Southwest Airlines under pressure from a big shareholder shakes up its board [Video]

Southwest Airlines will revamp its board, and the chairman will retire next year, but it intends to keep CEO Robert Jordan in a partial concession to hedge fund Elliott Investment Management, which has been pushing for changes at the airline, including Jordan’s ouster.Southwest said Tuesday that six directors will leave the board in November, and it plans to appoint four new independent directors, potentially including candidates put forward by Elliott.Shares of Southwest Airlines Co. fell 4% in morning trading Tuesday.Elliott, the fund led by billionaire investor Paul Singer, has built a 10% stake in recent weeks and advocated changes it says will improve Southwest’s financial performance and stock price.Elliott blames Southwest’s management for the airline’s lagging stock price – even after a rally in the past month, it has dropped by more than half since April 2021. The hedge fund wants to replace Jordan, who has been CEO since early …