Southwest Airlines 2005 Annual Report Download - page 72

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internal control over financial reporting is effective leadership to do so in a way which does not inhibit or
based on those criteria. constrain Southwest's unique culture, and which does
not unduly impose a bureaucracy of forms and checkl-
Management's assessment of the effectiveness of ists. Accordingly, formal, written policies and proce-
internal control over financial reporting as of Decem- dures have been adopted in the simplest possible way,
ber 31, 2005, has been audited by Ernst & Young, LLP, consistent with legal requirements. The Company's
the independent registered public accounting firm who Corporate Governance Guidelines, its charters for each
also audited the Company's consolidated financial state- of its Audit, Compensation and Nominating and Cor-
ments. Ernst & Young's attestation report on manage- porate Governance Committees and its Code of Ethics
ment's assessment of the Company's internal control covering all Employees are available on the Company's
over financial reporting is included herein. website, www.southwest.com, and a copy will be mailed
upon request to Investor Relations, Southwest Airlines
Co., P.O. Box 36611, Dallas, TX 75235. The Com-
Item 9B. Other Information
pany intends to disclose any amendments to or waivers
of the Code of Ethics on behalf of the Company's Chief
None.
Executive Officer, Chief Financial Officer, Controller,
and persons performing similar functions on the Com-
PART III pany's website, at www.southwest.com, under the
""About SWA'' caption, promptly following the date of
such amendment or waiver.
Item 10. Directors and Executive Officers of the
Registrant
Item 11. Executive Compensation
The information required by Item 401 of Regula-
tion S-K regarding directors is included under ""Election See ""Compensation of Executive Officers,'' incor-
of Directors'' in the definitive Proxy Statement for porated herein by reference from the definitive Proxy
Southwest's Annual Meeting of Shareholders to be held Statement for Southwest's Annual Meeting of Share-
May 17, 2006, and is incorporated herein by reference. holders to be held May 17, 2006.
The information required by Item 401 of Regula-
tion S-K regarding executive officers is included under Item 12. Security Ownership of Certain Beneficial
""Executive Officers of the Registrant'' in Part I follow-
Owners and Management and Related
ing Item 4 of this Report. The information required by
Stockholder Matters
Item 405 of Regulation S-K is included under ""Sec-
tion 16(a) Beneficial Ownership Reporting Compli-
See ""Voting Securities and Principal Sharehold-
ance'' in the definitive Proxy Statement for Southwest's
ers,'' incorporated herein by reference from the defini-
Annual Meeting of Shareholders to be held May 17,
tive Proxy Statement for Southwest's Annual Meeting of
2006, and is incorporated herein by reference.
Shareholders to be held May 17, 2006.
In the wake of well-publicized corporate scandals,
the Securities and Exchange Commission and the New Item 13. Certain Relationships and Related
York Stock Exchange have issued multiple new regula- Transactions
tions, requiring the implementation of policies and
procedures in the corporate governance area. Since See ""Election of Directors'' incorporated herein by
beginning business in 1971, Southwest has thrived on a reference from the definitive Proxy Statement for South-
culture that encourages an entrepreneurial spirit in its west's Annual Meeting of Shareholders to be held
Employees, and has emphasized personal responsibility, May 17, 2006.
initiative, and the use of independent, good judgment.
The Golden Rule is one of the core values, and there is a
Item 14. Principal Accounting Fees and Services
""top-down'' insistence on the highest ethical standards
at all times.
See ""Relationship with Independent Auditors'' in-
In complying with new regulations requiring the corporated herein by reference from the definitive Proxy
institution of policies and procedures, it has been the Statement for Southwest's Annual Meeting of Share-
goal of Southwest's Board of Directors and senior holders to be held May 17, 2006.
53