JetBlue Airways has been in a rough financial situation for quite some time. The airline put a lot of money and effort into a failed takeover of Spirit Airlines, and JetBlue has in general had an issue with its business model.
Continue reading: Activist Investor Carl Icahn Slashes JetBlue Stake
Share your questions, experiences, and thoughts below.
History hath shown that Icahn getting involved is bad news for everyone not named Icahn. So his departure can only be interpreted as good news for JetBlue, its passengers, its employees, and anyone else who uses or interacts with aeroplanes.
B6 will figure it out.. Every airline out there has been through growing pains and at-least B6 still has a vey good balance sheet. Good riddance...No airline needs CArl or his money. GTFO.
Also..B6 operations have improved greatly in just 90 days.
"Activist investor"? More like corporate raider. What he did to TWA was disgusting. I saw an interview he did with Maria Bartiromo around the time he was working on TWA and not once did she or he say anything about the workers of that airline or how they would be impacted by his destroying of it.
I agree his departure for whatever reason is a good thing. His "skill" is financially raping a company for his own benefit and when the entity crashes and burns he's well gone with his millions.
first, multiple investment sites picked up the news from regulatory filings that also involved Icahn's share changes. If your news source is someone that simply reads other sites, you are getting your news the wrong way.
second, all of the people that were convinced that Icahn would destroy JBLU won't let go of their narrative but he never had a large enough stake or boardroom presence to effect major change on his own.
third, he is an investor. He will invest his money where he sees the greatest opportunity. Half of the original JBLU investment can make more money elsewhere. He is interested in making money first and foremost.
finally, JBLU is making meaningful changes to management and strategy on its own. He has undoubtedly heard mgmt presentations and cannot do any more and cannot at this point prove that their strategies won't deliver the turnaround the company needs.
JBLU has a very long ways to go for a turnaround but Icahn is not and will not be a significant factor in their decisions. If JBLU demonstrates even a little bit of success, Icahn will make lots of money
IIRC, Icahn had two "non-voting" observers on the JetBlue board.
This mitigated any influence he had:
"...will join the airline’s board of directors. Lynn and Miller will serve as non-voting observers to the board...."
As per JetBlue press release dated 02/16/2024
This is an incorrect assessment of the SEC Filings. Icahn has not changed his stake in JetBlue. That's the issue with what you read on the internet...do your own research. In addition it's not responsible to repost this on another blog without doing some fact checking...
“Activist Investor Carl…”
LOL!
You spelled “asshole” as “a-c-t-i-v-i-s-t!”
LOL!