Norfolk Southern urges shareholders to reject activist investor's takeover plan at the railroad
Norfolk Southern wants its shareholders to back its current management team and strategy and reject a bid from a group of investors to take over the railroad
OMAHA, Neb. (AP) — Norfolk Southern wants its shareholders to back its current management team and strategy and reject a bid from a group of investors seeking to take over the railroad.
The Atlanta-based railroad urged shareholders to reject Ancora Holdings' eight board nominees when it filed its proxy Monday morning with the Securities and Exchange Commission. Norfolk Southern also nominated two new board members of its own — a former Amtrak CEO and a former U.S. Senator — that the railroad argues will provide valuable fresh perspective without derailing its current plan.
“We are confident that the continued execution of our balanced strategy – under the vision and leadership of Alan Shaw – is critical as we prioritize operational rigor, safety, and service,” said board chair Amy Miles.
Since 2019, Norfolk Southern has run a version of what has become the industry’s standard operating model that relies on running fewer, longer trains on a tighter schedule, so the railroad won’t need as many crews, locomotives or maintenance workers.
