Can a railway legend deliver at America’s CSX?
E. HUNTER HARRISON, a veteran railway government, tried retiring in 2010, after he made Canadian National (CN), a previously state-owned firm, the best-performing of the massive railways in North America. But as soon as he pocketed the gold watch and attended the retirement social gathering he confronted a void that elevating and coaching horses for showjumping didn’t fill. By mid-2012 he was again on the helm of one other railway, Canadian Pacific (CP), whose glory days have been gone. Once he had rotated CP, he didn’t make the identical mistake once more. On January 18th the 72-year-old Tennesseean each introduced his departure and entered negotiations with Florida-based CSX to grow to be that railway’s CEO.
Just the hearsay that Mr Harrison is perhaps shifting to CSX prompted the share worth to rise by 23% in 24 hours. It continued to rise when the negotiations grew to become public. At final, on March sixth, CSX appointed Mr Harrison as CEO and met the situation set by Mantle Ridge, an activist hedge fund with which he has partnered, to call 5 new board administrators. Mr Harrison made long-term shareholders in CP and CN wealthy, tripling income at each throughout his tenures. CSX shareholders anticipate…Continue reading
