U.S. Department of Transportation

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.