Allegro 8 Provides Hedge Accounting, Fair Value Disclosure, and FASB Compliance Capabilities

DALLAS, TX, June 28, 2010 – Allegro Development, the leading provider of energy trading and risk management (ETRM) solutions, announced today that Southwest Airlines will upgrade to the Allegro 8 platform and add the Allegro Hedge 8.1 component.  Southwest Airlines’ treasury department currently utilizes Allegro to manage price risk and hedging activities associated with jet fuel purchases.  The upgrade will provide software capabilities to the financial reporting group, enabling automation to support compliance with the Financial Accounting Standards Board Statement’s (FASB) 133, 157, and 161 standards.

“We have been very satisfied with the breadth of the Allegro platform and the visibility that it has brought into our fuel hedging operations. Upgrading to Allegro 8 and adding enhanced functionality around hedge accounting was a natural decision,” said Scott Topping, Vice President and Treasurer, Southwest Airlines.  “The Southwest Airlines and Allegro teams worked closely in the planning phase of this project and clearly demonstrated our mutual commitment to supporting Southwest Airlines’ long term needs.”

Southwest Airlines is the largest U.S. airline based on the number of passengers carried domestically each year, with more than 3,300 flights a day coast-to-coast.  Allegro’s integrated platform gives Southwest Airlines greater visibility into their positions, streamlined data flow to facilitate better decision making, and the ability to gain more efficiencies in the hedge accounting and reporting process.

The Allegro 8 platform will provide Southwest Airlines advanced tools for analysis and reporting to further optimize their jet fuel hedging program and mitigate risk against volatile prices.  With this upgrade to Allegro 8, Southwest Airlines intends to gain:

• A fully integrated, front to back office solution that supports trade management, market management and hedge accounting, which enables business process efficiency and simplifies system management
• Increased speed and quality of hedge management reporting for compliance with FASB 133, 157, and 161
• Enhanced capabilities for derivatives management,  real-time reporting,  and financial settlements
• A flexible platform that can deploy new functionality quickly, addressing changes in the market

“Allegro is very committed to supporting our customers in staying up-to-date with changing regulatory requirements, and will continue to make the investments necessary to do so,” said Michael Hinton, Allegro’s Chief Customer Officer.  “Our comprehensive approach to hedge management will continue to provide Southwest Airlines a competitive advantage with efficient mitigation of risk and essential tools to actively manage their hedging program.”

About Southwest Airlines

After 39 years of service, Southwest Airlines continues to differentiate itself from other low fare carriers—offering a reliable product with exemplary Customer Service.  Southwest Airlines is the nation's largest carrier in terms of originating domestic passengers boarded, now serving 69 cities in 35 states.  Southwest also is one of the most honored airlines in the world known for its commitment to the triple bottom line of Performance, People, and Planet.  To read more about how Southwest is doing its part to be a good citizen, visit southwest.com/cares to read the Southwest One Report™.  Based in Dallas, Southwest currently operates more than 3,300 flights a day and has nearly 35,000 Employees systemwide.

About Allegro Development

Allegro is a global leader in energy trading & risk management solutions for power and gas utilities, refiners, producers, traders, and commodity consumers. With more than 27 years of deep industry expertise, Allegro’s enterprise platform drives profitability and efficiency across front, middle, and back offices, while managing the complex logistics associated with physical commodities.  Allegro provides customers with agile solutions to manage risk across natural gas, power, coal, crude oil, petroleum products, emissions, and other commodity markets, allowing decision makers to hedge and execute with confidence. Headquartered in Dallas, Texas, Allegro has offices in Calgary, Houston, London, Singapore, Sydney, and Zurich, along with a global network of partners.

For further information please contact Christie Lindstrom at media@allegrodev.com or +1.214.237.8117.