Exhibit 11
Page 1 of 3
Southwest Airlines Co.
Computation of Earnings Per Share
For the Year Ended December 31, 1994
Fully
Primary Diluted
--------------- --------------
Weighted average shares outstanding 143,046,509 143,046,509
Shares issuable upon exercise of outstanding
stock options (treasury stock method) 4,258,865 4,259,233
--------------- --------------
Weighted average common and common
equivalent shares 147,305,374 147,305,742
=============== ==============
Earnings for per share computations $179,331,000 $179,331,000
=============== ==============
Earnings per common and common equivalent $1.22 $1.22
share
=============== ==============
Exhibit 11
Page 2 of 3
Southwest Airlines Co.
Computation of Earnings Per Share
For the Year Ended December 31, 1993
Fully
Primary Diluted
--------------- -------------
Weighted average shares outstanding 142,622,160 142,622,160
Shares issuable upon exercise of outstanding
stock options (treasury stock method) 4,522,408 4,676,476
--------------- -------------
Weighted average common and common
equivalent shares 147,144,568 147,298,636
=============== =============
Earnings for per share computation before
cumulative $154,284,000 $154,284,000
effect of accounting changes
Cumulative effect of accounting change 15,259,000 15,259,000
--------------- -------------
Earnings for per share computation after
cumulative effect of accounting changes $169,543,000 $169,543,000
=============== =============
Earnings for per common and common
equivalent
share before cumulative effect of accounting $1.05 $1.05
change =============== =============
Earnings for per common and common
equivalent share after cumulative effect of $1.15 $1.15
accounting change =============== =============
Note: The share and per share amounts have been adjusted to reflect the three-
for-two stock split distributed July 15, 1993.
Exhibit 11
Page 3 of 3
Southwest Airlines Co.
Computation of Earnings Per Share
For the Year Ended December 31, 1992
Fully
Primary Diluted
-------------- --------------
Weighted average shares outstanding 138,967,858 138,967,858
Shares issuable upon exercise of outstanding stock
options (treasury stock method) 3,978,032 4,148,157
Shares applicable to subordinated debentures coverted
in first quarter 1992 -- 1,013,918
--------------- --------------
Weighted average common and common
equivalent shares 142,945,890 144,129,933
=============== ==============
Pro forma earnings before cumulative effect of
accounting change $ 97,385,000 $ 97,385,000
Add: Interest on $35,000,000 convertible
debentures N/A 443,000
Less: Tax effect @ 38.5% N/A (170,000)
--------------- --------------
Pro forma earnings for per share computations before
cumulative effect of accounting change $ 97,385,000 $ 97,658,000
Cumulative effect of accounting change 12,538,000 12,538,000
--------------- --------------
Pro forma earnings for per share computations after
cumulative effect of accounting change $109,923,000 $110,196,000
=============== ==============
Pro forma earnings for per common and common
equivalent share before cumulative effect of
accounting $0.68 $0.68
change
=============== ==============
Pro forma earnings for per common and common
eqivalent share after cumulative effect of accounting
change $0.77 $0.76
=============== ==============
Note: The share and per share amounts have been adjusted to reflect the three-
for-two stock and the two-for-one stock splits distributed July 15, 1993
and July 15, 1992, respectively.