Elliott takes $1.9 billion stake in Southwest Airlines, seeks to oust CEO and chair

Activist hedge fund Elliott Management has amassed a $1.9 billion stake in Southwest Airlines and plans to push for leadership changes at the airline that has lagged big rivals.

Elliott is seeking to replace Southwest CEO Bob Jordan and Chairman Gary Kelly with outside candidates, the activist said in a letter and presentation Monday. Elliott believes Southwest has fallen from a “best-in-class” airline to one of the biggest laggards, according to the presentation detailing its case for change.