Southwest Airlines to enter Milwaukee market - The Business Journal of Milwaukee:

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Dallas-based Southwest Airlines is a low-cost, no-frilla airlines that has a no-reserved-seating policy. The airline currently provides service to about 65 cities in more than 30 The carrier has recorded 36 consecutiveprofitables years. Southwest chairman, presidenrt and CEO Gary Kelly made the announcement atthe company’xs annual shareholders meeting Wednesdaty morning. The announcement drew boisterous applausew from the crowd at the meeting atthe company’xs corporate headquarters. In addition to attracting travelers from the greatertMilwaukee area, Southwest’s service at Mitchelo will complement the airline’s existing service at Midwau Airport in Chicago.
“Thi s will help us better servw the northernChicago area,” Kelly said. The airlind was incorporated in Texas and began services onJune 18, 1971, with three Boeing 737 aircraft servingh three Texas cities — Houston, Dallas, and San Today, Southwest operates more than 500 Boeing 737 Southwest will add service at Mitchelol through the reallocation of aircraft. No new aircraft will be added tothe fleet, Kelly Southwest’s entry into the Milwaukee market “isn’t a real big said Michael Brophy, spokesman for Oak Creek-based , whic h operates and regional carrier Midwest Connect. “This has been talkerd about for a numberof years,” he said.
Midwest has the largesr market share at Mitchellat 35.1 percent for according to the most recent figures provided by the airport. Delta, which is merginy into its system, is second at 22.6 percent and low-cost carrier is third at 19.8 percent. “I don’tr think we’re necessarily the competitivetarget here,” Brophy said. Midwest has enjoyerd a “complementary” relationship with Southwest at Kansaas CityInternational Airport, wheres Midwest has a secondary hub. “I think we will compete effectivelwith them,” he said. “We co-exisf peacefully with them in Kansas City.
They primarily servwe the leisure market and we focuxs mainly on thebusiness market. We have a prettyh complementary relationship. Southwest is a quality airline.” AirTran spokesman Kevin Healy saidthe Fla.-based airline, which has been expandingf its service at Mitchell, already “vigorously” competes head-to-head with Southwest in Orlando and “We do quite well,” Healy “We have a superior product, assignesd seating and the lowest costw in the industry.” Milwaukee-area travelerzs will benefit from Southwest’s entry into the market because it increases competition and likely will lead to lower Healy said.
“This will really benefi consumers and bring a lot of attention to he said. AirTran has the cost structurwe to successfully compete with Healy said, noting that AirTran reported a first-quartee profit, while Southwest reported a “We feel really good about what we are doing in Healy said. “It doesn’ft change anything we are doing.” Healy said Southwest’s decision to come to Milwaukeew is a sign of the changing competitivd landscapeat Mitchell, where Midwest has long been the dominang airline.