Southwest Airlines Closes $1.25 Billion Public Offering of Senior Notes

Event Overview

On November 2, 2026, Southwest Airlines Co. (NYSE: LUV) completed a registered public offering of $1.25 billion in aggregate principal amount of debt securities. The offering was conducted pursuant to an Underwriting Agreement dated October 26, 2026, and issued under the Company's shelf registration statement on Form S-3 (No. 333-276909).

Key Terms of the Offering

• 2029 Notes: $600,000,000 aggregate principal amount of 5.750% Notes due 2029, sold to underwriters at 99.436% of par.
• 2031 Notes: $650,000,000 aggregate principal amount of 6.000% Notes due 2031, sold to underwriters at 99.110% of par.
• Governing Indenture: Indenture dated February 6, 2024, between Southwest Airlines Co. and U.S. Bank Trust Company, National Association, as Trustee, supplemented by an Officer's Certificate dated November 2, 2026.

Financial & Capital Structure Impact

This issuance adds $1.25 billion of long-term direct financial obligations to Southwest Airlines' balance sheet, staggered across 3-year and 5-year maturities at coupons of 5.750% and 6.000%, respectively. The debt issuance bolsters liquidity and enables general corporate funding or refinancing of existing obligations without immediate equity dilution.