Jim Parker Out At SWA

With his company's profits down 54-percent in the second quarter, Southwest Airlines CEO Jim Parker abruptly called it quits, Thursday. He cited personal reasons for his sudden departure.

Southwest's board of directors reportedly accepted Parker's decision with "deep regret and profound gratitude," Southwest chairman Herb Kelleher said in a statement. "Our entire board salutes Jim for his myriad accomplishments and for being an outstanding individual," the statement read. "We will all greatly miss him."

Southwest CFO Gary Kelly has reportedly been tapped to replace Parker, who himself replaced founder Kelleher at the helm of the trail-blazing low cost carrier about three years ago.

While Parker was generally credited with coming up with the concept of a low cost carrier, he ran into problems earlier this year during contract talks with his flight attendants. Sources close to the talks told Reuters that they had become contentious and even got personal before Kelleher stepped in for Parker and secured a new contract with the flight attendants. In the wake of the embarrassing flight attendant negotiations, some analysts believed Parker had spent his credibility with the company's unions.

FMI: www.southwest.com