Form: 10-Q

Quarterly report pursuant to Section 13 or 15(d)

August 14, 1996

Published on August 14, 1996





EXHIBIT (11.1)
Page 1 of 4
Southwest Airlines Co.
Computation of Earnings Per Share
For the Three Months Ended June 30, 1996





Fully
Primary Diluted

Weighted average shares outstanding 144,705,676 144,705,676

Shares issuable upon exercise of outstanding
stock options (treasury stock method) 8,969,735 8,969,761

Weighted average common and common
equivalent shares 153,675,411 153,675,437

Earnings for per share computations 85,316,000 85,316,000

Earnings per common and common equivalent share $0.56 $0.56




EXHIBIT (11.1)
Page 2 of 4
Southwest Airlines Co.
Computation of Earnings Per Share
For the Three Months Ended June 30, 1995



Fully
Primary Diluted


Weighted average shares outstanding 143,606,941 143,606,941

Shares issuable upon exercise of outstanding
stock options (treasury stock method) 3,740,600 3,859,725

Weighted average common and common
equivalent shares 147,347,541 147,466,666

Earnings for per share computations 59,724,000 59,724,000

Earnings per common and common equivalent share $0.41 $0.41




EXHIBIT (11.1)
Page 3 of 4

Southwest Airlines Co.
Computation of Earnings Per Share
For the Six Months Ended June 30, 1996



Fully
Primary Diluted

Equivalent shares outstanding at March 31, 1996 152,402,780 153,449,020

Equivalent shares outstanding at June 30, 1996 153,675,411 153,675,437

306,078,191 307,124,427

Average number of equivalent shares outstanding 153,039,096 153,562,229

Earnings for per share computations $118,317,000 $118,317,000

Earnings per common and common equivalent share $0.77 $0.77



EXHIBIT (11.1)
Page 4 of 4


Southwest Airlines Co.
Computation of Earnings Per Share
For the Six Months Ended June 30, 1995


Fully
Primary Diluted

Equivalent shares outstanding at March 31, 1995 146,532,231 146,532,231

Equivalent shares outstanding at June 30, 1995 147,347,541 147,466,666

293,879,772 293,998,897

Average number of equivalent shares outstanding 146,939,886 146,999,449

Earnings for per share computations $71,550,000 $71,550,000

Earnings per common and common equivalent share $0.49 $0.49