CSX railroad says that it has replaced its CEO after just three years, in the face of pressure from investors to compete with Union Pacific's proposed mega-merger with Norfolk Southern.
Outgoing CSX CEO Joe Hinrichs came to the company in 2022, two years after he stepped down as president for Ford Motor Company. CSX struggled financially over Hinrichs' tenure, as the railroad diverted crews and capital to lengthy repairs in the wake of Hurricane Helene, and toward a $450 million tunnel renovation project in Baltimore that wrapped up in late-September.
Following the announcement of UP's $85 billion merger with Norfolk Southern, activist investor group Ancora Holdings penned a letter to CSX's board on August 23, calling for CSX to aggressively pursue its own merger, and criticizing Hinrichs for putting the railroad "in the difficult position of playing catch-up" with its competitors. The year prior, Ancora led a successful bid to oust Norfolk Southern's then-CEO Alan Shaw, who was accused of engaging in an inappropriate consensual relationship with the company's chief legal officer.
According to the Associated Press, CSX named Steve Angel the railroad's new CEO on September 28. Angel previously served as CEO of chemical company Linde and industrial gas company Praxair, and has 45 years of experience leading public companies. Ancora praised Angel's hiring in a September 29 release, calling it a "step in the right direction for CSX," and reiterating its hope that CSX identify a partner for a merger of its own.
