CORRECTED-UPDATE 2-Carl Icahn to get two board seats on JetBlue's board
(Corrects headline and paragraph 1 to say two people from Icahn's firm, and not Icahn himself, are joining JetBlue's board)
Feb 16 (Reuters) -
JetBlue Airways said on Friday it had agreed with activist investor Carl Icahn to appoint two people from his firm to the airline's board, days after he took a stake of about 10% in the airline.
Icahn disclosed his JetBlue stake on Monday, saying in a filing he believed the shares were undervalued.
The company faced a major setback last month after a U.S. judge blocked its $3.8 billion planned merger deal with Spirit Airlines on anti-competitive grounds.
JetBlue earnings have also come under pressure from higher operating costs and uneven travel demand. Its new CEO, Joanna Geraghty, has vowed "aggressive action" to return the airline to profitability.
Shares of the low cost airline were up about 1% in aftermarket trading.
Icahn has built his reputation over the years as a corporate raider and activist shareholder, pressuring companies make changes to their business strategies and boost their stocks.
The Wall Street Journal was the first to report Icahn was close to a deal to join JetBlue board. (Reporting by Kannaki Deka in Bengaluru; Editing by Anil D'Silva)
