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Article: HOW NORFOLK SOUTHERN DERAILED THE MERGER OF CSX AND CONRAIL.(BUSINESS)
- Article from:
- The Virginian-Pilot (Norfolk, VA)
- Article date:
- March 5, 1997
- Author:
CopyrightCOPYRIGHT 1997 The Virginian Pilot-Ledger Star. All rights reserved. Reproduced with the permission of the Dialog Corporation by Gale Group. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Byline: CHRISTOPHER DINSMORE, STAFF WRITER
David R. Goode issued the ultimatum on Feb. 24 - deal with Norfolk Southern Corp. by March 3 or else.
In a letter to his counterparts at CSX Corp. and Conrail Inc., Goode outlined a compromise that would split Conrail between CSX and Norfolk Southern and end the costly standoff in the takeover battle. The two Virginia-based railroads had been battling for control of Conrail for four months.
Goode, Norfolk Southern's chairman, threw a hard ball straight up the middle and gave them a week to respond.
The strategy worked. The three railroads are on the verge of a deal that splits Conrail, ...