Elliott Management Wants to Oust Southwest Airlines CEO Robert Jordan

Elliott Management is pushing to remove Robert Jordan as the CEO of Southwest Airlines. Elliott Management is a hedge fund that owns a significant stake in the airline.

Elliott Management has been unhappy with the airline's performance and financials. Southwest Airlines' stock has not performed well in recent years.

The hedge fund is seeking to replace Jordan with a new CEO who can turn the company around. This is not the first time Elliott Management has taken on a CEO at a struggling company.

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Elliott Investment Management, the activist investor with an 11% economic interest in Southwest Airlines, wants Southwest CEO Bob Jordan out.

The union representing mechanics, inspectors, and other workers at Southwest, the Aircraft Mechanics Fraternal Association, met with Elliott on September 12 and was told that Jordan's departure is a key part of Elliott's vision for the airline's turnaround.

Elliott also wants Southwest Chairman Gary Kelly to exit sooner than his planned retirement next year.

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Kelly has agreed to retire after the company's annual meeting next year, but Elliott thinks he should leave sooner.

Elliott has been critical of Southwest's leadership, saying they haven't adapted to changes in customers' preferences and failed to modernize the airline's technology.

This failure led to massive flight cancellations in December 2022, which cost the airline over $1 billion.

The activist investor has named 10 potential new board members for Southwest and has been meeting with unions to discuss its plans.

Southwest has announced a series of operational changes, but Elliott says these changes aren't enough to satisfy its demands.

Elliott wants Southwest to make major changes to return the air carrier to profitability, including replacing board directors and re-examining its business plan.

Southwest has welcomed the opportunity to discuss ideas that would drive sustained shareholder value, but it's unclear if the airline will meet Elliott's demands.

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Southwest Airlines has not commented on the allegations made by Elliott Management.

The company's board of directors has reportedly been meeting to discuss the future of CEO Robert Jordan, but no official statement has been released.

Elliott Management has been pushing for significant changes at the airline, including the ousting of Jordan, but Southwest's response has been limited to a statement saying they are committed to their current leadership.

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Elliott Management wants to oust Southwest Airlines CEO Robert Jordan because they claim he's not doing enough to return value to shareholders.

Elliott Management is a hedge fund that owns a significant stake in Southwest Airlines. They're pushing for changes at the top to increase profits.

Southwest Airlines' stock price has been volatile, and Elliott Management is seeking a more aggressive approach to boost shareholder value.

In a letter to the Southwest Airlines board, Elliott Management outlined their concerns and proposed a new CEO, Robert Jordan, as the problem.

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