Ms. Scanlon of US Gypsum is the CEO and as it happens to be US Gypsum basicaly has a monopoly on drywall in the US and is a major railroad shipper/reciver. Now she has been appointed to the board of NS. In the old days of when the US Attorney went after real anti-trust cases this would have been viewed as a intrigrated vertical monopoly and a conflict of intrest.
http://www.progressiverailroading.com/people/news/Scanlon-elected-to-Norfolk-Southerns-board--53751
It would be an anti-trust issue if USG sought or had a major financial interest in NS or if Ms. Scanlon was also a board member of a firm that competed with USG.
United States Steel had controlling interests in several common carriers of various sizes and that ownership was allowed.
Or an "interlocking directorate" situation. I think that used to be prohibited - for sure if a bank was involved, though I'm less certain about a customer as here - by either Section 8 of the Clayton Act, or Section 1 of the Sherman Act. Certainly would welcome any further info or correction by anyone with better knowledge.
- PDN.
Ex CSX President Mike Ward sat or sits on the board of Ashland Oil. Ashland Oil Refinery near Huntington WV was a major rail shipper until its sale to BP.
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