Southwest Airlines Announces Major International Expansion Plans

Southwest Airlines is considering an international expansion that could add routes to Canada and Europe, CEO Gary Kelly announced at the carrier’s annual shareholder meeting.

Kelly highlighted that 2017 was Southwest’s third-best year on record and marked the airline’s 45th consecutive year of profitability, underscoring the company’s healthy financial position as it explores new markets.

“The future is bright for Southwest,” Kelly said, noting the airline sees significant room for growth across the continent.

Kelly explained the carrier has identified roughly 50 potential opportunities to broaden its route network across North America and parts of South America. He added that while pursuing those opportunities could take many years, having such prospects is encouraging for long-term expansion.

Today Southwest serves 100 destinations, with 86 domestic cities representing about 96 percent of its traffic. Only 14 destinations are international, which account for roughly 4 percent of total traffic—an imbalance the airline may address if it moves forward with broader international service.

One practical option under consideration is using Baltimore Washington International Thurgood Marshall Airport (BWI), Southwest’s second-largest hub, as a gateway for transborder flights to Canada and potential transatlantic service to Europe.

However, the international plan is still exploratory and has no firm timeline. For 2019 the airline intends to prioritize its Hawaii expansion efforts.

“Our goal remains to be selling Hawai’i flights by year-end with specific dates, flights and fares coming soon,” Kelly told shareholders. He noted that launch of those routes depends on FAA approval and certification for extended over-water operations, work that is progressing on schedule. Kelly emphasized that the Hawaii initiative will be a major focus for Southwest’s fleet growth in 2019.