Skift Take

Low-cost carrier Southwest will see its cost per seat mile rise about 2 percent in the third quarter because of a bum router that blew. Ironic that a router led to so much havoc with the carrier's route map and schedules. Delta, which experienced an unrelated meltdown this week, will take a little longer to estimate the financial impact.

The cancellation of more than 2,000 Southwest Airlines flights due to a computer outage last month will cost the carrier an estimated $54 million.

The Dallas Morning News reported the lost revenue and increased cost estimates based on a Southwest investor advisory released Wednesday.

Dallas-based Southwest blamed a router failure for the July 20 outage and subsequent days of delays.

While Southwest didn’t provide a specific cost of the outage, the company said it would lead to a 0.5 percentage point drop in unit revenues during the third quarter and that it expects its cost per seat mile to rise by up to 2 percent. The newspaper based its estimate on those projections.

An unrelated computer outage this week has resulted in the cancellation of more than 2,100 Delta Air Lines flights.

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Information from: The Dallas Morning News, http://www.dallasnews.com

This article was from The Associated Press and was legally licensed through the NewsCred publisher network.

November 16, 2022
Dallas-Fort Worth, TX and Online
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Tags: delt air lines, delta air lines, flights, southwest airlines

Photo credit: Southwest's cost per seat mile is estimated to soar up to 2 percent because of the outage it experienced in July. Pictured are seats on a Southwest 737-800. Southwest Airlines