Southwest Airlines Reports March Traffic

[canyonblue]

Tuesday April 6, 7:45 am ET


DALLAS, April 6 /PRNewswire-FirstCall/ -- Southwest Airlines Co. (NYSE: LUV - News) announced today that the Company flew 4.7 billion revenue passenger miles (RPMs) in March 2004, compared to 4.1 billion RPMs flown in March 2003, an increase of 15.2 percent. Available seat miles (ASMs) increased 5.4 percent to 6.4 billion from the March 2003 level of 6.0 billion.

The load factor for the month was 73.6 percent, compared to 67.3 percent forthe same period last year.

James F. Parker, Vice Chairman and Chief Executive Officer, stated: "We are pleased with the response to our recent fare sales, which resulted in a record March load factor performance of 73.6 percent, although at lower RPM yields. April and May bookings are also strong in response to recent fare sales."

For first quarter 2004, Southwest flew 11.8 billion RPMs, compared to the 10.9 billion RPMs recorded for the same period of 2003, an increase of 8.2 percent. Available seat miles increased 5.6 percent to 18.4 billion from the 2003 level of 17.4 billion. The first quarter 2004.


Look for the loss-SQUAWK

 

[roughneck]

Where is Lowecur? What the peanut gallery is empty today?

I just couldn't believe that Lowecur hadn't made any retarded remarks yet. (The 190 anouncement is coming this week, or something to that effect)

 

[Snoopy58]

Can somebody ressurect the thread where Lowecur predicted that SWA would be on the brink of losing money in the 1st quarter? Fun to compare his words then with what gets posted on the 15th.

 

[lowecur]

Can somebody ressurect the thread where Lowecur predicted that SWA would be on the brink of losing money in the 1st quarter? Fun to compare his words then with what gets posted on the 15th.

Hello Snoop

It won't be necessary to pull the thread up. Analysts are predicting 4 cents profit, or about $32M, as opposed to 3 cents or $25M last year. I'm sure the 4 cents number doesn' t include the one-time charge of $20M for the reservations system. Take that off, and the net profit is $12M. That's not too far from the $5M max profit I've predicted. We'll see what happens on the 15th. In either case, I'll be more than happy to discus the Quarters numbers once they are posted. Even if I'm way off base.

Roughneck:

Is being "retarted" qualify you to fly for WN? If not, maybe I can get on the show Airline.

 

[FlyBoeingJets]

Lowecur,

Keep taking the high road and those that don't will eventually give up or learn some manners. Or just look silly.

I like hearing your opinion because it makes me consider all the possibilities. I think we are in a battle for the very last passenger. SWA wants to grow, same as ATA, but so do the legacy carriers. IMHO the legacies are more vulnerable to these fare wars and have the most to lose. I think SWA's strategy of accepting a razor thin profit margin to keep their load factor up is brilliant. Delta's credit rating is going south, not SWA's. USAir and UAL are on edge of ruin, not SWA.

Before everyone gets mad at me....Please, I'm not happy about the state of affairs, just intellectually curious where our industry is going. If for no other reason than to make the right career moves as they become available.

SWA is preping the battlespace for the invasion of Philly.

But I also think SW is trying to keep the regionals at bay. I think they are the long term threat to SW and ATA.

 

[lowecur]

FlyBoeingJets

It's always good to listen to any contrarian opinion. The facts usually fall somewhere in between, but not always.

You are smart keeping your eyes and ears open. This industry is changing so fast, that it will make your head spin. Those carriers that are nimble enough to make changes are the ones who will survive.

 

[TexaSWA]

Hello Snoop

I'm sure the 4 cents number doesn' t include the one-time charge of $20M for the reservations system.

If it has been paid in full it has likely been included. If only part was paid during Q1 then that part has likely been included in the estimate. The balance will be reported in the quarter in which it is paid. Keep in mind that this is a $20M investment, not a charge. It will pay off starting almost immediately.

Either way your estimate missed the mark by between 240% - 640%. I know you fancy yourself an "amateur airline analyst" but your track record thus far has been poor.

Did anyone watch Forbes on Fox Saturday? LUV was picked as stock of the week.

 

[lowecur]

If it has been paid in full it has likely been included. If only part was paid during Q1 then that part has likely been included in the estimate. The balance will be reported in the quarter in which it is paid. Keep in mind that this is a $20M investment, not a charge. It will pay off starting almost immediately.

Either way your estimate missed the mark by between 240% - 640%. I know you fancy yourself an "amateur airline analyst" but your track record thus far has been poor.

Did anyone watch Forbes on Fox Saturday? LUV was picked as stock of the week. [/B]

Thanks for the tip pardn'r. I guess I gots to keep try'n till I gits it right.