Southwest Airlines issued $1.5 billion in senior notes, split evenly between $750 million of 4.375% notes due 2028 and $750 million of 5.250% notes due 2035. The notes were priced on 2025‑10‑27 and are scheduled to close on or about 2025‑11‑03, subject to customary closing conditions.
The offering is part of Southwest’s ongoing debt‑management strategy. The company’s debt load as of the end of September 2025 was moderate, and the new notes will be used for general corporate purposes, including the repayment or redemption of existing indebtedness. The notes are rated by major credit agencies, reflecting Southwest’s strong credit profile, and the terms were structured to take advantage of favorable market conditions.
The joint book‑running managers for the offering are BofA Securities, Citigroup Global Markets, Goldman Sachs & Co., J.P. Morgan Securities, and Morgan Stanley & Co., with Comerica Securities acting as co‑manager. A Form 424B5 prospectus supplement was filed with the SEC on 2025‑10‑27, and the offering is registered under a shelf registration statement that has become effective.
The issuance aligns with Southwest’s broader financial strategy, which has included the settlement of earlier convertible notes and the refinancing of debt at attractive rates. The company’s financial statements indicate that the new notes will help maintain a balanced debt mix and support future operational initiatives.
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