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Legal Commentary

: Houston's Clear Thinkers

Southwest Airlines' legacy of good news

By Tom Kirkendall

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Southwest_Airlines_l071508 Gosh, it's such a drag reading about business and the economy lately. So, what the heck, let's take a quick look at a perennial source of good news, Clear Thinkers favorite Southwest Airlines.

Southwest's discount model of operation has kept it profitable in the notoriously unprofitable airline business for 35 straight years. Even during these turbulent times, Southwest's aggressive hedging program for its fuel costs and efficient operations have allowed the company to accumulate $3.7 billion of cash and generate a market capitalization of $9.9 billion. That market cap is now greater than the combined market value of the six largest legacy U.S. airlines. WallStrip's Julie Alexander provides a clever overview on one of Texas' true treasures:

Full post as published by Houston's Clear Thinkers on July 16, 2008 (boomark / email).

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