Southwest slashes flights: Hard times spare no one, not even the darling of the discounters. Southwest will lop 88 flights from its schedule in October, significantly more than the airline's normal fall adjustment. "We are not producing the kind of profits that we need to be, so there are two levers to pull revenues and costs," CEO Gary Kelly tells The Wall Street Journal (subscription required). Many of the cuts will come on short-haul routes with high frequencies. The airline says the change could boost annual revenue by about $60 million, which would likely be seen right away in its bottom line. Southwest also is using a new computer system that's intended to add flexibility in building schedules. The new approach allows the discontinued flight to be redeployed on any route across the carrier's network. Southwest will also change departure times on more flights than it has in the past. But, there are potential problems. Cutting frequencies could alienate passengers and send them to competitors. "You're asking a risk because you could make things worse," Kelly acknowledges.