I don't know about nationalization...
...but the airline industry has some definite problems to deal with.
-- ridership is way down.
-- security costs are way up.
-- there is some competetion with subsidized foreign carriers for international flights.
-- because business is bad, there is no market for selling off assets.
Two answers for the SouthWest success: 1) business model - SW is a low-end provider. They appeal to the McDonalds patrons. There are a lot more riders who are deciding if they can't get a great deal, then they won't fly at all. 2) labor ownership of the business?