May 2 (Reuters) - Proxy advisory firm Egan Jones said on

Thursday that it recommended Norfolk Southern ( NSC )

shareholders vote for activist investor Ancora's nominees to the

company's board and backed a CEO change at the railroad.

The advisory firm said it favored Ancora's plan to replace

the company's current CEO Alan Shaw with former UPS

executive Jim Barber and elect seven of its candidates to the

railroad's 13-member board.

The east-coast railroad has come under pressure following

the derailment of one of its trains in East Palestine, Ohio,

last year.

Earlier this week, proxy advisory firm Institutional

Shareholder Services (ISS) recommended that shareholders elect

five of the activist hedge fund's nominees to the board, while

peer Glass Lewis backed six nominees.

The proxy fight is one of the year's most hotly contested

board challenges and will be decided at the railroad's May 9

annual meeting unless the two sides reach an agreement first.

Earlier in the week, investment group EdgePoint said it had

voted all of its 3.7 million shares in Norfolk Southern ( NSC ) in favor

of Ancora Holdings' seven nominees.