Southwest beats forecast with $112 million profit

[DieselDragRacer]

http://www.usatoday.com/money/companies/earnings/2010-07-29-southwest-airlines-profit_N.htm

 

[maxblast72]

$3.4 billion cash and a $600 million line of credit available yet no net growth in fleet size planned for 2011 and 2012. Any ideas of why Kelly is planning so conservatively for the foreseeable future?

 

[Old School 737]

How much debt do they have?

 

[Tanker Clown]

He's looking for a dance partner.

 

[Mach 80]

You aren't seeing a whole lot of growth from any airline. I think all the CEO's are in subtle agreement to keep capacity restrained so yields can climb. Most will disagree, but as employees, we all want growth but in the long term this might be better.

 

[desolo]

Southwest is about 40% leveraged.

 

[superherc]

The feared double dip recession is on their mind....slow smart growth will be good when the time is right. Aim for domestic growth with international code share to get market share...would be a winner.

Great quarter...a nice steady profit is excellent.

 

[roughneck]

40% leveraged.

 

[chris69]

11.5% operating profit was good. Net profit disappointing. Operating profit is what will be used for potential raise in Sept. 6.2, 2.1, 11.5% so far. Not good enough with math to figure out what it would need to be for final Q (3Q in this case) to get 8% which would get us a 1% raise.

 

[ACL65PILOT]

Just think what it would have been with bag fees!

 

[johnsonrod]

No new capacity for awhile... Wow, what's the upgrade time now for the most recent newhires????? 20+ years? That's a lot of El Paso, Little Rock and Boise overnights before you get the left seat.

 

[RedDogC130]

well in 2 years the Wright Ammendment is gone...so Dallas will open up big time. The new terminal will be done....it will be game on from there

 

[Flying the Line]

No new capacity for awhile... Wow, what's the upgrade time now for the most recent newhires????? 20+ years? That's a lot of El Paso, Little Rock and Boise overnights before you get the left seat.

Deliveries thru 2016 - 116
Options thru 2017 - 37
Rights thru 2021 - 98

They never announce growth intil they announce growth.

 

[Notunderpar]

Wright Amendment over in June of 2014 I believe, new terminal planned to open then as well. 65'ers start leaving Dec. 2012, but who's counting

 

[Heavy Set]

No new capacity for awhile... Wow, what's the upgrade time now for the most recent newhires????? 20+ years? That's a lot of El Paso, Little Rock and Boise overnights before you get the left seat.

Ah, 2 years will go by in a flash, unless you fly in and out of El Paso a lot. That place really is a dump.

 

[Hutchman]

Deliveries thru 2016 - 116
Options thru 2017 - 37
Rights thru 2021 - 98

They never announce growth intil they announce growth.

With 200 aging 737-300/-500's......

 

[Heavy Set]

With 200 aging 737-300/-500's......

Sounds like replacement aircraft, and the senior SWA pilots will be pushing for age 70 at about the same time.

 

[texman]

Sounds like replacement aircraft, and the senior SWA pilots will be pushing for age 70 at about the same time.

SHHHHHHHHHHH&^%$*&^%T playa I don't think so.

 

[Heavy Set]

SHHHHHHHHHHH&^%$*&^%T playa I don't think so.

Say again? Are you talking about the replacement aircraft or the age 70 quip? Kelly stated no new growth aircraft through 2012, so I guess you mean age 70. You never know, your group pushed hardest for 65.

 

[crxpilot]

No new capacity for awhile... Wow, what's the upgrade time now for the most recent newhires????? 20+ years? That's a lot of El Paso, Little Rock and Boise overnights before you get the left seat.

cue the General in 3.......2................1...............