in all industries trying to get a handle on the medium. That said, encounters with consumers can be brutal. IAG's emerging media team is developing a series of webinars for people interested in getting involved in exploiting emerging media. The first in the series, "Crisis Management" , offers excellent insight on what to do and what not to do in the event of a crisis affecting your organization with a step by step plan you can use. Join us for 60 informative minutes with three industry experts describing their own experiences. There will be plenty of time for questions and discussion. In order to make the webinar effective we are limiting attendance so that everyone can ask questions and participate. Please reserve early to get a slot! Cost The charge is $99, please sign up below. Participants have access to the webinar, plus they get access to the on-demand version of the event as well as a document from IAG with suggested policies to handle the challenges discussed in the webinar. If you miss the webinar, but would like to view to the on-demand version and document, please register (even after the webinar) and we will provide you with access. Got a question or an idea for a future webinar? Please Email us. Webinar Date Information Sign up Crisis Management - IAG in cooperation with Air Transport World February 24 2010 at 11am EST For those who cannot make this time slot, please note we will provide a recording of the event if you sign up. So you miss the live event, but get to access all the content anyway. Three PR/social media experts describe their experience handling of aviation crises. Panelists: Michele McDonald - Editor, Travel Technology Update - and contributing writer Air Transport World will discuss missed opportunities: how damaging incidents could have been turned into public relations wins for the airline with the right tools. Ron Kulhmann - formerly District Manager with Swissair - Experience from the ill-fated Swissair 111 and the inability to control information in a social networking age. Paula Berg - formerly Manager of Emerging Media with Southwest Airlines - For nearly four years, Southwest Airlines has navigated the uncharted territory of social media, learning many lessons along the way. From virtual riots to an industry crisis, Southwest will share with you its key principles, goals, and realities of managing an online crisis. While aviation/airline focused, this webinar offers anyone interested in crisis management excellent insight on what to do and what not to do. ... View more

ILA 2010 AwardPress Release – 2.2.10 American Advertising Federation to Present Southwest Airlines with Prestigious Advertising Innovation and Leadership Award Houston, Texas, January 15, 2010 — The American Advertising Federation (AAF) Tenth District will present its highest honor of leadership and innovation in advertising to Southwest Airlines and its portfolio of agencies on May 12, 2010. The award recognizes Southwest Airlines and its agencies for many years of uniquely inventive advertising programs. May 12 will mark the fourth year for AAF to host the Innovation and Leadership in Advertising Award (ILA). The ILA Award recognizes companies that exemplify excellence in four key areas: Media use – Extensive use of multimedia platforms using traditional and nontraditional media to create awareness or drive sales. Employment in District 10 – Extensive employment of people and businesses within the District 10 region of Texas, Oklahoma, Louisiana and Arkansas. Diversity – Embracing diversity in their messaging and employment. Leadership-Demonstrating leadership and boldness in their advertising message and creative use of media. Dave Ridley, Senior Vice President, Marketing and Revenue Management for Southwest Airlines, and Kevin Krone, Vice President, Marketing, Sales and Distribution for Southwest Airlines, will accept the award at a special awards dinner in Austin, Texas, on May 12. Dave Ridley said, “Southwest Airlines is thrilled to be honored by AAF. Every day our Southwest Team and our partner agencies deliver strategic and uniquely fun and integrated brand marketing communications programs that continually reward our Customers’ brand loyalty.” Southwest Airlines’ partner advertising agencies include: GSD&M Idea City – Austin; Camelot Communications, Inc. – Dallas; Y&R Brands/Wunderman Southern California – Irvine; Dieste, Inc. – Dallas; and Dae Advertising – San Francisco. Jim Datri, AAF national president and CEO, will be on hand from Washington, D.C., with AAF Tenth District governor Blake Goldston, to present the award to Southwest Airlines and its advertising agencies at a dinner ceremony at GSD&M Idea City. The event will be co‐hosted by the Austin Ad Federation. Ridley and Krone will be keynote speakers for the event and will provide an overview of Southwest’s campaign. In addition to the award, Southwest will offer a summer internship for an ILA Scholarship recipient this summer. The internship winner will receive a $5,000 scholarship from the AAF Tenth District. The scholarship will be presented by Dana Williams, Director of Marketing and Communications for Southwest Airlines, at the District’s Annual Convention in Amarillo on April 16, 2010. Seating at the May 12 awards event will be limited, and table reservations and tickets are available by contacting Kevin Dobbs, Executive Director, American Advertising Federation 10th District, at 1-800-808-4473, or email: dobbsprt@nts-online.net. ABOUT THE AAF The American Advertising Federation (AAF) headquartered in Washington, D.C., acts as the “Unifying Voice for Advertising.” The AAF is the oldest national advertising trade association, representing 40,000 professionals in the advertising industry. The AAF has a national network of 200 ad clubs located in ad communities across the country. Through its 225 college chapters, the AAF provides nearly 7,500 advertising students with real‐world case studies and recruitment connections to corporate America. The AAF also has 130 blue‐chip corporate members that are advertisers, agencies and media companies, comprising the nation’s leading brands and corporations. For more information, visit the AAF’s Web site at www.aaf.org. For more information: Ann Iverson, Chair, ILA 2010, annci@sbcglobal.net, 713.622.6936; John Aguillard, CoChair, ILA 2010, john@wisdomgroup.com, 210.313.6600; Kevin Dobbs, Executive Director AAF Tenth District, dobbsprt@ntsonline.net, 432.559.8559. ... View more

   Print Page |  E-mail Page |  RSS Feeds |  E-mail Alerts  Print Version Southwest Airlines Reports Fourth Quarter Profit and 37th Consecutive Year of Profitability DALLAS, Jan 21, 2010 /PRNewswire via COMTEX/ -- Southwest Airlines (NYSE: LUV) today reported its fourth quarter and full year 2009 results. Net income for fourth quarter 2009 was $116 million, or $.16 per diluted share, compared to a net loss of $56 million, or $.08 loss per diluted share, for fourth quarter 2008. Fourth quarter 2009 results included special items (net of profitsharing and taxes) of $42 million, related to non-cash, mark-to-market gains and other items associated with a portion of the Company's fuel hedge portfolio. Excluding special items for both years, fourth quarter 2009 net income was $74 million, or $.10 per diluted share, compared to $61 million, or $.08 per diluted share, in fourth quarter 2008. The fourth quarter 2009 results, excluding special items, of $.10 per diluted share exceeded Thomson's First Call mean estimate of $.07 per diluted share. Additional information regarding special items is included in this release and in the accompanying reconciliation tables. For the full year 2009, net income was $99 million, or $.13 per diluted share, compared to $178 million, or $.24 per diluted share, for full year 2008. Full year 2009 results included special items (net of profitsharing and taxes) consisting of a $35 million charge recorded in third quarter 2009, relating to the Company's voluntary early-out program and a net loss of $9 million, relating to non-cash, mark-to-market and other items associated with a portion of the Company's fuel hedge portfolio. Excluding special items for both years, full year 2009 net income was $143 million, or $.19 per diluted share, compared to $294 million, or $.40 per diluted share, for full year 2008. Gary C. Kelly, CEO, stated: "In what has been, perhaps, the most difficult revenue environment the airline industry has ever faced, we are extremely proud to report our 2009 earnings, which represents our 37th consecutive year of profitability. To report any profit in these times is a major accomplishment, and I could not be more proud of our Employees who worked so hard to finish the year strong with a fourth quarter and full year profit. Our People responded swiftly and successfully to the dramatic fall-off in demand for business travel precipitated by the recession. We introduced and implemented new products, programs, and processes, some that were unplanned at the start of last year, to drive revenues and enhance our already strong Brand and Customer Experience. We made significant advancements in our revenue management and network optimization capabilities; opened four new cities; introduced EarlyBird Check-in; implemented changes to our Unaccompanied Minor program; introduced our Pets Are Welcome on Southwest product; introduced the initial phases of a new and improved southwest.com; and made major advancements in our core technology to support future Rapid Rewards program upgrades and international codesharing. "With our successful Bags Fly Free program and every day low fares, we bring tremendous value to our Customers. We estimate our share of the domestic market rose at least one percent in 2009, despite offering fewer seats in 2009. Our monthly load factors have been at record levels since July 2009, beating long-standing records, and our unit revenue trends continue to significantly outperform the industry, with a fourth quarter year-over-year increase of 7.4 percent. Despite record load factors, we had an exceptional year of operations, delivering superb Customer Service. According to the most current statistics published by the U.S. Department of Transportation, we consistently rank at the top for Customer Satisfaction for having the lowest Customer complaint ratio. During 2009, we also achieved among the highest marks for our Ontime Performance, and we had fewer flight cancellations than 2008's outstanding performance, canceling less than one percent of all flights scheduled. In addition, our mishandled baggage numbers improved dramatically in 2009 and are among the best in our history. With strong revenue and booking trends continuing thus far into 2010, we expect another year-over-year increase in unit revenue for first quarter 2010. "While we will continue our disciplined route strategy, and currently do not have plans to grow capacity in 2010, we were still able to expand our cities served in 2009 without adding aircraft due to our successful route optimization efforts. Minneapolis/St. Paul, New York LaGuardia, Boston Logan, and Milwaukee are all 2009 additions and off to a great start, and we continue to grow important existing markets like St. Louis and Denver. We are excited to announce today that we will be adding four additional flights to/from Denver beginning on June 13. The new service includes one additional flight to each of the following four markets that we already serve from Denver: Ft. Lauderdale, Boise, Ontario, and Houston Hobby. We are pleased with the results of our expansion efforts and look forward to expanding into Panama City Beach, Florida in May 2010. "While fuel prices remain high, fourth quarter 2009 economic fuel costs decreased 3.1 percent year-over-year to $2.20 per gallon, including taxes, even with approximately $42 million in unfavorable cash settlements from derivative contracts. Excluding fuel and special items, our fourth quarter 2009 unit costs increased 8.6 percent from the same period a year ago, as expected, largely due to a 7.7 percent decline in fourth quarter year-over-year capacity. Based on current cost trends and an estimated five to six percent decline in first quarter year-over-year capacity, we anticipate first quarter 2010 unit costs, excluding fuel, will exceed fourth quarter 2009's 7.45 cents. With cost pressures associated with no available seat mile growth for the full year 2010, we will increase our focus on productivity to protect our low cost advantage and Low Fare Brand. "We continue to actively manage our fuel hedge portfolio and related program costs in this volatile fuel environment, and we recently restructured our 2010 fuel hedging positions, which provides insurance against fuel cost increases in this uncertain time. We currently have derivative contracts in place for approximately 50 percent of our estimated 2010 fuel consumption at prices up to approximately $100 per barrel. We recently sold call options, which decreased our protection to effectively 20 percent of estimated consumption if market prices settle in the $100 to $120 per barrel range. We added another layer of purchased call options to increase our protection to approximately 40 percent of estimated consumption if market prices exceed $120 per barrel. Based on our current 2010 fuel hedge position and market prices (as of January 20, 2010), the estimated economic fuel costs, including fuel taxes, for first quarter is approximately $2.35 per gallon. With the recent modifications to our hedge portfolio, we have lowered our first quarter 2010 expected hedging premium costs (included in "Other (gains) losses, net") to approximately $30 million, which is $15 million lower than the premium costs incurred in fourth quarter 2009. "There is no doubt 2010 will be another challenging year. Thus far, the economic recovery is tepid, and we expect record high hedged jet fuel prices for the Company, given the current market and our hedge position. With the significant actions we have taken to grow revenues, strengthen liquidity, manage our fuel hedge portfolio, and enhance productivity, combined with our powerful Low Fare Brand and value proposition position, we believe we are well prepared for another challenging year. There is also no doubt, in my mind, our People did an extraordinary job in aggressively adjusting to a rapidly deteriorating demand environment. To produce a profit, without sacrificing our Culture or our Customer Service, was truly remarkable. While it was our 37th consecutive year of profits, it was also our 39th consecutive year of job security. Not surprisingly, others noticed as there were numerous recognitions and honors the Company received throughout the year." 2009 recognitions and honors include: Named the seventh most admired Company in FORTUNE magazine's ranking of the 50 Most Admired Companies in the World; the only U.S. airline to make the list and the 13th consecutive year that Southwest has been named to the Most Admired List Named the top U.S. airline on the University of Michigan's American Customer Satisfaction Index (ACSI) Ranked among the top ten companies in MSN Money's Customer Service Hall of Fame Recognized as Favorite Domestic Airline and ranked number one in Best Customer Service, Best Airfare Prices, Best On-Time Service, Best Baggage Service, and Best Value Frequent Flier Program, among others, in the 2009 Reader's Choice Awards by Smarter Travel Topped the list of the 50 best U.S. places to work by Glassdoor.com Recognized as the Best Domestic Value and having the Best Luggage Policy and Top Website in the 2009 Airline Survey conducted by Zagat Named Best Domestic Airline, Best Domestic Airline Customer Service, and Best Low Cost Carrier by Executive Travel magazine's 2009 Leading Edge Awards Named Best Low Cost/No Frills Airline in the 2009 OAG Airline Industry Awards Southwest Airlines' Rapid Rewards program was again honored in InsideFlyer magazine's 2009 Annual Freddie Awards for Best Award Redemption, a distinction awarded to Southwest every year since the category was introduced in 1998 Included in BusinessWeek's ranking of the 50 Most Innovative Companies in the World Ranked by Institutional Investor Magazine as America's Most Shareholder Friendly Company in the consumer-airlines segment Ranked in the top 200 and highest among airlines in the Newsweek Green Ranking of the 500 largest publicly traded companies in the U.S. For the third year in a row, NutsAboutSouthwest.com took home the honor of "Best Blog" at the PR News Platinum Awards Southwest will discuss its fourth quarter 2009 results on a conference call at 11:30 a.m. Eastern Time today. A live broadcast of the conference call will be available at http://www.southwest.com/?src=INVRINV4QER000000100121. Operating Results Total operating revenues for fourth quarter 2009 decreased 0.8 percent to $2.7 billion compared to fourth quarter 2008, while total operating expenses decreased 4.5 percent to $2.5 billion. Operating income for fourth quarter 2009 was $167 million, compared to operating income of $70 million in fourth quarter 2008. Excluding special items, operating income increased 32.0 percent in fourth quarter 2009 to $198 million, compared to $150 million in fourth quarter 2008. Operating revenues for the year ended December 31, 2009, decreased 6.1 percent from 2008 to $10.4 billion, while operating expenses decreased 4.6 percent to $10.1 billion. Operating income for 2009 was $262 million, compared to $449 million last year. Excluding special items, operating income for 2009 was $540 million, a decrease of 15.1 percent compared to last year. "Other expenses" were $98 million for the year ended December 31, 2009, compared to $171 million for the same period in 2008. This $73 million decrease in "Other expenses" primarily resulted from a $146 million favorable swing in other (gains) losses partially offset by a $56 million increase in interest expense from financing transactions the Company completed in late 2008 and during 2009. "Other gains" of $54 million were recognized in 2009, compared to $92 million in "other losses" in 2008. In both periods, these "other (gains) losses" primarily resulted from unrealized gains/losses associated with fuel derivatives. The cost of the Company's hedging program (the premium costs of derivative contracts) was $148 million in 2009 and $69 million in 2008, which is also included in "other (gains) losses". Interest income also decreased by $13 million versus the prior year primarily due to lower market interest rates and lower rates earned from more conservative investments. Lower Boeing aircraft progress payments also generated less capitalized interest in 2009 compared to the prior year. The full year 2009 income tax rate was approximately 40 percent compared to a rate of 36 percent for full year 2008. The 2008 rate reflects a $12 million benefit related to a change in Illinois state income tax laws. Net cash provided by operations for 2009 was $985 million, substantially driven by the $99 million in net income and $616 million in non-cash depreciation and amortization expense. Capital expenditures for 2009 were $585 million. During 2009, the Company completed several financing transactions to significantly boost its liquidity, including $381 million from the sale and leaseback of eleven 737-700 aircraft and $455 million in proceeds from secured term loan agreements. The Company repaid $183 million in debt during 2009 and has $190 million in current maturities of long-term debt in 2010, of which $75 million is expected to be repaid by tendering certain investments held in auction rate securities. During 2009, the Company also repaid the $400 million it had borrowed during 2008 under its revolving credit agreement. In addition to a fully available, unsecured, revolving credit facility of $600 million, as of yesterday, the Company had approximately $2.4 billion in cash and short-term investments, which excludes $335 million in cash collateral held by its fuel hedge counterparties. This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Specific forward-looking statements include, without limitation, statements relating to (i) the Company's growth plans and operating strategies and related expectations; (ii) its initiatives to control costs; (iii) its fleet plans; and (iv) its expectations regarding future results of operations. These forward-looking statements are based on the Company's current intent, expectations, and projections and are not guarantees of future performance. These statements involve risks, uncertainties, assumptions, and other factors that are difficult to predict and that could cause actual results to vary materially from those expressed in or indicated by them. Factors include, among others, (i) the price and availability of aircraft fuel, the impact of hedge accounting, and any changes to the Company's strategies for addressing fuel price volatility; (ii) continued economic uncertainty, which could continue to impact the demand for air travel; (iii) the impact of fuel prices and economic conditions on the Company's overall business plan and strategies; (iv) competitor capacity decisions; and (v) other factors, as described in the Company's filings with the Securities and Exchange Commission, including the detailed factors discussed under the heading "Risk Factors" in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2008, and under the heading "Forward-looking statements" in the Company's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2009, June 30, 2009, and September 30, 2009.       SOUTHWEST AIRLINES CO.     CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS     (in millions, except per share amounts)     (unaudited)                                Three months ended            Year ended                                December 31,              December 31,                                 ------------              ------------                                         Percent                    Percent                           2009    2008  Change     2009    2008     Change                           ----    ----  ------     ----    ----     ------     OPERATING      REVENUES:       Passenger         $2,584  $2,622     (1.4) $9,892  $10,549      (6.2)       Freight               31      37    (16.2)    118      145     (18.6)       Other                 97      75     29.3     340      329       3.3                            ---     ---              ---      ---        Total         operating         revenues         2,712   2,734     (0.8) 10,350   11,023      (6.1)     OPERATING      EXPENSES:       Salaries,        wages, and        benefits            861     846      1.8   3,468    3,340       3.8       Fuel and oil         794     918    (13.5)  3,044    3,713     (18.0)       Maintenance        materials and        repairs             162     198    (18.2)    719      721      (0.3)       Aircraft        rentals              46      39     17.9     186      154      20.8       Landing fees        and other        rentals             182     165     10.3     718      662       8.5       Depreciation        and        amortization        154     154        -     616      599       2.8       Other        operating        expenses            346     344      0.6   1,337    1,385      (3.5)                            ---     ---            -----    -----        Total         operating         expenses         2,545   2,664     (4.5)  10,088   10,574     (4.6)                          -----   -----            ------   ------     OPERATING      INCOME                167      70    138.6     262      449     (41.6)     OTHER EXPENSES      (INCOME):       Interest        expense              46      34     35.3     186      130      43.1       Capitalized        interest             (5)     (5)       -     (21)     (25)    (16.0)       Interest        income               (3)     (7)   (57.1)    (13)     (26)    (50.0)       Other (gains)        losses, net         (56)    131     n.a.     (54)      92      n.a.                            ---     ---              ---      ---        Total other         expenses         (income)           (18)    153     n.a.      98      171      n.a.                            ---     ---              ---      ---     INCOME (LOSS)      BEFORE INCOME      TAXES                 185     (83)    n.a.     164      278     (41.0)     PROVISION      (BENEFIT) FOR      INCOME TAXES           69     (27)    n.a.      65      100     (35.0)                            ---     ---              ---      ---     NET INCOME      (LOSS)               $116     $(56)    n.a.     $99    $178     (44.4)                           ====     ====     ===     ====    ====     NET INCOME      (LOSS) PER      SHARE:       Basic               $.16     $(.08)           $.13     $.24       Diluted             $.16     $(.08)           $.13     $.24     WEIGHTED      AVERAGE      SHARES      OUTSTANDING:       Basic                742       740             741      735       Diluted              742       740             741      739           SOUTHWEST AIRLINES CO.     RECONCILIATION OF REPORTED AMOUNTS TO NON-GAAP ITEMS     (SEE NOTE REGARDING USE OF NON-GAAP FINANCIAL MEASURES)     (in millions, except per share amounts)     (unaudited)                          Three Months Ended                    Year Ended                             December 31,                      December 31,                             ------------                      ------------                                    Percent                          Percent                     2009     2008   Change        2009      2008     Change                     ----     ----   ------        ----      ----     ------     Fuel and      oil      expense -      unhedged       $721     $870               $2,577    $4,819     Less: Fuel      hedge      (gains)      losses      included      in fuel      and oil      expense          73       48                  467    (1,106)                      ---      ---                  ---    ------     Fuel and      oil      expense -      GAAP           $794      $918    (13.5)    $3,044    $3,713     (18.0)     Add/      (Deduct):      Net impact      from fuel      contracts      (1)             (31)     (80)                (222)    (187)                      ---      ---                 ----      ----     Fuel and      oil      expense -      economic       $763     $838      (8.9)    $2,822    $3,526     (20.0)                     ----     ----               ------    ------     Operating      income, as      reported       $167      $70                 $262      $449     Add/      (Deduct):      Net impact      from fuel      contracts      (1)              31       80                  222       187                      ---      ---                  ---       ---     Operating      income -      economic       $198     $150                 $484      $636     Add: Charge      from      voluntary      early-out      program,      net               -        -                   56         -                      ---      ---                  ---       ---     Operating      income,      non-GAAP       $198     $150      32.0       $540      $636     (15.1)                     ----     ----                 ----      ----     Other      (gains)      losses,      net, as      reported       $(56)    $131                $(54)       $92     Add/      (Deduct):      Net impact      from fuel      contracts      (1)              96     (110)                 208       (19)                      ---     ----                  ---       ---     Other      losses,      net, non-      GAAP            $40      $21      90.5       $154       $73     111.0                      ---      ---                 ----       ---     Net income      (loss), as      reported       $116     $(56)                 $99      $178     Add/      (Deduct):      Net impact      from fuel      contracts      (1)             (65)     190                   14        206     Income tax      impact of      fuel      contracts        23      (73)                  (5)      (78)                      ---      ---                   ---       ---                      $74      $61                  $108      $306     Add: Charge      from      voluntary      early-out      program,      net               -        -                   35         -     Add      (Deduct):      Change in      Illinois      state      income tax      law, net          -        -                    -        (12)                      ---      ---                   ---       ---     Net income,      non-GAAP        $74      $61      21.3        $143      $294    (51.4)                      ---      ---                  ----      ----     Net income      (loss) per      share,      diluted,      as      reported       $.16    $(.08)                $.13      $.24     Add/      (Deduct):      Net impact      from fuel      contracts      (.06)     .16                  .02       .17                     ----      ---                  ---       ---                     $.10     $.08                 $.15      $.41     Add: Impact      of special      items, net        -        -                  .04      (.01)                      ---      ---                  ---      ----     Net income      per share,      diluted,      non-GAAP       $.10     $.08      25.0       $.19      $.40     (52.5)                     ----     ----                 ----      ----     (1) See Reconciliation of Impact from Fuel Contracts         SOUTHWEST AIRLINES CO.     RECONCILIATION OF IMPACT FROM FUEL CONTRACTS     (SEE NOTE REGARDING USE OF NON-GAAP FINANCIAL MEASURES)     (in millions)     (unaudited)                               Three Months Ended           Year Ended                                  December 31,             December 31,                                  ------------            ------------                                2009        2008       2009         2008                                ----        ----       ----         ----     Fuel & Oil Expense     ------------------     Add/(Deduct):      Reclassification      between Fuel & Oil and      Other (gains)       losses, net,        associated        with current        period        settled        contracts                $(3)       $(3)         $(38)       $(80)     Add/(Deduct):      Contracts settling in      the current period,      but for which gains       and/or        (losses) have        been        recognized in        a prior        period*                  (27)       (80)         (181)       (141)     Add/(Deduct):      Contracts settling in      the current period,      but for which the       underlying        hedged fuel        has not yet        been consumed              -          3             -         3     Add/(Deduct):      Contracts settling in      a prior period, but      for which the       underlying        hedged fuel        has been        consumed in        the current        period                    (1)          -            (3)         31                                 ---          ---           ---        ---     Impact from      fuel      contracts to      Fuel & Oil      Expense                   $(31)        $(80)        $(222)     $(187)                                ----         ----         -----       -----     Operating Income     ----------------     Add/(Deduct):      Reclassification      between Fuel & Oil and      Other (gains)       losses, net,        associated        with current        period        settled        contracts                 $3          $3          $38          $80     Add/(Deduct):      Contracts settling in      the current period,      but for which gains       and/or        (losses) have        been        recognized in        a prior        period*                   27          80          181          141     Add/(Deduct):      Contracts settling in      the current period,      but for which the       underlying        hedged fuel        has not yet        been consumed              -          (3)           -          (3)     Add/(Deduct):      Contracts settling in      a prior period, but      for which the       underlying        hedged fuel        has been        consumed in        the current        period                     1           -            3          (31)                                 ---          ---          ---          ---     Impact from      fuel      contracts to      Operating      Income                     $31          $80         $222         $187                                 ---          ---         ----         ----     Other (gains) losses     --------------------     Add/(Deduct): Mark-      to-market impact from      fuel contracts       settling in        future        periods                  $56         $(51)         $73           $7     Add/(Deduct):      Ineffectiveness      from fuel      hedges      settling in      future      periods                     37          (62)          97         (106)     Add/(Deduct):      Reclassification      between Fuel & Oil and      Other (gains)       losses, net,        associated        with current        period        settled        contracts                  3           3           38            80                                 ---          ---          ---          ---     Impact from      fuel      contracts to      Other (gains)      losses                     $96        $(110)        $208         $(19)                                 ---        -----         ----         ----     Net Income     ----------     Add/(Deduct): Mark-      to-market impact from      fuel contracts       settling in        future        periods                 $(56)         $51         $(73)         $(7)     Add/(Deduct):      Ineffectiveness      from fuel      hedges      settling in      future      periods                    (37)          62          (97)         106     Add/(Deduct): Other      net impact of fuel      contracts settling in      the       current or a        prior period        (excluding        reclassifications)        28           77          184          107                                 ---          ---          ---          ---     Impact from      fuel      contracts to      Net income **             $(65)        $190          $14         $206                                ----         ----          ---         ----     *   As a result of prior hedge ineffectiveness and/or contracts marked         to market through earnings     **  Excludes income tax impact of unrealized items       SOUTHWEST AIRLINES CO.     COMPARATIVE CONSOLIDATED OPERATING STATISTICS     (unaudited)                                                 Three months ended                                                    December 31,                                                    ------------                                              2009           2008   Change                                              ----           ----   ------     Revenue passengers carried         21,498,778     20,788,058      3.4 %     Enplaned passengers                25,386,440     23,974,845      5.9 %     Revenue passenger miles (RPMs)      (000s)                            18,175,024     17,265,177      5.3 %     Available seat miles (ASMs) (000s) 23,505,932     25,455,786     (7.7)%                                                                        9.5     Load factor                              77.3%          67.8%     pts.     Average length of passenger haul      (miles)                                  845            831      1.7 %     Average aircraft stage length      (miles)                                  632            638     (0.9)%     Trips flown                           272,740        292,392     (6.7)%     Average passenger fare                $120.21        $126.12     (4.7)%     Passenger revenue yield per RPM      (cents)                                14.22          15.19     (6.4)%     Operating revenue yield per ASM      (cents)                                11.54          10.74      7.4 %     CASM, GAAP (cents)                      10.83          10.47      3.4 %     CASM, GAAP excluding fuel (cents)        7.45           6.86      8.6 %     CASM, excluding special items      (cents)                                10.70          10.15      5.4 %     CASM, excluding fuel and special      items (cents)                           7.45           6.86      8.6 %     Fuel costs per gallon, including      fuel tax (unhedged)                    $2.08          $2.36    (11.9)%     Fuel costs per gallon, including      fuel tax (GAAP)                        $2.29          $2.49     (8.0)%     Fuel costs per gallon, including      fuel tax (economic)                    $2.20          $2.27     (3.1)%     Fuel consumed, in gallons      (millions)                               345            368     (6.3)%     Fulltime equivalent Employees at      period-end *                          34,726         35,506     (2.2)%     Aircraft in service at period-end         537            537         -                                                          Year ended                                                     December 31,                                                     ------------                                               2009            2008  Change                                               ----            ----  ------     Revenue passengers carried          86,310,229      88,529,234    (2.5)%     Enplaned passengers                101,338,228     101,920,598    (0.6)%     Revenue passenger miles (RPMs)      (000s)                             74,456,710      73,491,687     1.3 %     Available seat miles (ASMs) (000s)  98,001,550     103,271,343    (5.1)%                                                                         4.8     Load factor                               76.0%           71.2%    pts.     Average length of passenger haul      (miles)                                   863             830     4.0 %     Average aircraft stage length      (miles)                                   639             636     0.5 %     Trips flown                          1,125,111       1,191,151    (5.5)%     Average passenger fare                 $114.61         $119.16    (3.8)%     Passenger revenue yield per RPM      (cents)                                 13.29           14.35    (7.4)%     Operating revenue yield per ASM      (cents)                                 10.56           10.67    (1.0)%     CASM, GAAP (cents)                       10.29           10.24     0.5 %     CASM, GAAP excluding fuel (cents)         7.19            6.64     8.3 %     CASM, excluding special items      (cents)                                 10.01           10.06    (0.5)%     CASM, excluding fuel and special      items (cents)                            7.13            6.64     7.4 %     Fuel costs per gallon, including      fuel tax (unhedged)                     $1.80           $3.18   (43.4)%     Fuel costs per gallon, including      fuel tax (GAAP)                         $2.12           $2.44   (13.1)%     Fuel costs per gallon, including      fuel tax (economic)                     $1.97           $2.32   (15.1)%     Fuel consumed, in gallons      (millions)                              1,428           1,511    (5.5)%     Fulltime equivalent Employees at      period-end *                           34,726          35,506    (2.2)%     Aircraft in service at period-end          537             537        -       CASM (unit costs) - Operating expenses per ASM     RASM (unit revenue) - Operating revenue yield per ASM     * Headcount is defined as "Active" fulltime equivalent Employees for     both periods presented.     SOUTHWEST AIRLINES CO.     CONDENSED CONSOLIDATED BALANCE SHEET     (in millions)     (unaudited)                                             December 31,   December 31,                                                      2009           2008                                                      ----           ----     ASSETS     Current assets:       Cash and cash equivalents                    $1,114         $1,368       Short-term investments                        1,479            435       Accounts and other receivables                  169            209       Inventories of parts and supplies, at        cost                                           221            203       Deferred income taxes                           291            365       Prepaid expenses and other current        assets                                          84             73                                                       ---            ---         Total current assets                        3,358          2,653     Property and equipment, at cost:       Flight equipment                             13,719         13,722       Ground property and equipment                 1,922          1,769       Deposits on flight equipment purchase        contracts                                      247            380                                                       ---            ---                                                    15,888         15,871       Less allowance for depreciation and        amortization                                 5,254          4,831                                                     -----          -----                                                    10,634         11,040     Other assets                                      277            375                                                       ---            ---                                                   $14,269        $14,068                                                   =======        =======     LIABILITIES & STOCKHOLDERS' EQUITY     Current liabilities:       Accounts payable                               $746           $668       Accrued liabilities                             696          1,012       Air traffic liability                         1,044            963       Current maturities of long-term debt            190            163                                                       ---            ---         Total current liabilities                   2,676          2,806     Long-term debt less current maturities          3,325          3,498     Deferred income taxes                           2,207          1,904     Deferred gains from sale and leaseback      of aircraft                                      102            105     Other noncurrent liabilities                      493            802     Stockholders' equity:       Common stock                                    808            808       Capital in excess of par value                1,216          1,215       Retained earnings                             4,983          4,919       Accumulated other comprehensive loss           (578)          (984)       Treasury stock, at cost                        (963)        (1,005)                                                      ----         ------         Total stockholders' equity                  5,466          4,953                                                     -----          -----                                                   $14,269        $14,068                                                   =======        =======       SOUTHWEST AIRLINES CO.     CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS     (in millions)     (unaudited)                                        Three months                                            ended              Year ended                                        December 31,          December 31,                                        ------------          ------------                                      2009      2008      2009         2008                                      ----      ----      ----         ----     CASH FLOWS FROM      OPERATING      ACTIVITIES:         Net income          (loss)                      $116      $(56)      $99         $178         Adjustments to          reconcile net          income (loss)          to           cash provided by            operating            activities:             Depreciation and              amortization             154       154       616          599             Unrealized              (gain) loss on              fuel derivative              instruments              (65)      190        14          206             Deferred income              taxes                     69       (25)       72           56             Amortization of              deferred gains              on sale and               leaseback of                aircraft                (1)       (3)      (12)         (12)             Share-based              compensation              expense                    3         5        13           18             Excess tax              benefits              (obligations)              from share-              based               compensation                arrangements             4         -        (1)           -             Changes in              certain assets              and              liabilities:               Accounts and                other                receivables             56       176        40           71               Other current                assets                 (20)       78       (27)         (21)               Accounts payable                and accrued                liabilities            101       (53)       59          (98)               Air traffic                liability             (170)     (312)       81           32               Cash collateral                received from                (provided to)                fuel                 derivative                  counterparties        95    (2,735)      (90)      (2,240)               Other, net              150        49       121         (310)                                       ---       ---       ---         ----                 Net cash                  provided by                  (used in)                  operating                  activities           492    (2,532)      985       (1,521)     CASH FLOWS FROM      INVESTING      ACTIVITIES:         Purchases of          property and          equipment, net              (115)     (158)     (585)        (923)         Purchases of          short-term          investments               (1,308)   (1,645)   (6,106)      (5,886)         Proceeds from          sales of short-          term          investments                1,165      2,260    5,120        5,831         Other, net                      -          -        2            -                                       ---        ---      ---          ---               Net cash                provided by                (used in)                investing                activities            (258)       457   (1,569)        (978)     CASH FLOWS FROM      FINANCING      ACTIVITIES:         Issuance of          long-term debt                 -        400      455        1,000         Proceeds from          credit line          borrowing                      -         91       83           91         Proceeds from          Revolving          credit facility                -        400        -          400         Proceeds from          sale and          leaseback          transactions                   -        173      381          173         Proceeds from          Employee stock          plans                          9          3       20          117         Payments of          long-term debt          and capital          lease          obligations                  (22)       (14)     (86)         (55)         Payments of          revolving          credit facility                -          -     (400)           -         Payment of          credit line          borrowing                     (7)         -      (97)           -         Payments of cash          dividends                      -          -      (13)         (13)         Repurchase of          common stock                   -          -        -          (54)         Excess tax          benefits          (obligations)          from share-          based           compensation            arrangements                (4)        -         1            -         Other, net                      2         -       (14)          (5)                                       ---       ---       ---          ---                Net cash                 provided by                 (used in)                 financing                 activities            (22)    1,053       330        1,654                                       ---     -----       ---        -----     NET INCREASE      (DECREASE) IN      CASH AND CASH      EQUIVALENTS                      212    (1,022)     (254)        (845)     CASH AND CASH      EQUIVALENTS AT      BEGINNING OF      PERIOD                           902      2,390    1,368        2,213                                       ---      -----    -----        -----     CASH AND CASH      EQUIVALENTS AT      END OF PERIOD                 $1,114     $1,368   $1,114       $1,368                                    ======     ======   ======       ======         SOUTHWEST AIRLINES CO.     BOEING 737-700 DELIVERY SCHEDULE     AS OF JANUARY 20, 2010                                                  Purchase                     Firm         Options         Rights         Total                     ----         -------         ------         -----     2010                10                                           10     2011                10              7                            17     2012                13             10                            23     2013                19              4                            23     2014                13              7                            20     2015                14              3                            17     2016                12             11                            23     2017                               17                            17     Through 2018                                      54             54                                                      ---            ---     Total               91             59             54            204                        ===            ===            ===            ===   NOTE REGARDING USE OF NON-GAAP FINANCIAL MEASURES The Company's financial statements are prepared in accordance with Generally Accepted Accounting Principles (GAAP). These GAAP financial statements include unrealized non-cash adjustments and reclassifications, which can be significant, as a result of accounting requirements and elections made under Accounting Standards Codification Topic 815 (ASC 815, originally issued as SFAS 133). As a result, the Company also provides financial information included in this press release that was not prepared in accordance with GAAP and should not be considered as an alternative to the information prepared in accordance with GAAP. The Company provides supplemental non-GAAP financial information that it has termed "economic", which the Company's management utilizes to evaluate its ongoing financial performance and the Company believes provides greater transparency to investors as supplemental information to its GAAP results. The Company's economic financial results differ from GAAP results in that they only include the actual cash settlements from fuel hedge contracts -- all reflected within Fuel and oil expense in the period of settlement. Thus, Fuel and oil expense on an economic basis reflects the Company's actual net cash outlays for Fuel during the applicable period, inclusive of settled fuel derivative contracts. Any net premium costs paid related to option contracts are reflected as a component of Other (gains) losses, net, for both GAAP and non-GAAP purposes. These economic results provide a better measure of the impact of the Company's fuel hedges on its operating performance and liquidity since they exclude the unrealized, non-cash adjustments and reclassifications that are recorded in GAAP results in accordance with ASC 815, and they reflect all cash settlements related to fuel derivative contracts within Fuel and oil expense. This enables the Company's management, as well as investors, to consistently assess its operating performance on a year-over-year or quarter-over-quarter basis after considering all programs in place to curtail fuel expense. However, because these measures are not determined in accordance with GAAP, such measures are susceptible to varying calculations and not all companies calculate the measures in the same manner. As a result the aforementioned measures as presented may not be directly comparable to similarly titled measures presented by other companies. Further information on (i) the Company's fuel hedging program, (ii) the requirements and accounting associated with ASC 815, and (iii) the causes of hedge ineffectiveness and/or mark-to-market gains or losses from derivative instruments is included in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2008. In addition to its 'economic' financial measures as defined above, the Company has also provided other non-GAAP financial measures as a result of non-recurring items that the Company believes are not indicative of its ongoing operations. These include 1) charges associated with Freedom '09, an early retirement option offered to Employees resulting in a one-time third quarter 2009 charge, and 2) an adjustment to the Company's first quarter 2008 income tax provision due to a change in Illinois State income tax laws. The Company also believes that evaluation of its financial performance can be enhanced by a presentation of results that exclude the impact of these non-recurring items in order to evaluate results on a comparative basis with results in the current or prior periods that did not include such items and as a basis for expected operating results in future periods. SOURCE Southwest Airlines       ... View more

Today Southwest announced a new three-day fare sale.  Details below:  SOUTHWEST AIRLINES LAUNCHES THREE-DAY FARE SALE Southwest Offers Super Low Fares for Spring Travel             DALLAS—Jan. 19, 2010— Southwest Airlines is offering Customers airfares starting as low as $49 one-way. Take advantage of these super low fares on southwest.com and start planning your getaway today! Fares are available in select markets for travel Mondays through Thursdays and Saturdays when purchased by Jan. 21, 2010, at 11:59 p.m. PST. These fares are only available on southwest.com or swabiz.com for travel between April 7, 2010, and May 25, 2010. To get these special online fares, click here. Examples of fares include (see Additional Fare Rules below): • $49 one-way between Chicago Midway and Kansas City • $67 one-way between Reno/Tahoe and Los Angeles • $99 one-way between Providence and Ft. Lauderdale             For travelers with flexible schedules, Southwest’s Low Fare Calendar tool will show the lowest price available for each day using a monthly calendar view.  Use the link: http://www.southwest.com/cgi-bin/lowFareFinderEntry?src=PREMNASTDFS000000100117 to shop around for fare availability.  After 38 years of service, Southwest Airlines (NYSE: LUV) continues to differentiate itself from other low fare carriers—offering a reliable product with exemplary Customer Service.  Southwest Airlines is the most productive airline in the sky and offers Customers a comfortable traveling experience.  Southwest Airlines is the nation's largest carrier in terms of originating domestic passengers boarded, currently serving 68 cities in 35 states.  Based in Dallas, Southwest currently operates more than 3,100 flights a day and has nearly 35,000 Employees systemwide. Terms & Conditions Southwest Airlines sale fares are available for purchase Jan. 19, 2010, through 11:59 p.m. PST Jan. 21, 2010, and travel must take place beginning April 7, 2010, through May 25, 2010. Fares are available only on southwest.com or swabiz.com. Fares are not available for travel on Fridays and Sundays. Fares do not include a federal excise tax of $3.70 for each flight segment. A flight segment is defined as a takeoff and a landing.  Fares do not include airport-assessed passenger facility charges (PFC) of up to $9.00 and a U.S. government-imposed September 11th Security Fee of up to $5.00 one-way. Travel not available to/from Long Island, NY; Washington (Dulles), D.C.; Milwaukee, WI. Seats are limited. Fares may vary by destinations, flight, and day of week and won't be available on some flights that operate during very busy travel times and holiday periods. Fares are available for one-way travel.  When combining fares, all rules and restrictions apply. Fares are nonrefundable but if unused, may be applied toward the purchase of future travel on Southwest Airlines.  Sale fares are not combinable with Senior Fares. Fares are not available through the Group Desk.  Any change in the itinerary may result in an increase in fare. Standby travel requires an upgrade to the unrestricted “Anytime” fare. Fares are subject to change until ticketed. Offer applies to published, scheduled service only.   www.southwest.com   ... View more