Chairman chosen to restore rail line’s fortunes to step down

Elaine Holt, chairman of Directly Operated Railways (DOR) and East Coast Main Line Company, will leave at the end of December, it was announced yesterday.

DOR, established by the Secretary of State for Transport in July 2009, took over the running of East Coast in November 2009 after National Express’s contract was terminated.

The announcement coincides with the planned completion of Ms Holt’s contract. The Department for Transport tried to extend the contract, although it said the two parties were unable to agree commercial terms.

Ms Holt said: “The company still has a number of challenges to overcome – but I’m absolutely convinced we made the right choices and have established a strong new foundation for our successes to be sustainable.”

She added: “I’m genuinely regretful of the fact that I won’t now be around to ‘finish the job’.”

A spokesman for East Coast said the company’s turnaround was halfway through completion. The franchise is due to continue in public hands until 2013. Earlier this year it introduced a major new timetable and launched a new complementary catering service in First Class.

Passenger numbers have increased by three per cent in the last year and last month DOR posted an operating profit of £183m on turnover of more than £645m for the year ending March 31, 2011.

Michael Holden will become chairman of East Coast and Doug Sutherland non-executive chairman of DOR on an interim basis following Ms Holt’s departure.