Southwest Airlines (LUV) revealed that its chief executive received a compensation package valued at less than $1 million in 2006, even as the carrier posted its 34th straight year of profits amongst other struggling airlines. The company's SEC filings showed CEO Gary Kelly receiving only $967,021 last year. This amount consisted of a $416,860 base pay, a $462,000 bonus, $620 in above-market deferred compensation, and $96,541 in other compensation including 410k contributions, medical insurance, and profit sharing. The three year contract under which Kelly is working allows for a below-average salary with a greater number of stock options. Moreover, the CEO's bonus was only 20 percent larger than in 2005, while the company's profits were up 38%. Southwest's employees were also compensated at levels designed to promote consistent profitability and stability of workers, according to the company's filings. Clearly this is a model for other airlines who have been experiencing problems with profitability and executive compensation.