Originally Posted by shoelu

How do you keep the fleet flat and the capacity flat while up gauging? Up gauging by its very nature means substituting larger aircraft for smaller ones, right? Most of the Max options are for the Max 8 while it was recently announced that SWA will be launch customer for the Max 7 as well.

As a component of its AirTran integration, fleet modernization initiatives, and careful capital management, the Company has revised its aircraft delivery schedule. For 2014, five Boeing 737-700 firm orders have been converted to 737-800s, five options were exercised for -800 deliveries from Boeing, and five options to purchase Boeing Next Generation (NG) aircraft were relinquished. Five options in 2015 were also relinquished. Separately, the Company has agreed to purchase ten pre-owned 737-700s for delivery in 2014 and 2015. Twelve 737NG options held by the Company in 2014 and 2015, as well as 29 options in 2017 and 2018, were converted to 737 MAX options and deferred beyond 2024. The Company also converted 30 Boeing 737NG firm orders in 2017 and 2018 to MAX firm orders and deferred them to 2019 through 2021.