Current:Home > InvestSouthwest says it's pulling out of 4 airports. Here's where. -AssetTrainer
Southwest says it's pulling out of 4 airports. Here's where.
View
Date:2025-04-16 11:05:54
Southwest Airlines is suspending service at some airports across the U.S. as it slows its growth, in part because of Boeing aircraft delivery delays.
The airline is set to receive just 20 of the 46 Boeing 737 Max 8 planes it was expecting in 2024, Southwest said Thursday.
The delays mean slower growth for the airline, which is looking for ways to cut costs as it reported a quarterly loss of $231 million, or 39 cents per share.
"Achieving our financial goals is an immediate imperative. The recent news from Boeing regarding further aircraft delivery delays presents significant challenges for both 2024 and 2025. We are reacting and replanning quickly to mitigate the operational and financial impacts while maintaining dependable and reliable flight schedules for our customers," Southwest CEO Bob Jordan said on the company's first quarter earnings call Thursday.
One cost-cutting measure includes pulling out of "underperforming markets," he said.
Southwest will end service at the following airports on August 4:
- George Bush International Airport in Houston
- Bellingham International Airport in Bellingham, Washington
- Syracuse Hancock International Airport in Syracuse, New York
- Cozumel International Airport on Cozumel island, Mexico
The carrier will also make significant changes to its operations in other markets, including cutting the number of flights at both Hartsfield-Jackson Atlanta International Airport and Chicago O'Hare International Airport.
Airlines generally withdraw from regional airports and cut unprofitable or less-profitable routes to save on labor costs, or add capacity to more profitable routes and generate more revenue.
In March, JetBlue said it was cutting unprofitable routes and exiting two U.S. cities altogether after a judge blocked its $3.8 billion bid for Spirit Airlines earlier this year. JetBlue cited limited aircraft as one driver of the cuts, which allow the airline to operate more flights on its busiest routes.
Additionally, Southwest said Thursday that it is exploring making improvements to its plane cabins and seating options. The low-cost carrier does not charge customers seat-selection fees, which have become a growing source of revenue for its competitors.
Megan CerulloMegan Cerullo is a New York-based reporter for CBS MoneyWatch covering small business, workplace, health care, consumer spending and personal finance topics. She regularly appears on CBS News 24/7 to discuss her reporting.
veryGood! (24557)
Related
- Are Instagram, Facebook and WhatsApp down? Meta says most issues resolved after outages
- 'Evil Dead Rise' takes us to the bloodbath, and beyond
- Harry Belafonte, singer, actor and activist, has died at age 96
- What happened 'The Night of the 12th'? A murder remains a mystery in this French film
- Alex Murdaugh’s murder appeal cites biased clerk and prejudicial evidence
- Showbiz knucklehead Pete Davidson explains himself – again – in 'Bupkis'
- From Slayer to Tito Puente, drummer Dave Lombardo changes tempo
- From Slayer to Tito Puente, drummer Dave Lombardo changes tempo
- Romantasy reigns on spicy BookTok: Recommendations from the internet’s favorite genre
- Tom Hanks has starred in dozens of movies. Now he's written a novel, too
Ranking
- 'As foretold in the prophecy': Elon Musk and internet react as Tesla stock hits $420 all
- A new 'Fatal Attraction' is definitely aware of your critiques of the original
- Marriage and politics are tough negotiations in 'The Diplomat'
- The fantastical art of Wangechi Mutu: from plant people to a 31-foot snake
- Friday the 13th luck? 13 past Mega Millions jackpot wins in December. See top 10 lottery prizes
- Horror-comedy 'Beau Is Afraid' is a passion project gone astray
- Transcript: Reps. Mike Gallagher and Raja Krishnamoorthi on Face the Nation, Feb. 26, 2023
- The best Met Gala looks and the messy legacy of Karl Lagerfeld
Recommendation
Rylee Arnold Shares a Long
Where Summer House's Danielle Olivera Stands With Ex-BFFs Carl Radke and Lindsay Hubbard
UK worker gets $86,000 after manager allegedly trashed bald-headed 50-year-old men
'Quietly Hostile' is Samantha Irby's survival guide (of sorts)
Federal appeals court upholds $14.25 million fine against Exxon for pollution in Texas
15 Makeup Products From Sephora That Are Easy Enough To Use With Your Fingers
Gigi Hadid's Daughter Khai Looks So Grown Up in Adorable New Photo Shared by Yolanda Hadid
When we grow up alongside our stars