Some Southwest Customers Will Get Free Drink Chits, Lawyers Pocket $1.6 Million (and are...

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    Southwest Airlines has a long history with alcohol, and not simply because their long-time Chairman Herb Kelleher had a thing for Wild Turkey. Prior to deregulation in 1978, the Civil Aeronautics Board was 'experimenting with price competition' and airlines were allowed to cut their Dallas - Houston fare to $13 and undercut Southwest (which as an intra-state airline wasn't subject to the CAB's price regulation). Southwest responded by offering two fares: a $13 matching fare, and their previous $26 fare with which they threw in a fifth of liquor (customer's choice). Folks expensing their tickets bought the higher fare, and Southwest Airlines became the biggest liquor distributor in the state of Texas. Continue reading Some Southwest Customers Will Get Free Drink Chits, Lawyers Pocket $1.6 Million (and are Unhappy!)...

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