Longtime leaders at Southwest Airlines are out

Southwest Airlines announced on Thursday that two of the company’s longtime executive officers have made plans to retire.

The announcement follows Tuesday's news that the airline has sold 36 of its Boeing 737-800 and put them in a leaseback agreement to raise cash.

Executive Vice President & Chief Financial Officer Tammy Romo and Chief Administration Officer Linda Rutherford will retire from their positions effective April 1.

"For more than three decades, Tammy and Linda have led our organization with vision, integrity, and an unwavering commitment to excellence," said Bob Jordan, president, chief executive officer, & vice chairman of the Board of Directors at Southwest Airlines. "Both have managed the company through highs and lows—and Southwest Airlines is better because of their influence on many of our most significant achievements. We are grateful for their contributions, which will shape our future for years to come."

During an Investor Day event in September, airline management introduced a transformational plan titled 'Southwest. Even Better.’ In addition, the company’s COO Andrew Watterson said in a video message to staff that “difficult decisions” are coming to boost profits.

According to a CNBC article, the carrier was also facing pressure from activist Elliott Investment Management, which has sought leadership changes at the company.

Tammy Romo

Romo joined Southwest Airlines in 1991 and has held many leadership roles in the past 33 years, including Head of Investor Relations, Controller, Treasurer, and Senior Vice President Planning. She became Executive Vice President & Chief Financial Officer in 2012, and since that time, has been responsible for overseeing the airline's finance activities and initiatives, as well as Supply Chain Management, Corporate Strategy, Fuel Strategy & Management, Fleet Strategy & Management, and Environmental Sustainability.

Southwest will begin a search for Romo's replacement.

Linda Rutherford

Rutherford came to Southwest in 1992 as a Public Relations Coordinator after time spent working as a news journalist. At Southwest, Rutherford has focused largely on the communications space, including serving as the Chief Communications Officer for seven years before assuming her current role as Chief Administration Officer. In her current capacity, Linda oversees Culture & Communications, Internal Audit, People, Talent & Leadership, Total Rewards, Technology, and Southwest University.

Southwest did not mention a replacement for Rutherford in a company press release.

New rocket from Blue Origin prepares for inaugural flight

The launch of Blue Origin’s New Glenn rocket is targeting no earlier than Monday, from Launch Complex 36 at Cape Canaveral Space Force Station, Fla. This will be the inaugural mission (NG-1) for New Glenn.

A three-hour launch window opens at 1 a.m. EST on Monday. NG-1 is the company’s first National Security Space Launch certification flight.

New Glenn will carry the company’s Blue Ring Pathfinder into space. It will test Blue Ring’s core flight, ground systems, and operational capabilities as part of the Defense Innovation Unit’s Orbital Logistics prototype effort.

“Our key objective is to reach orbit safely,” the company said in a statement on its website.

After launch, the main booster will attempt to land on a floating platform offshore.

“We know landing the booster on our first try offshore in the Atlantic is ambitious—but we’re going for it,” the company said.

“This is our first flight, and we’ve prepared rigorously for it,” said Jarrett Jones, SVP, New Glenn. “But no amount of ground testing or mission simulations are a replacement for flying this rocket. It’s time to fly. No matter what happens, we’ll learn, refine, and apply that knowledge to our next launch.”

Meet New Glenn

New Glenn stands more than 320 feet high and features a seven-meter payload fairing, enabling twice the volume of standard five-meter class commercial launch systems. The rocket’s reusable first stage aims for a minimum of 25 missions and will land on Jacklyn, a sea-based platform located several hundred miles from the launch site. Reusability is integral to radically reducing cost-per-launch.

The vehicle is powered by seven Blue Origin BE-4 engines, the most powerful liquefied natural gas (LNG)-fueled, oxygen-rich staged combustion engine ever flown. The seven BE-4s generate over 3.8 million pounds of thrust. The vehicle’s second stage is powered by two BE-3Us, liquid oxygen (LOX)/liquid hydrogen (LH2) engines.

Southwest Airlines sells and leasebacks 36 aircraft to raise cash

Southwest Airlines and Babcock & Brown Aircraft Management (BBAM) announced Tuesday the sale and leaseback of 36 Boeing 737-800 aircraft. Incline Aviation III, the third in BBAM's flagship aviation investment fund series, will own and lease the aircraft to Southwest Airlines.

Steve Zissis, president and CEO of BBAM said the transaction underscores the company’s commitment to delivering tailored fleet financing solutions to airlines.

“We are excited to partner with Southwest Airlines, one of the world's most admired and awarded airlines, on this landmark sale-leaseback transaction,” Zissis said in a company press release. “We look forward to a long and successful relationship with Southwest Airlines."

Tammy Romo, executive vice president and CFO of Southwest Airlines said the sale and leaseback is part of the company’s transformational plan announced last year.

“This transaction is part of our 'Southwest. Even Better.' transformational plan introduced in September at Investor Day,” Romo said. “By opportunistically monetizing surplus value from a portion of our existing all-Boeing 737 fleet, Southwest is generating significant cash to drive fleet modernization and offset capital expenditures in support of our capital allocation strategy.  We are very pleased to partner with BBAM, one of the world's leading aircraft lessors, on this transaction."

Southwest Airlines offers service at 117 airports across 11 countries. The airline launched in 1971.

Air Canada will have a spot at new JFK terminal in 2026

JFK Millennium Partners (JMP) and Air Canada announced Monday that the airline will operate from the new Terminal 6 (T6) at John F. Kennedy International Airport in 2026. JPM was selected by the Port Authority of New York & New Jersey to build and operate the new terminal at JFK airport.

Air Canada will join fellow Star Alliance partners Lufthansa, SWISS, Austrian Airlines, Brussels Airlines, and ANA at the future terminal.

Terminal 6 is a key component of the Port Authority of New York and New Jersey's $19 billion transformation of JFK into a world-class gateway, with two new terminals, two expanded and modernized terminals, a new ground transportation center, and an entirely new, simplified roadway network.

Air Canada passengers can look forward to T6's digital-first, boutique guest experience, with a less than 5-minute average walk from the TSA security checkpoint exit to all gates,100,000 square feet of NYC-inspired shopping, dining, lounges and amenities, curated public art, sustainable operating features, and a premium guest experience throughout the terminal.

Air Canada Express-Jazz currently operates two daily flights from Toronto and one daily flight from Montreal to JFK Terminal 7 using Embraer E175 aircraft. The JFK service, which has been in place since March 2023, complements Air Canada's existing operations at New York's LaGuardia and Newark Airport, offering passengers a combined total of 36 daily flights between the New York market and Canada.

"We are thrilled that Air Canada has selected T6 as its future home at JFK,” said Steve Thody, JPM CEO. "This decision is also a testament to the close partnership we've built with Air Canada at T7, and we can't wait to strengthen that partnership even further as we welcome Air Canada passengers to our new, state-of-the-art T6 facility.”

"Moving our operation to T6 will improve the airport experience for our customers," said Mark Galardo, executive vice president of Revenue and Network Planning at Air Canada.

About JFK Terminal 6

Currently under construction at John F. Kennedy International Airport, Terminal 6 is being developed in two phases, with the first six gates opening in 2026 and construction completion expected by 2028. Terminal 6 features include:

• 10 gates, of which nine will accommodate widebody aircraft
• State-of-the-art automated baggage system, customs/border control facilities, and the latest TSA screening technologies
• One of the longest departures curbs at JFK, with airline-branded passenger drop-off zones
• Multiple airline lounges, in addition to a new arrivals lounge
• A new ground transportation center
• A curated collection of New York City-inspired artwork featuring local and international artists, curated by the Public Art Fund in partnership with JMP and the Port Authority of New York & New Jersey
• Sustainably sourced building materials, rooftop solar power, and energy-efficient systems and operating practices throughout the terminal
• Sustainability certifications for LEED (silver or gold), Envision, and SITES underway

Virginia Senator submits bill for legal online casinos

The idea of online casinos coming to the Commonwealth of Virginia was thought to be several years away. Not so according to a new bill filed and scheduled to be offered this year.

State Sen. Mamie Locke has pre-filed online casino bill SB827 and plans to officially offer the document on Jan. 8.

The bill, if passed, would authorize Internet gaming in the Commonwealth to be regulated by the Virginia Lottery Board. The bill permits the board to issue an Internet gaming operator license to casino gaming operators that meet certain qualifications and pay an application fee of $1 million. The license would be good for five years.

A tax rate of 15% would be placed on the casino operator's adjusted gross revenue with 2.5 percent allocated to the Problem Gambling Treatment and Support Fund and the remaining 97.5 percent allocated to the general fund. The state currently applies a 15% tax rate on online sports betting revenue that was launched in the Old Dominion in January 2021.

Illegal Online Casino Market

In recent years states have started fighting back against online casinos operating in the U.S. that are based outside its border. Locke’s new bill states Internet gaming is “prohibited” except when offered by a licensed gaming operator.

New Jersey was the first state to legalize online gambling within its borders. Today, seven states allow online casinos in their jurisdiction; New Jersey, Michigan, West Virginia, Connecticut, Delaware, Pennsylvania, Rhode Island, and West Virginia.

In December 2023, Michigan, and a few other states, sent cease-and-desist letters to sweepstakes casinos available in the U.S. Sweepstakes operators aren’t regulated, licensed, or subject to gaming taxes. These websites are operated by companies outside the United States, also referred to as offshore websites.

Virginia’s First Casinos

Virginia opened its first land-based gambling site, Bristol Casino, in July 2022. Bristol Casino was a temporary location for Hard Rock Hotel & Casino Bristol which is now open. Rivers Casino Portsmouth opened in January 2023 followed by Caesars Virginia in December 2024. Two additional casinos are planned in Norfolk and Petersburg.

Billion Dollar Gambling Market

Virginia’s Joint Subcommittee on Gaming heard testimony from a series of consulting and industry experts last year on the effects of online casinos.

According to a recent American Gaming Association study, Americans have spent nearly $338 billion with “illegal” iGaming operators in foreign countries.

Michelle MacGregor, a Senior Policy Advisor for the Sports Betting Alliance, provided an overview of iGaming and how it’s slowly being introduced in U.S. states with heavy regulations not found with illegal Internet sites.

“I can’t stress enough that legalized iGaming is among the highest-regulated industries in America,” MacGregor told the subcommittee. “Any licensee is required to be compliant with anti-money laundering regulations and financial solvency requirements. And of course, they incorporate top-of-the-line geolocation technology, consumer age and verification measures, and safeguards for responsible gaming. It’s worthwhile looking at it from a public policy perspective and say hey, maybe consumers want this in a legalized channel.”

MacGregor highlighted Michigan, Pennsylvania, and New Jersey, each generating over $1.7 billion in gross gaming revenue in 2023 which comes out to just over a billion dollars in tax dollars across those three states.

Since January 2021, Virginia's online sports betting market has handled over $19 billion from bettors in the state.

A study funded by the Sports Betting Alliance and released in April 2024 looked at the potential economic impact of legalizing iGaming in five states, Virginia being one of them.

The Analysis Group, author of the report, said legalized iGaming in New York, Illinois, Louisiana, Maryland and Virginia could provide a combined total of over $42 billion between 2025 and 2029. Focusing on the Commonwealth, the study states iGaming has the potential to generate revenues of $5.4 billion for Virginia over the same period.

Bally Bet sportsbook cancels bets for Georgia vs. Notre Dame game

Due to the game being rescheduled beyond the originally planned time (Wednesday at 8:45 p.m.), Bally Bet announced on Thursday they have canceled all bets on the Georgia Bulldogs vs. Notre Dame Fighting Irish game.

Bally Bet emailed customers on Thursday saying the wagers “have been voided in accordance with our House Rules.” The game is now set to take place on Thursday at 4 p.m.

Notre Dame was set to play Georgia in a College Football Playoff quarterfinal at the Allstate Sugar Bowl on Wednesday night. The game has been rescheduled for Thursday in the wake of a large-scale fatal attack in New Orleans which the FBI is investigating as an act of terrorism.

If you previously placed a wager on this event:

•    The funds from your voided bet have been credited back to your account. •    The event is now available with an updated date, and you can place a new bet on the rescheduled game.

“We apologize for any inconvenience this change may have caused,” the company said. “If you have any questions or need assistance, our support team is here to help.”

Virginia bettors dropped $760 million on sports in November

On Tuesday, the Virginia Lottery released its latest report on sports wagering activity in the Commonwealth. The report looks at revenue totals submitted by licensed operators for November.

Between Nov. 1 and Nov 30 bettors in Virginia wagered $760,965,450 on sports, that’s 19.1% higher than November 2023. The Old Dominion is currently host to 12 online sportsbooks: Bally Bet, bet265, BetMGM, Betr Sportsbook, BetRivers Sportsbook, Caesars Sportsbook, DraftKings Sportsbook, ESPN BET, Fanatics Sportsbook, FanDuel Sportsbook, Hard Rock Bet, and Sporttrade.

Sporttrade is the newest operator to open in Virginia launching in October.

In addition to mobile online operators, in-person betting is available at three retail sportsbooks: Hard Rock Hotel & Casino Bristol, Rivers Casino Portsmouth, and Caesars Virginia in Danville.

From the $760 million bet in November, $674,614,210 was paid out as winnings to bettors. After paying out winnings and other authorized deductions, sportsbooks combined held 11.35% as adjusted gross revenue (AGR), or $80,644,860.

State law places a 15% tax on sports betting activity based on each operator’s AGR. Ten operators reported net positive AGR for November, leading to $12.1 million in tax payments to the state.

Sports Betting vs Casinos

Sports betting revenue is a big leader in the state when it comes to gambling.

On Dec. 13, the Virginia Lottery released its report on casino gaming activity in the state for November. Gaming revenue from the three casinos during the month totaled $63.6 million.

As with sports betting, Virginia assesses a tax on casino revenue. The Virginia Lottery report shows $13.3 million in taxes was paid to the Gaming Proceeds Fund.