Question
SOUTHWEST AIRLINES PROJECT REPORT Growth Price-Recovery Productivity 2017 Components Components Components 2016 Revenues (driver = RPM) $ 21,171,000,000 $ 694,499,505 $ 51,500,495 ? $ 20,425,000,000
SOUTHWEST AIRLINES PROJECT REPORT
| Growth | Price-Recovery | Productivity | |||
| 2017 | Components | Components | Components | 2016 | |
| Revenues (driver = RPM) | $ 21,171,000,000 | $ 694,499,505 | $ 51,500,495 | ? | $ 20,425,000,000 |
| Personnel-Related (driver = EEs) | $ 7,319,000,000 | $ 231,148,476 | $ 191,545,752 | $ 98,305,772 | $ 6,798,000,000 |
| Trip-Related (driver = Trips) | $ 5,232,000,000 | $ 165,183,774 | $ 239,241,261 | $ (30,425,035) | $ 4,858,000,000 |
| Aircraft-Related (driver = Seats) | $ 2,417,000,000 | $ 84,836,047 | $ (64,164,469) | $ (98,671,578) | $ 2,495,000,000 |
| Other (driver = Seats) | $ 2,688,000,000 | $ 85,482,093 | $ 198,252,785 | $ (109,734,879) | $ 2,514,000,000 |
| Operating Income | $ 3,515,000,000 | $ 127,849,113 | $ (513,374,833) | $ 140,525,720 | $ 3,760,000,000 |
| Growth | Price-Recovery | Productivity | |||
| 2016 | Components | Components | Components | 2015 | |
| Revenues (driver = RPM) | $ 20,425,000,000 | $ 1,231,052,168 | $ (626,052,168) | ? | $ 19,820,000,000 |
| Personnel-Related (driver = EEs) | $ 6,798,000,000 | $ 396,458,425 | $ (92,352,565) | $ 110,894,140 | $ 6,383,000,000 |
| Trip-Related (driver = Trips) | $ 4,858,000,000 | $ 297,017,733 | $ (91,609,357) | $ (129,408,376) | $ 4,782,000,000 |
| Aircraft-Related (driver = Seats) | $ 2,495,000,000 | $ 140,248,022 | $ 145,007,345 | $ (48,255,367) | $ 2,258,000,000 |
| Other (driver = Seats) | $ 2,514,000,000 | $ 141,676,589 | $ 139,946,253 | $ (48,622,842) | $ 2,281,000,000 |
| Operating Income | $ 3,760,000,000 | $ 255,651,399 | $ (727,043,844) | $ 115,392,446 | $ 4,116,000,000 |
| Growth | Price-Recovery | Productivity | |||
| 2015 | Components | Components | Components | 2014 | |
| Revenues (driver = RPM) | $ 19,820,000,000 | $ 1,629,947,541 | $ (414,947,541) | ? | $ 18,605,000,000 |
| Personnel-Related (driver = EEs) | $ 6,383,000,000 | $ 476,062,077 | $ 569,401,227 | $ (96,463,304) | $ 5,434,000,000 |
| Trip-Related (driver = Trips) | $ 4,782,000,000 | $ 561,041,873 | $ (1,812,754,496) | $ (370,287,377) | $ 6,404,000,000 |
| Aircraft-Related (driver = Seats) | $ 2,258,000,000 | $ 193,701,371 | $ (96,593,543) | $ (50,107,829) | $ 2,211,000,000 |
| Other (driver = Seats) | $ 2,281,000,000 | $ 204,214,336 | $ (203,596,109) | $ (50,618,227) | $ 2,331,000,000 |
| Operating Income | $ 4,116,000,000 | $ 194,927,884 | $ 1,128,595,380 | $ 567,476,737 | $ 2,225,000,000 |
| Growth | Price-Recovery | Productivity | |||
| 2014 | Components | Components | Components | 2013 | |
| Revenues (driver = RPM) | $ 18,605,000,000 | $ 625,355,626 | $ 280,644,374 | ? | $ 17,699,000,000 |
| Personnel-Related (driver = EEs) | $ 5,434,000,000 | $ 177,900,762 | $ 182,480,240 | $ 38,618,998 | $ 5,035,000,000 |
| Trip-Related (driver = Trips) | $ 6,404,000,000 | $ 242,595,160 | $ (175,813,823) | $ (528,781,337) | $ 6,866,000,000 |
| Aircraft-Related (driver = Seats) | $ 2,211,000,000 | $ 81,548,154 | $ (110,519,911) | $ (68,028,243) | $ 2,308,000,000 |
| Other (driver = Seats) | $ 2,331,000,000 | $ 78,156,203 | $ 112,564,210 | $ (71,720,414) | $ 2,212,000,000 |
| Operating Income | $ 2,225,000,000 | $ 45,155,347 | $ 271,933,658 | $ 629,910,995 | $ 1,278,000,000 |
| Growth | Price-Recovery | Productivity | |||
| 2017 | Components | Components | Components | 2013 | |
| Revenues (driver = RPM) | $ 21,171,000,000 | $ 4,188,332,435 | $ (716,332,435) | ? | $ 17,699,000,000 |
| Personnel-Related (driver = EEs) | $ 7,319,000,000 | $ 1,191,494,085 | $ 932,510,936 | $ 159,994,979 | $ 5,035,000,000 |
| Trip-Related (driver = Trips) | $ 5,232,000,000 | $ 1,624,786,174 | $ (2,189,197,844) | $ (1,069,588,330) | $ 6,866,000,000 |
| Aircraft-Related (driver = Seats) | $ 2,417,000,000 | $ 546,170,476 | $ (152,287,818) | $ (284,882,658) | $ 2,308,000,000 |
| Other (driver = Seats) | $ 2,688,000,000 | $ 523,452,813 | $ 269,371,591 | $ (316,824,405) | $ 2,212,000,000 |
| Operating Income | $ 3,515,000,000 | $ 302,428,886 | $ 423,270,700 | $ 1,511,300,414 | $ 1,278,000,000 |
Revenue Reconciliation 2013 to 2017:
Revenue Effect of Growth: _________________________.
Revenue Effect of Price Recovery: _________________________.
Expense Reconciliations 2013 to 2017:
Personnel-Related Expenses (Driver = Employees):
Cost Effect of Growth: _________________________.
Cost Effect of Price Recovery: _________________________.
Cost Effect of Productivity: _________________________.
Trip-Related Expenses (Driver = Trips):
Cost Effect of Growth: _________________________.
Cost Effect of Price Recovery: _________________________.
Cost Effect of Productivity: _________________________.
Fixed Costs Aircraft-Related Expenses (Driver = Aircraft Seats):
Cost Effect of Growth: _________________________.
Cost Effect of Price Recovery: _________________________.
Cost Effect of Productivity: _________________________.
Fixed Costs Other Expenses (Driver = Aircraft Seats):
Cost Effect of Growth: _________________________.
Cost Effect of Price Recovery: _________________________.
Cost Effect of Productivity: _________________________.
Operating Income Reconciliation (aggregated over revenue and expense components) 2013 to 2017:
Operating income - 2013: _________________________.
Aggregate Effect of Growth: _________________________.
Aggregate Effect of Price Recovery: _________________________.
Aggregate Effect of Productivity: _________________________.
Operating income - 2017: _________________________.
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Airline Finance
Authors: Peter S. Morrell
4th Edition
1351959743, 978-1351959742
