FROM THE EDITOR, RAILWAY AGE SEPTEMBER 2025 ISSUE: As I write this, it’s the late afternoon of Friday, Aug. 29, the end of one of the strangest weeks I’ve ever encountered in my 33-plus years at Railway Age—on top all the crazy things flying out of the White House practically every day since January.
In the space of one week, hedge fund Ancora resurfaced from the swamp and mounted an ugly, nonsensical, fabrication-filled attack on CSX and CEO Joe Hinrichs (our current Railroader of the Year), proclaiming that CSX, only because Union Pacific and Norfolk Southern announced their intended combination, must pursue a merger with either BNSF or CPKC—both of which responded with, “Dumb idea. Get lost.” Then, POTUS 47, once again invoking his The Apprentice reality TV persona, told STB Member Robert Primus, “You’re Fired!”
With Primus ejected from 395 E Street SW in Washington D.C., the odds of UP+NS being approved in roughly two years most likely have increased. The STB has its work cut out, because this transaction falls under merger rules that will be invoked for the first time since they were written in 2001. So, should any other railroads be rushing toward the altar, further complicating what already is an extremely complex undertaking?
No, per l’amor di Dio! Not now. Let’s keep our heads screwed on straight and see how this all plays out. Cool your jets. There are several ways the other four Class I’s can “combine,” in terms of operations and improved services—and they’re doing it.
Now, you might say, “Who does this intelligentone think he is?” But I’m just agreeing with Keith Creel, Warren Buffett and Joe Hinrichs. (Of course, I’m glad they said it first.)
CPKC “is not interested in participating in immediate rail industry consolidation, despite suggestions by some that it take part,” Creel said. “CPKC does not believe that further rail consolidation is necessary for the industry as currently structured.”
Buffett and Greg Abel met with Hinrichs in Omaha alone, without advisors present. They told him they would not make a bid for CSX, adding they “believed they could cooperate more to gain some of the same benefits that would come from combining the two companies.” Hinrichs confirmed this in a session with Jim Cramer, the animated, rapid-fire-dialogue (that’s putting it mildly) host of CNBC’s Mad Money—who called Ancora “some fund I don’t know jack about.”
Jim may not know jack (or James), but he sure knows Joe, as do we. Hinrichs highlighted the importance of “collaboration over consolidation,” stating, “The biggest problem that needs to be solved is interchanges.” He also pointed to CSX’s “robust network, best-in-class margins and high employee engagement … Our focus is on creating value for shareholders and serving customers better so that we can profitably grow the business. That involves people working effectively together.”
Oh, by the way, Cramer prefaced his questioning of Hinrichs with this: “First, just so people know, Railway Age is the most important publication in this industry, and you are the railroad man of the year.”
Thanks for the plug, Jim! But can you talk a little slower? I’m having a hard time understanding you at my advancing age.
