INDEPENDENCE, Ohio — The Brotherhood of Locomotive Engineers and Trainmen is now backing activist investor Ancora Holdings and its call for management change at Norfolk Southern. The union’s decision, announced today, is the second in as many days: The union representing maintenance of way workers yesterday swung its support to Ancora. The unions represent 41.5% […]
CLEVELAND – The union representing Norfolk Southern’s maintenance of way employees has thrown its support behind activist investor Ancora Holdings. The Brotherhood of Maintenance of Way Employes Division of the International Brotherhood of Teamsters said today that a change in leadership is necessary at NS. The union is backing Ancora’s full slate of director candidates […]
ATLANTA — Norfolk Southern executives today outlined steps they will take over the next six months to improve operations and service while wringing out $250 million in costs. NS is under pressure to show improvements amid a proxy battle with activist investor Ancora Holdings, which has been critical of the railroad’s lagging financial and operational […]
Norfolk Southern says that activist investor Ancora Holdings’ detailed plan for the railroad, released last week in a 193-page presentation, contains misleading operational data and vastly overstated cost-savings projections. Ancora says its proposed management team would reduce costs by $800 million through a full-blown implementation of the low-cost Precision Scheduled Railroading operating model at NS. […]
WASHINGTON — The AFL-CIO today became the latest organization to oppose an activist investor’s bid to gain control of Norfolk Southern. “In our view, Ancora’s business plan to reduce Norfolk Southern’s operating ratio while improving safety and service is not realistic. Railway labor unions, shippers, and federal regulators have warned that Ancora’s plans may jeopardize […]
Trains sat down with Norfolk Southern CEO Alan Shaw and new Chief Operating Officer John Orr today to discuss the railroad’s strategy and response to activist investor Ancora Holdings. Ancora has launched a proxy battle to gain control of the Norfolk Southern board, and wants to appoint former UPS executive Jim Barber Jr. as CEO […]
Jamie Boychuk, the activist investor candidate aiming to lead operations at Norfolk Southern, says improvements the railroad has made in recent weeks under new Chief Operating Officer John Orr — like increasing train velocity, reducing dwell, and removing 75 locomotives from active service — are low-hanging fruit that will help reduce the operating ratio by […]
Former UPS executive Jim Barber Jr., an activist investor’s candidate to replace Norfolk Southern CEO Alan Shaw, says his experience at the parcel giant is directly applicable to a railroad. UPS’s package network relies on the very same principles as the low-cost Precision Scheduled Railroading operating model that Ancora Holdings wants to fully implement at […]
ATLANTA — Norfolk Southern, which remains under pressure from an activist investor, today took the unusual step of releasing preliminary first quarter financial results, which included a $600 million proposed settlement of a class action lawsuit related to the East Palestine, Ohio, hazardous materials wreck. Including the impact of the settlement, the railroad’s operating income […]
CLEVELAND – Ancora Holdings’ campaign to oust Norfolk Southern’s management team last week gained the support of New York investment management firm Neuberger Berman, which said it has concerns about the railroad’s operations, strategy, safety, and service. “We believe a change in management and refreshment of the board … are warranted and could stimulate improved […]
ATLANTA – Norfolk Southern has pruned its intermodal network and made the operating ratio a key component of its executive compensation plans, the railroad announced yesterday amid its proxy battle with activist investor Ancora Holdings. NS has eliminated 53 low-volume intermodal lanes — or 15% of its intermodal network — that had limited growth prospects. […]
LITTLE ROCK, Ark. — A vast majority of Norfolk Southern customers believe an activist investor’s plans for the railroad would worsen service and prompt them to shift some of their freight to truck or rival CSX, according to a Stephens, Inc. shipper survey released today. The Arkansas-based investment bank found that 91% of shippers believe […]
