# SOUTHWEST AIRLINES CO (LUV) — capital_raise [announced]
Source: SEC API (secapi.ai) · situation sit_9cebb94db468b0fae6ad · retrieved 2026-08-16T21:05:02.116Z

## Overview
Southwest Airlines Co. is a scheduled air transportation company operating a fleet of Boeing aircraft.

Southwest Airlines Co. entered into a new $2,000,000,000 five-year revolving credit facility agreement on August 10, 2026, with a syndicate of lenders including JPMorgan Chase Bank, N.A. and Citibank, N.A. as co-administrative agents. The facility includes an uncommitted accordion feature allowing the Company to increase the size to $3 billion, subject to procurement of incremental commitments. The maturity date is August 10, 2031, and the Company may request up to two one-year extensions. The facility bears interest at rates based on the Company's Index Debt Rating, ranging from 0.875% to 1.625% per annum for Term SOFR Rate loans plus applicable margin. The agreement includes a Collateral Coverage Test requiring a lien-free pool of specified aircraft and related assets with minimum aggregate appraised value of not less than 1.25 times the total commitment, and a financial covenant requiring a Coverage Ratio of 1.25 to 1.00, with a one-time option to reduce to 0.80 to 1.00 for two consecutive fiscal quarters.

## Terms
- Counterparty: JPMorgan Chase Bank, N.A., Citibank, N.A., Barclays Bank PLC, Bank of America, N.A., BNP Paribas, Goldman Sachs Bank USA, Morgan Stanley Senior Funding, Inc., PNC Bank, National Association, Standard Chartered Bank, U.S. Bank National Association, and Wells Fargo Bank, N.A. · Deal value: $2.00B

## Key dates
- Announced 2026-08-12 · Expiry 2031-08-10 · Expected close 2026-08-10

## Timeline
- 2026-08-12 · 8-K (0000092380-26-000098): 8-K - SOUTHWEST AIRLINES CO — *Southwest Airlines Co. is a scheduled air transportation company operating a fleet of Boeing aircraft.* Southwest Airlines Co. entered into a new $2,000,000,000 five-year revolving credit facility agreement on August 10, 2026, with a syndicate of lenders including JPMorgan Chase Bank, N.A. and Citibank, N.A. as co-administrative agents. The facility includes an uncommitted accordion feature allowing the Company to increase the size to $3 billion, subject to procurement of incremental commitments. The maturity date is August 10, 2031, and the Company may request up to two one-year extensions. The facility bears interest at rates based on the Company's Index Debt Rating, ranging from 0.875% to 1.625% per annum for Term SOFR Rate loans plus applicable margin. The agreement includes a Collateral Coverage Test requiring a lien-free pool of specified aircraft and related assets with minimum aggregate appraised value of not less than 1.25 times the total commitment, and a financial covenant requiring a Coverage Ratio of 1.25 to 1.00, with a one-time option to reduce to 0.80 to 1.00 for two consecutive fiscal quarters.
  https://www.sec.gov/Archives/edgar/data/92380/0000092380-26-000098.txt

## Citations
- 0000092380-26-000098 — https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&type=&dateb=&owner=include&count=40&search_text=000009238026000098