Southwest Airlines Co. (NYSE: LUV) reported that their third quarter sales will take a $100 million hit due to this year’s natural hurricanes and earthquakes resulting in 5,000 cancellation flights through Wednesday.
Recently U.S. airlines have been battling with fare, higher fuel costs, and demand for expensive last minute tickets. Earlier this month, companies such as American Airlines Group Inc (NASDAQ: AAL), Delta Air Lines, Inc.(NYSE:DAL), and United Continental Holdings Inc (NYSE: UAL) lowered their revenue estimates.
Costs for each available seat flown a mile will increase 3% to 4% in the current quarter from a year earlier for Southwest but they estimated that costs would jump no more than 3%. Shares of the company increased less than 1% and advanced 12% through Wednesday which was the biggest gain out of the five biggest airlines in the U.S.
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