COURSE CORRECTION EXPECTED FOR SOUTHWEST

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INVESTORS MEET THIS WEEK TO CONSIDER:

-NEW BAGGAGE FEES 

-ASSIGNED SEATING

-LESS HAWAII SERVICE

 

  • Interisland routes: Southwest has struggled to gain a foothold in the interisland market, facing stiff competition from Hawaiian Airlines’ dominance. Low ridership and high operating costs make this segment the most vulnerable. We might see a significant reduction or complete withdrawal from certain interisland routes.
  • Mainland-Hawaii flights: While Southwest has performed better on its remaining mainland-Hawaii routes, rising costs and competitive pressures from Alaska Airlines and Hawaiian Airlines could trim flights, particularly on those less profitable routes.