Southwest Air eyes acquisition as economy slows

[Eagle757shark]

Southwest Air eyes acquisition as economy slows

Wed Jan 23, 2008 8:50am EST
NEW YORK (Reuters) - Southwest Airlines Co (LUV.N: Quote, Profile, Research), bracing for a slowing U.S. economy, is ready to act should an acquisition opportunity present itself, its chief executive told Reuters on Wednesday.
"We'll be prepared, like we have been in the past, to move very quickly if an opportunity arises," Gary Kelly said in a telephone interview.
He said the carrier would be open to acquiring a carrier as well as assets such as airport gates that may be spun off by other airlines.
Kelly also said that he expects the slowing economy to impair travel demand.
"We know the overall economy is slowing. We're expecting that will have an impact on travel demand," said Kelly. "We're not seeing that at Southwest Airlines yet, but we want to be prepared for that."
Southwest Airlines earlier posted better-than-expected fourth-quarter earnings, helped by its industry-leading fuel hedges.
(Reporting by Chris Reiter; Editing by Gerald E. McCormick)

© Reuters 2007. All rights reserved. Republication or redistribution of Reuters content,

 

[sqwkvfr]

© Reuters 2007.

It looks like someone at Reuters needs to check their calendar.

 

[alaskaplt]

Wish they would buy Alaska!

 

[ferlo]

Wish they would buy Alaska!

AMEN!!!!

 

[canyonblue]

Wish they would buy Alaska!

The State or the Airline?

 

[jp1030]

Good point, If we bought the state it would come with ANWR, Then we could drill the ******************** out of it.

 

[jke406]

The simple fact is, SWA is going to have to do something to diversify beyond domestic routes.

There will be a bloodbath there when domestic capacity crashes in the next few months.

 

[~~~^~~~]

AirTran's stock took off on the announcement.

 

[1031Guy]

Buy Sun Country...6 instant gates and a hangar in MSP

 

[N1atEcon]

"There will be a bloodbath there when domestic capacity crashes in the next few months.'

Pleaseeeee!!!!!!

 

[flatspin7]

Yeah.... but SWA pilots won't know what to do with a 737-800!!

 

[Poahi]

I'd bet Kelly is waiting for blood in the water before he does any deals.

Let the slowing economy do the damage first.

 

[1031Guy]

Get rid of the -800's. Sounds like a good deal to me...6 gates and a hangar in MSP and established routes into mexico and other tropical destinations.:beer:

 

[Daddy]

Yeah.... but SWA pilots won't know what to do with a 737-800!!

Sure we do...we'll fly it like a 200!

 

[jke406]

do you REALLY think NWA, who has kept SWA out of MSP for how long now, will allow Sun Country to be bought by SWA? NWA has all the MN politicians in its pocket.

If Sun Country were attainable, SWA would have bought it up last time it got sold (quite recently), or FAR earlier.

This is not even remotely possible unless the DAL/NWA merger happens.