Southwest Airlines Fined Over False Fares

The airline is being fined $300K

   

Southwest Airlines Fined Over False Fares

Southwest Airlines (LUV) is being fined $300,000 for false advertising.

SouthwestAirlinesLogo Southwest Airlines Fined Over False FaresA Southwest ad ran last October that offered flights from Atlanta to Chicago, Los Angeles and New York for only $59. After customers called to book their flights, Southwest Airlines informed them that the price on the ad was a mistake and the company did not offer those deals.

The U.S. Department of Transportation said that these ads violated the department’s advertising rules and fined the airline $200,000 for the violation. The department had issued an additional $100,000 fine to Southwest Airlines last July for a Valentine’s Day promotion that was not honored.

The July penalty had been suspended by the DOT but Southwest Airlines will now have to pay both fines.

LUV stock is up Friday afternoon.

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Article printed from InvestorPlace Media, http://investorplace.com/2014/05/southwest-airlines-fined-false-fares/.

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