NSC - Key regulators express support for Norfolk Southern's leadership and strategy and concerns with Ancora's plan | Benzinga
U.S. Department of Transportation and Surface Transportation Board recognize the importance of Norfolk Southern's safety-driven and service-oriented culture
Warn Ancora's plan would put safety and service at substantial risk
ATLANTA, May 6, 2024 /PRNewswire/ -- Norfolk Southern Corporation (NYSE: NSC) Monday shared statements from the U.S. Department of Transportation (DOT) and the Surface Transportation Board (STB) expressing support for Norfolk Southern's leadership and strategy in driving improvements across safety, performance, and service.[1]
In a May 3rd letter from the DOT to President and Chief Executive Officer Alan Shaw, Allison Dane Camden, Principal Deputy Assistant Secretary for Multimodal Freight Infrastructure and Policy, stated: "Norfolk Southern's progress toward meeting key safety performance indicators is encouraging and demonstrates your leadership and the commitment of all of NS's hard-working employees. We recognize the progress NS has made to-date towards attaining your own safety goals, as well as the goals we set for all Class I railroads..."
The DOT letter additionally acknowledged Norfolk Southern's progress to enhance reliable service for its customers: "DOT is encouraged by Norfolk Southern's efforts to improve the timeliness and fluidity of its network, particularly for time-sensitive goods. Your efforts align with the goals of the National Multimodal Freight Policy, including improving the reliability of freight transportation and reducing the adverse environmental impacts of freight movement."
Similarly, Martin Oberman, STB Chairman, decried Ancora's "viciously" waged attack on Norfolk Southern in a speech at the North American Rail Shippers 2024 Annual Meeting on May 1st. In his remarks, Oberman stated: "it is my responsibility to call out serious threats to the national rail network, and everything about Ancora's campaign should cause serious concerns to all rail stakeholders."
Further highlights of Oberman's speech include:
- "I have read almost everything Ancora has said about its plans for NS. I find almost nothing in their plans about how they will obtain better service or actually grow their number of carloads."
- "The STB's oversight…has been to require the railroads to report on their progress in rebuilding their workforces and their service recovery plans. And no one has made more progress in building a resilient railroad than NS, so that it will be able to handle the growth in traffic as the economy returns, which is inevitable in the foreseeable future..."
- "To me, the best predictor of what a person will do ...