RE: Re-Regulation in the USA?

Not specifically!! Prior to leaving Southwest in March 1978, Lamar Muse had put in place a plan to diversify Southwest into the Midwest market with a series of flights based on Chicago Midway. These were to have been applied for in the standard way BEFORE deregulation was passed by Congress.

As it turned out, Muse left and the Board, recognising it would be easier to expand from the Love Field base, waited for deregulation which, by summer 1978, was almost a done deal.

Had deregulation not come about, Southwest would have, sooner or later, been forced to break out of Texas otherwise, by the mid 1980s, it would have been financially weak and a sitting duck for takeover by the Trans Texas corporation.

As it was, it faced competition in Texas only from Muse Air, run by Lamar Muse’s son, which they eventually bought out and renamed Transtar – which Trans Texas owned Continental crucified, flogged and hung out to dry in a very short time.