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Southwest Airlines and Archer Aviation Partner to Develop Electric Air Taxi Networks in California

Southwest Airlines Co. (NYSE: LUV) and Archer Aviation Inc. (NYSE: ACHR) have signed a memorandum of understanding (MOU) to develop operational plans for electric air taxi networks utilizing Archer's eVTOL aircraft at California airports where Southwest operates. Archer Aviation is a leading manufacturer of electric vertical takeoff and landing (eVTOL) aircraft.

Southwest, California's largest air carrier, operates at 14 airports across the state. Archer's Midnight aircraft is designed to transform urban travel, replacing 60-to-90-minute commutes by car with estimated 10-to-20-minute electric air taxi flights. The goal of Archer's aircraft is to offer a safe, low-noise, cost-competitive transportation option with no direct emissions.

Southwest and Archer plan to collaborate on a concept of operations that lays the foundation for integrated electric air taxi networks supporting California airports and the surrounding communities that Southwest serves. This collaboration will include partnering with Southwest employees and respective unions, including SWAPA, to maintain and improve efficient operations. This is a key step toward potentially offering Southwest customers an airport transport service that saves time by streamlining the door-to-door passenger journey.

"Southwest is eager to explore the convenience Archer's air taxis could provide customers flying Southwest at airports in busy urban areas," said Paul Cullen, Vice President Real Estate at Southwest Airlines. "We've proudly served as California's largest carrier for nearly 25 years, and integrating Archer's electric aircraft into the travel journey potentially gives us an innovative opportunity to enhance the experience of flying Southwest. We look forward to collaborating with Archer as we assess future commercial activities in California and other Southwest locations."

"Archer's collaboration with Southwest to introduce air taxis in California showcases our state's dedication to climate innovation and advanced technology," said Dee Dee Myers, Senior Advisor to Governor Gavin Newsom and Director of the Governor's Office of Business and Economic Development. "This initiative is designed to help revolutionize clean transportation with zero-direct emission and affordable options, enhancing the passenger experience, and supporting California's climate action goals."

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