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Southwest Airlines Co. – ‘10-Q’ for 6/30/21 – ‘EX-10.1’

On: Tuesday, 7/27/21, at 2:34pm ET · For: 6/30/21 · Accession #: 92380-21-143 · File #: 1-07259

  As Of               Filer                 Filing    For·On·As Docs:Size

 7/27/21  Southwest Airlines Co.            10-Q        6/30/21   78:17M

Quarterly Report — Form 10-Q

Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: 10-Q        2nd Quarter 2021 Form 10-Q                          HTML   1.29M 
 2: EX-10.1     EX-10.1 Boeing Supplemental Agreement No. 13        HTML    284K 
 3: EX-10.2     EX-10.2 Boeing Supplemental Agreement No. 14        HTML    808K 
 4: EX-10.3     EX-10.3 Boeing Supplemental Agreement No. 15        HTML    499K 
 5: EX-31.1     EX-31.1 Certification of Chief Executive Officer    HTML     26K 
 6: EX-31.2     EX-31.2 Certification of Chief Financial Officer    HTML     26K 
 7: EX-32.1     EX-32.1 Certification of CEO and CFO                HTML     24K 
14: R1          Cover                                               HTML     75K 
15: R2          Condensed Consolidated Balance Sheet                HTML    136K 
16: R3          Condensed Consolidated Statement of Comprehensive   HTML    112K 
                Income (Loss)                                                    
17: R4          Condensed Consolidated Statement of Stockholders'   HTML     70K 
                Equity                                                           
18: R5          Condensed Consolidated Statement of Stockholders'   HTML     24K 
                Equity (Parenthetical)                                           
19: R6          Condensed Consolidated Statement of Cash Flows      HTML    138K 
20: R7          Basis of Presentation                               HTML     28K 
21: R8          Worldwide Pandemic                                  HTML     88K 
22: R9          New Accounting Pronouncements                       HTML     38K 
23: R10         Financial Derivative Instruments                    HTML    266K 
24: R11         Comprehensive Income (Loss)                         HTML    104K 
25: R12         Revenue                                             HTML     77K 
26: R13         Net Income (Loss) Per Share                         HTML     51K 
27: R14         Fair Value Measurements                             HTML    167K 
28: R15         Supplemental Financial Information                  HTML     76K 
29: R16         Commitments and Contingencies                       HTML     62K 
30: R17         Boeing 737 Max Aircraft Grounding                   HTML     88K 
31: R18         New Accounting Pronouncements (Policies)            HTML     55K 
32: R19         Worldwide Pandemic (Tables)                         HTML     68K 
33: R20         Financial Derivative Instruments (Tables)           HTML    269K 
34: R21         Comprehensive Income (Loss) (Tables)                HTML    107K 
35: R22         Revenue (Tables)                                    HTML     69K 
36: R23         Net Income (Loss) Per Share (Tables)                HTML     51K 
37: R24         Fair Value Measurements (Tables)                    HTML    165K 
38: R25         Supplemental Financial Information (Tables)         HTML     82K 
39: R26         Commitments and Contingencies (Tables)              HTML     54K 
40: R27         Basis of Presentation (Details)                     HTML     58K 
41: R28         WORLDWIDE PANDEMIC - Narrative (Details)            HTML    177K 
42: R29         WORLDWIDE PANDEMIC - Payroll Support Program        HTML     63K 
                (Details)                                                        
43: R30         Financial Derivative Instruments - Fuel Hedging     HTML     31K 
                (Details)                                                        
44: R31         Financial Derivative Instruments - Fair Values by   HTML     60K 
                Balance Sheet Location (Details)                                 
45: R32         Financial Derivative Instruments - Narrative        HTML     44K 
                (Details)                                                        
46: R33         Financial Derivative Instruments - Offsetting of    HTML     40K 
                Derivative Assets (Details)                                      
47: R34         Financial Derivative Instruments - Offsetting       HTML     42K 
                Derivative Liabilities (Details)                                 
48: R35         Financial Derivative Instruments - Location and     HTML     70K 
                Amount Recognized in Income by Hedging                           
                Relationship (Details)                                           
49: R36         Financial Derivative Instruments - (Gain) Loss by   HTML     40K 
                Hedging Relationship (Details)                                   
50: R37         Financial Derivative Instruments - Premiums for     HTML     31K 
                Fuel Derivative Contracts (Details)                              
51: R38         Financial Derivative Instruments - Fair Values of   HTML     71K 
                Fuel Derivatives Amounts Posted as Collateral                    
                (Details)                                                        
52: R39         Comprehensive Income (Loss) - Differences between   HTML     56K 
                Net Income and Comprehensive Income (Loss)                       
                (Details)                                                        
53: R40         Comprehensive Income (Loss) - Schedule of AOCI      HTML     79K 
                Components (Details)                                             
54: R41         Comprehensive Income (Loss) - Reclassifications     HTML     61K 
                (Details)                                                        
55: R42         Revenue - Passenger Revenue Breakout (Details)      HTML     37K 
56: R43         Revenue - Air Traffic Liability Breakout (Details)  HTML     29K 
57: R44         Revenue - Air Traffic Liability - Loyalty Program   HTML     33K 
                Rollforward (Details)                                            
58: R45         Revenue - Air Traffic Liability Rollforward         HTML     31K 
                (Details)                                                        
59: R46         Revenue - Narrative (Details)                       HTML     37K 
60: R47         Net Income (Loss) Per Share (Details)               HTML     67K 
61: R48         Fair Value Measurements - Measured on Recurring     HTML     97K 
                Basis (Details)                                                  
62: R49         Fair Value Measurement - Fair Value Assets and      HTML     41K 
                Liabilities Measured on Recurring Basis with                     
                Unobservable Inputs (Details)                                    
63: R50         Fair Value Measurements - Quantitative Information  HTML     51K 
                about Level 3 Fair Value (Details)                               
64: R51         Fair Value Measurements - Narrative (Details)       HTML     59K 
65: R52         Fair Value Instruments - Carrying and Estimated     HTML     97K 
                Fair Value of Debt (Details)                                     
66: R53         Fair Value Instruments - Convertible Debt           HTML     34K 
                (Details)                                                        
67: R54         Supplemental Financial Information - Accounts and   HTML     37K 
                Other Receivables (Details)                                      
68: R55         Supplemental Financial Information - Other Assets   HTML     30K 
                (Details)                                                        
69: R56         Supplemental Financial Information - Accounts       HTML     38K 
                Payable (Details)                                                
70: R57         Supplemental Financial Information - Accrued        HTML     51K 
                Liabilities (Details)                                            
71: R58         Supplemental Financial Information - Other          HTML     44K 
                Non-Current Liabilities (Details)                                
72: R59         Commitments and contingencies - Narrative           HTML     73K 
                (Details)                                                        
73: R60         Commitment and Contingencies - Long Term Purchase   HTML     76K 
                Commitments (Details)                                            
74: R61         Boeing 737 Max Aircraft Grounding (Details)         HTML     39K 
76: XML         IDEA XML File -- Filing Summary                      XML    136K 
13: XML         XBRL Instance -- luv-20210630_htm                    XML   3.50M 
75: EXCEL       IDEA Workbook of Financial Reports                  XLSX    117K 
 9: EX-101.CAL  XBRL Calculations -- luv-20210630_cal                XML    231K 
10: EX-101.DEF  XBRL Definitions -- luv-20210630_def                 XML    841K 
11: EX-101.LAB  XBRL Labels -- luv-20210630_lab                      XML   1.88M 
12: EX-101.PRE  XBRL Presentations -- luv-20210630_pre               XML   1.16M 
 8: EX-101.SCH  XBRL Schema -- luv-20210630                          XSD    209K 
77: JSON        XBRL Instance as JSON Data -- MetaLinks              429±   610K 
78: ZIP         XBRL Zipped Folder -- 0000092380-21-000143-xbrl      Zip    570K

‘EX-10.1’ — EX-10.1 Boeing Supplemental Agreement No. 13

This Exhibit is an HTML Document rendered as filed. [ Alternative Formats ]

<! C: C:

Document


SUPPLEMENTAL AGREEMENT NO. 13

to

Purchase Agreement No. 03729

between

THE BOEING COMPANY

and

SOUTHWEST AIRLINES CO.

Relating to Boeing Model 737-8 and 737-7 Aircraft

THIS SUPPLEMENTAL AGREEMENT No. 13 (SA-13), entered into as of ____April 29________, 2021, is made between THE BOEING COMPANY, a Delaware corporation (Boeing), and SOUTHWEST AIRLINES CO., a Texas corporation (Customer).


RECITALS:

WHEREAS, Customer and Boeing entered into Purchase Agreement Number PA-03729 dated December 13, 2011, as amended and supplemented, (Purchase Agreement) relating to the purchase and sale of Boeing Model 737-8 (737-8 Aircraft) and Model 737-7 aircraft (737-7 Aircraft); collectively the “Aircraft”. This SA13 is an amendment to and is incorporated into the Purchase Agreement. Capitalized terms used herein but not otherwise defined will have the meaning set forth in the Purchase Agreement;

WHEREAS, Boeing and Customer agree to the acceleration of eleven (11) 737-7 Aircraft in 2022 and revise the scheduled delivery stream as applicable;

WHEREAS, Boeing and Customer agree to the acceleration of two (2) Original Option Aircraft positions in 2022 and revise the scheduled delivery stream as applicable;

WHEREAS, Boeing and Customer agree to amend the Purchase Agreement to make certain changes to the Letter Agreements as a result of the respective changes in this Supplemental Agreement; and

WHEREAS, Boeing and Customer agree to execute an SA-14 to the Purchase Agreement, on or before June 30, 2021 to [***]

[***] = Certain identified information has been excluded from the exhibit because it is both not material and is of the type that the registrant treats as private or confidential.


SWA-PA-03729	1	SA-13

	BOEING PROPRIETARY

NOW, THEREFORE, the parties agree that the Purchase Agreement is amended as set forth below and otherwise agree as follows:

1.TABLE OF CONTENTS.

The Table of Contents of the Purchase Agreement is deleted in its entirety and replaced with a new Table of Contents (attached), which lists the Tables, Exhibits, and Letter Agreements revised by this SA13 and is identified by “SA13”. Such revised Table of Contents is incorporated into the Purchase Agreement by this reference.

2.TABLES.

Table 1B, Aircraft Delivery, Description, Price and Advance Payments – 737-7 Aircraft, is deleted in its entirety and replaced by a new Table 1B (identified by "SA-13") attached hereto and incorporated into the Purchase Agreement by this reference.

3.LETTER AGREEMENTS.

Letter Agreement SWA-PA-03729-LA-1106474R3, Option Aircraft, and its Attachment 1 are deleted in their entirety and are replaced with the attached revised Letter Agreement SWA-PA-03729-LA-1106474R4 and its Attachment 1.

4.ADVANCE PAYMENT IMPACTS.

The acceleration of eleven (11) 737-7 Aircraft in 2022 [***] to align with the new delivery months. [***]

5.SA-13 PAYMENT.

[***]


SWA-PA-03729	2	SA-13

	BOEING PROPRIETARY

The Purchase Agreement is deemed to be supplemented to the extent herein provided and as so supplemented will continue in full force and effect.

EXECUTED IN DUPLICATE as of the day and year first above written.


THE BOEING COMPANY			SOUTHWEST AIRLINES CO.

By: /s/ *Carson J May*			By: /s/ *Chris Monroe*

Name: Carson J. May			Name: Chris Monroe

Its: Attorney-In-Fact			Its: SVP Finance and Treasurer


SWA-PA-03729	3	SA-13

	BOEING PROPRIETARY


TABLE OF CONTENTS


ARTICLES	TITLES
Article 1	Quantity, Model and Description	SA-2
Article 2	Delivery Schedule
Article 3	Price
Article 4	Payment	SA-2
Article 5	Additional Terms
TABLE	TITLE
1A	737-8 Aircraft Information Table	SA-12
1B	737-7 Aircraft Information Table	SA-13
EXHIBIT
A1	737-8 Aircraft Configuration	SA-11
A2	737-7 Aircraft Configuration	SA-8
A-3	737-8 Remarket Aircraft Configuration	SA-12
B*	Aircraft Delivery Requirements and Responsibilities
B-1	Remarket Aircraft Technical	SA-12
	Acceptance and Delivery Requirements and Responsibilities
SUPPLEMENTAL EXHIBITS	TITLES
AE1*	Escalation Adjustment/Airframe and Optional Features
BFE1	BFE Variables for 737-8	SA-7
BFE2	BFE Variables for 737-7	SA-8
CS1	Customer Support Variables
CS1-7MAX	Customer Support Variables	SA-2
EE1*	Engine Escalation/Engine Warranty and Patent Indemnity
SLP1*	Service Life Policy Components


SWA-PA-03729		SA-13
		Page 1
	BOEING PROPRIETARY


LETTER AGREEMENTS	TITLES
SWA-PA-03729-LA-1106463R3	Open Matters	SA-8
SWA-PA-03729-LA-1106464*	[***]
SWA-PA-03729-LA-1106465*	[***]
SWA-PA-03729-LA-1106466	[***]
SWA-PA-03729-LA-1106467R2	[***]	SA-8
SWA-PA-03729-LA-1106468*	[***]
SWA-PA-03729-LA-1106469R1	[***]	SA-2
SWA-PA-03729-LA-1106470R1	[***]	SA-2
SWA-PA-03729-LA-1106471R2	Substitute Aircraft	SA-12
SWA-PA-03729-LA-1106473R2	[***]	SA-12
SWA-PA-03729-LA-1106474R4	Option Aircraft	SA-13
SWA-PA-03729-LA-1106475R4	[***]	SA-12
SWA-PA-03729-LA-1106476R2	[***]	SA-8
SWA-PA-03729-LA-1106477*	[***]
SWA-PA-03729-LA-1106478	[***]
SWA-PA-03729-LA-1106479R1	[***]	SA-2
SWA-PA-03729-LA-1106480R1	[***]	SA-2
SWA-PA-03729-LA-1106481R2	[***]	SA-2
SWA-PA-03729-LA-1106482*	[***]
SWA-PA-03729-LA-1106483*	[***]
SWA-PA-03729-LA-1106484R2	[***]	SA-12
SWA-PA-03729-LA-1106485*	[***]


SWA-PA-03729		SA-13
		Page 2

	BOEING PROPRIETARY


LETTER AGREEMENTS	TITLES
SWA-PA-03729-LA-1209080	[***]	SA-1
SWA-PA-03729-LA-1210419	[***]	SA-1
SWA-PA-03729-LA-1300943	[***]	SA-2
SWA-PA-03729-LA-1301168R3	[***]	SA-6
SWA-PA-03729-LA-1301170R3	[***]	SA-12
SWA-PA-03729-LA-1400371	[***]	SA-7
SWA-PA-03729-LA-1503792	Service Ready Operational Validation	SA-6
SWA-PA-03729-LA-1500831	[***]	SA-7
SWAPA03729LA1602486R1	[***]	SA-12
SWAPA03729LA2100594	737-8 Remarket Production Aircraft	SA-12
SWAPA03729LA2100700	737-8 Open Configuration Matters – Remarket Production Aircraft	SA-12
SWA-PA-03729-LA-2100811	[***]	SA-12
SWA-PA-03729-LA-2100812	[***]	SA-12
SWA-PA-03729-LA-2100813	[***]	SA-12
SWAPA03729LA2100814	[***]	SA-12
SWAPA03729LA2100819	[***]	SA-12
SWA-PA-03729-LA-2100825	[***]	SA-12

SWA-PA-03729-LA-2100841	[***]	SA-12


SWA-PA-03729		SA-13
		Page 3
	BOEING PROPRIETARY



LETTER AGREEMENTS	TITLES
SWA-PA-03729-LA-2100984	[***]	SA-12

* Denotes revision to Page 1 or Page 2 only to reference 737-7 (SA-2)


SWA-PA-03729		SA-13
		Page 4
	BOEING PROPRIETARY

INACTIVE / DELETED TABLES, EXHIBITS, AND LETTER AGREEMENTS

RESTRICTED LETTER AGREEMENTS


Letter Agreement	Title	Last Updated under SA	Current Status
SWA-PA-03729-LA-1106472R1	[***]	SA-2	Deleted under SA-4
SWA-PA-01810/03729-LA-1301169	[***]	SA-2	Deleted under SA-4


SWA-PA-03729		SA-13
		Page 5
	BOEING PROPRIETARY


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Airframe Model/MTOW:

737-7

177,000 pounds

Detail Specification:

D019A008SWA17P-1

Engine Model/Thrust:

CFMLEAP-1B27C

26,400 pounds

Airframe Price Base Year/Escalation Formula:

Jul-11

ECI-MFG/CPI

Airframe Price:

[***]

Engine Price Base Year/Escalation Formula:

N/A

Optional Features:

[***]

Sub-Total of Airframe and Features:

[***]

Airframe Escalation Data:

Engine Price (Per Aircraft):

Aircraft Basic Price (Excluding BFE/S

[***]

PE): [***]

Base Year Index (ECI): [***]

Base Year Index (CPI): [***]

Buyer Furnished Equipment (BFE) Estimat [***]

Seller Purchased Equipment (SPE) Estimat [***]

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Jan-22

Apr-2019

[***]

42586, 42587, 42588

[***]

Jan-22

May-2019

[***]

42589

[***]

Feb-22

May-2019

[***]

42590

[***]

Feb-22

Aug-2019

[***]

42561, 42569

[***]

May-22

Oct-2023

[***]

42614

[***]

May-22

Feb-2024

[***]

42620

[***]

May-22

Mar-2024

[***]

42621

[***]

May-22

Apr-2024

[***]

42623

[***]

May-22

May-2024

[***]

42627

[***]

May-22

Jun-2024

[***]

42629

[***]

May-22

Jul-2024

[***]

42631

[***]

Jun-22

Jan-2023

[***]

42591

[***]

Jun-22

Feb-2023

[***]

42592

[***]

Jun-22

Mar-2023

[***]

42595

[***]

Jun-22

Apr-2023

[***]

42598

[***]

Jun-22

May-2023

[***]

42600

[***]

Jun-22

Aug-2024

[***]

42632

[***]

Jul-22

Jun-2023

[***]

42602

[***]

Jul-22

Jul-2023

[***]

42603

[***]

Jul-22

Aug-2023

[***]

42604

[***]

Jul-22

Sep-2023

[***]

42609

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 1


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Jul-22

Sep-2024

[***]

42635

[***]

Jul-22

Oct-2024

[***]

42638

[***]

Jul-22

Nov-2024

[***]

42642

[***]

Aug-22

Nov-2023

[***]

42613

[***]

Aug-22

Dec-2023

[***]

42616

[***]

Aug-22

Jan-2024

[***]

42618

[***]

Jan-2023

Jul-21

[***]

42657, 42671

[***]

***737-8 Sub

[***]

Feb-2023

Mar-22

[***]

42679, 42678

[***]

***737-8 Sub

[***]

Feb-2023

Apr-22

[***]

42688

[***]

***737-8 Sub

[***]

Mar-2023

Apr-22

[***]

42681, 42680

[***]

***737-8 Sub

[***]

Mar-2023

May-22

[***]

42684

[***]

***737-8 Sub

[***]

Apr-2023

May-22

[***]

42683, 42682

[***]

***737-8 Sub

[***]

Apr-2023

Jun-22

[***]

42687

[***]

***737-8 Sub

[***]

May-2023

Jun-22

[***]

42686, 42685

[***]

***737-8 Sub

[***]

May-2023

Jul-22

[***]

42690

[***]

***737-8 Sub

[***]

Jun-2023

Jul-22

[***]

42689

[***]

***737-8 Sub

[***]

Jun-2023

Aug-22

[***]

42693

[***]

***737-8 Sub

[***]

Jul-2023

Aug-22

[***]

42695

[***]

***737-8 Sub

[***]

Jul-2023

Jan-23

[***]

42565

[***]

***737-8 Sub

[***]

Aug-2023

Jan-23

[***]

42560

[***]

***737-8 Sub

[***]

Aug-2023

Feb-23

[***]

42562, 42564

[***]

***737-8 Sub

[***]

Sep-2023

Mar-23

[***]

42557

[***]

***737-8 Sub

[***]

Sep-2023

Apr-23

[***]

42555

[***]

***737-8 Sub

[***]

Oct-2023

May-23

[***]

42594, 42568

[***]

***737-8 Sub

[***]

Oct-2023

Jun-23

[***]

42581

[***]

***737-8 Sub

[***]

Nov-2023

Jul-23

[***]

42582, 42597

[***]

***737-8 Sub

[***]

Dec-2023

Aug-23

[***]

42593

[***]

***737-8 Sub

[***]

Dec-2023

Sep-23

[***]

42578

[***]

***737-8 Sub

[***]

Jan-2024

Sep-23

[***]

42601

[***]

***737-8 Sub

[***]

Jan-2024

Oct-23

[***]

42605

[***]

***737-8 Sub

[***]

Feb-2024

Dec-23

[***]

42583

[***]

***737-8 Sub

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 2


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Feb-2024

Jan-24

[***]

42584, 42585

[***]

***737-8 Sub

[***]

Mar-2024

Jan-24

[***]

42611

[***]

***737-8 Sub

[***]

Mar-2024

Feb-24

[***]

42596, 42599

[***]

***737-8 Sub

[***]

Apr-2024

Feb-24

[***]

42612

[***]

***737-8 Sub

[***]

Apr-2024

Apr-24

[***]

42606, 42617

[***]

***737-8 Sub

[***]

May-2024

May-24

[***]

42608, 42619, 42622

[***]

***737-8 Sub

[***]

Jun-2024

Jun-24

[***]

42610

[***]

***737-8 Sub

[***]

Jun-2024

Aug-24

[***]

42626

[***]

***737-8 Sub

[***]

Jul-2024

Aug-24

[***]

42624

[***]

***737-8 Sub

[***]

Jul-2024

Sep-24

[***]

42630

[***]

***737-8 Sub

[***]

Aug-2024

Oct-24

[***]

42625, 42636

[***]

***737-8 Sub

[***]

Aug-2024

Nov-24

[***]

42639

[***]

***737-8 Sub

[***]

Sep-2024

Dec-24

[***]

42640, 42628

[***]

***737-8 Sub

[***]

Oct-2024

Feb-25

[***]

42643

[***]

***737-8 Sub

[***]

Oct-2024

Mar-25

[***]

42645, 42644

[***]

***737-8 Sub

[***]

Nov-2024

Apr-25

[***]

42659, 42660

[***]

***737-8 Sub

[***]

Dec-2024

May-25

[***]

42663

[***]

***737-8 Sub

[***]

Dec-2024

Jun-25

[***]

42667

[***]

***737-8 Sub

[***]

Jan-2025

Jul-25

[***]

42668

[***]

***737-8 Sub

[***]

Jan-2025

Aug-25

[***]

42675

[***]

***737-8 Sub

[***]

Feb-2025

Sep-25

[***]

42677, 42676

[***]

***737-8 Sub

[***]

Feb-2025

Oct-25

[***]

42692

[***]

***737-8 Sub

[***]

Mar-2025

Oct-25

[***]

42696

[***]

***737-8 Sub

[***]

Mar-2025

Nov-25

[***]

42698, 42700

[***]

***737-8 Sub

[***]

Apr-2025

Dec-25

[***]

42702, 42701

[***]

***737-8 Sub

[***]

Apr-2025

[***]

May-2025

[***]

Jun-2025

[***]

Jul-2025

[***]

Aug-2025

[***]

Sep-2025

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 3


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Oct-2025

[***]

Nov-2025

[***]

Dec-2025

[***]

Jan-2026

[***]

Feb-2026

[***]

Mar-2026

[***]

Apr-2026

[***]

May-2026

[***]

Jun-2026

[***]

Jul-2026

[***]

Aug-2026

[***]

Sep-2026

[***]

Oct-2026

[***]

Nov-2026

[***]

Dec-2026

[***]

Jan-2027

[***]

Feb-2027

[***]

Mar-2027

[***]

Apr-2027

[***]

May-2027

[***]

Jun-2027

[***]

Jul-2027

[***]

Aug-2027

[***]

Sep-2027

[***]

Oct-2027

[***]

Nov-2027

[***]

Dec-2027

[***]

Jan-2028

[***]

Feb-2028

[***]

Mar-2028

[***]

Apr-2028

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 4


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Serial

Number**

Escalation

Factor

Note

Escalation Estimate Adv Payment Base Price Per A/P

Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

At Signing [***]

24 Mos. [***]

21/18/12/9/6 Mos. [***]

Total [***]

May-2028

[***]

Jun-2028

[***]

Jul-2028

[***]

Aug-2028

[***]

Sep-2028

[***]

Oct-2028

[***]

Nov-2028

[***]

Dec-2028

[***]

Jan-2029

[***]

Feb-2029

[***]

Mar-2029

[***]

Apr-2029

[***]

May-2029

[***]

Jun-2029

[***]

Jul-2029

[***]

Aug-2029

[***]

Sep-2029

[***]

Oct-2029

[***]

Nov-2029

[***]

Dec-2029

[***]

Jan-2030

[***]

Feb-2030

[***]

Mar-2030

[***]

Apr-2030

[***]

May-2030

[***]

Jun-2030

[***]

Jul-2030

[***]

Aug-2030

[***]

Sep-2030

[***]

Oct-2030

[***]

Nov-2030

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 5


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Dec-2030

[***]


Total:			200

* [***]

** Manufacturer Serial Numbers (MSN) are for reference only and are subject to change.

*** [***]

Notes:

(1) [***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 6


			The Boeing Company P.O. Box 3707 Seattle, WA 981242207

SWAPA03729LA1106474R4

Southwest Airlines Co.

2702 Love Field Drive

P.O. Box 36611

Dallas, Texas 75235-1611

Subject: Option Aircraft

Reference: Purchase Agreement No. PA03729 (Purchase Agreement) between The Boeing Company (Boeing) and Southwest Airlines Co. (Customer) relating to Model 7378 aircraft and Model 737-7 aircraft

This letter agreement (Letter Agreement) amends and supplements the Purchase Agreement. All terms used but not defined in this Letter Agreement shall have the same meaning as in the Purchase Agreement.

1.Right to Purchase Option Aircraft.

Subject to the terms and conditions contained in this Letter Agreement, in addition to the Aircraft described in Table 1 to the Purchase Agreement as of the date of execution of this Letter Agreement, Customer will have the option to purchase additional Boeing Model 7378 aircraft as option aircraft (Option Aircraft).

2.Delivery.

The number of Option Aircraft and delivery dates are listed in the Attachment 1-A and 1-B (collectively Attachment 1) to this Letter Agreement. The Attachment 1-A Aircraft are the Original Option Aircraft (Original Option Aircraft) and the Attachment 1-B Aircraft are the 2020 Option Aircraft (2020 Option Aircraft).

3.Configuration.

3.1 Subject to the provisions of Article 0, below, the configuration for the Option Aircraft will be the Detail Specification for Boeing Model 7378 aircraft at the revision level in effect at the time of Definitive Agreement (as defined in Article 8). Such Detail Specification will be revised to include (i) changes applicable to the Detail Specification that are developed by Boeing between the Option Exercise Date (as defined below) and the signing of the Definitive Agreement, (ii) changes required to obtain required regulatory certificates, and (iii) other changes as mutually agreed.


SWA-PA-03729-LA-1106474R4			SA-13
Option Aircraft			Page 1
BOEING PROPRIETARY

3.2 Boeing reserves the right to configure the Option Aircraft starting from a different configuration specification, provided that it can achieve the same configuration which would result pursuant to the provisions of Article 3.1.

4. [***]

5. [***]

6. [***]


SWA-PA-03729-LA-1106474R4			SA-13
Option Aircraft			Page 2
BOEING PROPRIETARY

7. [***]

8. [***]

9.Assignment.

Notwithstanding any other provisions of the Purchase Agreement, the rights and obligations described in this Letter Agreement are provided to Customer in consideration of Customer’s becoming the operator of the Option Aircraft and cannot be assigned in whole or in part.

10.Confidentiality

Customer understands that certain commercial and financial information contained in this Letter Agreement is considered by Boeing as confidential and has value precisely because it is not available generally to other parties. Customer agrees to limit the disclosure of the contents of this Letter Agreement to (a) its directors and officers, (b) employees of Customer with a need to know the contents for performing its obligations (including, without limitation, those employees performing accounting, finance, administration and other functions necessary to finance and purchase, deliver or lease the Aircraft) and who understand they are not to disclose its contents to any other person or entity (other than those to whom disclosure is permitted by this Article) without the prior written consent of Boeing and (c) any auditors and attorneys of Customer who have a need to know such information and have signed a confidentiality agreement in the same form and substance similar to this Article, or are otherwise bound by a confidentiality obligation. Disclosure to other parties is not permitted without Boeing’s consent except as may be required by applicable law or governmental regulations. Customer shall be fully responsible to Boeing for compliance with such obligations.


SWA-PA-03729-LA-1106474R4			SA-13
Option Aircraft			Page 3
BOEING PROPRIETARY

Very truly yours,


THE BOEING COMPANY
By		/s/ *Carson J May*
Name		Carson J. May
Its		Attorney-In-Fact

ACCEPTED AND AGREED TO this
Date:	April 29 , 2021

SOUTHWEST AIRLINES CO.
By		/s/ *Chris Monroe*
Name		Chris Monroe
Its		SVP Finance and Treasurer


SWA-PA-03729-LA-1106474R4			SA-13
Option Aircraft			Page 4
BOEING PROPRIETARY


Attachment 1-A To
Letter Agreement No. 1106474
Aircraft Delivery, Description, Price and Advance Payments

Airframe Model/MTOW: 737-8

181,200 pounds

Detail Specification:

D019A008-S (5/1/2017)

Engine Model/Thrust: CFMLEAP-1B28(1)

28,800 pounds

Airframe Price Base Year/Escalation Formula:

Jul-11

ECI-MFG/CPI

Airframe Price:

[***]

Engine Price Base Year/Escalation Formula:

N/A

Optional Features:

[***]

Sub-Total of Airframe and Features:

[***]

Airframe Escalation Data:

Engine Price (Per Aircraft):

[***]

Base Year Index (ECI):

[***]

Aircraft Basic Price (Excluding BFE/SPE):

[***]

Base Year Index (CPI):

[***]

Buyer Furnished Equipment (BFE) Estimate:

[***]

Seller Purchased Equipment (SPE) Estimate:

[***]

Non-Refundable Deposit/Aircraft at Def Agreement

[***]

Delivery

Date

Number of

Aircraft

Escalation Factor (Airframe)

Option Exercise Date Deadline

Note

MSN

Escalation Estimate Adv Payment Base Price Per A/P

Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Mar-2022

[***]

Remarket Aircraft**

67206, 67205, 67207, 67208, 67209

[***]

Apr-2022

[***]

Remarket Aircraft**

67210, 67211, 67212, 67213, 67214

[***]

Apr-2022

[***]

Remarket Aircraft**

67216, 67215

[***]

May-2022

[***]

Remarket Aircraft**

[***]

May-2022

[***]

Remarket Aircraft**

67218, 67217

[***]

Jun-2022

[***]

Remarket Aircraft**

[***]

Jul-2022

[***]

Remarket Aircraft**

[***]

Aug-2022

[***]

Remarket Aircraft**

[***]

Sep-2022

[***]

Remarket Aircraft**

[***]

Sep-2022

[***]

Oct-2022

[***]

Remarket Aircraft**

[***]

Oct-2022

[***]

Nov-2022

[***]

Remarket Aircraft**

[***]

Nov-2022

[***]

Dec-2022

[***]

Remarket Aircraft**

[***]

Dec-2022

[***]

Jan-2023

[***]

Remarket Aircraft**

[***]

Jan-2023

[***]

Feb-2023

[***]

Remarket Aircraft**

[***]

Mar-2023

[***]

Remarket Aircraft**

[***]

Mar-2023

[***]


		SA-13
WA-PA-03729-LA-1106474 107813 116801-1F.txt	Boeing Proprietary	Page 1


Attachment 1-A To
Letter Agreement No. 1106474
Aircraft Delivery, Description, Price and Advance Payments

Delivery

Date

Number of

Aircraft

Escalation Factor (Airframe)

Option Exercise Date Deadline

Note

MSN

Escalation Estimate Adv Payment Base Price Per A/P

Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Apr-2023

[***]

Remarket Aircraft**

[***]

May-2023

[***]

Remarket Aircraft**

[***]

Jun-2023

[***]

Remarket Aircraft**

[***]

Jul-2023

[***]

Remarket Aircraft**

[***]

Jul-2023

[***]

Aug-2023

[***]

Remarket Aircraft**

[***]

Sep-2023

[***]

Remarket Aircraft**

[***]

Sep-2023

[***]

Oct-2023

[***]

Remarket Aircraft**

[***]

Nov-2023

[***]

Remarket Aircraft**

[***]

Nov-2023

[***]

Dec-2023

[***]

Remarket Aircraft**

[***]

Dec-2023

[***]

Jan-2024

[***]

Feb-2024

[***]

Mar-2024

[***]

Apr-2024

[***]

May-2024

[***]

Jun-2024

[***]

Jun-2024

[***]

Jan-2025

[***]

Feb-2025

[***]

Mar-2025

[***]

Apr-2025

[***]

May-2025

[***]

May-2025

[***]

Previously Earned

***

[***]

Jun-2025

[***]

Previously Earned

***

[***]

Total: 120

* [***]

** [***]

*** [***]

Note:


		SA-13
WA-PA-03729-LA-1106474 107813 116801-1F.txt	Boeing Proprietary	Page 2


Attachment 1-A To
Letter Agreement No. 1106474
Aircraft Delivery, Description, Price and Advance Payments

Delivery

Date

Number of

Aircraft

Escalation Factor (Airframe)

Option Exercise Date Deadline

Note

MSN

Escalation Estimate Adv Payment Base Price Per A/P

Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

(1) [***]


		SA-13
WA-PA-03729-LA-1106474 107813 116801-1F.txt	Boeing Proprietary	Page 3

Dates Referenced Herein and Documents Incorporated by Reference

This ‘10-Q’ Filing	Date	Other Filings

Filed on:	7/27/21
For Period end:	6/30/21	3
	12/13/11	8-K
		List all Filings

3 Subsequent Filings that Reference this Filing

  As Of               Filer                 Filing    For·On·As Docs:Size             Issuer                      Filing Agent

 2/06/24  Southwest Airlines Co.            10-K       12/31/23  113:49M
 2/07/23  Southwest Airlines Co.            10-K       12/31/22  110:20M
 2/07/22  Southwest Airlines Co.            10-K       12/31/21  108:29M

2 Previous Filings that this Filing References

  As Of               Filer                 Filing    For·On·As Docs:Size             Issuer                      Filing Agent

11/21/16  Southwest Airlines Co.            8-K:5,9    11/17/16    2:178K                                   Donnelley … Solutions/FA
 7/27/12  Southwest Airlines Co.            10-Q        6/30/12   48:13M

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Filing Submission 0000092380-21-000143 – Alternative Formats (Word / Rich Text, HTML, Plain Text, et al.)

Southwest Airlines Co. – ‘10-Q’ for 6/30/21 – ‘EX-10.1’

On: Tuesday, 7/27/21, at 2:34pm ET · For: 6/30/21 · Accession #: 92380-21-143 · File #: 1-07259

Quarterly Report — Form 10-QFiling Table of Contents

‘EX-10.1’ — EX-10.1 Boeing Supplemental Agreement No. 13

This Exhibit is an HTML Document rendered as filed. [ Alternative Formats ]

Dates Referenced Herein and Documents Incorporated by Reference

3 Subsequent Filings that Reference this Filing

2 Previous Filings that this Filing References

Quarterly Report — Form 10-Q

Filing Table of Contents