KEY Competitors
Southwest Airlines
Southwest is the leading low-fare, no-frills, US. carrier.
The company was founded in 1967 as a Texas-based air-
line to serve Dallas, Houston, and San Antonio. The airline
now flies to more than 63 cities across the United States. In
2006, Southwest reported a $499 million profit and net sales
of $9.86 billion.30 Exhibit 5 compares key financial data for
the major airlines. In 2005, America West’s CEO, Douglas
Parker, described Southwest as follows: “They really were
at one point the scrawny kid who was lifting weights in
his basement. Now they come out and they’re bigger than
anybody else and stronger than anybody else?