Southwest Airlines Secures $2 Billion Revolver With JPMorgan and Citi

Southwest Airlines has secured a new $2 billion revolving credit facility with JPMorgan Chase Bank and Citibank as co-administrative agents. The five-year agreement, which includes an uncommitted accordion to $3 billion, will enhance the airline's liquidity and replace its existing 2016 facility.

The new facility matures on August 10, 2031, with options for two one-year extensions. Concurrently, Southwest Airlines terminated its prior revolving credit facility dated August 3, 2016, ahead of its scheduled expiry on August 4, 2028.

No exit fees were disclosed in connection with the termination of the old facility. The new agreement supports borrowings and letters of credit, providing Southwest Airlines with greater flexibility to manage its finances.