Southwest finalises lease at Houston Hobby

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Southwest Airlines has signed a 25-year lease with the Houston City Council that will involve the airline building an international terminal at Houston Hobby airport.

The lease was signed recently in February, says Southwest's chief financial officer Tammy Romo at the J.P. Morgan Aviation, Transportation and Defense Conference today in New York.

"Everything is going on schedule with Houston," says Romo.

The new international terminal, scheduled to open in 2015, will be equipped with a federal inspection service facility which will allow Southwest to begin begins to South America and the Caribbean.