Southwest Airlines Reaches $140 Million Settlement Over Holiday Flight-Canceling Meltdown Last Year

Southwest Airlines Reaches $140 Million Settlement Over Holiday Flight-Canceling Meltdown Last Year
A Southwest Airlines jet arrives at Sky Harbor International Airport in Phoenix on Dec. 28, 2022. Matt York/AP Photo
The Associated Press
Updated:
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DALLAS—Southwest Airlines will pay a $35 million fine as part of a $140 million settlement to resolve a federal investigation into a debacle in December 2022 when the airline canceled thousands of flights and stranded more than 2 million travelers over the holidays.

Most of the settlement will go toward compensating future passengers, which the U.S. Department of Transportation considers an incentive for Southwest to avoid repeating last winter’s mess.