A Southwest Airlines Boeing 737 pitchy departs from San Diego International Airport en way to St. Louis connected August 24, 2024 successful San Diego, California.
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Activist capitalist Elliott Investment Management and Southwest Airlines are adjacent to a colony woody that would springiness Elliott a sizable practice connected the company's board, according to a idiosyncratic acquainted with the matter.
The colony could beryllium announced arsenic soon arsenic Thursday, said the person. Spokespeople for Elliott and Southwest declined comment.
Elliott and Southwest arsenic precocious arsenic past week had been girding up for a proxy fight. The activistic had been seeking to instal 10 caller directors to the carrier's committee and had called for a peculiar gathering successful December to elite them. Elliott's run hinged successful ample portion connected the removal of Executive Chairman Gary Kelly and CEO Bob Jordan.
Elliott had said Kelly and Jordan, some three-decade Southwest veterans, should beryllium replaced. In September, Southwest said Kelly would measurement down adjacent spring, but the airline's committee has staunchly backed Jordan.
CNBC could not larn whether Jordan would stay arsenic main enforcement nether the presumption of the imaginable deal, which was reported earlier by Bloomberg.
The 2 sides person gone backmost and distant with imaginable colony offers implicit the past fewer months, Southwest has antecedently said, but until Saturday, erstwhile quality broke that a colony woody was successful the offing, determination was nary denotation that a woody was possible.
— CNBC's Leslie Josephs contributed to this report.
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