San Antonio airport officials and low-cost-carrier 
Southwest Airlines are set to meet in federal court this Tuesday, in an attempt to end the year-long legal battle that has brewed over the airport’s $1.7 billion Terminal C. This has stemmed from a long-term lease agreement, which Southwest wants voided, to enable negotiations for additional gate allocations at the Texan airport.
Currently, the lease restricts Southwest from the airport’s third terminal plans, and delegates the world’s largest low-cost carrier to solely operate from Terminal A (the carrier’s current terminal).
Terminal C Is Set To Open In 2028
Photo: Robert V Schwemmer | Shutterstock
San Antonio International Airport is located eight miles (13 kilometers) from the city’s downtown. Consisting of three runways, the airport on average sees 260 daily departures across its current 27 gates. In 2023, the airport commenced terminal expansion, which would see the renovation of Terminal A and the upgrading of the airfield to accommodate continued growth. The new Terminal C will create an additional 17 domestic and international gates, six of which can accommodate widebody aircraft.
The renovation of Terminal A will see state-of-the-art systems and a wider concourse introduced, providing space for additional airport concessions. Terminal A is currently where Southwest operates its services to Atlanta, Baltimore, Chicago Midway, Dallas Love, Denver, El Paso, Houston Hobby, Kansas City, Las Vegas, Los Angeles, Nashville, New Orleans, Oklahoma City, Orlando, Phoenix–Sky Harbor, San Diego, St. Louis, and Tampa, with seasonal services added to Albuquerque, Burbank, Cancún, Colorado Springs, and Fort Lauderdale during peak times.
The current beef between Southwest and the San Antonio airport is that the airport’s director, Jesus Saenz, had ‘repeatedly promised’ Southwest could operate from the new terminal.
No Room For Southwest At Terminal C
Photo: Glenn Beltz | Wikimedia Commons
As cited by Express News, Southwest has claimed that Saenz promised Southwest would be able to expand its operations and serve flights from the new terminal, even though the airport official never had any intentions of allocating gates to Southwest in the new facility. Terminal C is expected to be where the majority of international flights will operate, which could enable Southwest to expand its international footprint from the airport to destinations within the capabilities of its all Boeing 737 fleet of aircraft.
Southwest is frustrated that the airport allegedly broke the law by using ‘subjective factors’, which have limited the routes and services offered by Southwest, allowing the airport to decide on airlines that offer and fit better in the new terminal. The city and airport have fought back, saying that the airline’s interpretation of the Airline Deregulation Act is that they can twist the law to benefit the airline.
Before Southwest learned that it would be restricted to only operating from Terminal A, the carrier had promised $200 million towards renovations for its existing terminal. However, realizing they would be excluded from Terminal C, the airline has stressed that there was never enough money to make the appropriate amount of upgrades required to align with their projected growth plans. Southwest has refused to sign a long-term lease at the airport following the spat, meaning it has been paying millions in additional airport fees.
$100 Million In Additional Upgrades
Photo: Austin Deppe | Shutterstock
Before Southwest filed its lawsuit against the city, there was an offer of $100 million in extra upgrades to the terminal from the city. Terminal A, for reference, has been in its current state since the 1980s, and remains with one of the narrowest concourses in all US airports. Its air conditioning and electrical systems are also wildly out of date.
The two parties attempted to settle their differences outside of court, but have been unable to settle, with the city now claiming that WN has attempted to get an additional $150 million in cash payments since its December talks.
- IATA Code
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WN
- ICAO Code
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SWA
- Hub(s)
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Baltimore/Washington International Thurgood Marshall Airport, Dallas Love Field, Denver International Airport, Harry Reid International Airport, Hartsfield-Jackson Atlanta International Airport, Houston Hobby Airport, Los Angeles International Airport, Midway International Airport, Oakland International Airport, Orlando International Airport, Phoenix Sky Harbor International Airport
- Year Founded
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1967
Southwest has requested the Federal Aviation Administration (FAA) to review the current handling and allocation of gate assignments and push to revoke government grants if airports don’t rectify violations of federal law.