11:40 AM EDT, 08/26/2024 (MT Newswires) -- (Updates with comment from Southwest Airlines ( LUV ) in the final paragraph.)

Elliott Investment Management said Monday that it intends to meet with Southwest Airlines ( LUV ) representatives on Sept. 9 to discuss leadership changes.

The hedge fund said it is urging the company to adopt new outside leadership and preparing for a proxy fight if necessary.

In the letter the hedge fund criticized current CEO Robert Jordan and executive chairman Gary Kelly, accusing them of prioritizing their interests over shareholders.

Elliott, which owns about 11% of Southwest's ( LUV ) shares, warned that it would pursue a board challenge if leaders cannot identify "what is best for Southwest ( LUV )" and its stakeholders.

In a letter to shareholders, Elliott proposed a new board committee to review and drive significant changes at the airline.

Elliott has called for a more comprehensive overhaul, including leadership changes, and has announced plans to potentially hold a special shareholder meeting to vote on new directors.

A spokesperson from Southwest ( LUV ) told MT Newswires that the company "has made multiple overtures to engage with Elliott" and it is ready for a Sept. 9 meeting. Southwest ( LUV ) plans to share further details on Sept. 26 during its investor day event, the spokesperson added.

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