Good morning from Skift. It’s Thursday, June 27, and here’s what you need to know about the business of travel today.
12.06.2024 - 17:55 / thepointsguy.com / Bob Jordan
The writing was on the wall, but now it's official: Southwest Airlines is making more adjustments to its network, with an emphasis on Atlanta.
The Dallas-based carrier filed plans over the weekend to exit two transcontinental routes from Hartsfield-Jackson Atlanta International Airport (ATL), as first seen in Cirium schedules and later confirmed by carrier spokesperson Dan Landson.
The affected routes are those from ATL to Los Angeles International Airport (LAX) and to San Francisco Bay Oakland International Airport (OAK).
Map watching: The award for 'sexiest new route' of the year goes to ...
The airline was originally planning to stop flying to these markets in the winter, but that date has now been moved earlier to August.
Note that while Southwest is dropping these nonstop flights, the airline will continue to offer one-stop service from Atlanta to both Oakland and Los Angeles.
Earlier this year, the airline announced that it was dropping four cities from its route map and shrinking in two others: Atlanta and Chicago.
At the time, Southwest didn't specify the cuts that it would make in Atlanta, but now we're starting to get a sense of what's on the chopping block.
The longer stage length of transcontinental flights makes it harder for Southwest to turn a profit on these roughly 2,000-mile nonstop routes, so that's likely contributing to the decision to drop this service.
So far, Southwest has blamed many of its recent cuts on delivery delays at Boeing, but the airline seems to be struggling structurally.
The carrier, which has turned a profit for 47 consecutive years, no longer has its mojo, some investors allege. (Just this week, Elliott Investment Management confirmed a $1.9 billion investment in Southwest, but it said that the airline has faced poor execution and leadership in recent years.)
Want more airline-specific news? Sign up for TPG's free biweekly Aviation newsletter.
The poor performance is even causing Southwest to rethink many of its unique value propositions, such as an open boarding policy and two free checked bags.
In an April statement, Southwest CEO Bob Jordan said that "to improve our financial performance, we have intensified our network optimization efforts to address underperforming markets. ... I want to sincerely thank our Employees, the airports, and the communities for all their incredible support over the years."
Southwest began flying to Atlanta in 2012 as part of its merger with Atlanta-based AirTran Airways. The airline has since turned the city into a de facto hub with around 90 daily departures, Cirium schedules show.
Without Southwest service, hometown carrier Delta Air Lines will enjoy a monopoly on the nonstop to Oakland. Service between Atlanta and Los
Good morning from Skift. It’s Thursday, June 27, and here’s what you need to know about the business of travel today.
Activist investor Elliott Investment Management slammed Southwest on its weaker second-quarter financial outlook on Wednesday.
Southwest Airlines has cut its revenue guidance for the current quarter. On Wednesday morning, the low-cost carrier said it now expects operating revenue per available seat mile (RASM) to be down 4% to 4.5% for the quarter. Its prior guidance forecast a drop of 1.5% to 3.5%.
Southwest Airlines is celebrating its 53rd birthday this week by offering flights as low as $53 one-way.
American Airlines has brought back its mileage deals for late summer and fall travel, with one-way flights starting at just 5,000 miles.
The Happiest Place on Earth will be connected to Big Ben via new nonstop flights on Delta Air Lines.
American Airlines is pausing pilot hiring as it reevaluates its growth plans for the year. The carrier said it would temporarily pause new pilot hiring in September, October and November.
Spirit Airlines, known for discounted prices with limited in-flight amenities, recently released dozens of U.S. flight deals for as low as $21. These deals can be particularly helpful for travelers looking to plan a last-minute summer getaway, and are flexible on the location or general dates. Travel + Leisure spotted some of the lowest one-way fares including:
A Southwest Airlines flight nearly crashed into the ocean off Hawaii, but tragedy was averted.
The U.S. celebrated fathers this past weekend, and Spirit Airlines is keeping the fun going with a Father’s Day sale that has one-way flights starting as low as $39.
A new airline for dogs is getting a major route upgrade. BARK Air, which took to the skies on May 23, recently expanded to new destinations both in the United States and around the world. Dogs, and their owners, will be able to fly to Paris, Chicago, San Jose, Phoenix, and Fort Lauderdale on new service that begins in October.
While the summer travel season is well underway, one major airline is looking ahead to make enhancements for ski season. Delta Air Lines announced today it will operate their largest-ever flight schedule to popular ski destinations starting this year. The Atlanta-based carrier will operate a higher frequency or begin new service to the following popular ski destinations including: Aspen, Bozeman, Jackson Hole, Montrose/Telluride, Steamboat Springs, Sun Valley, and Vail. “With our latest winter schedule, customers have more choices than ever, with up to 190 weekly flights to places our customers want to fly to most, paired with the premium services and amenities our customers always enjoy,” Delta’s Senior Vice President of Network Planning Joe Esposito shared in a release about the new service. In Los Angeles, Delta will reintroduce daily flights to Bozeman, Montana, Vail, Colorado, and Saturday flights to Sun Valley, Idaho.