Southwest Airlines ($LUV@US) said it expects a loss in the fourth quarter after it canceled more than 16,700 flights in the peak holiday travel season. The company estimates that it will see a loss in revenue of $400 million to $425 million, as well as an additional loss for reimbursing travelers, premium pay for employees, and other related costs. Shares fell by 2 percent to $32.86 in premarket trading. The stock price has fallen 16 percent in the past month.