Southwest Airlines Changes Default Settlement Method for Convertible Senior Notes Due 2025

Southwest Airlines Co. (NYSE: LUV) filed an 8-K report with the Securities and Exchange Commission on January 27, 2025. The report announced the company’s decision to modify the settlement method for its 1.250% convertible senior notes due 2025.

In the document, Southwest Airlines disclosed that it delivered a Notice of Change in Default Settlement Method to securityholders and Computershare Trust Company, N.A., as trustee. This notice informed stakeholders of the company’s election to settle the aforementioned convertible senior notes in cash. The Notice, which is furnished as Exhibit 99.1 in the report, states that Southwest Airlines intends to settle all validly surrendered notes for conversion using cash settlement as the new settlement method.

It is noted that the information provided in this report, including the Exhibit 99.1, is not to be considered as “filed” for the Securities Exchange Act of 1934, as amended, or subject to the liabilities outlined in that section. Additionally, this information is not to be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, unless expressly set forth by specific reference in such filing.

Southwest Airlines Co. (NYSE: LUV) did not make any representations regarding the correctness or accuracy of the CUSIP or ISIN numbers listed in the report. The company’s decision to shift to cash settlement for its convertible senior notes due 2025 marks a strategic move in its financial operations. It signifies a shift in how the company plans to handle these particular financial instruments moving forward.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Southwest Airlines’s 8K filing here.

Southwest Airlines Company Profile

Southwest Airlines Co operates as a passenger airline company that provides scheduled air transportation services in the United States and near-international markets. As of December 31, 2023, the company operated a total fleet of 817 Boeing 737 aircraft; and served 121 destinations in 42 states, the District of Columbia, and the Commonwealth of Puerto Rico, as well as ten near-international countries, including Mexico, Jamaica, the Bahamas, Aruba, the Dominican Republic, Costa Rica, Belize, Cuba, the Cayman Islands, and Turks and Caicos.