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Southwest Touts Its Transformation—But Asset Sales And Credit Card Drive Most Of Its Profit
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Southwest Touts Its Transformation—But Asset Sales And Credit Card Drive Most Of Its Profit

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Southwest Airlines says its transformation is working. Its latest earnings are improved compared to last quarter and last year. But $214 million of its $428 million in adjusted pretax profit came from asset sales, including aircraft sale leasbacks. And they also have year-over-year improvement from their Chase credit card deal. It's not bag fees and seat fees driving their earnings or earnings growth.