Hunter Harrison CSX Chief Has Died


Hunter Harrison Took Medical Leave on Thursday

Jacquie McNish

CSX_transp_logo.svg.pngWhen Hunter Harrison wanted to impress business associates, he arranged meetings in the trophy room of his sprawling Double H horse farm near Palm Beach, Fla. Rows of shelves are stuffed with ribbons, medals and trophies earned by his jumping horses.

csx-09-01-17-hunter-harrison-2Scattered among the laurels are photographs of Mr. Harrison and many of the executives who helped carry him to victory with his controversial methods for shaking up laggard railroads.

By the time visitors left the room, Mr. Harrison had usually made his point. “I want people to understand that I am accustomed to winning,” he told a reporter in 2015.

At the time of his death on Saturday at the age of 73, Mr. Harrison had left unfinished his most challenging assignment, the turnaround of CSX Corp.

He joined the Jacksonville, Fla., railway in March of this year as CEO after he ignited a shareholder revolt by joining forces with a Wall Street activist to replace CSX’s long-serving boss and some directors.

Illinois-central-logo.jpgEver since he took the helm at troubled Illinois Central Railway in the 1990s Mr. Harrison earned a reputation as a driven and disruptive force in a centuries old industry struggling with high operating costs and heightened competition from shipping rivals.

His ability to rapidly pare railway budgets, speed up freight deliveries and challenge union-backed work rules at Illinois Central, Canadian National Railway Co. and Canadian Pacific Railway Ltd. earned him many fans on Wall Street. Unions and customers frequently challenged his harsh tactics.

Canadian Pacific railway logo.pngThe sting of his contrarian views were tempered with a caramel-rich Southern drawl and folksy stories drawn from his childhood in Tennessee, where his father, a one-time policeman, earned a living as a traveling preacher.

Mr. Harrison said in an interview with the Wall Street Journal in early 2017 that he hoped CSX would rank as his greatest triumph because the railroad was bigger, its network more intricate and investor support more substantial than any other challenge faced in his career.

BN-WQ061_3kDdc_OR_20171216144737.jpgHis past success with railroad turnarounds earned him such a loyal investor following that news of his interest in running CSX sparked a $10 billion surge in its market value in January. Shareholders voted in June to approve a special $84 million payment to cover lost compensation at his previous job, despite the onset of health problems that required him to use an oxygen machine and work mostly from his horse farm.

Ewing Hunter Harrison was born in Memphis on Nov. 7, 1944. His father’s gift for sermons helped shape Mr. Harrison’s management style as he rose through the ranks at a variety of railroads. To spread the gospel about his new approach, Mr. Harrison organized retreats called Hunter Camps. At these pep talks he would ask managers and employees to challenge long-standing industry practices to strip away costs and speed up the trains.

Burlington Northern railiroadHe started his railroad career while still in college in 1963 as a 19-year-old laborer squirting oil under train carriages for the St. Louis-San Francisco Railway. He then moved to Burlington Northern Railroad, reaching the position of vice president of transportation and service design. In 1993, he joined Illinois Central Railroad as a senior executive and later that year was appointed chief executive. Mr. Harrison was named chief operating officer of Canadian National Railway after it acquired Illinois Central in 1998. He became CEO in 2003.

Canadian-Pacific-12.jpgWhen he teamed up with activist Bill Ackman to mount a proxy battle to change the leadership of Canadian Pacific in 2012, Mr. Harrison told a crowded Toronto meeting of hundreds of investors that they could “hang me in Times Square” if he failed to deliver a more profitable railway.

Shortly after he was appointed CP’s CEO in 2012, Mr. Harrison set the tone for extensive changes at the railroad by telling a reporter: “There is a new sheriff in town. … He may be mean and ugly, but he knows about railroading and he is going to make this company successful.”

Mr. Harrison is survived by his wife, Jeannie, and daughters Elizabeth (Libby) Julo and Cayce Judge.

Wall street journal rectangle.pngFor more information: wsj.com/csx-ceo-hunter-harrison-has-died

Disclaimer/ Disclosure: The Investors News Magazine is a third party publisher of news and research as well as creates original content as a news source. Original content created by Investors News Magazine is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investment involves risk and possible loss of investment. This site may be compensated by featured companies for news submissions and content marketing. Contact each company directly for press release questions. Disclosure is posted on each release if required but otherwise the news was not compensated for and is published for the sole interest of our readers.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s