Southwest CEO Talks Hopes, Concerns for 2017

Southwest recently began service to Havana, Cuba, its 100th destination

Southwest Airlines CEO, Gary Kelly, is a happy man these days.

"We're finishing up the year on a really high note," Kelly said in a recent interview with NBC 5.

The Dallas-based carrier posted robust numbers in November. It just launched service to Havana, Cuba, the airline's 100th destination, and Kelly says Southwest has seen a spike in bookings since the presidential election.

"I think there is a lift in the optimism of the country, and I think there's a hope about the prospect and change in perhaps some positive ways," he said.

Kelly says he hopes President-elect Donald Trump will reform the nation's tax code and invest in infrastructure, especially the country's outdated air traffic control system.

Kelly does have questions for the new administration, though.

"Any efforts to restrict trade, we would be concerned with," he said.

He also expressed concern about Trump's tough talk on Mexico and Cuba. Those are two new markets for Southwest where the airline hopes to continue growing.

"Hopefully we won't go backwards in those areas," Kelly said.

Kelly says Southwest will add at least one more city to its network in 2017, possibly more.

Looking farther into the future, Southwest has its eye on as many as 50 cities in places as far-flung as Hawaii, Canada, Alaska and South America.

Despite the airline's growth, Kelly says customers should not expect any major changes to the flying experience: no assigned seats, no business class cabins.

"In my opinion, it's not anything we'll want to do, ever," he said.

Kelly also says there are no plans to add fees for checked bags.

"We think it would cost us a billion dollars in business in lost customers that would not be offset by bag fees," Kelly said.

Southwest does face challenges in the year ahead. There is still no deal with its mechanics union, but Kelly says he is confident the two sides will reach an agreement.

Southwest also remains locked in a bitter dispute with Delta over the use of one gate at Dallas Love Field. The airlines are sharing it right now, but Southwest says it has exclusive rights to the gate and needs the space to accommodate its packed flight schedule at Love. The case is in federal appeals court.

"We'll press that until we win," Kelly said.

It has been 30 years since Kelly started at Southwest. 2017 marks the start of his fourth decade with the company. Kelly acknowledges the importance of grooming a successor, and says Southwest has plenty of talent in-house.

But for the time being, Gary Kelly has no plans to leave the pilot's seat.

"I'm not going to leave Southwest. I'm here for life," he said.

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