Robert ‘Bob’ Jordan, the chief executive officer (CEO) of Southwest Airlines (WN, Dallas Love Field), will not resign despite pressure from activist hedge fund Elliott Investment Management, which recently bought a USD1.9 billion stake in the carrier and urged the carrier to make substantial changes to the airline, including a change of leadership.

“I have no plans to resign,” Jordan told journalists, as reported by AP, adding that “Elliott can provide us [with] ideas. They can talk to other shareholders, but Elliott is not directing the company.” However, the company’s management is set to present its own plan to boost its financial performance during its investor day in September and has hired advisors from Bank of America and law firm Vinson & Elkins.

Additionally, Southwest is considering changes to its cabin and seating (potentially ending its long-term open seating policy and beginning to offer some seats with extra legroom). Jordan said they cannot be stubborn about change, but, as reported by The Wall Street Journal, management should stick to its values.

In a statement to ch-aviation, Southwest said it maintains an open dialogue with its shareholders and that the Board of Directors is confident in Bob Jordan and the management’s ability to execute the strategic plan to “drive long-term value for all shareholders.”

Elliott Investment Management currently owns about an 11% economic interest in the LCC. The fund is known for forcing changes in the companies it invests in and has been critical of Southwest, saying that it has suffered from “poor execution and leadership stubborn unwillingness.” AP reported that another investment manager, Artisan Partners (holder of about 1.8% of Southwest’s shares), has also urged a change in the airline’s leadership.

Southwest’s share price is trading below March 2020, down nearly 24% over the last two years. The company has also had to cut its capacity levels, as it faces Boeing delivery delays and and forced airport base closures.