Southwest Airlines $LUV ( ▲ 5.7% ) said Friday that the 43-day government shutdown will take a meaningful bite out of its finances. The airline now expects its full-year earnings before interest and taxes to come in at $500 million, down from its previous range of $600 million to $800 million, as lower demand during the shutdown and higher fuel costs weigh on results.
The company estimated that the shutdown alone will reduce annual EBIT by $100 million to $300 million. Southwest noted that bookings have since bounced back to normal levels, but shares still slipped about 1 percent in premarket trading.
Southwest is the second major carrier to put a dollar figure on the disruption. Delta Air Lines $DAL ( ▼ 0.21% ) said earlier this week that the shutdown will cost it $200 million in the fourth quarter.