Southwest Sees Benefits of RNP, Retrofits Older Aircraft

(MoneyWatch)  Southwest has long been a fan of the old round dial cockpits where big fancy screens were always things of the future. It looks like they've finally found a reason to upgrade their older aircraft to the 21st century . . . Required Navigation Performance (RNP).

Most of the 737-300 fleet will be upgraded beginning in 2011 with twin large screens that will allow for the use of RNP. The 737-700 fleet is already RNP-capable. But what's so great about RNP?

RNP allows for more precise navigation, thereby allowing aircraft to have less separation in the air without compromising safety. This precision opens the door for more direct routings and the associated cost savings that come with it. Southwest is apparently sold on RNP to the point that retrofitting the older aircraft will be worth the $40 million cost.

As Southwest struggles to improve its results, this should help. Unfortunately for the airline, it will be a couple more years before they start seeing any results.