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Tue, Aug 17, 2010

Southwest Reportedly Considering Fleet Of Bigger Boeings

The Airline Is Considering The Purchase Of 737-800's.

Is Southwest looking at a fleet of larger Boeing 737 aircraft? They are, according to statements released by both the airline and Thom McDaniel, a Southwest flight attendant and president of the Transport Workers Union, who also sees the purchase as a path to new negotiations between the airline and the union.

The Dallas Morning News reports in their Airline Biz blog that, in a statement released Friday, McDaniel said "The members of the flight attendants union are excited about the possibilities that the addition of new, larger, longer-range aircraft could mean for both our company and the customers we serve.

"For Southwest Airlines to place larger aircraft into service it will be necessary to reopen the contract with TWU Local 556 and negotiate new rates of pay, rules, and working conditions including the addition of an additional flight attendant on the 737-800 aircraft. Due to the long lead time necessary for ordering new planes to the specifications SWA would require, negotiations between Southwest Airlines and our union, including ratification by our members, will need to be completed by December 1. 2010.
 
"Our plan is to reconvene our 2008 negotiating team and begin meeting with management immediately. Our union supports the expansion and growth of Southwest Airlines. While our managers have not made a final decision on acquiring the 737-800 series yet, we, at the flight attendants union, are doing our due diligence to insure that any changes in our business model are in the best interest of our members and our customers.

"If we are able to come to agreement, we hope that this new chapter in the story of Southwest Airlines will bring new opportunities and continued success for us all.


Southwest B737-700

Southwest also released a statement on the topic Friday. EVP and COO Mike Van de Ven said the company is looking at larger 737s for the fleet, but that the decision has not yet been made, but is expected by the end of the year.

"While the aircraft could introduce additional complexities to our operation, we believe our existing network could be significantly enhanced by converting some of our future 737-700 deliveries to 737-800s, the statement said. "Introducing the -800, which has more seating capacity than the -700, would be a complementary fit to our current fleet by supplementing opportunities for longer-haul flying, while also potentially improving our unit costs. The -800 also can give Southwest scheduling flexibility by allowing for additional capacity in high-demand, slot-controlled, or gate-restricted markets. We are proud to continue our strong history of being the largest 737 operator in the world and excited for the potential opportunities that could come with introducing the -800 into our fleet."

Southwest says that since the decision to add the -800 has not been finalized, any details regarding configuration, timing, and quantity of deliveries are still to be determined. Van de Ven said the next steps in evaluating the -800 opportunity include entering into discussions with Southwest's labor unions, assessing network flow, determining aircraft configuration, evaluating scheduling needs, completing regulatory work, and finalizing other considerations.

FMI: www.twu556.org, www.southwest.com

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