DOT waives $11M of Southwest storm fine
The U.S. Department of Transportation issued an order Friday waiving Southwest Airlines’ final $11 million payment to the Treasury from a 2023 $140 million civil penalty tied to the carrier’s December 2022 holiday meltdown. DOT cited improved on‑time performance and investments in network operations, after Southwest had already made $12 million payments in 2024 and earlier this year toward the $35 million Treasury portion, with most of the overall penalty dedicated to customer compensation.
📌 Key Facts
- DOT waived the final $11 million Treasury payment due Jan. 31, 2026.
- The 2023 settlement imposed a $140 million penalty, including $35 million to the U.S. Treasury.
- Southwest paid $12 million in 2024 and another $12 million earlier in 2025; the rest is now waived.
- The 2022 meltdown led to 17,000 cancellations and stranded over 2 million travelers; Southwest estimated $1.1 billion in related costs.
📊 Relevant Data
Southwest Airlines' on-time performance improved from 73.2% in 2022 to 78.6% in 2024, according to DOT data.
Airline On-Time Performance By Carrier Report for Southwest Airlines Co. WN — AviationDB
Southwest Airlines' cancellation rate decreased from 3.3% in 2022 to 0.8% in 2024, according to DOT data.
Airline On-Time Performance By Carrier Report for Southwest Airlines Co. WN — AviationDB
Southwest Airlines invested more than $1 billion in technology and operations since the 2022 meltdown.
Trump admin waives $11 million Southwest 2022 holiday ... — CNBC
Southwest Airlines achieved an 82.27% on-time arrival rate, making it North America's most on-time airline according to Cirium's 2024 analysis.
How Southwest Became North America's Most On-Time Airline — Cirium