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Southwest Airlines (LUV) and Elliott Management have reached a settlement agreement, avoiding a potential proxy fight. The deal includes appointing six new directors to Southwest's board — five nominated by Elliott and one by Southwest. Additionally, Executive Chairman Gary Kelly will step down from the board.

"I'm just really pleased that we have a chance here now to turn all of our attention to the transformational plan that we laid out about a month ago," Southwest CEO Bob Jordan tells Morning Brief. "It's all about execution. It's all about all eyes forward," he adds.

Jordan expresses confidence in the new appointees, noting that "each bring something to the board." He describes them as "good people with a good set of skills" committed to advancing Southwest's interests and shareholder value. Notably, four of the new directors are former airline CEOs, bringing valuable industry expertise and perspective.

"At the end of the day, you want the board to challenge you. You want the board to make Southwest Airlines an even better company. We have a great plan, and we are all looking forward to executing that plan, including our new board members," Jordan states.

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This post was written by Angel Smith