Dallas

Herb Kelleher, Aviation Pioneer and Southwest Airlines Founder, Dies at 87

Kelleher is a Texas icon and maverick who pioneered an employee-first business model

Herb Kelleher, co-founder and Chairman Emeritus of Dallas-based Southwest Airlines, died Thursday at the age of 87.

What to Know

  • Kelleher co-founded Southwest Airlines in 1967; first flight was in 1971.
  • Often regarded as a maverick and a pioneer for spearheading an employee-first philosophy in management.
  • Funeral arrangements for Kelleher are pending.

Herb Kelleher, co-founder and Chairman Emeritus of Dallas-based Southwest Airlines, died Thursday at the age of 87.

"Herb was a pioneer, a maverick, and an innovator. His vision revolutionized commercial aviation and democratized the skies. Herb’s passion, zest for life, and insatiable investment in relationships made lasting and immeasurable impressions on all who knew him and will forever be the bedrock and esprit de corps of Southwest Airlines," the airline said in a statement. "The entire Southwest Family extends our deepest sympathies to Herb’s wife, Joan, and his entire family."

The airline posted online a long farewell to its founder, which can be read here.

Kelleher's private funeral, for friends and family, will be held Wednesday at Christ Episcopal Church in San Antonio, according to a San Antonio mortuary.

A public celebration of Kelleher's life will be held in Dallas at a later date.

Kelleher was nothing short of a Texas icon. As legend has it, Kelleher and co-founder Rollin King sketched out their plan for Southwest Airlines in 1967 on a cocktail napkin. However, due to a prolonged legal battle, it would be more than four years before the intrastate airline would get off the ground.

When the first flight departed Love Field in June 1971, the airline had just three aircraft and would fly 12 daily routes between Dallas and Houston and Dallas and San Antonio.

From the beginning it was clear that Kelleher was running a different kind of airline. With a whole lot of moxie, Kelleher rocked the airline establishment with a simple idea -- that flying should be affordable for all Texans.

Southwest Airlines
Southwest Airlines co-founders Herb Kelleher, left, and Rollin King, right, in younger days.
The Dallas Morning News
Herb Kelleher of Southwest Airlines is shown in this 1974 file photo from The Dallas Morning News.
The Dallas Morning News
October 8, 1985 - Southwest Airlines' Herb Kelleher (left) and Muse Air Corp.'s Bill Franklin are seen in this The Dallas Morning News file photo.
The Dallas Morning News
September 26, 1991 - Herb Kelleher hugs Jim Wimberly, Southwest Airlines' vice-president of Ground Operations.
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Herb Kelleher , president of Southwest Airlines (left) and Bob Crandall, president of American Airlines (right) joke with Burl Osborne, Editor and Publisher of The Dallas Morning News at a Dallas Press Club roast of Osborne which was held at the Harvey Hotel downtown Dallas. The event raised more than $60,000 which will be used for scholarships. (Richard Michael Pruitt/The Dallas Morning News)
The Dallas Morning News
Southwest Airlines' chairman Herb Kelleher sits on the edge of a SWA 737 engine at Love Field, in Dallas, Texas.
The Dallas Morning News
Southwest Airlines' chairman Herb Kelleher sits on the edge of a SWA 737 engine at Love Field, in Dallas, Texas.
The Dallas Morning News
Southwest Airlines president and chief executive Herb Kelleher, right, executive vice president Colleen Barrett, center, and vice president James Parker pose at company headquarters in Dallas, Monday, March 19, 2001. Kelleher will resign in June, but will remain chairman of the board, Parker will move up to chief executive and Barrett will become president. Kelleher turned 70 this month.
The Dallas Morning News
Herb Kelleher delivers the commencement address at Southern Methodist University Moody Coliseum on Saturday May 17, 2003.
The Dallas Morning News
Herb Kelleher, Chairman of the Board of Southwest Airlines, middle, gets up during the opening statement of Kevin Cox, COO and Senior Executive Vice President Ft. Worth/Dallas airport, to retrieve testimony Kelleher had given fifteen years ago and Kelleher felt was being quoted out of context before the Senate Committee on Commerce, Science, and Technology's Aviation subcommittee held a hearing on November 10, 2005 on the repeal of the Wright Amendment, particularly as it pertains to Dallas Love Field.
The Dallas Morning News
Southwest Airlines Vice Chairman of the Board and CEO, Gary Kelly, left, and SWA Executive Chairman of the Board and founder Herbert (Herb) Kelleher, talk to media following a news conference at the Wyndam Anatole Hotel in Dallas Tuesday afternoon, June 7, 2005. The SWA news conference was made to announce the findings of Brian M. Campbell, PhD and chairman of The Campbell-Hill Aviation Group, Inc. as to the negative economic impact of the Wright Amendment, which restricts flights from Dallas Love Field.
The Dallas Morning News
Southwest Airlines Vice Chairman of the Board and CEO, Gary Kelly, left, and SWA Executive Chairman of the Board and founder Herbert (Herb) Kelleher, talk to media following a news conference at the Wyndam Anatole Hotel in Dallas Tuesday afternoon, June 7, 2005. The SWA news conference was made to announce the findings of Brian M. Campbell, PhD and chairman of The Campbell-Hill Aviation Group, Inc. as to the negative economic impact of the Wright Amendment, which restricts flights from Dallas Love Field.
The Dallas Morning News
Herb Kelleher, Chairman of the Board for Southwest Airlines, right, looks at his watch as Gerard Arpey, Chairman and CEO of American Airlines goes over his time during opening statements to the Senate Committee on Commerce, Science, and Technology's Aviation subcommittee during a hearing on November 10, 2005 on the repeal of the Wright Amendment, particularly as it pertains to Dallas Love Field.
The Dallas Morning News
(Left to right) Southwest Airlines founder Herb Kelleher and former American Airlines CEO Robert Crandall for a Dallas Morning News feature about local inventors who changed they way we live.
Getty Images
U.S. President George W. Bush (C) speaks to the media after a meeting with members of Securing America's Future Energy as Herb Kelleher (L), Executive Chairman of Southwest Airlines Company, and Retired Marine Corps General P.X. Kelley look on, in the Roosevelt Room of the White House January 29, 2007 in Washington, DC. (Photo by Matthew Cavanaugh-Pool/Getty Images)
The Dallas Morning News
Southwest Airlines' chairman, President,CEO, Herb Kelleher jokingly brushes off the confetti that was inside the break-away bottle that was used to christen the plane. Southwest threw a big party for itself in Hanger C, as part of it's 30 years in service. The event took place at it's headquarters in Love Field, Dallas.
The Dallas Morning News
Former Southwest CEO Herb Kelleher blows kisses to employees prior to a press conference, as the Wright amendment ends and Dallas Love Field is opened to non-stop flights, at Love Field in Dallas, Texas, on Oct. 13, 2014. (Michael Ainsworth/The Dallas Morning News)
The Dallas Morning News
Former U.S. Senator Kay Bailey Hutchison, left, and others give a standing ovation to former President and Corporate Secretary Colleen Barrett and former CEO Herb Kelleher after Southwest Airlines Chairman, President and CEO Gary Kelly announced they would name a street in his Herb's honor. The Wright amendment ends and Dallas Love Field is opened to non-stop flights, at Love Field in Dallas, Texas, on Oct. 13, 2014. (David Woo/The Dallas Morning News)
The Dallas Morning News
Former Southwest Airlines CEO Herb Kelleher, left, and Southwest Airlines Chairman, President and CEO Gary Kelly gives a thumbs up prior to a press conference as the Wright amendment ends and Dallas Love Field is opened to non-stop flights, at Love Field in Dallas, Texas, on Oct. 13, 2014. (David Woo/The Dallas Morning News)
The Dallas Morning News
The part of Cedar Springs Road that serves as the entrance Love Field has been named for former Southwest Airlines CEO Herb Kelleher, pictured at Love Field in Dallas, Texas, on Oct. 13, 2014. (Michael Ainsworth/The Dallas Morning News)
The Dallas Morning News
Herb Kelleher's signature on the side of a Boeing 737-800 simulator housed in Southwest Airlines facility on the carrier's corporate campus, Tuesday, April 3, 2018 in Dallas close to Love Field. (David Woo/ The Dallas Morning News)
Via @SouthwestAir Twitter account -- "We already miss you, Herbie. #HonoringHerb"

"The air service at that time in Texas was a very poor quality and the prices were very high," Kelleher told CNBC. "We wanted to set Texans free because they were captive. There were monopolies in Texas in the air and we were out to destroy them."

Along with cohort Colleen Barrett, Kelleher cultivated Southwest's reputation as the "Love Airline" for it's dedication to customer service. But even more important to the team known as "Herb and Colleen," was the way they treated their employees.

"Employees came first. Employees first, customers second, shareholders third. If the employees serve the customer well, the customer comes back, and that makes the shareholders happy," Kelleher told CNBC. "It’s simple. It’s not a conflict, it’s a chain."

It wasn't long before Southwest wasn't so little anymore, growing beyond Texas and spreading its wings from coast to coast. As it did, Kelleher became one of the world's most admired business leaders for his powerful blend of profits and personality.

Kelleher led Southwest Airlines until 2008, but even after he stepped down he remained at the heart of the company's culture.

Nearly 50 years after their first flight, Kelleher, in a 2017 interview with CNBC, said the airline is probably worth about $20 billion -- far more than the $500,000 in seed money used to create it. In that same interview, Kelleher shared why, despite the company's success, he never took a raise.

"I always turned down pay increases, bonus increases, to set a good example for all of our people," Kelleher told CNBC. "Of course, the stock that I got rose enormously in value, but that was in lieu of cash compensation. It's what I thought was a requirement of good leadership."

In June 2011, Kelleher was honored by the City of Dallas with the renaming of the roadway approaching the terminal at Dallas Love Field as Herb Kelleher Way.

"This very sweet occasion was never anticipated in even my wildest dreams. And I've had some really wild dreams," Kelleher said. "When I heard about this, belatedly, I checked my pulse to make sure I was still alive, because I thought that streets were only dedicated to you after you were dead! This is really a sublime honor which, frankly, I cherish and treasure ... more than any that I have ever received."

For more than three decades Southwest was restricted on where they could fly out of Dallas Love Field by the Wright Amendment. The legislation, by U.S. Rep. Jim Wright (D-Fort Worth), was put in place in 1979 to restrict interstate travel from Love Field and ensure that the newly created Dallas-Fort Worth International Airport was profitable.

Southwest Airlines celebrated the expiration of the Wright Amendment on Monday, which restricted destinations on non-stop flights from Dallas Love Field. Meanwhile, Virgin America opened its first gate at the airport.

When the Wright Amendment expired in October 2014, Southwest could add nonstop service to an additional 41 states and Washington, D.C.

"It's nirvana for me," Kelleher told NBC 5 in 2014. "It's heaven because I have been waiting and working to get Love Field freed up for many decades."

On Thursday, Southwest Airlines released a video of CEO Gary Kelly talking about the life and legacy of Kelleher.

Southwest Airlines CEO Gary Kelly talks about the life and legacy of the airlines founder Herb Kelleher who died on Thursday.

NBC 5 also talked to Dallas Mayor Mike Rawlings about Kelleher's impact on the City of Dallas and Love Field.

Dallas Mayor Mike Rawlings talked to NBC 5 on Thursday night about the life of Southwest Airlines founder Herb Kelleher.

Despite lasting legacies on the city of Dallas and the aviation industry, his greatest influence was perhaps the way he treated his employees. We spoke with Kelleher's former senior director of corporate communications, Ed Stewart, who called Kelleher a genius, a mentor and a joy to be around.

“If you treat the employees well, they’ll treat the customers well, that’ll make the shareholders happy and everybody wins. And guess what, he was right,” said Stewart.

Ed Stewart worked for Southwest Airlines as the Senior Director of Communications and says Founder Herb Kelleher was right that if you treat employees well, they treat the customers well.

The airline is now one of the largest in America and its business model has been copied around the world -- what can never be duplicated is Kelleher himself.

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