Southwest Airlines CEO Reports Plans for Lounges, Premium Class, Europe Flights

Southwest Airlines, traditionally known for its budget-friendly, no-frills service, is considering significant changes to attract more high-spending customers. CEO Bob Jordan recently indicated that the airline is open to introducing airport lounges, premium classes, and long-haul international flights, including potential European routes, to compete with rivals and stem the loss of customers seeking these amenities. This transformation comes as Southwest faces increased market competition, activist investor pressure, and declining airfares, prompting it to drop longstanding policies like open seating and free checked bags for all. The company has already begun rolling out basic economy fares and plans to launch a new premium fare class, with further high-end services under consideration. While Southwest would need to acquire new aircraft for true transatlantic service, early efforts may include partnerships, such as with Icelandair, to expand its European reach. Despite these shifts, Southwest reports it has not seen significant customer loss since implementing these changes.