Southwest Airlines Co. announced today that its Board of Directors has authorized the repurchase of up to $250 million of the Company’s common stock. Based on yesterday’s closing price of $14.625, this represents approximately 17.1 million shares of common stock.
Herbert D. Kelleher, Chairman, President, and Chief Executive Officer, said: “This action reflects our confidence in our growth opportunities and the future of Southwest Airlines. We are grateful to the People of Southwest Airlines for our low costs and for providing excellent Customer Service, which have produced continuing profitability, strong cash flows, and a strong balance sheet.”
Repurchases will be made in accordance with applicable securities laws in the open market or in private transactions, from time to time, depending on market conditions, and may be discontinued at any time.
Southwest has approximately 504.2 million shares of common stock outstanding. Any shares that are repurchased may be retired or used to fund the Company’s Employee stock plans.