E. Hunter Harrison has taken a Medical Leave due to illness from CSX. newly appointed COO James Foote has been appointed as Acting CEO.
CSX News
Whoa- Wholeee Moleeee!
When is the funeral?
Never too old to have a happy childhood!
beaulieu E. Hunter Harrison has taken a Medical Leave due to illness from CSX. newly appointed COO James Foote has been appointed as Acting CEO. CSX News
"Whoa- Wholeee Moleeee!"
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'Planned EXIT????? {' Snidely Whiplash' ties the unsuspecting [stockholders(?)] to the rails, Takes his money, and runs(?)'}
Call me conspiratorial, but the timing seems somewhat convenient ?
As a stockholder, I want a refund of the 'signing bonus' of $84M and I want it now!
What happens to his contracted millions should he not return to active service?
Perhaps this will provide some idea of whether EHH or his handlers have been running the show...
Larry Resident Microferroequinologist (at least at my house) Everyone goes home; Safety begins with you My Opinion. Standard Disclaimers Apply. No Expiration Date Come ride the rails with me! There's one thing about humility - the moment you think you've got it, you've lost it...
So, EHH came on in March and has been on the job for seven months. He got the $84M signing bonus and now he is on a leave of absence. If he exits the scene, that will be $12M per month. I wish TRAINS would interview some CSX investors, on condition of aninimoty of course, and ask if they feel robbed or cheated or anything like that. From the outside, these people seem like some of the biggest ignoramases on the planet.
overallSo, EHH came on in March and has been on the job for seven months. He got the $84M signing bonus and now he is on a leave of absence. If he exits the scene, that will be $12M per month. I wish TRAINS would interview some CSX investors, on condition of aninimoty of course, and ask if they feel robbed or cheated or anything like that. From the outside, these people seem like some of the biggest ignoramases on the planet.
I am a CSX investor and I am livid. Sue EHH for breach of contract. Return the $84M and triple damages.
He did not get my vote for his extorsion!
Extortion --not ex-torsion, but we know what you mean.
Wonder if it was known to a select few that things were not well at all with him.... they set him up with the $$$"s, waived the medical, he really rushed things through wham bamm as if the clock was ticking, put in his trusted successor and exit stage left. Not a coincidence!
MiningmanExtortion --not ex-torsion, but we know what you mean. Wonder if it was known to a select few that things were not well at all with him.... they set him up with the $$$"s, waived the medical, he really rushed things through wham bamm as if the clock was ticking, put in his trusted successor and exit stage left. Not a coincidence!
He should also be manipulated as a torsion bar - twisted until broken.
Nineteen years too late for those that worked, and still work, on the Canadian National Railways.
Replay of conference call now available, with nominal registration for Webcast, at the top of the page:
http://investors.csx.com
Seeking Alpha is reporting CSX stock down 10% this morning due to this "unexpected" development. Anyone with any sense could see this man was not well. I expected something like this from the start.
Random thoughts:
Is this like old USSR when their leader "caught a cold"? (and was actually dead or dying)
Appointing a temp CEO means this is not just sniffles...
I feel sorry for the guy if the most fulfilling thing in his life is his work. That is just sad.
-Don (Random stuff, mostly about trains - what else? http://blerfblog.blogspot.com/)
While Harrison shaped CN into the well run organization it is today I am of the opinion he has lost his touch primarily due to his illness. His objective, being hired by Paul Hilal was to increase the stock value of CSX, something every hedge fund controller wishes to accomplish shortly before taking their profit and moving on and this case, in my mind, is no exception to that modus operandi.
Harrison's taking medical leave somewhat confirms my suspicions he will not be around much longer and that may leave Hilal in the lurch and/or shedding tears in his drink. I suspect Harrison's health problem is much more severe than has been revealed.
It remains to be seen where CSX will go from here. I would think his minions from CN did not always agree with his dictums and may reverse some changes he made. If they do, it could be beneficial to both the railroad and it's customers.
While I am not schooled in economics I am not so blind as to not recognize that Hilal is no more ethical than Carl Ichan was when it comes to destroying a corporation while turning a fast profit.
Waiting with bated breath for the outcome of this episode.
Opposing opinions welcomed. Harrison is one of Fred Frailey's "heroes" but I respectfully disagree with him. IMO, Harrison is now a "has been" who has done his best in former endeavors but is no longer capable of making critical decisions.
History will hopefully be truthful and give him credit for his successes and ackonoledge his failures.
Norm
oltmanndI feel sorry for the guy if the most fulfilling thing in his life is his work. That is just sad.
Why is that sad?
As a stockholder, I view EHH and Mantle Ridge's play as Larceny by trick! And the institutional stockholders were too greedy themselves to see it.
I am among the 7% of stockholders that saw through this theft!
BaltACD As a stockholder, I view EHH and Mantle Ridge's play as Larceny by trick! And the institutional stockholders were too greedy themselves to see it. I am among the 7% of stockholders that saw through this theft!
Balt,
I am not a stockholder but I surely understand you position. You dedicated years of your life toward keeping CSX viable and healthy in hopes of having a decent retirement income based on your stock and years of service. Thanks to the likes of corporate raiders like Hilal it seemd the little guy always comes out on the short end. IMO, that is sad. The elites grab everything they can and screw everyone else in the processs.
It is a mighty strange theft when Balt's $30 something stock becomes an over $50 stock.
So far Hilal has taken the little guys on a very profitable ride. Hard to see how he has screwed them.
Facts are so inconvenient! The recent 10% share pride drop in one day is tells the tale of the market's evaluation of EHH's worth to CSX. From here on I hope the hysteria on both sides subsides, and expect to see how his understudy performs. That performance will be the fundamental driver of both service and stock price in the future.
Mac
Norm 48327
We are actaully celebrating this. He was destroying the railroad and causing great harm to customers, employees and the CSX as a company for the sole purpose of lining his pockets and that of the shareholders primarily the vulture capitalist Mantle Ridge. They cut numerous intermodal lanes in October and shuddered many ramps mid November with 0-3 days notice to the 3 PL's. Jumping over tomorrows dollars to get to todays pennies in a mad rush to cash in as quick as possible and leave CSX a smoking shell afterwards. Our sales rep told me CSX has lost hundreds of millions in business, they can't even equate how much and the hemorraging of business was greatly accelerating.
I was told by a CSX insider I trust after the news announcement about 2 weeks ago that he was stepping back to let his senior officers more latitude to run the railroad was a hoax, he is a control freak, he didn't have an epiphany, he was reportedly in serious health and maybe nearing death. Again reports are emphasyma amongst other problems.
FYI...word I hear is that Cindy Sanborn who was reportedly a former Hunter Koolaide drinker eventually got tired of the direction CSX was headed and may have been involved in trying to have him voted out this fall, word I got is that the board was just one vote shy of kicking Hunter to the curb so that failed and suddenly Cindy had "left to pursue other opportunities".
slotracerFYI...word I hear is that Cindy Sanborn who was reportedly a former Hunter Koolaide drinker eventually got tired of the direction CSX was headed and may have been involved in trying to have him voted out this fall, word I got is that the board was just one vote shy of kicking Hunter to the curb so that failed and suddenly Cindy had "left to pursue other opportunities".
Which means she may still be available should another vote be taken to put the invalid on his farm - either above or below ground. My understanding has been that the Sanborn family is the single largest 'non-institutional' holder of CSX stock. I don't know that for a fact, just what I have heard.
CSX is not a operating property that one 'learns' in the time either EHH or his cronies have been on the property.
Balt, I can feel for you. I wrote to the Mutual Funds that manage my funds (which held CSX shares) advising them that I wanted them to vote against EHH and his obscene bonus. Lot of good that did. Whether the Precision Railroad Plan succeeds remains to be seen. When you feed the horse sawdust and whip it, you may move some freight for a short while but after its digestive system gets clogged, it can't work and everything grinds to a halt. Good luck on your drive and get home safely.
PNWRMNM It is a mighty strange theft when Balt's $30 something stock becomes an over $50 stock. So far Hilal has taken the little guys on a very profitable ride. Hard to see how he has screwed them. Facts are so inconvenient! The recent 10% share pride drop in one day is tells the tale of the market's evaluation of EHH's worth to CSX. From here on I hope the hysteria on both sides subsides, and expect to see how his understudy performs. That performance will be the fundamental driver of both service and stock price in the future. Mac
Great if you are "pump and dump" kind of investor. Maybe not so great if you are in it for the long term.
Jeff
It may seem like a profitable ride on the surface, but that little guy with a hundred shares who just lost his job as a result will find any windfall quickly vanishing. The pump and dump investor that makes money is not the little guy, nor does that philosophy grow the economy so everyone benefits.
John
For anyone that thinks the EHH bubble in CSX shares and the Trump bubble on NYSE shares will continue - boy do I have a bridge to sell you cheap!
I spent 51.5 years for CSX and it's predecessors in trying to make it better and more efficient day in and day out in a variety of both Contract and non-Contract positions. To see that effort trashed in the short time EHH had the reins is maddening beyond description.
Today marks 1 year since I actually WORKED! And worked Overtime on the 1st Rest Day of my '4-day weekend'. While the 19th was my last day on the payroll it wasn't a 'working' day - retirement party and all that.
I wish someone would gives us all a short lesson in corporate governance. It would seem to me that the stock holders would have a right to know his condition i.e. good, stable, fair, critical etc. Also, I thought Cindy Sanborn was "out". Does she still have some kind of influence?
BaltACD For anyone that thinks the EHH bubble in CSX shares and the Trump bubble on NYSE shares will continue - boy do I have a bridge to sell you cheap! I spent 51.5 years for CSX and it's predecessors in trying to make it better and more efficient day in and day out in a variety of both Contract and non-Contract positions. To see that effort trashed in the short time EHH had the reins is maddening beyond description. Today marks 1 year since I actually WORKED! And worked Overtime on the 1st Rest Day of my '4-day weekend'. While the 19th was my last day on the payroll it wasn't a 'working' day - retirement party and all that.
[I posted this earlier in this Thread, and based on the following comments, I think it still has some validity.]
His medical conditions [EHH's] , would seem to be the types that are present, long term, and developing in an individual. [my non-medical opinion]. Point is they existed Before his transition to CSX. Someone HAD to be aware of their presence. Halal (?) and Mantle Bridge, surely, would `have suspected the outcome would be negative if those conditions(and their implications), were public knowledge.
My point is, it seems, CSX Corp. was sold A SCAM; AND THEY BOUGHT IT: HOOK,LINE, and BRIDGE!
I've been retired for almost 15 years, and Balt's transparent frustration in watching CSX seem to be destroyed; is a point of bitter frustration for him. Like watching a home one has built be set on fire....IMHO .
overall I wish someone would gives us all a short lesson in corporate governance. It would seem to me that the stock holders would have a right to know his condition i.e. good, stable, fair, critical etc. Also, I thought Cindy Sanborn was "out". Does she still have some kind of influence?
I was part of corporate governance for a Fortune 100 corporation. It has many legs and is a complex subject.
The board of directors is the most important component of corporate governance.
Without access to board documents it is impossible to know what the mmbers knew about by Mr. Harrison's health prior to his employment. However, it is unlikely that they were not briefed on his health issues if they were thought to be significant at the time.
Irrespective of what the board may have known about Mr. Harrison's health, privacy laws would prohibit disclosure of the information to the shareholders or anyone else.
Rio Grande Valley, CFI,CFII
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