Southwest tips

Southwest reported a major decline in its profits for the second quarter as it announced that it will roll out premium seating in a bid to boost its declining revenues. 

Good morning from Skift. It’s Friday, July 26, and here’s what you need to know about the business of travel today. 

Southwest Airlines announced a radical shake-up of its decades-old business model on Thursday. The low-cost carrier is transforming its boarding policy and adding premium seating in an effort to stay relevant to changing consumer preferences.

Delta CEO Ed Bastian said Wednesday morning operations were beginning to improve after days of struggling to recover from a tech outage. 

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%.

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Southwest Airlines is doubling down on its strategy after Elliott Investment Management, an activist fund, took a $2 billion stake in the company. 

Something that was once seen as unlikely now seems to be a reality: Southwest Airlines is on Google Flights. 

There’s a lot of money pouring into next-generation flight technology. This week, there was an investment into renewable jet fuel and a propulsion system for flying taxis.

In November, Czech Republic-based Kiwi.com was “celebrating” three court wins against Ryanair: The companies have battled for years over Kiwi screen-scraping Ryanair’s website without authorization to obtain fares.

Delta and Southwest sought to reassure investors Thursday, following negative commentary from several airlines earlier in the week. All of them are confronting a spike in fuel prices, with labor and other costs up as well. And that’s going to hit the bottom line – though some will be impacted more than others.

U.S. Senate Commerce Committee chair Maria Cantwell on Wednesday said the panel intended to hold hearings after Southwest Airlines’ recent meltdown that led to nearly 16,000 flight cancellations in the week ending Dec. 29.

A group of 15 U.S. senators on Friday demanded Southwest Airlines Chief Executive Bob Jordan answer questions about the low-cost carrier’s holiday meltdown that led to nearly 16,000 flight cancellations.

Shareholders filed a lawsuit against Southwest Airlines Co on Thursday, accusing the carrier of fraudulently concealing problems that led last month to an operational meltdown and more than 15,000 flight cancellations.

The CEO of Southwest Airlines issued a statement to customers with new details about actions the company is taking following the debacle in the last week of December. 

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Southwest Airlines Co’s flights resumed operation Tuesday after a one-hour nationwide stoppage, which the U.S. airline said was caused by a firewall failure.

Boeing Co shares fell as much as 7% on Friday after the planemaker halted deliveries of some 737 MAX jets due to quality-related problems with certain components made by one of its main suppliers.