Southwest Corporate Fact Sheet
Gary Kelly, Chairman of the Board, President, & Chief Executive Officer
P.O. Box 36611
2702 Love Field Drive
Dallas, TX 75235
About the Company
In its 45th year of service, Dallas-based Southwest Airlines (NYSE: LUV) continues to differentiate itself from other air carriers with exemplary Customer Service delivered by more than 48,000 Employees to more than 100 million Customers annually. Southwest proudly operates a network of 97 destinations across the United States and seven additional countries with more than 3,900 departures a day during peak travel season.
Based on the U.S. Department of Transportation's most recent data, Southwest Airlines is the nation's largest carrier in terms of originating domestic passengers boarded. The Company operates the largest fleet of Boeing aircraft in the world, the majority of which are equipped with satellite-based WiFi providing gate-to-gate connectivity. That connectivity enables Customers to use their personal devices to view video on-demand movies and television shows, as well as nearly 20 channels of free, live TV compliments of our valued Partners. Southwest created Transfarency℠, a philosophy which treats Customers honestly and fairly, and in which low fares actually stay low. Southwest is the only major U.S. airline to offer bags fly free® to everyone (first and second checked pieces of luggage, size and weight limits apply, some airlines may allow free checked bags on select routes or for qualified circumstances), and there are no change fees, though fare differences might apply. In 2014, the airline proudly unveiled a bold new look: Heart. The new aircraft livery, airport experience, and logo, showcase the dedication of Southwest Employees to connect Customers with what's important in their lives. From its first flights on June 18, 1971, Southwest Airlines launched an era of unprecedented affordability in air travel described by the U.S. Department of Transportation as "The Southwest Effect," a lowering of fares and increase in passenger traffic whenever the carrier enters new markets. With 42 consecutive years of profitability, Southwest is one of the most honored airlines in the world, known for a triple bottom line approach that contributes to the carrier's performance and productivity, the importance of its People and the communities they serve, and an overall commitment to efficiency and the planet. The 2014 Southwest Airlines One Report™ can be found at Southwest.com/citizenship.
Book Southwest Airlines' low fares online at Southwest.com or by phone at 800-I-FLY-SWA.
Southwest Airlines was incorporated in Texas and commenced Customer Service on June 18, 1971, with three Boeing 737 aircraft serving three Texas cities—Houston, Dallas, and San Antonio—and grew to become a major airline in 1989 when it exceeded the billion-dollar revenue mark. In 1994, Southwest became the first major airline to offer ticketless travel. In 1996, Southwest became the first major airline to post a website with the launch of our “Home Gate.” Southwest topped the monthly domestic originating passenger rankings for the first time in May 2003. In 2013, Southwest started the first Southwest service to a destination outside the 48 contiguous states with service to San Juan, Puerto Rico. In July 2014, Southwest began its first international flights to Nassau, Bahamas; Montego Bay, Jamaica; and Aruba. Later in the year, Southwest continued its international launch with service to Mexico and the Dominican Republic. In 2015, Southwest's international service grew to seven countries with new service to San Jose, Costa Rica, in March. Service to Puerto Vallarta, Mexico, began in June; Belize City, Belize, in October; and Liberia, Costa Rica in November.
Read more about Southwest's Company History.
Southwest Airlines operates more than 3,900 flights a day.
More than 48,000 People work to deliver exemplary Customer Service throughout the Southwest system.
Common stock is traded under the symbol “LUV” on the NYSE. Southwest paid its first quarterly dividend in fourth quarter 1976. In September 2015, Southwest made its 156th consecutive quarterly dividend payment to Shareholders. As of September 30, 2015, the Company has returned $1.4 billion to Shareholders through repurchases of $1.2 billion of common stock and distribution of $180 million in dividends.
Third Quarter 2015 Financial Statistics:
- Record net income: $584 million
- Record net income, excluding special items: $623 million
- Record revenue passengers carried: 30.6 million
- Record RPMs: 31.1 billion
- Record load factor: 85.4 percent
- First quarter record total operating revenues: $5.3 billion
- Record total operating revenues, excluding special items: $5.1 billion
As of September 30, 2015, Southwest operated 692 Boeing 737 aircraft:
- On April 11, 2012, Southwest's first 737-800 began scheduled service.
- In April 2012, the AirTran 737-700 fleet began transitioning to Southwest. As of March 31, 2015, all 52 AirTran 737-700s have been converted to the Southwest livery with Evolve configuration.
- The Company's fleet has an average age of approximately 12 years.
- The Company's average aircraft trip length is 754 miles with an average duration of two hours and one minute.
- Southwest aircraft fly an average of nearly six flights or about 11 hours and 15 minutes per day.
- Southwest was the launch customer for the Boeing 737-700 in 1997. Southwest also was a launch customer for the Boeing 737-500 and 737-300 series aircraft. And, in December 2011, Southwest announced it would be the launch customer for the Boeing 737 MAX.
- Southwest's 737-800 aircraft also feature Boeing's Sky Interior. The Boeing Sky Interior offers a quieter, more comfortable environment for Customers, with taller ceilings and more overhead bin space, improved operational security features, and ambient LED reading and ceiling lighting, which is more effective as well as energy efficient and adaptable to the mood onboard the aircraft.
- All of Southwest's Boeing 737-700s, as well as a majority of its 737-300s, are equipped with Blended Winglets. Additionally, prior to April 2014, all of the carrier's Boeing 737-800s came equipped with Blended Winglets. In January 2014, Southwest announced the order of 85 Boeing Split Scimitar Winglets for its 737-800 fleet. This order allowed the retrofit of the 737-800s that were already in its fleet, in addition to all 737-800s delivered in 2014. The Split Scimitar Winglet adds new strengthened spars, aerodynamic scimitar tips, and a large ventral strake to the existing Blended Winglet while also providing additional incremental fuel savings beyond the approximate 3.5 percent per aircraft from Blended Winglets. In total, the Company's winglet program saved nearly 60 million gallons of fuel in 2014.
- In 2013, Southwest became the first and only carrier to offer gate-to-gate connectivity. Customers may use small portable electronic devices (PEDs) in "airplane mode" from gate to gate. This means Southwest Customers may use the airline's onboard WiFi, which is available on the majority of the airline's fleet, and can stay connected from the time they step onboard a Southwest plane to the time they exit.
- By the end of first quarter 2013, all Southwest 737-700 and 737-800 aircraft were equipped to provide satellite-based broadband internet from WiFi provider, Global Eagle Entertainment. Customers are able to enjoy free live and on-demand TV compliments of the Company's valued Partners as well as $5 movies throughout their flights, without interruption if on a mobile device or tablet due to our gate-to-gate connectivity. Customers do not need to purchase WiFi in order to access other entertainment selections within the Portal. Also, Customers can purchase Messaging service for $2 and have access to iMessage, WhatsApp, and Viber.
Southwest serves 97 destinations across the United States and seven additional countries.
Southwest Top Ten Airports By Departures:
Reflects April 2015 Schedule
|Number of Gates||Nonstop Cities Served||Established|
|Dallas (Love Field)||180||18||51||1971||-|
Customer Support & Services Centers
- Southwest currently operates seven Customer Support and Services Centers: Albuquerque, Atlanta, Chicago, Houston, Oklahoma City, Phoenix, and San Antonio.
- Southwest Airlines Customer Representatives book, on average, 52,119 reservations daily; 365,838 reservations weekly; and 1.6 million reservations monthly. Approximately 19 million reservations have been booked by Southwest Airlines Customer Representatives in the last 12 months.
- Served more than 1.5 billion Customers since our inception.
- Operated more than 22 million flights since our inception.
- Enplaned approximately 136 million Customers during 2014, which is an average of more than 10 million onboard Customers per month.
- Received 178,299 resumes and hired 4,136 new Employees in 2014.
- Served more than 100 million peanuts and more than 45 million pretzels in 2014.
- In 2014, moved 208 million pounds of cargo.
- The shortest daily Southwest flight is between Austin (AUS) and Houston Hobby (HOU) (148 miles). The longest daily Southwest flight is between Baltimore-Washington (BWI) and Oakland (OAK) (2,447 miles).
- During 2014, 80 percent of passenger revenues were booked via Southwest.com, Swabiz.com, and Airtran.com.
- More than 20 million people subscribe to Southwest's weekly Click ‘N Save emails.
- During 2014, 82 percent of Southwest Customers checked in online or at a kiosk.
- 61 percent of Fortune 1,000 Companies are enrolled in SWABIZ.
- According to Keynote, Southwest.com was named the top site for overall Customer Experience among airlines and online travel agencies.
- Southwest was the first airline to establish a home page on the Internet. Initially, five Employees comprised Southwest's web site development team, and the site took about nine months to create.
- The "Southwest Shortcut" feature on Southwest.com is the first online tool that helps Customers find the lowest fare based on availability across an entire month.
- DING!, a downloadable desktop application, available for both PC and MAC users, was introduced in February 2005 to notify Customers of exclusive hot offers. Southwest was the first airline to implement this type of tool.
- In addition to flights, Customers are able to make car, hotel, and complete vacation package reservations on Southwest.com.
- Southwest first launched an iPhone app in December 2009 and an Android app in 2011. New versions of both the mobile site and the apps were launched in 2013. In 2014, Southwest launched the capability for Customers to use a mobile boarding pass when traveling on Southwest flights.
- 42 consecutive years of annual profitability, a record unmatched in the U.S. airline industry.
- In 2014, average passenger airfare was $159.80 one way, and the average passenger trip length was approximately 978 miles.
- Filed fares in more than 4,300 city-pair markets and offered nonstop service in more than 670 roundtrip markets in 2014.
- Flight completion record was 98.8 percent in 2014.
- Consistently received the lowest 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.
- Adopted the first profit sharing plan in the U.S. airline industry in 1973.
- Approximately 83 percent of the Company's Employees were represented for collective bargaining purposes by labor unions in 2014.
- Member of the FORTUNE 500.
- In 2014, Southwest Employees volunteered more than 144,000 hours to national and local nonprofit organizations.
- In 2014, announced a multi-year commitment to placemaking, a process that puts people first in the process of designing and improving public spaces. Through the Southwest Airlines Heart of the Community program, Southwest will work with pioneering nonprofit Project for Public Spaces and collaborate with local community partners in cities across the country to revitalize and bring new life to public spaces.
- In 2014, launched LUV Seat: Repurpose with Purpose, the Company's newest global sustainability initiative that upcycles the used leather seat coverings from the Evolve cabin retrofit into new products that support local communities. Through the initiative's pilot program, the products benefit communities in Kenya, Malawi, and the United States by providing access to employment, skills training, and livelihoods. To learn more about LUV Seat, visit www.swamedia.com/luvseat.
- Named to FORTUNE Magazine's World's Most Admired Companies list for 21 consecutive years. Southwest was ranked as the No. 7 Most Admired Company, and is the only commercial airline to make the Top Ten.
- Named one of the Top 20 America's Best Employers of 2015 by Forbes.
- Named 2015 Airline of the Year by Air Transport World.
- Rapid Rewards Program recognized for Best Redemption Ability, Best Airline Customer Service, and Best Loyalty Credit Card by InsideFlyer.
- Among the Environmental Protection Agency's List of Fortune 500 Partners
- Recognized as one of the Top 100 Military-Friendly Employers by Victory Media, publisher of G.I. Jobs and Military Spouse.
- Recognized as one of the Best Places to Work in the Glassdoor Employees' Choice Awards 2015.
- Named one of the National Conference on Citizenship's The Civic 50.
- Recognized in the top 10 Best Companies for Leaders by Chief Executive Group.
- Named Domestic Airline of the Year by Express Delivery and Logistics Association for the 15th year in a row.
- Named Domestic Carrier of the year for Cargo by the Airforwarders Association.
- Recognized by Newsweek as one of America's Greenest Companies 2015.
- Selected as the Travelers' Choice “Favorite Airline” by TripAdvisor.
- Best Low Cost Carrier in North America award from Premier Traveler's Best of 2014.
- Recommended.com 2014 Readers' Choice Award for Best Airline – Domestic.
- Air Cargo Excellence “ACE” Diamond Award winner in the “up to 399,999 tonnes” category by Air Cargo World Magazine.
- Received Logistics Management Magazine's 2015 Quest for Quality Award.
- Received CIO 100 Award from CIO Magazine.
- Ranked #9 on the Dallas Business Journal's Top Public Companies List.
- Designated a 2015 Most Valuable Employer (MVE) for military by CivilianJobs.com.
- Named one of the Best Corporate Citizens 2015 by Corporate Responsibility Magazine
- Named a 2015 STEM Jobs Approved Employer.
- Named the #2 Low Cost Carrier in the J.D. Power 2015 Airline Loyalty/Rewards Program Satisfaction Report.
- Ranked as a Top 100 Company by BetterInvesting.
- Received a 2015 Texas Excellence Award from the U.S. Commerce & Trade Research Institute.
- Ranked among the Top Companies for HR on the Workforce 100.
- Recognized among the Top Domestic Airlines on Travel + Leisure's World's Best List.
- Ranked #27 of Top 50 Employers by Workforce Diversity for Engineering & IT Professionals Magazine.
- Named one of Best Companies for Work-Life Balance by Forbes.
- Ranked among Best Airline Rewards Programs by U.S. News & World.
- Outsmart Magazine's Best Airline.
|(in millions)||Three Months Ended
September 30, 2015
|Operating revenues, as reported||$ 5,318|
|Deduct: Special revenue adjustment||(172)|
|Operating revenues, non-GAAP||$ 5,146|
|Net income, as reported||$ 584|
|Add (Deduct): Net impact from fuel contracts||87|
|Add (Deduct): Income tax impact of fuel contracts||(32)|
|Add: Acquistion and integration costs (1)||4|
|Add: Labor ratification bonuses (1)||88|
|Deduct: Special revenue adjustment (1)||(108)|
|Net income, non-GAAP||$ 623|
|(1) Amounts net of tax.|
See note regarding use of non-GAAP financial measures at http://southwest.investorroom.com