Southwest Airlines: Elliott Still Trying Too Hard

Summary:

  • Elliott Investment Management is pushing for significant changes at Southwest Airlines Co., including a new board, to improve shareholder returns.
  • Southwest Airlines’ new strategy of assigned seating and premium options is considered incremental and insufficient compared to legacy airlines.
  • Elliott’s plan could take 2–3 years to implement, with uncertain returns, while other airlines offer easier paths to stock gains.

Southwest Airlines Boeing 737-700 airplanes Atlanta airport

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Elliott Investment Management has pushed Southwest Airlines Co. (NYSE:LUV) to make corporate changes to drive improved shareholder returns. The airline struggled in the last decade as legacy airlines have improved operations and the business became stale. My


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