Southwest Airlines
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Southwest Airlines
Southwest Airlines Co. () is an American low-cost airline based in Dallas, Texas, with its largest focus city at Las Vegas' McCarran International Airport. It is the largest airline in the United States by number of passengers carried domestically per year and (as of December 31, 2007) also the largest airline in the world by number of passengers carried.[1] It is also the 6th largest U.S. airline by revenue.[2] It also maintains the third-largest fleet of aircraft among all of the world's commercial airlines. As of July 12, 2008, Southwest operates approximately 3,500 flights daily. Southwest Airlines has carried more customers than any other U.S. airline since August 2006 for combined domestic and international passengers according to the U.S. Department of Transportation?s Bureau of Transportation Statistics.[3] Southwest Airlines is one of the world's most profitable airlines and in January 2008, posted a profit for the 35th consecutive year.[4] HistorySouthwest Airlines was originally incorporated to serve three cities in Texas as Air Southwest on March 15, 1967, by Rollin King and Herb Kelleher. According to frequently-cited story, King described the concept to Kelleher over dinner by drawing on a paper napkin a triangle symbolizing the routes.(Dallas, Houston, San Antonio)[5] Some of the incumbent airlines of the time (Braniff, Trans-Texas, and Continental Airlines) initiated legal action, and thus began a three-year legal battle to keep Air Southwest on the ground. Air Southwest eventually prevailed in the Texas Supreme Court, which ultimately upheld Air Southwest's right to fly in Texas.[6] The decision became final on December 7, 1970, when the U.S. Supreme Court declined to review the case without comment.[7] That date is considered by many to be the de facto beginning of deregulation in the airline industry. The story of Southwest's legal fight was turned into a children's book, Gumwrappers and Goggles by Winifred Barnum in 1983. In the story, TJ Love, a small jet, is taken to court by two larger jets to keep him from their hangar, and then to try and stop him from flying at all. Taken to court, TJ Love's right to fly is upheld after an impassioned plea from The Lawyer. While no company names are mentioned in the book, TJ Love's colors are those of Southwest Airlines, and the two other jets are colored in Braniff and Continental's colors. The Lawyer is designed to resemble Herb Kelleher. The book was adapted into a stage musical, Show your Spirit, sponsored by Southwest Airlines, and played only in towns serviced by the airline.[8] Southwest Airlines founder Herb Kelleher studied California-based Pacific Southwest Airlines extensively and used many of the airline's ideas to form the corporate culture at Southwest, and even on early flights used the same "Long Legs And Short Nights" theme for stewardesses on board typical Southwest Airlines flights. The airline adopted the first profit-sharing plan in the U.S. airline industry in 1973. Through this plan and others, employees own about 10 percent of the company stock. The airline is about 87 percent unionized. The pilots are represented by the Southwest Airlines Pilots' Association, a union separate from the much larger ALPA union. First flightsIn early 1971, Air Southwest changed its name to Southwest Airlines, and the first flight was on June 18, 1971. Its first flights were from Love Field in Dallas to Houston and San Antonio,[9] short hops with no-frills service and a simple fare structure, features that became the basis for Southwest's popularity and rapid growth in the coming years. The start of service in June 1971 was accomplished with three 737-200 aircraft; a fourth was added in September of the same year. Over time, Southwest has added improved 737 variants but has stayed within the Boeing 737 family to hold down operating costs. Because this technique simplified training, maintenance, and ground operations, it revolutionized the industry's approach to building aircraft fleets. In January 2005, Southwest retired its last 737-200, the oldest type in its fleet. To celebrate "putting the -200s to bed", selected employees donned Southwest pajamas for an early morning flight to celebrate the final landing at Dallas Love. Early losses and financial troublesThe rest of 1971 and 1972 saw operating losses. One of the four aircraft was sold to Frontier Airlines and the proceeds used to make payroll and cover other expenses. Southwest continued to operate a schedule predicated on four aircraft but using only three, and in so doing the "ten minute turn" was born, and was the standard ground time for many years.[10] Southwest turned its first annual profit in 1973, and has done so every year since — a record unmatched by any other commercial airline.[11] Southwest has used financial techniques such as fuel hedging to bolster its profitability and counteract many of the fiscal disadvantages of operating an airline. By 1979 Southwest flew to all of the cities they currently serve in Texas, along with Beaumont. Interstate service began to New Orleans in 1979, and Albuquerque in 1980. Oklahoma City and Tulsa were added shortly thereafter. In 1981 Southwest co-launched the 737-300 with USAir. In 1982 the first expansion beyond the Texas area took Southwest to the West Coast, adding Phoenix, Las Vegas and San Diego. In late 1984 the 737-300 was placed into service. Chicago Midway and St. Louis service began in March 1985, spreading low-fare service into Midwest markets. Southwest hired its first African-American pilot, Louis Freeman, in 1980. In 1992, he was named the first African-American chief pilot of any major U.S. airline.[12]
A Southwest 737-300 at Portland International Airport Fuel cost containment measuresSouthwest Airlines earned a reputation for being very aggressive and proactive about containing fuel costs as a key to maintaining profit margins. [13] With fuel being an airline's most important variable cost, Southwest's measures have become a model for the industry. Hedging fuelSouthwest has a longtime program to hedge fuel prices. It has purchased fuel options years in advance to smooth out fluctuations in fuel costs. In 2000, Southwest said it had "adjusted its hedging strategy" to "utilize financial derivative instruments... when it appears the Company can take advantage of market conditions." Additionally, the company hoped to "take advantage of historically low jet fuel prices." SEC statement Southwest's decision proved to be a prescient and, for a time, extremely profitable effort. To lock in the low historical prices Southwest believed were occurring at that time, Southwest used a mixture of swaps and call options to secure fuel in future years while paying prices they believed were low. The company also stated that with this new strategy, it faced substantial risks if the oil prices continued to go down, but they did not. Previously, Southwest had been more interested in reducing volatility of oil prices. Now, they hoped to reap large gains from oil price appreciation. In 2001, Southwest again substantially increased its hedging in response to projections of increased crude oil prices. The use of these hedges helped Southwest maintain its profitability during the oil shocks related to the Iraq War and later Hurricane Katrina. According to an annual report, here is the company's fuel hedge for forward years ("approximate" per barrel basis, as of mid-January): 2007 is 95% hedged at $50/barrel; 2008 is 65% hedged at $49/barrel; 2009 is over 50% hedged at $51/barrel; 2010 is over 25% hedged at $63/barrel; 2011 is over 15% hedged at $64/barrel; 2012 is 15% hedged at $63/barrel. According to its 2006 Annual Report, Southwest paid low prices for fuel thanks to the benefit of fuel hedges:
These are well below market rates, which Southwest factors into its low operating costs. However, this below-market oil cost will not continue forever; executives have said that Southwest faces increased exposure to the raw oil market every year. This is not a good sign for the airline, which is also facing tough competition from US legacy carriers that have lowered costs through bankruptcy. Southwest CEO Gary Kelly has decided to slow the airline's growth as a response to this cost. Some analysts have argued against the style of profit-motivated energy trading Southwest did between 1999 and the early 2000s. They suggested that rather than hedging business risk, (such as a hedge on weather to a farmer), Southwest was simply speculating on energy prices, without a formal rationale for doing so.[14] At present, Southwest has enjoyed much positive press (and a strong financial boost) from its energy trading skills.[15][16][17] However, while most analysts agree that volatility hedges can be beneficial,[18] speculative hedges are not widely supported as a continuing strategy for profits.[19] Blended wingletsAll of Southwest's 737-700s have blended winglets. Additionally, Southwest began installing blended winglets on up to 90 of its 737-300 aircraft beginning in mid-January 2007, with AAR of Indianapolis, Indiana, accomplishing the work. The first modified aircraft, N368SW, resumed service on February 22, 2007. Jet engine pressure-washingIn 2008, Southwest contracted with Pratt and Whitney to supply the proprietary Ecopower water pressure-washing system, which allows Southwest to clean grime and contaminants off engine turbine blades while the aircraft is parked at the gate. Frequent use of the Ecopower system is estimated to improve fuel efficiency for Southwest and other customers by about 1.9%.[20][21] Southwest.comOn March 16, 1995, Southwest became one of the first airlines to have a web site. Originally called the "Southwest Airlines Home Gate", customers could view schedules, a route map, and company information at http://www.iflyswa.com.[22] The company later obtained the rights to its current home on the web, http://www.southwest.com, from an unaffiliated business. Southwest consistently rejects syndicating its fares to fare search sites such as expedia.com or orbitz.com.[23] Southwest.com is the number one airline web site for online revenue, according to PhoCusWright. Nielsen/Netratings also reports that Southwest.com is the largest airline site in terms of unique visitors.[24] In 2006, 70 percent of flight bookings and 73 percent of revenue was generated from bookings on southwest.com. As of June 2007, 69 percent of Southwest passengers checked in for their flights online or at a kiosk.[24] Violations of safety requirementsOn March 6, 2008, Federal Aviation Administration (FAA) inspectors submitted documents to the United States Congress, alleging that Southwest allowed 117 of its aircraft to fly carrying passengers despite the fact that the planes were "not airworthy" according to air safety investigators.[25] In some cases the planes were allowed to fly for up to 30 months after the inspection deadlines had passed, rendering them unfit to fly. Records indicate that thousands of passengers were flown on aircraft deemed unsafe by federal standards. Southwest declined comment at the time, and US Representative James Oberstar advised a hearing would be held. [26][27] On March 12, 2008, Southwest Airlines voluntarily grounded 44 planes to check if they needed further inspection. Federal Aviation Administration claims that Southwest Airlines flew almost 60,000 flights without fuselage inspection. Southwest Airlines could be facing a $10.2 million fine if they violated FAA regulations. There have also been rumors that the FAA knew about Southwest Airlines violations but decided not to fine the airline because it would disrupt the service of Southwest.[28] LeadershipSouthwest Airlines is headed by Gary C. Kelly. Kelly has served as the airline's CEO since 1994, and was named chairman on May 21, 2008, replacing previous Southwest Airlines CEO and co-founder Herb Kelleher. Kelly also became president of Southwest Airlines earlier this year, replacing Colleen Barrett when her contract expired on July 15, 2008. [29] The Wright Amendment
A Southwest 737-700 preparing to land at Lindbergh Field in San Diego. Complete elimination of the Wright Amendment would allow non-stop service from Dallas Love Field to airports as far west as California After the opening of Dallas-Fort Worth Regional Airport, which was the original name of Dallas-Fort Worth International Airport in 1974, Southwest was the only airline to remain at Love Field. When airline deregulation came in 1978, Southwest began planning to offer interstate service from Love Field. This caused a number of interest groups affiliated with Dallas-Ft. Worth Airport, including the city of Fort Worth, to push the Wright Amendment through Congress to restrict such flights.[30] Under the restrictions of the amendment, Southwest, and all other airlines, were barred from operating, or even ticketing passengers on flights from Love Field to destinations beyond the states immediately surrounding Texas. In effect, to travel through Love Field, a passenger and luggage would have to deplane and fly on a separate ticket, on a separate aircraft. The Wright Amendment's restrictions didn't apply to aircraft configured with 56 or fewer seats. In 2000, Legend Airlines attempted to operate long distance business-class flights using older DC-9s with 56 seats, but did not have the resources to survive American's legal and marketing attacks, and quickly ceased operations. Southwest has not used the 56 seat loophole, even with its market strength at Love Field and the availability of more modern regional jets such as the CRJ-700/900 and the Embraer ERJ 145 family. Southwest's efforts to repeal or even alter the Wright Amendment had been met with opposition from American Airlines and Dallas Ft. Worth International Airport. Both American Airlines and DFW contended that repeal of the Wright Amendment restrictions would cripple DFW,[31] while Southwest contended that repeal of the Wright Amendment would be beneficial to both Love Field and DFW.[11] Continental Airlines has a successful hub and spoke operation at Houston Bush Intercontinental Airport despite unrestricted competition from Southwest at Houston Hobby Airport. In 1997, Southwest's effort began to pay off with the Shelby Amendment, which added the states of Alabama, Mississippi, and Kansas to the list of permissible destination states. Southwest now offers non-stop service between Dallas Love Field and Birmingham, AL, which it couldn't do prior to the enactment of the Shelby Amendment. Since late 2004, Southwest has actively sought the full repeal of the Wright Amendment restrictions. In late 2005, Missouri was added to the list of permissible destination states via a transportation appropriations bill. New service from Love Field to St. Louis and Kansas City quickly started in December 2005. At a June 15, 2006 joint press conference held by the City of Dallas, the City of Ft. Worth, Dallas-Ft. Worth Airport, American Airlines, and Southwest Airlines, the said parties announced a tentative agreement on how the Wright Amendment was to be phased out. Both the U.S. Senate and House of Representatives passed Wright-related legislation on September 29, 2006, and it was signed into law by President George W. Bush on October 13, 2006. The new law became effective on October 16, 2006, when the FAA Administrator notified Congress that any new aviation operations occurring as a result of the new law could be accommodated without adverse effect to the airspace.
Southwest's tribute to Arizona undergoes maintenance at Portland International Airport Southwest remains the dominant passenger airline at Love Field, maintains its headquarters, hangars, and flight simulators adjacent thereto, and reflects its ties to Love Field in its ticker symbol (LUV). Despite the restrictions on its home base, Southwest proceeded to build a successful business on an unusual model: flying multiple short, quick trips into the secondary (more efficient and less costly) airports of major cities, using primarily only one aircraft type, the Boeing 737. DestinationsSouthwest Airlines currently flies to 64 destinations throughout the United States. The airline added its 64th destination on August 26, 2007 when it resumed service from San Francisco, California. Current service
Ramp operations at William P. Hobby Airport, with a Boeing 737-300 parked at a gate As part of its effort to control costs, Southwest tries to use secondary airports which generally have lower costs and may, or may not be, more convenient to travelers than the major airports to the same destinations. For example, Southwest flies to Midway Airport in Chicago, Fort Lauderdale-Hollywood International Airport and West Palm Beach in South Florida, Love Field in Dallas, Hobby Airport in Houston, Manchester-Boston Regional Airport in Manchester, New Hampshire and T. F. Green Airport in Providence, Rhode Island, instead of O'Hare International Airport, Miami International Airport, DFW International, IAH Intercontinental in Houston, and Logan International Airport in New England, respectively. Southwest also serves the New York Metropolitan area at Islip Airport.
A Southwest plane prepares for its next flight at Bob Hope Airport in Burbank, California Southwest withdrew from Houston Intercontinental in favor of using smaller airports with fewer operations nearby. Besides Houston (Intercontinental) and Denver (Stapleton International), the airline has withdrawn completely from airports in Beaumont, Texas and Detroit, Michigan (Detroit City Airport). The airline also once served Stapleton International Airport in Denver but withdrew in 1986 because of excessive ATC delays during poor weather exacerbated by minimal separation between the runways. Southwest returned to Denver in 2006 with service to the new Denver International Airport. Southwest is expanding its Denver service faster than it has at any previous Southwest city[34] at the cost of service to Orlando, Kansas City and Baltimore.[35] On October 5, 2006, Southwest Airlines started operations at Washington-Dulles Airport (IAD) with 12 daily flights from two gates in Concourse B. Southwest is the largest intrastate airline in California, with 694 flights total in the state, 370 of which are intra-California. Markets lacking Southwest serviceDue to congestion at certain airports and intense competition from airlines such as Delta, Northwest, Continental and others, some markets are not cost-effective for Southwest. New York City-area flights are serviced from Long Island MacArthur Airport instead of directly through the three main New York-area airports (LaGuardia Airport, Kennedy (JFK) International, or Newark Liberty International). Severe overscheduling of flights at these airports creates rampant flight delays which would hamper Southwest's business model of keeping its planes in service in the air as much as possible. Other large cities without Southwest service include Atlanta, Charlotte, Cincinnati, Memphis, Milwaukee, and Minneapolis/St. Paul. Southwest lost codeshare service to Washington-Reagan on November 28, 2007 and also New York-LaGuardia on January 7, 2008, as ATA Airlines discontinued service to those cites. With the exception of Florida, the southeastern part of the U.S. route map geographically has a large string of voids. There are only five cities served by Southwest in the whole region - Birmingham, Nashville, Raleigh/Durham, Louisville and Jackson. Another void also persists in the mid northern part of the US stretching from Wisconsin to Montana/Wyoming and also Alaska. According to the airline's route map, 16 states are without Southwest service in their cities.[36] For Seattle in 2005, Southwest proposed service to Boeing Field, which is a smaller airport closer to downtown than Seattle-Tacoma International Airport. However, King County leaders refused to allow a terminal to be built or service to begin.[37] At this time, Southwest does not serve any destinations outside the United States. While other low cost carriers such as AirTran, Frontier, and JetBlue have started to fly to international destinations, Southwest Airlines has not ruled out the possibility of an international market in the future, as they are well within range of Mexico, Central America, Canada, and the Caribbean with their 737-700 aircraft. England and Ireland are also in range of the aircraft. The range of the 737-700 is 3,365 NM and a flight from Thurgood Marshall International Airport in Baltimore to London's Heathrow Airport is 3158 nm. On the Westbound flight, the aircraft may have to stop for fuel. CEO Gary Kelly stated in June of 2007 that because of shrinking profits, the airline will likely slow its rate of expansion.[38] Top ten airportsThe following airports, as of July 12, 2008, are the top ten most served by Southwest Airlines:[24]
New serviceSouthwest announced that they will be participating in Disney's Magical Express program in Orlando, FL. The program allows passengers to check their bags through from their home airport through to their rooms at a Walt Disney World resort.[39] Effective August 4, 2008 [40]
Effective September 2, 2008 [41]
Effective November 2, 2008 [42]
Discontinued serviceEffective August 22, 2008
Effective November 2, 2008 [42]
International servicePrior to ATA's shutdown, Southwest Airlines had set a goal to codeshare with ATA and begin international codeshare services or ticket for international flights in 2009. Destinations served by ATA could have included Canada, the Caribbean, Mexico, and Europe. In 2010, Southwest plans to partner with other carriers for transatlantic and transpacific flights. On July 8 2008, Southwest announced that it has agreed to a comprehensive codeshare agreement with Canada's second largest carrier WestJet. The terms of the codeshare should be finalized by the end of 2009.[43][44][45] The Southwest Effect and Codeshare Agreements
A Southwest plane lands in Las Vegas, Nevada. Southwest and US Airways are the dominant carriers at McCarran International Airport Southwest has been a major inspiration to other low-cost airlines, and its business model has been repeated many times around the world. Europe's easyJet and Ryanair are two of the best known airlines to follow Southwest's business strategy in that continent (though easyJet operates two different aircraft models today). Other airlines with a business model based on Southwest's system include Canada's WestJet, Malaysia's AirAsia (the first and biggest LCC in Asia), Qantas's Jetstar (although Jetstar now operates three aircraft types) and Thailand's Nok Air. Morris AirOne airline influenced by Southwest was Morris Air, founded by June Morris and David Neeleman, based in Utah and operating in the northwestern U.S. Southwest Airlines purchased Morris Air and absorbed the capital and routes into its inventory and service. David Neeleman worked with Southwest for a short period. When his non-compete agreement expired, Neeleman founded JetBlue Airways, a competing airline that also incorporates many principles and practices pioneered by Southwest, including building a positive, warm employee culture and operating a simple fleet.[46] TranStar AirlinesSouthwest Airlines has mostly pursued a strategy of internal growth, rather than by acquisition of other airlines as commonly occurs. However, in addition to acquisition of Morris Air Transport (see above), Southwest did acquire competitor Muse Air in 1985, which operated McDonnell Douglas MD-80s. Muse Air was renamed TranStar Airlines. IcelandairIn 1997, Southwest and Icelandair entered into interline and marketing agreements allowing for joint fares, coordinated schedules, and transfer of passenger luggage between the two airlines at Baltimore. Icelandair operated flights between Baltimore and Keflavik Airport in Iceland. Connecting service between several U.S. cities and several European cities appeared in the Southwest timetable[47] The frequent flyer programs were not included in the agreement. This arrangement lasted for several years but is no longer in existence. ATA AirlinesATA Airlines, one of Southwest Airlines' main competitors in the Chicago market, historically operated out of Midway Airport alongside Southwest. ATA declared bankruptcy, and in 2004, Southwest injected capital into ATA that (among other things) would have resulted in Southwest's 27.5% ownership stake in ATA upon their exit from Chapter 11 bankruptcy proceedings. In a departure from its traditional "go it alone" strategy, Southwest entered into its first domestic codesharing arrangement with ATA, which enabled Southwest Airlines to serve ATA markets in Hawaii, Washington D.C., and New York City. In late 2005, ATA secured $100 million in additional financing from the firm of Matlin Patterson, and Southwest's original deal with ATA was modified such that Southwest no longer retained the 27.5% stake (or any other financial interest) in ATA. The codeshare arrangement expanded to include all of ATA's 17 destinations and all of Southwest's 63 destinations. In 2006, Southwest's pilot union approved a codeshare sideletter to their contract with limitations on the growth of this and other codeshare agreements. While these restrictions today are minor, outsourcing remains a growing concern in the union's current contract negotiations. During 2006, Southwest Airlines began marketing ATA only flights. ATA's dependence on the Southwest network continued to grow in 2006, and at the time of ATA's demise in April 2008, the airline offered over 70 flights a week to Hawaii from Southwest's hubs in PHX, LAS, LAX, and OAK. Additional connecting service was available to many other cities across the United States. Plans had been announced for ATA to offer exclusive international service for Southwest by 2010, but were scratched when ATA abruptly ended operations on April 3, 2008. There was no plan to open the ATA/Southwest codeshare to ATA's sister carriers; North American Airlines or World Airways, even though they are co-owned by the same corporate entity created from ATA Holdings. The ATA/Southwest codeshare was terminated when ATA filed for Chapter 11 bankruptcy on April 3, 2008. As of 4:00 A.M. EDT on April 3, ATA discontinued all operations. [48] WestJet AirlinesOn July 8, 2008, Southwest Airlines officially announced the intent to begin a codeshare agreement with WestJet Airlines of Canada. The agreement would eventually include the ability of customers to purchase tickets on each others websites, as well as the synching of flights between Canada and the US. The partnership will be finalized by late 2009.[49]. Corporate cultureSouthwest experienceTickets cannot be purchased through common online venues like Orbitz or Travelocity; a minority are booked through travel agents. Most of Southwest's tickets are issued directly by the airline over the phone or online at the company's website which features Web-only fare discounts. Unlike other major airlines, Southwest allows passengers to change reservations without additional cost. While this provides flexibility to customers, Southwest does not allow same-day standby travel on a different flight (usually a free service at other airlines) without upgrading to maximum fare.
Boarding area at a gate at Orlando International Airport Southwest historically allowed three pieces of luggage to be checked in free as opposed to the limit of two on the domestic flights of some other U.S. airlines. Starting January 29, 2008, passengers will be able to check up to two bags for free. A third bag will be accepted for a $25 charge. Prior to the 2000s, Southwest served smaller meals than the meals served by full service airlines, with shorter flights receiving single small snacks and soft drinks, and longer flights (with a duration of about 3 hours or more) meriting "Snack Pack"s of prepackaged goods. In the 2000s these meals in a bag typically exceed the food served on full-service airlines like United Airlines or American Airlines. Southwest also offers free in-flight beverages (excluding alcohol). There is no video entertainment. Southwest is known for colorful boarding announcements and crews that burst out in song. The singing is unusual, and is quite popular among customers, but has been noted by some travel critics as being offensive and intrusive.[51] Southwest maintained excellent customer satisfaction ratings; in 2006, according to the Department of Transportation December year end operating statistics, Southwest ranked number one (lowest number of complaints) of all U.S. airlines for customer complaints, with 0.18 per 100,000 customers enplaned. Southwest Airlines has consistently received the fewest ratio of complaints per passengers boarded of all major U.S. carriers that have been reporting statistics to the Department of Transportation (DOT) since September 1987, which is when the DOT began tracking Customer Satisfaction statistics and publishing its Air Travel Consumer Report. Rapid RewardsSouthwest's frequent flier program is called Rapid Rewards. Customers receive one credit for each one-way trip (even though the flight may have stopovers). A free ticket, expiring after 11 months, is automatically issued when a member accumulates 16 credits in a 24-month period. Double Rapid Rewards credits used to be awarded for online booking, but this policy was modified at the end of 2003. At that time the bonus was reduced to .5 credit for each segment booked online, (i.e., each round-trip ticket booked online received a total of 3 Rapid Rewards credits). This was discontinued in April 2005. In addition, one-half credit is also earned for using a Southwest partner to book any car rental and/or hotel stay, regardless of whether a Southwest flight is involved. This arrangement has won numerous Freddie Awards over the years. In February 2006, Southwest instituted capacity controls to redeeming its free tickets. This means that the airline limits the seats offered to frequent travelers using free certificates on each flight, whereas previously if there was a seat available, one could use the award, provided the passenger was not flying on one of the five blackout dates. In early 2006, Southwest expanded its codeshare agreement with ATA Airlines and allowed redemption of award tickets on Hawaii flights at the rate of two awards per round trip flight. On April 3, 2008, ATA airlines ceased all flights due to bankruptcy, including the codeshare service to Hawaii. AdvertisementsThe company has employed humor in its advertising. Slogans include "Just Plane Smart," "The Somebody Else Up There Who Loves You" and "THE Low Fare Airline". The airline's current slogan is "A Symbol of Freedom". A select history of print and video ads are available on the company website.[52] Since the 1990s, Southwest has been running a television ad campaign based on the phrase "Wanna get away?" The commercials present comical, embarrassing situations in which people find themselves wanting to "get away". Most ads are accompanied by the sound clip "[ding] You are now free to move about the country"; self-parody of the in-flight announcement that "you are now free to move about the cabin". The Southwest Airlines television commercial, ?Flight Attendant,? was named in Adweek?s ?Best Spots? in August 2006.
A Southwest plane at Chicago Midway International Airport "Just Plane Smart"Shortly after Southwest started using the "Just Plane Smart" motto, Stevens Aviation, who had been using "Plane Smart" for their motto, threatened a trademark lawsuit. Instead of a lawsuit, the CEOs for both companies staged an arm wrestling match. Held at the now demolished Dallas Sportatorium (the famed wrestling facility) and set for two out of three rounds, the loser of each round was to pay $5,000 to the charity of their choice, with the winner gaining the use of the trademarked phrase. A promotional video was created showing the CEOs "training" for the bout (with CEO Herb Kelleher being helped up during a sit up where a cigarette and glass of whiskey (Wild Turkey 101) was waiting) and distributed among the employees and as a video press release along with the video of the match itself. Herb Kelleher lost the match for Southwest, with Stevens Aviation winning the rights to the phrase. Kurt Herwald, CEO of Stevens Aviation, immediately granted the use of "Just Plane Smart" to Southwest Airlines. The net result was both companies having use of the trademark, $15,000 going to charity and a healthy dose of goodwill publicity for both companies. EmploymentThe President and CEO of Southwest is Gary C. Kelly, who replaced Colleen Barrett as president on July 15, 2008. Southwest's CFO is Laura Wright. In July 2007, it was announced that Herb Kelleher would resign his position as Chairman . Colleen Barrett left her post on the Board of Directors and Corporate Secretary in May 2008 and President in July 2008. Both are still active employees of Southwest Airlines. Concerns attributed to labor unrest and complaints by the Transport Workers Union of America (TWU) representing Southwest flight attendants were reportedly a factor in the recent resignation of Kelleher's hand-picked replacement as CEO. Jim Parker resigned in July 2004 and was replaced by Chief Financial Officer Gary Kelly.[53] Organized laborAlthough Southwest is considered a "low fare" airline, it is heavily unionized when compared to other airlines.[54] The Southwest Airline Pilots' Association, a union not affiliated with the Air Line Pilots Association, International, represents the airline's pilots.[55] The Aircraft Maintenance Technicians' are represented by the Aircraft Mechanics Fraternal Association (AMFA).[56] Customer Service Agents and Reservation Agents are represented by the International Association of Machinists and Aerospace Workers Union (IAM). Flight Attendants, Ramp agents and Operations agents are represented by the Transport Workers Union (TWU). Flight Dispatchers are represented by the Southwest Airlines Employee Association (SAEA). AirlineThe American version of the reality show Airline showcased Southwest Airlines passengers and employees in daily mishaps and life at some of Southwest's major airports (BWI, MDW, LAX, & HOU). The show premiered January 5, 2004 on the A&E Network, but was canceled after 70 episodes on December 15, 2005. FleetCurrent fleet
An example of a Southwest Boeing 737-700 with the airline's leather seating
The airline operates more Boeing 737s in its fleet than any other airline in the world; Southwest is often cited as an example of an airline streamlining operations by having only one type of aircraft. However, Southwest operated leased 727-200 aircraft during the late-1970s and again in the mid-1980s and subsidiary TranStar Airlines operated DC-9s and MD-80s during the mid-1980s. Southwest has been a launch customer for all three of the Boeing 737 variants it currently operates, and was the first airline to put both the Model 500 and next-generation Model 700 into service. Southwest has a mix of old and new aircraft with both its "classic" and "next generation" 737 aircraft.[58] As of June 2008, Southwest has an average fleet age of 13.6 years,[59] and fly an average of about 7 flights per day. The average aircraft trip length is with an average duration of one hour and 48 minutes. This means the daily utilization of each plane is, on average, 12 hours and 36 minutes.[24] Southwest's seats are the same width as any other operator of 737s in the United States. However seats are approximately one inch narrower than Airbus A320 series operated by low cost carriers such as Frontier Airlines, JetBlue, Virgin America, US Airways, and several other competitors. Southwest's seat pitch averages between 32 and , which compares to average of 31 to for U.S. domestic airlines. However, low-fare carrier JetBlue Airways offers from to 36 inches.[60] Southwest's 737-300 and 737-500 aircraft are not equipped with glass cockpit technology, as the 737-300s, 737-400s, and 737-500s of some other airlines are. Instead, the flight decks are fitted with analog gauges, more similar to those of the earlier 737-100 and 737-200 variants. Note the analog attitude deviation indicator (ADI) and horizontal situation indicator (HSI) (the blue-colored instrument and one below it) in this Southwest 737-3H4 and note the electronic versions of the same instruments (EADI and EHSI) in this United Airlines 737-322. There are electronic displays throughout the cockpit of the 737-700 and other "Next Generation" 737 variants, and Southwest has programmed their 737-7H4 models to emulate the appearance of the 737-300 and 737-500 for standardization purposes. All three versions of the Boeing 737 that Southwest operates use (HUD) Heads Up Display in the flight deck. This technology consists of a glass panel which folds down on the Captain's side, and displays primary flight information as a hologram. Since production of the 737-300 and 737-500 has ended, recent Southwest orders have been exclusively for the 737-700 model. Retirements of some older 737-300 models commenced in December of 2007 from its original count of 194. Southwest is the world's largest operator of the 737. Their current active fleet is over 500 aircraft. In terms of total 737 production (all models in history), deliveries of new aircraft from Boeing to Southwest accounts for approximately 9% of total production. Southwest has one of the largest fleets in North America. Retired fleet
Livery
Southwest Boeing 737-300 (N340SW) in the 1971-2000 livery
Southwest Boeing 737-300 in the 2000 livery The original blended winglets of Southwest Airlines meet the new, blue variant at Tucson International Airport. Southwest introduced the Canyon Blue Fleet in 2001, its first primary livery change in its 30-year history. Spirit One was the first plane painted in the color scheme. The new livery replaces the primary beige color with canyon blue and changes the Southwest text and pinstripes to gold. The pinstripe along the plane is drawn in a more curved pattern instead of the straight horizontal line separating the colors in the original. The original livery is gradually being phased out, but three aircraft will remain in the original livery to commemorate Southwest's original three cities. As of November 16, 2007, Southwest had nearly completed updating the fleet.[24] Southwest's livery designs exploit the aesthetic appeal of blended winglets as well. The first planes to be fitted with the winglets remain in the plain colored winglet (matching the stripes on the fuselage), but later aircraft to be fitted have winglets with "SOUTHWEST.COM" written on them. All aircraft will eventually be repainted to the ".com" winglets. Special livery aircraft with winglets, such as Shamu, have plain white winglets.[24] Some Southwest planes feature special themes, rather than the normal livery. These theme planes have been given special names, usually ending in "One". Some of the most well-known examples are:
All special planes prior to Spirit One originally wore the standard beige, red and orange livery colors on the vertical stabilizer and rudder. Subsequent special editions—Maryland One and Slam Dunk One, so far—feature tails with the canyon blue color scheme, and all earlier specials, with the exception of Triple Crown One have been repainted to match. Environmental recordIn April 2007, The Port of Portland presented Southwest Airlines with the Environmental Excellence Award in recognition of an exemplary effort in the category of Environmental Innovation.[61] Incidents and accidentsSouthwest has had three major incidents of note and has never had a passenger fatality due to an accident.
Awards and recognitions
References
External links
ca:Southwest Airlines de:Southwest Airlines es:Southwest Airlines fa:???????? ???????? fr:Southwest Airlines ko:?????? ?? id:Southwest Airlines it:Southwest Airlines nl:Southwest Airlines ja:????????? no:Southwest Airlines pl:Southwest Airlines pt:Southwest Airlines ro:Southwest Airlines ru:Southwest Airlines simple:Southwest Airlines fi:Southwest Airlines sv:Southwest Airlines zh:???? Source: Wikipedia | The above article is available under the GNU FDL. | Edit this article
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