Southwest Airlines

Southwest unveiled plans to open its first airport lounges in Austin, Baltimore, Honolulu and Nashville, with construction already underway and openings expected in late 2027. The carrier is partnering with Chase and will offer access via a new premium Southwest Rapid Rewards credit card slated to launch in 2027. Southwest plans seven additional lounges over the coming years as part of broader revenue initiatives following recent changes to its seating and baggage policies. » More on cnbc.com

Southwest Airlines announced its first dedicated airport lounge network, developed in partnership with JPMorgan Chase and its Chase Sapphire Reserve Lounge Network. Construction is underway at four initial locations (Austin, Baltimore/Washington, Honolulu, Nashville); first guests are expected in late 2027, and at least seven additional sites are planned. Access will be via a new co‑branded credit card, "Southwest Rapid Rewards," to be issued by Chase in 2027 and expected to generate additional revenue from the card business. Investors viewed the announcement as an important strategic shift toward premium offerings, helping push the stock higher; an ex‑dividend date of Sept. 3, 2026 (USD 0.18) is also noted. » More on de.investing.com

S&P Global Ratings has raised the outlook for Southwest Airlines from “negative” to “stable” and left the issuer rating at BBB. The agency cites improved earnings growth, successful revenue and cost initiatives (including bag fees and seat reservations) and expected stronger credit metrics through 2027, including an FFO-to-debt ratio sustainably above 70% and a debt-to-EBITDA ratio around 1x. S&P expects 16–18% revenue growth in 2026, rising fuel costs, positive free operating cash flow in 2026–2027, and highlights a strong liquidity position of about $3.8 billion in cash plus an unused credit line. » More on de.investing.com