Skift Take

Southwest Airlines is officially steering clear of basic economy fares, which passengers will love. Investors, on the other hand, may start to get antsy.

What to Know Now

In an age where legacy carriers are racing to strip down and simplify economy fares, Southwest Airlines made a pro-consumer move last week by taking a stand.

Asked about the disruptive fares in a call with investors Thursday, CEO Gary Kelly basically discarded the concept, saying “There is huge value in offering our customers — 100 percent of them — a great product.” He also suggested that adding more complexity to the booking and fare process would be against what the airline stood for.

As to whether investors agree with him (or will try to force his hand), the jury is still out. But in the near term, budget-focused passengers on Southwest can rest easy.

P.S. Did you feel like you didn’t get enough time off last year? You’re not alone. Read the results of our annual survey of Americans’ vacation time.

Social Quote of the Day

Commendable is the only word for Southwest policies

@presidentapai | Sudhakara Reddy, National President – Air Passengers Association of India


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Your Turn

Given today’s political climate, now’s a good time to take a look at Skift’s manifesto on travel as the geopolitical center of the world. Read it and take it to the airport.

Tips and Comments

Can be sent to gm[at]skift[dot]com or to @grantkmartin

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Photo credit: Southwest won't jump on the basic economy fare bandwagon, its CEO said. Pictured is a Southwest Boeing 737 on a taxiway. Southwest Airlines

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