| Joe Hinrichs is out as the head of CSX. And Stephen Angel is in, according to a Monday filing with the Securities and Exchange Commission. Will this be the beginning of greater organizational changes? That's the open question after the blockbuster announcement.  Joe Hinrichs is out as head of CSX, with Stephen Angel now taking over leadership. CSX made the move Sunday, a day after Hinrich "separated from his employment as President and Chief Executive Officer of the Company" and "resigned from the Board effective upon his separation" with "a separation agreement providing for his separation benefits provided for under his employment agreement." The move comes as pressure has mounted on CSX to merge, an era of rail consolidation, with Union Pacific and Norfolk Southern planning a merger that has yet to receive federal approval. "Mr. Angel, 70, is an accomplished executive with over 45 years of experience leading large, public companies and generating strong shareholder returns. He has a long and proven track record of leading high-performing teams, fostering a collaborative culture, and driving operational excellence and growth, while maintaining disciplined capital allocation and attractive returns on capital," the SEC filing asserts. He has been the CEO and Chair of Linde, where he "oversaw the successful integration of Linde AG and Praxair, Inc., which created the world's largest industrial gases and engineering company." Before that, as head of Praxair, he helped "guide Praxair through significant transformation while identifying and pursuing strategic growth initiatives." Marking the tail end of Hinrichs' term were activist investors pushing for a merger with another company, which the now-former CEO said was unnecessary. Angel comes on with a base salary of $1.5 million with possible bonuses, including $10 million of stock that will vest in three years at today's common stock price, which is roughly $35 a share at this writing. "Beginning in 2026, Mr. Angel will be eligible to receive an annual long-term incentive award (an 'LTIP Award') under the Company's long-term incentive plans on a substantially similar basis as other similarly situated executives of the Company, with the initial grant to be made in 2026 having a grant date target value of $13,500,000. The Company will also provide Mr. Angel with corporate housing in Jacksonville, Florida, will reimburse Mr. Angel for up to $100,000 in non-refundable expenses incurred by him for personal trips canceled in 2025, and will provide up to $200,000 per year for his personal use of the corporate aircraft," a press release adds. |
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