CSX Rail Division Head Resigns; Parent Co. Makes Executive Changes

Ronald J. Conway, who joined CSX Transportation from Conrail in 1998 and was named the rail unit's president last year, has resigned to pursue other interests, Richmond-based CSX Corp. has announced.

"We are grateful to Ron for his contributions, most notably for leading CSX Transportation through the complex integration of Conrail properties into our network," CSX Corp. Chairman and Chief Executive Officer John W. Snow, said in a statement.

Snow said that Conway would continue working with CSX as a consultant. Snow will assume Conway's duties as president, overseeing day-to-day operations of the railroad.

"CSX has a terrific opportunity to grow earnings substantially," Snow noted. "Our job now is to sharply focus the entire organization on the overriding goal of enhancing shareholder value by stepping up the pace of operations, making this the safest railroad possible and bringing customers the level of rail service they want and need. We've done that before, and now is the time to do it again."

In CSX' 1999 annual report, Snow said "earnings were very disappointing." The railroad was also recently the subject of a track audit by the Federal Railroad Administration, which found some safety concerns that the railroad has addressed.

CSX also announced some senior management changes. CSX Corp. executive vice president and chief financial officer Paul R. Goodwin has been named vice chairman.

He will supervise all financial functions. He will also head an effort to cut costs and improve financial performance.

• P. Michael Giftos, former CSX Transportation senior vice president and general counsel, becomes executive vice president and chief commercial officer at the railroad. Giftos, who has been responsible for pricing strategy, will oversee the railroad's merchandise-, coal-, and auto-marketing and sales efforts.

• CSX Transportation Executive Vice President Michael J. Ward is responsible for operations and rail-network performance. He had led the railroad's coal operations and managed the company's two-year effort to integrate former Conrail operations into the CSX system.

The Office of the Chairman, established last year, will continue to manage all CSX staff and key support functions. It includes vice chairman A.R. "Pete" Carpenter; Goodwin; Mark G. Aron, executive vice president for law and public affairs; Andrew B. Fogarty, senior vice president of corporate services; William J. Flynn, senior vice president for strategic planning; William J. Ryan, senior vice president of human resources; Jesse R. Mohorovic, group vice president of corporate communications and investor relations; and Robert W. Shinn, vice president and executive assistant to the chairman.

CSX Corp. operates the largest rail network in the eastern United States and provides intermodal, container-shipping and contract-logistics services.