Southwest Airlines 2001 Annual Report Download - page 1

$4,924,052 $4,628,4 1 5
$631,122 $ 1,021,145
11.4% 18.1%
$511,147 $625,224
9.2% 11.1%
$0.67 $0.84
$0.63 $0.79
$4,014,053 $3,451,320
13.7% 19.9%
$5.24 $4.53
64,446,773 63,678,261
44,493,916 42,215,162
65,295,290 59,909,965
68.1% 70.5%
12.09¢ 12.95¢
8.5 1 ¢ 9.43¢
7. 5 4 ¢ 7.7 3 ¢
31,580 29,274
6.4%
(38.2)%
(6.7)pts.
(18.2)%
(1.9)pts.
(20.2)%
(20.3)%
16.3%
(6.2)pts.
15.7%
1.2%
5.4%
9.0%
(2.4)pts.
(6.6)%
(9.8)%
(2.5)%
7.9 %
Operating expenses
Operating income
Operating margin
Net income
Net margin
Net income per share – basic
Net income per share – diluted
Stockholders’ equity
Revenue passengers carried
Revenue passenger miles {RPMs} (000s)
Available seat miles {ASMs} (000s)
Passenger load factor
Passenger revenue yield per RPM
Operating revenue yield per ASM
Operating expenses per ASM
Employees at yearend
Stockholders’ equity per common share outstanding
*Excludes cumulative effect of change in accounting principle of $22.1 million ($.03 per share)
Return on average stockholders’ equity
Net Margin
1997 1998 1999 2000 2001
2%
12%
8.3%
10.4% 10.0%
11.1%
9.2% 10%
8%
6%
4%
Net Income Per Share, Diluted
1997 1998 1999 2000 2001
$0.80
$0.70
$0.60
$0.50
$0.40
$0.30
$0.20
$0.41
$0.55 $0.59
$0.79
$0.63
Return On Stockholders’ Equity
1997 1998 1999 2000 2001
20%
18%
16%
14%
12%
10%
8%
17.4%
19.7%
18.1%
19.9%
13.7%
CONSOLIDATED HIGHLIGHTS
Operating revenues
2000
$5,555,1 74 $5,649,560
2001
(1.7)%
CHANGE
*
*
*
*
*
*
*
*
(DOLLARS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
2001 marks Southwest Airlines ’ 30th Anniversary. For 30 years now, we have had one mission: low fares. In that
respect, this year was no different. But as we all know, 2001 was a year like no other, in both our Company’s and our
country’s history. In first quarter, we unveiled our new look for the new millennium — beautiful Canyon Blue jets with
all-leather interiors. In second quarter, our Chairman, Herb Kelleher, announced that he would be sharing his
responsibilities with our new Vice Chairman and CEO, Jim Parker, and our new President and COO, Colleen Barrett.
The National Tragedy struck our collective hearts, minds, and lives in third quarter. In fourth quarter, our nation
and our Company began the difficult process of healing together. Nothing will keep us from moving ahead.
Freedom, and the Freedom to Fly, will most certainly endure.
Southwest Airlines Co. is the nation’s low-fare, high Customer Satisfaction airline. We primarily serve shorthaul city
pairs, providing single-class air transportation which targets the business commuter as well as leisure travelers.
The Company, incorporated in Texas, commenced Customer Service on June 18, 1971, with three Boeing 737 aircraft
serving three Texas cities — Dallas, Houston, and San Antonio. At yearend 2001, Southwest operated 355 Boeing 737
aircraft and provided service to 59 airports in 30 states throughout the United States. Southwest has one of the
lowest operating cost structures in the domestic airline industry and consistently offers the lowest and simplest fares.
Southwest also has one of the best overall Customer Service records. LUV is our stock exchange symbol, selected to
represent our home at Dallas Love Field, as well as the theme of our Employee and Customer relationships.