Southwest Airlines projects weak pricing power in Q2

Southwest Airlines says a key revenue ratio will be weaker than expected in the second quarter because of changes in how consumers book travel. That’s not good news for Southwest, which is already under pressure from a hedge fund to make big changes, including getting rid of the CEO. Southwest says second-quarter revenue will rise as it adds more flights. But on a per mile basis, revenue will decline more than Southwest previously thought. That’s a sign of weak pricing power.