Southwest Airlines, which has canceled or delayed tens of thousands of flights this holiday season, has received massive amounts in federal subsidies in the last several years, records show.
Southwest has canceled over 15,700 flights since winter weather began to affect air travel on Dec. 22, far more than any other commercial United States airline, according to records compiled by FlightAware. However, since 2020, the U.S. government has handed Southwest over $7.2 billion in taxpayer funds for payroll and operations, filings show, calling into question whether the airline has managed its resources correctly.
In addition, the Treasury Department agreed to purchase over 1 million shares of Southwest stock as part of that aid. The stock has tumbled by over 24% in the last year and almost 50% in the last five years. On Monday, the Department of Transportation said it would investigate Southwest's customer service policies that led to a"disproportionate and unacceptable rate" of flight cancellations and delays. Biden said in a Tuesday tweet that his administration"is working to ensure airlines are held accountable" and linked to a government webpage tracking examples of what airlines say customers could be compensated for.
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