Southwest Airlines Chief Financial Officer Tom Doxey confirmed the carrier used a ship to transport jet fuel from Texas to California.

Southwest Airlines Chief Financial Officer Tom Doxey confirmed the carrier utilized a ship to transport jet fuel from Texas to California to mitigate supply risks. This move marked a first for the airline, which transported 12.6 million gallons from Houston to Los Angeles via the Panama Canal. The shipment arrived on May 28, providing approximately one week of supply to the West Coast during a period of high volatility. The West Coast relies heavily on imports, causing prices to spike following military actions by the U.S. and Israel in Iran. To facilitate the shipment, the administration waived a requirement of the Jones Act in March, allowing the airline to use a non-U.S. ship for domestic transport. Despite the shipment, Southwest Airlines saw fuel expenses rise by nearly $900 million in the second quarter. However, the carrier reported record revenues of $8.7 billion and adjusted earnings per share of $0.94. To manage costs, the airline has scaled back capacity growth and increased fares to meet steady demand.

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