Southwest Airlines warned that the recent surge in cases of Covid-19 related to the Delta variant has begun to weigh on its recovery from the impact of the pandemic, including a slowdown in both near-term bookings and a rise in trip cancellations in August
The Dallas carrier has seen a slowdown in both near-term bookings and a rise in trip cancellations in August due to a rise in Covid-19 cases
Experts say price increases reflect an economy on the upswing from pandemic lows, but higher demand has made some vacation essentials harder to come by. We explain why, plus share some strategies to help avoid the sticker shock. Photo illustration: Jacob Reynolds/WSJSouthwest Airlines Co.
Southwest said Wednesday its operating revenue in July was in line with its expectations, with leisure passenger traffic and fares topping July 2019 levels.Delta variant leading to a rise in Covid-19 cases around the U.S., Southwest said that its outlook for third-quarter operating revenue has worsened by three to four percentage points from three weeks ago, and that it will be difficult to turn a profit in the quarter.
Southwest said that it currently expects its load factor will be roughly 80% in August and 75% to 80% in September, adding that it will continue to monitor demand and booking trends and adjust its capacity as needed.
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