Southwest’s strong 2022 rebound soured by holiday debacle

By DAVID KOENIG and MICHELLE CHAPMAN
AP Business Writers

DALLAS (AP) — Southwest Airlines says a winter storm and technology breakdown over the holidays will cost it up to $825 million. The airline said Friday that it now expects to post a loss for the fourth quarter. Southwest canceled nearly 17,000 flights, stranding hundreds of thousands of travelers in late December. Besides the financial hit, the storm and slow recovery have damaged Southwest’s reputation. The company hopes to win back customer loyalty by handing out frequent-flyer points and reimbursing customers who had to book hotel rooms and alternate transportation after their flights were canceled. Some customers say they’re still waiting to recover lost bags and get their money back.