Southwest Airlines Chairman Gary Kelly to Retire

Gary Kelly, the Executive Chairman of Southwest Airlines, will retire after the company's annual meeting in 2025, following pressure from activist investor Elliott Management, which holds a significant stake in the airline. Elliott has been advocating for leadership changes due to what it describes as Southwest's poor financial performance and has suggested replacing Kelly and CEO Bob Jordan. Despite the calls for change, Southwest maintains its support for Jordan, citing his capability to lead the airline through upcoming transformations. The airline plans to overhaul its board, with six directors set to retire and up to three candidates from Elliott potentially joining. Furthermore, Southwest is implementing significant operational changes, including the end of its open seating policy and the introduction of new flight options. The upcoming investor event on September 26 is expected to provide additional insights into Southwest's strategic direction.