Southwest's last cave-in to Elliott Investment Management wasn't enough but it won't do more (for now)

Several things came up at and in relationship to Southwest's Investor Day on Sept. 26.

First, some of the flight side stuff.

The biggie, for me, though not No. 1 in the CNN story? Both my checked bags will continue to fly free!

“The company believes any change in the current policy… would drive down demand and far outweigh any revenue gains created by imposing and collecting bag fees,” it said Thursday.

Jordan also told investors in July that charging for bags would delay the time it takes to load the planes as passengers seek a place to store carry-on bags they are now checking. The airline said Thursday part of its plan to improve profitability is to further improve its turn-around time when planes are on the ground.

This story has more details on the cost split. Southwest said it could take in $1.5 million in gross revenue, but at the cost of $1.8 million in expenses. That, then, is a no-brainer.

Second is that, though reservability for assigned seats will start next year, the actual practice won't begin until 2026.

Also per that first link, Southwest will start doing some sort of flight partnering or code sharing with foreign airlines. Given its limited, Caribbean focused (and that only after acquiring Air Tran) international offerings, it should have done this long ago. But, not being on Travelocity and Expedia limited that. No details at the link of the specifics on this. So, yeah, Elliott isn't all wrong. Sad it took a vulture capitalist to get this done.

They still should fix their reservation system and currency issues so as to offer their own flights to Canada. This is really sad. They don't have to fly everywhere, but let's say Calgary and Edmonton, both for tourists and for Dallas, Houston and Denver awl bidness folks to visit their Canadian counterparts is a no-brainer. Toronto and Ottawa, for business and political travel. Maybe Montreal. Wouldn't add more. Given their American basis, would definitely not add Quebec City and would be hesitant even on Montreal, re language issues.

On the non-flight side?

Per that second link, David Singer, head vulture at Elliott, said the changes still aren't enough and said he still is looking at a shareholder meeting, which Elliott's 10 percent ownership stake allows him to call.

More on that, and on the poison pill defense Southwest has, at my link of a month ago. Problem is, Southwest allows any investor above 10 percent to call the shareholder meeting, but the poison pill of a stock buyback offer, doesn't kick in until 12.5 percent.

That said, per the first and second links, Southwest did an internal stock buyback in the run-up to the investors day.

More here from Southwest PR.

And, in other Southwest news, it's taking San Antonio to court over an alleged bait and switch on terminal improvements.