Western Railroad Discussion > BNSF Names new CEO for Jan 1, 2021

FORT WORTH, Texas--(BUSINESS WIRE)--BNSF today announced that Executive Vice President Operations, Kathryn M. Farmer, will become President and Chief Executive Officer on Jan. 1, 2021. She will continue her role on and assume leadership of BNSF’s Board of Directors. Carl R. Ice, current President and Chief Executive Officer, will retire at the end of 2020 and remain on BNSF’s Board of Directors as well.

https://www.businesswire.com/news/home/20200914005873/en/Katie-Farmer-Named-CEO-of-BNSF

https://www.wsj.com/articles/berkshire-hathaways-bnsf-railway-names-kathryn-farmer-as-ceo-11600115400

Any comments?

Not on the BNSF site at this time:
https://www.bnsf.com/about-bnsf/our-people/index.html



Edited 1 time(s). Last edit at 09/14/20 14:45 by TCnR.

The Wall Street Journal noted Mrs Farmer has 28 years with the company. Has worked in several areas and recently headed operations.

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Must have had the wrong BNSF webpage for such an announcement, this one is updated and shows two changes:

https://www.bnsf.com/news-media/news-releases/library.page?cat=announcements

Katie Farmer Named President and CEO of BNSF

Matt Igoe Named Executive Vice President, Operations
 



Edited 1 time(s). Last edit at 09/14/20 15:24 by TCnR.

Many years ago; Katie was my salesperson back in Houston. I thought very highly of her back then and the intervening years haven’t proven me wrong. I kind of figured she was in line for the top job when she moved over to operations so; this isn’t a surprise.

I believe she’ll do a great job in her new position!

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Edited 1 time(s). Last edit at 09/14/20 15:54 by Juniata.

This is awesome news. Uncle Warren knows how to pick leaders.
Great news too for the half of our population who can now aspire to be leaders in the rail industry.
Wishing Mrs Farmer the very best of success in leading America's #1 railway.
 

Katie was always great to work with in the industrial products and grain side of things  and she would always listen to shortlines that had issues and try and resolve them. She is a good railroader. Congraulations Katie.

From the same WSJ article:
 
North America’s freight railroads have mostly switched to a new operating model in recent years where the companies run fewer, longer trains to help cut costs and operate more efficiently. The change improved profitability for operators, and the companies say the more nimble operating structure has helped them adjust faster to the wild swings in shipping volume in the wake of the pandemic.

Railways have attracted buyers, with Kansas City Southern recently rejecting a roughly $20 billion bid to buy the railroad from Global Infrastructure Partners and the infrastructure arm of private-equity giant Blackstone Group Inc.
 
The 90-year-old Mr. Buffett, whose shrewd investments have earned him the nickname “the Oracle of Omaha,” has plenty of cash on hand should the firm look to make a railroad acquisition of its own. Berkshire held $146.6 billion in cash at the end of the second quarter, up from about $137.3 billion in cash at the end of the first quarter.

BNSF has refrained from following peers such as CSX Corp. and Union Pacific Corp. in adopting what is known as precision scheduled railroading, which irritates some shippers due to rigid operating requirements. In February, Mr. Buffett said in a CNBC interview that BNSF was picking up customers from other railroads due to the new operating plans while also having comparable operating margins.
 

https://www.wsj.com/articles/berkshire-hathaways-bnsf-railway-names-kathryn-farmer-as-ceo-11600115400?mod=searchresults&page=1&pos=1
 
 
 

It has been said that the path to the president's chair on the railroad is being the vice president of operations.  So this shouldn't be a complete surprise.  But I think it will be good news for BNSF as Ms Farmr has a solid background in customer relations.  

Nick Tharalson,
Marion, IA

She comes from the BN side so let's hope a little Santa Fe rubbed off on her in her 28 years.

I have known Katie Farmer for a number of years and she'll do well in her role as BNSF CEO. I would have a chance to talk to her at various shortline events BNSF held over the years,  various ASLRRA meetings, etc.   She also made a point of saying hello to anyone she made eye contact with, so I can attest she doesn't have zombie-like personality skills. 

I’ll agree 100%! I’ve known Katie for roughly 25 or 26 of her years with BN and BNSF and she always made a point to stop and chat when she’d see me at industry meetings.

BurtNorton Wrote:
-------------------------------------------------------
> I have known Katie Farmer for a number of years
> and she'll do well in her role as BNSF CEO. I
> would have a chance to talk to her at various
> shortline events BNSF held over the years, 
> various ASLRRA meetings, etc.   She also made a
> point of saying hello to anyone she made eye
> contact with, so I can attest she doesn't have
> zombie-like personality skills. 

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ntharalson Wrote:
-------------------------------------------------------
> It has been said that the path to the president's
> chair on the railroad is being the vice president
> of operations.  So this shouldn't be a complete
> surprise.  But I think it will be good news for
> BNSF as Ms Farmr has a solid background in
> customer relations.  

Jerry Grinstein thought it important for marketing people to have operating experience & v. That was radical for his time and heresy when several of us discussed it in the 70s.

TAW

ldstephey Wrote:
-------------------------------------------------------
> From the same WSJ article:
>  
> (snip)
>
> Railways have attracted buyers, with Kansas City
> Southern recently rejecting a roughly $20
> billion bid to buy the railroad from Global
> Infrastructure Partners and the infrastructure arm
> of private-equity giant Blackstone Group Inc.
>  
> The 90-year-old Mr. Buffett, whose shrewd
> investments have earned him the nickname “the
> Oracle of Omaha,” has plenty of cash on hand
> should the firm look to make a railroad
> acquisition of its own. 

Thanks for posting more from the article.

Younger Mr. Buffett kept telling Wall St. he was buying more of BNI (BNSF's old symbol) several times 11 years ago, but the brokers who didn't make much commissions from his highly-priced BRKA and BRKB ignored him, and so did most of Wall St. They got suckered.

Not happening this time. My theory is that Blackstone and others might have sensed Buffett spending his cash to buy KSU, so they decided to preempt the move with the rumor several weeks ago, then the failed offer recently. Trying to make a quick buck by riding a potential the Berkshire Hathaway acquisition?

Just another tactical move based on greed, IMO. If true, then Buffett (but more importantly, his lieutenants) have folded their cards already.

Keeping hope alive, what evidence is there that Mrs. Farmer will take BNSF away from their PSR path and fix the problems that are often cited on TO such as super pools etc?

As for Uncle Warren, he's all for stock buybacks and bank bailouts, which fits more with the definition of usurious, not smart.

TAW Wrote:
-------------------------------------------------------
> ntharalson Wrote:
> --------------------------------------------------
> -----
> > It has been said that the path to the
> president's
> > chair on the railroad is being the vice
> president
> > of operations.  So this shouldn't be a
> complete
> > surprise.  But I think it will be good news
> for
> > BNSF as Ms Farmr has a solid background in
> > customer relations.  
>
> Jerry Grinstein thought it important for marketing
> people to have operating experience & v. That was
> radical for his time and heresy when several of us
> discussed it in the 70s.
>
> TAW

Don’t know anything about the lady, but am glad to see someone that is at least a Rail, and not a vacuum cleaner salesman or from the fast food industry, getting the position.

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Drknow Wrote:
-------------------------------------------------------

> Don’t know anything about the lady, but am glad
> to see someone that is at least a Rail, and not a
> vacuum cleaner salesman or from the fast food
> industry, getting the position.


Hey, in the BN 90s, we suffered through Strategic Air Command and Frito-Lay.

TAW

Some press on Carl:
https://www.k-state.edu/today/announcement/?id=68126

TAW Wrote:
-------------------------------------------------------
> Drknow Wrote:
> --------------------------------------------------
> -----
>
> > Don’t know anything about the lady, but am
> glad
> > to see someone that is at least a Rail, and not
> a
> > vacuum cleaner salesman or from the fast food
> > industry, getting the position.
>
>
> Hey, in the BN 90s, we suffered through Strategic
> Air Command and Frito-Lay.
>
> TAW

I heard about Stategic Air Command, that guy was so blind it wasn't even funny!

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