Elliott Names Board Nominees as Southwest Showdown Looms

[Update, Aug. 14] Southwest in a statement posted to its website stated that Elliott had “dismissed” its efforts to “have interaction constructively,” and stated that earlier than Elliott made its board announcement, the funding agency had agreed to satisfy with the service in early September “to debate a collaborative decision, together with persevering with important Board refreshment and different governance enhancements.”

Southwest within the assertion stated that “The Southwest Airways Board stays assured that the airline has the suitable Management Group in place to evolve the enterprise and to steer Southwest Airways ahead.”

[Original report, Aug. 13] Elliott Funding Administration late Tuesday publicly recognized 10 would-be nominees to Southwest Airways’ board of administrators, escalating its demand for modifications to the service’s senior administration and coming nearer to consummating the proxy battle it has threatened. 

Elliott had known as for the ouster of Southwest CEO Bob Jordan since June, when the funding agency revealed a $1.9 billion stake within the service, representing about an 11 % financial curiosity, and threatened the service with a proxy battle. Jordan has vowed to remain on. 

Elliott in an announcement stated it plans to “transfer ahead expeditiously to formally nominate” the would-be board candidates, which embody former Virgin America CEO and former American Airways SVP of world gross sales David Cush, former Marriott Worldwide group president for the Americas Dave Grissen, former Air Canada CEO Robert Milton and former WestJet president and CEO Gregg Saretsky.

The opposite six nominees are: 

• Michael Cawley, former deputy CEO, COO and CFO of Ryanair
• Sarah Feinberg, former chief of workers to U.S. Division of Transportation Secretary Anthony Foxx
• Josh Gotbaum, the previous chapter 11 trustee of Hawaiian Airways
• Nancy Killefer, former Obama administration chief efficiency officer and McKinsey & Co. director
• Eash Sundaram, former JetBlue chief digital and know-how officer
• Patty Watson, NCR Atleos EVP and chief data and know-how officer 

Elliott stated its nominees had been chosen after a “months-long international seek for one of the best people with the optimum mixture of backgrounds and experience to handle Southwest’s present challenges and ship on the Firm’s potential” and stated Southwest’s present 15-member board “has delivered poor returns for shareholders and has not held administration accountable for Southwest’s unacceptable efficiency.”

Southwest didn’t instantly return a request for remark. 

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