Eastern Railroad Discussion > STB member against investors trying to change NS

https://www.progressiverailroading.com/federal_legislation_regulation/article/Guest-comment-Deja-vu-all-over-again--71320?utm_medium=email&utm_campaign=prnewsletter-2024&utm_source=prfeatures&oly_enc_id=0462C8095934E4E



Edited 1 time(s). Last edit at 02/26/24 13:01 by tomstp.

Good for him.  Mr. Primus is so right.  I just wish he'd called these "activist investors" what they are, "financial predators" (in my opinion anyway).  Time for re-regulation, not to straight-jacket the railroad industry as before but to protect it.

Just one more reason to vote an informed choice in November.  

Changing NS would be bad?  Might check out news report that CEO Shaw received 38% compensation increase in spite of the Palestine disaster and some poor metrics.  Everything must be fine,  just ask the management team.

TheButcherofBena Wrote:
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> Changing NS would be bad?  Might check out news
> report that CEO Shaw received 38% compensation
> increase in spite of the Palestine disaster and
> some poor metrics.  Everything must be fine,
>  just ask the management team.

Executive compensation has been ripe for reform for at least the past 50 years.

Between the interlocking boards (you sit on my board, I sit on yours), the compensation consultants (everybody is well above average), and issuing boat loads of new shares and options to executives while they buy back stock with investor money, the whole process rots to high heaven.

RollinB Wrote:
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> Just one more reason to vote an informed choice in
> November.  


Biting my tongue, but what does this have to do with the current subject at hand?? Especially considering the fact that the troubles with the rail industry STARTED a LONG time ago....

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TheButcherofBena Wrote:
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> Changing NS would be bad?  Might check out news
> report that CEO Shaw received 38% compensation
> increase in spite of the Palestine disaster and
> some poor metrics.  Everything must be fine,
>  just ask the management team.

As far as railroad CEO's go these days, Shaw has been one of the better one's.  He was dealt a bad hand because of the PSR worshiper Squires and has had to try to put the company back together on a shoestring.  The set up for the Palestine disaster was set in motion well before Shaw set foot on NS property.

If you don't like Shaw, wait until you see the effects of another Wall Street robber barron puppet management to come back in!

I agree that it's long past time that the government starts doing some kind of re-regulation of the railroad industry.  This shouldn't be a return to the 1970's, but just starting to treat the railroad industry more like a utility industry would be a good start.  I don't think it would take much government involvement to make the Wall Street vultures fly away.



Edited 1 time(s). Last edit at 02/27/24 07:39 by wyeth.

wyeth Wrote:
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>
> I agree that it's long past time that the
> government starts doing some kind of re-regulation
> of the railroad industry.  This shouldn't be a
> return to the 1970's, but just starting to treat
> the railroad industry more like a utility industry
> would be a good start.  I don't think it would
> take much government involvement to make the Wall
> Street vultures fly away.


This is assuming that those who would make such legislation aren't already financially benefiting from said wall street practices - and motivated to keep the status quo...

 

wyeth Wrote:
-------------------------------------------------------

>
> I agree that it's long past time that the
> government starts doing some kind of re-regulation
> of the railroad industry.  This shouldn't be a
> return to the 1970's, but just starting to treat
> the railroad industry more like a utility industry
> would be a good start.  I don't think it would
> take much government involvement to make the Wall
> Street vultures fly away.

The railroads have monopolized away any real semblance of competition for most shippers. And they are fighting anything resembling open access with huge resources.

Unless their problems reach the front page of the Wall Street Journal ("millions of chickens starve because UP won't deliver chicken feed" etc), nothing gets done.