Southwest Posts Q1 Loss On Weak Demand

Low cost carrier Southwest Airlines Thursday reported a quarterly net loss on weaker demand amid economic recession that has resulted in a sharp reduction of consumer spending and leisure travel.

The low-cost airline's loss amounted to USD$91 million, or 12 cents per share, compared with a profit of USD$34 million, or 5 cents per share, a year ago.

Excluding items related to non-cash, mark-to-market and other items associated with a portion of Southwest's fuel hedge portfolio, the carrier posted a loss of USD$20 million, or 3 cents per share.

Revenue slipped 6.8 percent to about USD$2.4 billion, from a little over USD$2.5 billion in the first quarter of 2008.