(Bloomberg) — Southwest Airways Co. is “residing everyday,” its chief govt officer mentioned, urging workers to maintain reducing bills wherever potential as the brand new coronavirus continues to erode journey.Southwest is evaluating the complicated $50 billion federal program that can present loans and money funds to assist carriers meet payroll and different worker prices. It’s untimely to know “how we’d match into this” till the Treasury Division offers particulars, Chief Govt Officer Gary Kelly informed employees Monday in his weekly recorded message.Airways have already got slashed flights, supplied leaves and lower prices in different methods in response to a dramatic collapse in demand for journey. The federal government’s rescue program may require fairness or different securities in trade for help. Extra restrictions would apply, as nicely, reminiscent of limitations on decreasing payrolls and govt pay. The help “isn’t a bailout,” Kelly mentioned.“It doesn’t eradicate our have to dramatically lower our prices,” Kelly mentioned. “Please don’t take your foot off the gasoline. We had been as ready as we may very well be to take this on, however we’re residing everyday and we merely don’t know the way lengthy this may final.”Southwest rose 1.3% to $36.86 at 11:14 a.m. in New York, making it the second-best performer in a Commonplace & Poor’s index of 9 carriers after Sanford C. Bernstein analysts mentioned American Airways Group Inc. and United Airways Holdings Inc. have two months of money left. Trade shares additionally had been damage as the federal government prolonged social-distancing tips by means of April and suggested folks to keep away from discretionary journey.Dallas-based Southwest has lower 1,500 of its 4,000 every day flights and can cut back flying capability 20% subsequent month. The airline has frozen hiring and pay raises, supplied voluntary depart and lower capital spending “to the naked minimal,” Kelly mentioned. The airline secured a $1 billion time period mortgage and has tapped out an present $1 billion unsecured revolving credit score facility.For extra articles like this, please go to us at bloomberg.comSubscribe now to remain forward with essentially the most trusted enterprise information supply.©2020 Bloomberg L.P.