Transportation
Southwest Air Cuts Revenue Outlook as CEO Fends Off Activist
- Carrier now sees deeper unit-revenue decline in second quarter
- Elliott pushing for management overhaul to improve performance
A Southwest Airlines airplane at Baltimore-Washington Airport in Baltimore, Maryland, US.
Photographer: Angus Mordant/BloombergThis article is for subscribers only.
Southwest Airlines Co. reduced its estimate for unit revenue in the second quarter, a sign of ongoing challenges at the carrier as it fends off an activist push for a management overhaul.
The company expects revenue per available seat mile to fall as much as 4.5% in the current quarter, Southwest said Wednesday in a regulatory filing. It had previously expected a decline of no more than 3.5%.