DALLAS – October 31, 2026 -- Southwest Airlines Co. (NYSE: LUV) priced an underwritten public offering of $1.25 billion in senior notes, split into $600 million of 5.750% Notes due 2029 and $650 million of 6.000% Notes due 2031.
Two tranches carry coupons of 5.750% and 6.000%
The 2029 Notes total $600 million and the 2031 Notes $650 million. The offering is expected to close on or about November 2, 2026, subject to customary closing conditions.
Proceeds target a $300 million maturity due November 15, 2026
Southwest expects to use the net proceeds for general corporate purposes. These may include repaying at maturity all of its outstanding $300 million of 3.000% notes due November 15, 2026, as well as repaying or redeeming other indebtedness or corporate obligations.
The new coupons sit 2.75 and 3.00 percentage points above the 3.000% notes slated for repayment. The company did not quantify how much of the proceeds it would allocate beyond the $300 million maturity.
Five banks run the book on the SEC-registered offering
Barclays Capital Inc., BNP Paribas Securities Corp., Standard Chartered Bank, U.S. Bancorp Investments, Inc., and Wells Fargo Securities, LLC are joint book-running managers. A shelf registration statement has been filed with the U.S. Securities and Exchange Commission and has become effective. The offering may be made only by means of a prospectus supplement and an accompanying base prospectus, and a final prospectus supplement will be filed with the SEC.