Southwest Airlines' revenues continue to soften as business travel declines significantly
Southwest CEO, Gary Kelly, stated traffic demand in early Mar-2009 continued to slump, falling 7% year-on-year, following a 6% reduction in Feb-2009. Mr Kelly expects the decline in traffic demand to continue, stating, "I don't know that we've reached the bottom, and certainly in an environment like this, it makes it pretty tough to forecast". [1792 words]
Unlock the following content in this report:
- To shrink for first time in 23 years in 1Q09
- Some un-Southwest development as the LCC Grand-daddy enters "new life cycle"
- Moves closer to New York LaGuardia service
- A new strategy and new complexities
- New business traveller product - priority security lanes
- Busy signing new labour agreements
- Considering in-flight food sales to boost revenues
- 2009 - a year of notable strategic change for Southwest
Graphs and data:
- Southwest capacity (ASKs) growth: Jan-04 to Feb-08
- US Air Traffic Hubs: 2007
- Southwest recent labour agreements
- Southwest labour and fuel cost proportions (%): 1Q06 to 4Q08
- Southwest share price Mar-08 to Mar-09
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