Indiana Rail Road
Indiana Rail Road to Lease Coal Cars, Locomotives from CIT Rail
July 2, 2008
The Indiana Rail Road Co. (INRD) recently signed long-term leases with CIT Rail for 157 new coal cars and six locomotives.
The railroad will lease Auto-Flood III rapid-discharge cars, which were built in 2006 by FreightCar America Inc., primarily to serve an Indianapolis Power & Light (IPL) generating station. The new aluminum cars will augment a fleet of older steel hoppers owned by IPL and enable INRD to increase train length to 100 cars.
The Auto-Flood IIIs feature pneumatically operated discharge gates that open simultaneously to ease unloading and rotary dump capabilities.
INRD also will lease six SD90MAC locomotives for heavy-haul service. Built by General Motors Corp.'s former Electro-Motive Division, the locomotives previously were in service in Canada. The units feature V-16, 4,300-horsepower diesel engines and — unlike INRD's other locomotives — utilize AC current for traction.
The locomotives will enable INRD to replace older power at a two-to-three ratio and reduce its overall fleet.
In addition, the regional announced plans to preserve two of its earliest motive-power units in heritage paint. An ex-Santa Fe CF7 and former CSX Transportation GP16 are in shops operated by National Railway Equipment Co. and VMV for mechanical overhauls and to receive a new paint design that "evokes the first scheme worn by Indiana Rail Road locomotives," INRD said. The railroad will slightly modify a 1987 paint design.
INRD operates a 500-mile route in Indiana and Illinois, and maintains terminals in Chicago; Indianapolis and Terre Haute, Ind.; and Louisville, Ky.
Progressive Railroading
Amtrak
Amtrak & Lionel Annual Essay Contest
June 26, 2008
Essay topic: How to Celebrate National Train Day
Amtrak and Lionel are partnering this summer for the ninth annual Lionel Kid's Essay Contest. Children age 12 and under will have a chance to win a Lionel toy train set by simply describing how they would like to celebrate National Train Day.
Young Amtrak travelers will be able to win one of 14 first-prize Lionel Polar Express™ toy train sets and one grand prize winner will receive the Santa Fe El Capitan™ train set. Winners will be judged on content and originality by a panel of Amtrak judges.
This year's contest continues through August 31, 2008. Entry forms are available onboard 20 Amtrak trains including the California Zephyr, Cascades, Coast Starlight, Capitol Corridor, Empire Builder, Heartland Flyer, Southwest Chief, Pacific Surfliner, Sunset Limited, San Joaquins, Saint Louis Mule, Kansas City Mule, Illinois Zephyr, Saluki, Carl Sandburg, Lincoln Service, Ann Rutledge, Hiawatha, City of New Orleans and the Texas Eagle.
Amtrak's first annual National Train Day took place on May 10, 2008 to raise awareness of the vital role rail plays in our nation's transportation system. This date holds special meaning as it is the anniversary of the completion of the first transcontinental railroad at Promontory Summit, Utah in 1869; east coast and west coast connected by rail. Celebrations were held at many Amtrak stations throughout the country and featured entertainment acts, celebrity personalities and give-aways.
Amtrak
BNSF Railway
Flood Update: Service Restored in Some Areas
June 30, 2008
BNSF's main lines between Chicago and Kansas City via Fort Madison, Iowa, and Marceline, Mo., and via Quincy, Ill., are open for business.
Floodwaters receded and track reopened in the Marceline and Quincy areas over the weekend. Both main tracks at Marceline are open, and the main line in the Quincy area is open.
Crews continue to work around the clock to restore track affected by flooding to its normal condition. Trains are moving more slowly than usual through the affected areas and on detours. Normal traffic flow is expected to resume over the next few days.
Our main line across southern Iowa via Ottumwa remains out of service due to flood damage just east of Burlington, Iowa. Waters have receded to the point, however, that crews have started to restore damaged track.
Elsewhere, track along the west bank of the Mississippi between Burlington and Quincy and between Quincy and St. Louis remains out of service, although the river has crested in those areas. Track is also out of service due to flooding at several locations between St. Louis and Memphis. The river is expected to crest at those locations later this week.
See flooding at Rothville, Mo., on the Marceline route and Burlington route.
Follow these links to see images:
http://www.bnsf.com/assets/generalimages/rothville_flooding.pdf
http://www.bnsf.com/assets/generalimages/Burlington,%20Iowa.pd
BNSF Railway
House Bill Proposes $1.7
Billion to Help Transit Agencies Handle Soaring Fuel Costs
June 27, 2008
Yesterday, the House passed the “Saving Energy Through Public Transportation Act of 2008” (H.R. 6052), which authorizes $850 million in both FY2008 and FY2009 to help transit agencies keep fares down and expand service despite rising fuel costs, according to the American Public Transportation Association (APTA).
Co-sponsored by Reps. James Oberstar (D-Minn.) and John Mica (R-Fla.) — who serve as the House Transportation and Infrastructure Committee’s chairman and ranking member, respectively — as well as Subcommittee on Highways and Transit Chairman Peter DeFazio (D-Ore.), the bill now is subject to Senate passage and the appropriations process.
Between 2004 and 2008, transit agencies’ fuel costs rose 166 percent, causing many of them to raise fares, cut service or defer projects, according to an APTA survey conducted in April.
Progressive Railroading
Midwest Floods Still
Disrupting Freight Traffic Volume
June 27, 2008
Though flood waters are receding in many parts of the Midwest, their impact on U.S. rail freight traffic volume remains potent, according to the Association of American Railroads. AAP noted U.S. carload freight for the week ended June 21 was down 5.7% from the comparable week of 2007; volume dropped 6.1% on Western railroads and 5.3% on Eastern counterparts.
Intermodal traffic also continued to suffer, down 5.6% from year-ago levels. Total volume for the week was 32.8 billion ton-miles, down 4.4% from the comparable week in 2007.
Commodities registering gains included chemicals, up 4.9%, and grain mill products, up 0.8%. Offsetting those were declines in umber and wood products, off 21.8%, motor vehicles and equipment, down 19.3%, l
and petroleum products, down 11.6%.
Canadian railroad carload freight fell 6.9% for the week versus year-earlier levels, and intermodal traffic also declined 1.4%.
In Mexico, carloads on Kansas City Southern de Mexico declined 3.9% over the year-ago week, while intermodal volume rose 5.8%.
Railway Age
CSX
Proxy Battle for CSX “Too Close to Call”
June 26, 2008
The shareholder's meeting to decide whether two activist hedge funds would seat five dissident nominees on CSX's 12-member board of directors adjourned yesterday, with the results of the proxy voting "too close to call at this time," according to CSX CEO Michael Ward. The votes are currently being tabulated and will be certified by an independent inspector of elections. The official results are expected to be announced at a 10:00 a.m. EDT meeting at CSX headquarters in Jacksonville, Fla., on Friday, July 25.
The challenge to CSX management was mounted by Children's Investment Fund (TCI) and 3G Capital Partners LP, which control at least 8.7% of CSX Corp.’s common stock and have an interest in an additional 12.3% through stock swaps. TCI and 3G are claiming that they have placed four candidates on the CSX board: Gilbert Lamphere, Managing Director of Lamphere Capital Management, a private investment firm, and a former CN director; Alex Behring, Managing Director of 3G Capital; Tim O'Toole, Managing Director of London Underground Ltd. and a former Conrail executive; and TCI Managing Partner Christopher Hohn.
“We want to express our gratitude for the continued support of our shareholders,” Ward said in a statement issued after the shareholders’ meeting closed. “We have met with a large number of our shareholders over the past few months, and we appreciate their candor and insight regarding our company. We remain committed to creating further value for all of our shareholders, and we look forward to building on our progress toward making CSX the safest, most productive North American railroad.”
The hedge funds depicted CSX as a high-cost, low-performing carrier that long trailed its peers in productivity, pricing, and cost control, and suggested that raising prices and cutting capital spending would represent a turn in the right direction. CSX found this to be a simplistic view of a complex business, particularly a railroad's need to invest prudently and substantially in its long-term future. As for shareholder value under the stewardship of Michael Ward, CSX noted that the price of its common stock has more than tripled since Ward succeeded John Snow in 2003.
The fight for seats on CSX’s board had its moments of high-flown rhetoric and lower-flying invective, ranging from a request in the U.S. Senate (and independently, on CNN) for an inquiry into “foreign” interests trying to take over a railroad vital to national security, to the railroad’s accusation that the hedge funds “want to suck cash out of the company, then sell out and leave somebody else to clean up the mess,” to the hedge funds’ assertion that CSX moved the shareholders meeting to “the middle of a swamp in New Orleans” to discourage attendance. (In the middle of that swamp stands a freight classification yard, rebuilt since Hurricane Katrina, that CSX said it wanted to show off to shareholders.)
The proxy fight attracted an unusually high level of interest because, as the Wall Street Journal pointed out on the day of the vote, “Trains in the U.S are undergoing a boom not seen in decades, spurred in part by railroads’ fuel-efficiency advantages over trucking and their ability to bypass the country’s increasingly clogged highways."
What happened as the votes were counted in that Louisiana swamp will help to determine how fully CSX will participate in that boom.
Railway Age
Norfolk Southern/PanAm
Railways
Patriot Corridor Ruling Due Oct. 20
June 26, 2008
The Surface Transportation board said Thursday that it expects to deliver a ruling by Oct. 20, to become effective Nov. 4, on the application by Norfolk Southern and Pan Am Railways to create and jointly own a new rail carrier, Pan Am Southern LLC, to serve a route called the Patriot Corridor, including Albany, N. Y., and the greater Boston, Mass., area. The Springfield Terminal would operate and establish rates for the PAS lines.
STB said it had decided to accept the application as a "minor transaction" requiring no formal environmental review. Key dates in the procedural schedule for consideration of the application are: July 7 (for comments on whether an environmental reviews is warranted); July 11 (notices of intent to participate); Aug. 11 (comments on the primary application); and Sept. 5 (responses to comments).
As described earlier by Norfolk Southern, Pan Am Railway would transfer to the joint venture its 155-mile main track between Albany and Ayer, Mass, along with 281 miles of secondary and branch lines, including trackage rights, in Connecticut, Massachusetts, New Hampshire, New York, and Vermont. For its part, NS will provide cash and other property valued at $140 million, of which $87.5 million will be invested over a three-year period in capital improvements to the Patriot Corridor.
Railway Age
U.S. Carloads Plunge in
Latest Week After Damaging Floods, AAR Says
June 23, 2008
Floods in the Great Plains and Midwest that earlier this month submerged track and damaged bridges had a huge impact on U.S. railroads' traffic. During the week ending June 14, their carloads totaling 324,337 units decreased 4.4 percent and intermodal volume totaling 228,424 units declined 4.8 percent compared with totals from the same week last year, according to Association of American Railroads data.
Despite the one-week blip, U.S. roads kept their heads above water with year-to-date carloads. Through 2008's first 24 weeks, they originated 7.8 million carloads, up 0.6 percent year over year. Container and trailer volume totaling 5.3 million units fell 3.1 percent. Total volume reached an estimated 807.0 billion ton-miles, representing a 1.8 percent increase vs. the total from 2007's first 24 weeks.
Canadian railroads had a bad week in the carload department, too. During the period ending June 14, their carloads decreased 7.7 percent year over year to 74,808 units. But their intermodal volume totaling 48,185 containers and trailers rose 1.7 percent.
Through 24 weeks, Canadian railroads originated 1.8 million carloads, down 3.9 percent, and 1.1 million intermodal loads, up 4.5 percent year over year.
On a combined cumulative-volume basis through 24 weeks, reporting U.S. and Canadian railroads originated 9.6 million carloads, down 0.3 percent, and 6.4 million containers and trailers, down 1.8 percent compared with totals from the same 2007 period.
Progressive Railroading
Floods Will Impact Railroad
Earnings
June 18, 2008
Devastating floods caused by severe storms in the Midwest that have disrupted operations of several railroads and caused shipment delays of up to three days have prompted at least one railroad—Union Pacific—to cut its second-quarter earnings outlook by 5 cents per share. UP, in a June 17 filing with the Securities and Exchange Commission, said the amount is based on a preliminary estimate of network outages and other weather-related problems. UP’s earnings are now projected to be in the lower end of the railroad’s previous guidance of 90 cents to 98 cents per share, below a Wall Street target of 96 cents. On average, railroad earnings are expected to be impacted by 2 cents per share, according to some analysts.
The extensive flooding caused several line shut-downs, six alone on UP, and have prompted rerouting of traffic. For example, coal shipments are being diverted from flooded areas in Iowa, Missouri, Nebraska, and Kansas. Detroit Edison, which provides electricity to 2.2 million customers in southeastern Michigan, is having coal shipped north of the flooded area through Minneapolis and Chicago. Ohio-based AEP’s regular coal shipments are detouring south of the flooded areas to its coal terminal in Metropolis, Ill.
UP has made its coal shipments, which with other energy-related products like petroleum coke account for 20% of the railroad’s traffic, a priority. UP’s north-south main line has been reopened, and limited service on its east-west main was expected to resume today.
The delays in railroad coal
shipments come at a time when tight supply caused largely by:
1) increased demand from China, India, and other developing countries for
export coal and
2) flat domestic coal production
have contributed to higher coal and electricity prices. Utilities are saying
their coal stockpiles so far have been sufficient to ward off shortages.
Many also purchase coal through long-term contracts at prices that were set
before the flooding, which should limit the flooding’s impact on the prices
they pay. But longer term, coal prices, which have more than doubled since
the beginning of the year, could rise even further, according to analysts.
Railway Age
Amtrak
Midwest Flooding Affects Amtrak Service
June 18, 2008
Midwest flooding woes affecting rail freight service have also disrupted Amtrak's Southwest Chief between Chicago and Kansas City. Amtrak is substituting bus service in both directions between Kansas City and Galesburg, Ill., due to flood problems on BNSF right-of-way. Amtrak will continue to run buses for part of the route until at least Friday, a spokesman said.
Bus substitution also has occurred for Amtrak's California Zephyr between Omaha and Denver, while service through Iowa was suspended. Further north, the Empire Builder last week had been detouring between Chicago and St. Paul, Minn., due to flooding. Amtrak subsequently substituted bus service to intermediate points between St. Paul and Chicago, but at present service to Portage and Columbus, Wis., has been suspended due to flood-related problems.
Railway Age
Great Plains and Midwest Floods Wash Out Track, Bridges
June 16, 2008
Storms that dumped more than eight inches of rain in parts of Illinois, Iowa, Kansas, Minnesota, Missouri and Nebraska last week have caused floods that washed out track and weakened bridges for numerous railroads.
Union Pacific Railroad is experiencing the storms' worst effects in Iowa, where (as of June 16) 83 of the 99 counties have been declared disaster areas. The Class I's mainline is out of service near Haley, two mainlines near Cedar Rapids and another two near Tama are flooded out, and a mainline between Des Moines and Kansas City, Mo., is out of service.
Late last week, UP issued an embargo for all eastbound manifest and automotive traffic originating at points west of Beverly, Iowa, and traffic destined for points west of Beverly because flooding has limited reroute options, said Executive Vice President of Marketing and Sales Jack Koraleski in a customer letter dated June 13.
"Based on current conditions, the embargoes are anticipated to be in place for as long as a week, however, weather conditions will ultimately determine when an embargo can be lifted," he wrote.
Iowa short lines are reeling from the storms' aftermath, too. The Cedar Rapids and Iowa City Railway Co.'s bridge in Cedar Rapids collapsed into a river June 12. The short line had placed hopper cars loaded with ballast on the bridge in hopes of keeping the structure in place.
Floodwaters also overtook Keokuk Junction Railway's mainline in the Keokuk, Iowa, area. The short line shut down the line between Keokuk and LaHarpe, Ill.
Iowa Northern Railway Co.'s line in Clarksville, Iowa, sustained extensive damage and the short line is experiencing significant service disruptions. The railroad’s downtown Cedar Rapids headquarters is closed until further notice.
At the Iowa, Chicago & Eastern Railroad Corp., track washouts between Mason City and Nora Springs, and Charles City and Ossian, Iowa, promoted the railroad to close portions of its lines for seven to 14 days. Traffic between Mason City and Marquette, Iowa, is being rerouted.
Meanwhile, BNSF Railway Co. officials continue to monitor rising waters in Iowa, as well as Illinois, Missouri and Nebraska. The Class I anticipates non-intermodal traffic delays of 24 to 48 hours because trains will be rerouted at points between Chicago and Denver. BNSF also expects delays for non-intermodal traffic originating or terminating in Atlanta; Birmingham, Ala.; Memphis, Tenn.; and St Louis.
Norfolk Southern Railway has ceased operations through parts of Hannibal, Mo., due to Mississippi River flooding. Traffic is being rerouted around the area and the Class I anticipates traffic delays.
Flooding has impacted Amtrak, as well. A BNSF route in Iowa used by Amtrak for California Zephyr service has been temporarily closed because of flooding in Ottumwa. Amtrak is providing bus service from Chicago to Nebraska and Denver. The national intercity passenger railroad also is using buses instead of trains between K.C. and Jefferson City, Mo., on the Missouri Mules route because UP has detoured freight traffic on the line.
In addition, Amtrak is busing Empire Builder passengers from Chicago to St. Paul, Minn., until flooding subsides in parts of Wisconsin. Empire Builder service is suspended to Portage and Columbus, Wis.
Progressive Railroading
Louisiana & North West
Railroad
Patriot Rail Acquires Louisiana & North West Railroad
June 10, 2008
Patriot Rail Corp. , a short line and regional freight railroad holding company, today announced its acquisition of the Louisiana & North West Railroad (“LNW”), a short line freight railroad headquartered in Homer, Louisiana. This transaction marks the fifth railroad acquisition by Patriot since its inception in November 2006. Patriot now operates a total of 321 miles of rail line in seven states.
Incorporated in 1889, the LNW operates 68 miles of track from Gibsland, Louisiana, to McNeil, Arkansas. Major commodities shipped by the railroad include chemical products for Albemarle Corporation, wood products for Weyerhaeuser and Partee Flooring, steel products for CMC Steel Arkansas, and plastics for Berry Plastics. The LNW, which interchanges traffic with Union Pacific Railroad at McNeil and with Kansas City Southern Railroad at Gibsland, handles approximately 5,000 carloads of freight annually. The railroad also owns 845 acres of real estate, operates five locomotives and has 27 employees.
“The LNW is an excellent fit with Patriot’s strategy of acquiring short line railroads with a solid customer base and considerable growth potential,” said Gary O. Marino, Chairman, President and CEO of Patriot Rail Corp. “This is a very well managed and efficient railroad operation focused on providing customers with reliable and safe rail service. In addition, we anticipate implementing a number of new business initiatives that will significantly grow the business over the next several years.”
Patriot Rail Corp. is a short line and regional freight railroad holding company based in Boca Raton, Florida. The Company owns and operates five short line freight railroads comprising 321 total rail miles: the Tennessee Southern Railroad in Tennessee and Alabama; the Butte, Anaconda & Pacific Railway in Montana; the Utah Central Railway in Utah; the Sacramento Valley Railroad in California; and the Louisiana & North West Railroad in Louisiana and Arkansas.
Patriot Rail Corp.
Oregon TriMet Light Rail
Oregon's TriMet Carries Record Number of Passengers in May
June 11, 2008
The Tri-County Metropolitan Transportation District of Oregon (TriMet) posted record ridership in May, recording 8.9 million trips on its light-rail and bus systems.
Weekly rides averaged 2.1 million, up 4.4 percent compared with May 2007 and 3.3 percent compared with April. On TriMet’s MAX light-rail system, average weekday trips totaled 112,100.
Progressive Railroading
Amtrak
Rediscover the Coast Starlight: Amtrak Re-Launches Service
June 3, 2008
Amtrak unveils a new look on the Coast Starlight just in time for the busy summer travel season. This legendary train (operating daily between Los Angeles and Seattle) features refurbished Parlour Cars, new Arcade rooms and enhanced amenities.
"This is going to be an exciting summer for passengers traveling on board the Coast Starlight," said Emmett Fremaux, Amtrak's Vice President, Marketing & Product Development. "The Coast Starlight has long been one of the most popular long-distance trains in our network and we are delighted to bring these upgrades to our dedicated passengers."
The new features and amenities include at seat meal options for Coach passengers and new arcade rooms equipped with arcade-style video games and board games. Sleeping Car passengers will experience a refurbished Parlour Car with enhanced services such as alternative dining, daily wine tasting with regional wines, a specialty coffee bar and a newly redesigned theater with 50-inch plasma HD monitors. The redesigned theater features family and classic movies three times a day. Parlour Car menu items include regional cuisine such as Pacific Bay scallops and Santa Maria beef short-ribs. Complimentary library and board games are also available in the Car.
Throughout the 1377-mile, 36-hour route, passengers on board the Coast Starlight enjoy stunningly beautiful vistas — some of which can only be seen via rail — breathtaking shorelines of the Pacific, dense Northern forests and spectacular peaks of the Cascades, to name a few. The train also connects the West Coast's most popular destination cities, including Los Angeles, Ventura, Santa Barbara, San Francisco, Portland and Seattle.
Coach fares are as low as $56 one-way between Los Angeles and Oakland and $92 one- way between Los Angeles and Seattle. Sleeping Car accommodations are in addition to coach fares and start as low as $89 one-way between Los Angeles and Oakland and $196 one-way between Los Angeles and Seattle, subject to availability. Meals are included in the Sleeping Car accommodation fare.
The Coast Starlight is one of the most recent Amtrak long-distance trains to be upgraded in the past few years (others include the Empire Builder and City of New Orleans). The Coast Starlight's on-time performance is up 76 percent over the last 12 months.
Amtrak
Norfolk Southern
Norfolk Southern and 10 Short Line Railroads Create Short-haul Rail Options
in New York and Beyond
May 29, 2008
Norfolk Southern Corporation and 10 New York-based short line railroads have created a program to convert short-haul truck movements to rail. The “Empire Link” allows the short line railroads to market the excess rail freight capacity on NS’ Southern Tier main line between Binghamton and Silver Springs, N.Y., as well as on branch lines between Corning and Geneva, and between Waverly and Ludlowville.
“With the high price of diesel fuel, the Empire Link is an attractive option for shippers currently trucking freight in New York, Pennsylvania, and New Jersey,” said David Lawson, Norfolk Southern’s vice president industrial products. “The Empire Link provides our New York short line partners with the tools and resources to design and offer rail transportation services that are truck-competitive in lanes that are less than 500 miles.”
“The recent collaboration of the American Short Line and Regional Railroad Association’s Eastern Region Short line members and Norfolk Southern is one of the most creative business initiatives to come about in the last 15 years,” said Rich Timmons, ASLRRA president. “We expect positive results for shippers, communities, and big and small railroads alike. If the Empire Link performs as we anticipate, it could serve as a model for future Class I and short line business arrangements.”
The 10 short lines participating in the Empire Link are the Bath and Hammondsport Railroad; Central New York Railroad Corp.; Finger Lakes Railway; Livonia, Avon and Lakeville Railroad; the New York, Susquehanna & Western Railway Corp.; Ontario Central Railroad; Owego & Harford Railway; Rochester and Southern Railroad; Wellsboro and Corning Railroad; and Western New York & Pennsylvania Railroad.
Norfolk Southern
Louisiana and North West
Railroad
Patriot Rail seeks STB Nod for Louisiana and North West Railroad Acquisition
May 29, 2008
Patriot Rail Corp. is seeking Surface Transportation Board (STB) approval to acquire control of the Louisiana and North West Railroad Co. L.L.C. (L&NW).
In April, Patriot Rail reached an agreement to acquire all of L&NW's assets. The transaction is expected to close by month's end, according to a STB filing dated May 16.
Incorporated in 1889, L&NW owns and operates a 62.6-mile line between McNeil, Ark., and Gibsland, La., and leases a 6.5-mile line between McNeil and Magnolia, Ark., from Union Pacific Railroad.
Patriot Rail owns the Tennessee Southern Railroad Co., Rarus Railway Co., Utah Central Railway Co. and Sacramento Valley Railroad Inc.
Progressive Railroading
GO Transit
Ontario Northland to Refurbish Another 50 Cars for GO Transit
May 29th, 2008
Toronto’s GO Transit recently exercised an option with Ontario Northland to refurbish an additional 50 bi-level rail cars.
The option brings the contract total to $81 million and extends it to July 2011. The original contract called for refurbishing 71 cars.
So far, Ontario Northland has delivered 44 refurbished cars to GO Transit.
Progressive Railroading
Stanley H. Barriger, 74
Passes Away
May 29, 2008
Well-known railroader, consultant, and passenger train advocate Stanley Huntington Barriger, the son of John W. Barriger III, died at his home at Claremont, N.H., on May 27. He was 74.
Barriger graduated from MIT in 1955 and from the Yale Graduate School of Transportation Economics in 1956. He worked for Missouri Pacific, New York Central, Amtrak, the United Fruit Company, and for the World Bank and Association of American Railroads as a consultant on jobs in 38 countries. “It has been documented that Barriger had logged the greatest number of rail miles traveled of almost any living person,” said his brother, John W. Barriger IV, in a statement. “It was this passion for travel, especially by rail, that inspired him to open Ascutney Travel in Claremont in 1985. One of his proudest accomplishments was his success in convincing Amtrak to begin service to Claremont Junction in 1980s, the only New Hampshire passenger stop on its Montrealer line.”
In 1984, Barriger was a founding Trustee of the John W. Barriger III National Railroad Library, now at the University of Missouri-St. Louis, America’s largest and most complete repository of railroad data. Memorial contributions to the Barriger Library may be sent in care of Greg Ames, Curator, One University Boulevard, St. Louis, MO 63121-4499; phone (314) 516-7253.
In addition to his brother, Barriger is survived by his wife, Cynthia Cahill Barriger; his son, Mark S. Barriger; his daughter, Amy S. Barriger; his step-son, Michael J. Cahill; and his step-daughter, Erin K. Pacheco.
Railway Age
Amtrak
Thames River Bridge to be Closed to Rail Traffic June 14-17 for Replacement
of 90-Year-Old Vertical Lift Span
May 28, 2008
After more than two years of preparation and construction, Amtrak will replace the movable span of the 90-year-old Thames River Bridge that carries Amtrak's Northeast Corridor tracks between Groton and New London, Conn., Saturday, June 14 through Tuesday, June 17. Amtrak rail service will be affected between New Haven and Boston on those dates. During the outage, Amtrak will install a new vertical lift span to replace the movable bascule portion of the bridge, marking the final stage of a multi-year, $83 million project designed to improve the reliability of the bridge, reduce the chance of operational failures and minimize train delays.
"The aged drawbridge will be replaced by a more efficient vertical lift bridge that rises between two towers," said Frank Vacca, Amtrak Chief Engineer. "Once this is complete, rail passengers will be able to depend on a reliably operating lift span for the better part of this century."
Over the years, more and more train travelers have crossed the bridge. The number of passengers taking Amtrak trains over the bridge rose from 1.4 million in 2002 to 2.2 million in 2007. Today, the bridge handles 36 passenger trains and two freight trains every weekday. Learn more about the Thames River Bridge Project.
Taking advantage of the train traffic outage occasioned by the bridge span replacement, Amtrak will conduct its first maintenance "blitz" over the same four-day period between New Haven, Conn. and Boston, Mass. This major investment in the New England region will accomplish multiple major infrastructure repair and replacement projects that will result in smoother and more reliable rail service and reduce the need for future service disruptions due to maintenance work.
Planned Production Tasks During the Four-Day Maintenance "Blitz"
• Replacement of 3,600 concrete and wood ties in Massachusetts, Rhode Island and Connecticut
• Remove switch at Canton Junction, Massachusetts
• Surfacing of four interlockings (track switch combinations) and 11 miles of track in Connecticut and Rhode Island
• Install an ADA-compliant tactile edge surface on platforms at Providence station
• Install concrete and wood ties at five interlockings and two wayside switches
• Repairs to movable bridges at Connecticut River and Niantic River in Connecticut and to fixed bridges at Usquepaug River, Hunts River, Pawtucket River in Rhode Island and the Central Vermont Railroad Bridge in Connecticut
To accommodate these projects, the following service cancellations and adjustments will be made for travel between Boston, New Haven and New York:
• Acela Express service will be cancelled between New York and Boston. (Acela Express service between New York and Washington will continue to operate according to published schedules.)
• All Regional trains will be cancelled between Boston and New Haven (by way of Providence) while some Regional trains will be cancelled between New Haven and New York.
• A special northbound and southbound train will operate between Washington, New Haven and Boston (by way of Springfield) between Sunday June 15 and Tuesday June 17. For detailed schedule information, visit Amtrak.com or call 1-800-USA-RAIL.
• On Wednesday June 18, Regional Trains 95 and 171 will be cancelled between Boston and New Haven.
Otherwise, all other trains normally using the Thames River Bridge will resume service according to the published schedules, beginning June 18.
Shore Line East commuter rail service and MBTA service will not be affected during this outage.
Passengers wishing to travel between Boston and New Haven are urged to contact Peter Pan and Greyhound bus lines for information on scheduled intercity bus service available between points in Connecticut, Rhode Island and Massachusetts. Amtrak has notified both Greyhound Lines, Inc. (www.greyhound.com) and Peter Pan Bus Lines (www.peterpanbus.com) and local commuter service companies about the rail outage.
The public is urgently reminded that during the four-day maintenance blitz, it is still important to refrain from walking on or near the tracks, as work train equipment and local commuter trains will continue to operate. Trespassing on the tracks is not only dangerous, it is illegal. Cross tracks only at designated pedestrian or roadway crossings and observe and obey all warning signs and signals.
Amtrak
Kansas City Area
Transportation Authority
Kansas City Gets Federal Grant for Light Rail Analysis
May 22, 2008
The Kansas City Area Transportation Authority will receive $2.6 million from the U.S. Department of Transportation for a Light Rail Alternative Analysis, according to the office of Sen. Kit Bond, R-Mo., ranking member of the Senate Appropriations Subcommittee for Transportation, Housing and Urban Development.
Kansas City's Light Rail Alternative Analysis is a cooperative effort by KCATA, the city of Kansas City, and the Mid-America Regional Council.
Voters in November 2006 approved establishing light rail for the region despite a lack of support from elected officials. The voter-approved plan envisioned LRT running from the Kansas City Zoo north through downtown and approaching Kansas City International Airport. But the Kansas City (Mo.) city council rejected the voter-approved plan as unworkable late last year. A lawsuit challenging the city council's action was subsequently dismissed. City officials have sought an alternate plan since then.
"Light rail is continuing to be a topic of great public interest in Kansas City, and this earmark is essential in the efforts of KCATA and the city of Kansas City to bring a workable light-rail plan to voters in November," KCATA General Manager Mark Huffer said in a release.
Railway Age
BNSF Railway
BNSF Carries Important Freight for the 2010 Winter Olympics
May 22, 2008
BNSF will transport five historic spools of heavy-duty wire cable in June.
The cable will be used to build the tramway connecting two mountain peaks north of Vancouver, B.C., for the 2010 Olympic Games and will be the longest unsupported cable system in the world. The tramway will provide easy cable-car access for athletes and spectators between Whistler's Roundhouse Lodge and Blackcomb's Rendezvous Lodge.
The steel cables were manufactured in Switzerland, then moved via barge to Vlissingen, Holland, where they were loaded on a ship that brought the cargo through the Panama Canal. The spools are on the way to the Port of Vancouver, Wash., where BNSF will pick up the reels and deliver them to New Westminster, B.C. From New Westminster, the CN Railway will transport the five spools of wire cable to the base of Whistler Mountain in Whistler, B.C.
“The final route from Whistler, rail siding at Mons Road, will be the biggest challenge of the entire project,” said Hermann Amsz, chairman and chief executive officer of OmniTrans Corp Ltd. “We have to bring all the reels up the mountain to approximately 6,200 feet above sea level on Blackcomb Mountain using a special Goldhofer trailer, which has four sections with six axles in each. Each axle has eight wheels. The trailer will also feature a hydraulic sliding system, which will enable the reels to be unloaded from the railcars in Whistler without a crane.”
Once the spools are trucked to Whistler’s Roundhouse Lodge, helicopters will assist in stringing a “straw” wire to the opposing peaks. Once the “straw” wire is in place, the cable will be attached and moved across one inch at a time. Amsz said it will take an estimated two months to string the actual cable.
OmniTrans, in connection with General Transport AG of Basel, Switzerland, arranged the complex logistics for the cable movement.
Completion of the lift system is scheduled for December 2008.
More interesting facts:
• At least a portion of the drive up the mountain is on a narrow gravel road.
• The cable-car system will span 3.1 kilometers (almost two miles) and will allow passengers to make the trek from peak to peak in 11 minutes.
• Four of the five spools of cable weigh 89 tons, while the fifth tips the scales at 82 tons
• The 28 gondolas will be capable of carrying 4,100 passengers per hour.
• The cable will be suspended 1,200 feet from the valley floor.
• The steel cables were manufactured in Romanshorn, Switzerland, near Lake Constance. • The area is in Switzerland and borders Germany and Austria.
• The 28 gondolas are being manufactured in Olten, Switzerland.
• The Port of Vancouver, Wash., was chosen as the delivery point because it has the world’s largest mobile harbor crane to hoist the spools.
BNSF Railway
U.S. Transportation &
Infrastructure Committee
T&I Approves Historic Amtrak Legislation
Bill authorizes $14.4 billion for passenger rail
May 22, 2008
A bill to reauthorize Amtrak and improve intercity passenger rail was approved and reported out by the Committee on Transportation and Infrastructure today. H.R. 6003, the Passenger Rail Investment and Improvement Act of 2008, authorizes $14.4 billion for Amtrak capital and operating grants, state intercity passenger grants, and high-speed rail over the next five years.
“Today’s markup is a historic milestone, because the legislation we approved today is a truly significant and long overdue investment in the nation’s passenger rail system. We can address many of the nation’s most pressing transportation problems by improving Amtrak’s service and operations, because increased passenger rail ridership will alleviate growing highway and airport congestion,” said Rep. James L. Oberstar (Minn.), Chairman of the Committee. “The National Surface Transportation Policy and Revenue Study Commission, a bipartisan commission created by Congress, found that we should invest at least $66.3 billion through 2015 in our passenger rail infrastructure, stations, and rolling stock. This investment is essential to make passenger rail stronger, and in turn, to make our national transportation systems safer, less congested, and more environmentally friendly.”
The bill helps Amtrak bring its assets to a state-of-good-repair, improves service reliability and increases train speed; helps Amtrak replace its aging rail fleet; provides grants to pay salaries, overtime, and benefits to Amtrak employees; provides grants to alleviate “choke points” across the nation where lack of rail capacity is hampering ridership growth; and provides grants to enable states and Amtrak to develop and construct high-speed rail corridors throughout the country.
“Amtrak’s improved physical state and recent focus on customer service, along with increasing highway and airport congestion and rising gas prices, have made intercity passenger rail more popular and necessary than ever,” said Rep. Corrine Brown (Fla.), Chairwoman of the Subcommittee on Railroads, Pipelines, and Hazardous Materials. “Passage of H.R. 6003 will be the first major step in bringing our nation’s intercity passenger rail system into the 21st Century. The American people deserve the best passenger rail system in the world, and I believe this Amtrak Reauthorization will go a long way to raise the United States to its rightful place as a world leader in passenger rail.”
In the 108th and 109th Congresses, the T&I Committee reported out bills to reauthorize Amtrak. Despite strong bipartisan support in the Committee, Republican leadership did not allow the legislation to receive floor consideration. Since 2002, Amtrak has continued to operate under minimal annual appropriations, despite the Bush Administration’s repeated attempts to dissolve Amtrak.
“We ought to at least do in America what has been done in France to promote passenger rail service,” said Oberstar. “Our bill provides significant funding for state grants, giving states greater leverage to develop their passenger rail networks by partnering with the Federal Government to help fund up to 80 percent of the cost of developing state passenger rail networks. These grants will help develop rail systems in the emerging ‘mega-regions,’ bringing greater mobility to the fastest growing regions of the country. H.R. 6003 ensures the continued success and growth of our safe, efficient, and essential national passenger rail system, and through this legislation, we have created a lasting legacy for America.”
Major provisions of the bill include:
• Authorizing $4.2 billion (an average of $840 million per year) to Amtrak for capital grants and $3.0 billion (an average of $606 million per year) for operating grants;
• Creating a new State Capital Grant program for intercity passenger rail capital projects; • Authorizing $1.75 billion ($350 million per year) for grants to states and/or Amtrak to finance the construction and equipment for 11 authorized high-speed rail corridors;
• Providing congestion grants to Amtrak and the states for high-priority rail corridors in order to reduce congestion and facilitate ridership growth;
• Authorizing $345 million each year for debt service through FY2013;
• Directing the Secretary of Transportation to issue a request for proposals for projects for the financing, design, construction, and operation of an initial high-speed rail system operating between Washington, DC, and New York City; and
• Establishing a forum at the Surface Transportation Board to help complete stalled commuter rail negotiations.
U.S. Transportation & Infrastructure Committee
BNSF Railway
Coal Lines See First Quadruple Main Line in Service
May 19, 2008
May 14, 2008, was a historic day for the BNSF Powder River Division when 21 miles of a fourth main line were placed in service at Logan Hill on the Orin Subdivision.
The new trackage is believed to be the world’s longest stretch of quadruple main line devoted exclusively to freight service.
The new fourth main track was placed in service under the "super highway" concept, which allows main line track to be completed first, followed by the universal crossovers. With this method, increased capacity is available sooner than if all of the trackage had been placed in service at the same time.
This section of track has averaged 132 trains per day up to 150 trains per day during peak periods. With the addition of the fourth track, capacity should be closer to 200 trains per day.
The construction team faced significant challenges to put this track in service. Physical constraints required that the new track be constructed on different sides of the existing triple track. Four tracks had to be lined over at two locations during the same track window to complete the connections. The Track and Signal teams, supported by Engineering Services and others, worked more than 20 hours to complete this historic cut-over.
In addition, BNSF shares a portion of the line with Union Pacific (UP). This required planning with UP to ensure safety on the railroad with minimal impact on customers for both companies. In fact, UP personnel were actually on-site for the cut-over.
The success of this cut-over is due in large part to the extensive planning by Cory Stethem and Brian Delaware of the Signal team, Randy Shaffer and Scott Lockwood of the Track team and Gary Blundell and Gene Eliassen from Engineering Services. But many others were involved in achieving success.
"We appreciate everyone who planned and executed this project," said Steve Bobb, group vice president, Coal. "Their work contributes to the capacity and velocity of our coal network, which enables BNSF to continue supplying reliable transportation of fuel for electricity generation."
BNSF Railway
Norfolk Southern
Norfolk Southern Receives First Uni-Level Railcars for Large Motor Vehicle
Transport
May 21, 2008
Norfolk Southern Corporation has put into service the first of the new Uni-Level railcars supplied by TTX Company. Last week, Norfolk Southern loaded the first 13 of 55 Uni-Level cars received from TTX, officially launching the railroad’s Uni-Level service network.
The fully enclosed Uni-Level railcar is designed to provide economical rail transportation of large motorized vehicles, including Class 5-8 trucks and recreational vehicles. Transporting these types of vehicles in a Uni-Level car helps ensure that the vehicles will arrive at their distributors in factory-quality condition and will not require re-work, as is typically the case with over-the-road transportation. Prototypes of the Uni-Level railcar have been tested successfully in the marketplace over the past three years.
Norfolk Southern’s Automotive Group and Modalgistics Supply Chain Services will provide dock-to-dock shipment management to Uni-Level users through their Load Planning, Web-Based VIN Visibility, Optimized Mode Selection, and Strategic Network Design services.
The initial Uni-Level service network will be concentrated on local NS service lanes, with later expansion into Mexico, Canada, and the West Coast.
Norfolk Southern
Norfolk Southern, Pan Am
Railways
Pan Am Railways and Norfolk Southern Create the Patriot Corridor to Improve
Rail Service and Expand Capacity in New York and New England
May 15, 2008
Pan Am Railways (PAR) and Norfolk Southern Railway Company (NS) have agreed to create an improved rail route between Albany, N.Y., and the greater Boston, Mass., area called the “Patriot Corridor.” Investments in the Patriot Corridor are expected to improve track quality and customer service, boost train speed and reliability, and increase capacity on the route. PAR and NS each will have a 50 percent interest in the newly formed railroad company, called “Pan Am Southern.”
PAR has agreed to transfer to the joint venture its 155-mile main line track that runs between Mechanicville (Albany), N.Y., and Ayer, Mass., along with 281 miles of secondary and branch lines, including trackage rights, in Connecticut, Massachusetts, New Hampshire, New York, and Vermont. NS has agreed to transfer cash and other property valued at $140 million to the joint venture, $87.5 million of which is expected to be invested within a three-year period in capital improvements on the Patriot Corridor, such as terminal expansions, track and signal upgrades. The companies also anticipate the construction of new intermodal and automotive terminals in the Albany area. PAR’s Springfield Terminal Railway subsidiary has agreed to provide all railroad services for the joint venture.
“We are excited to partner with Norfolk Southern on the Patriot Corridor. Since the Conrail transaction was implemented in 1999, both Pan Am Railways and Norfolk Southern have been working to bring additional high quality rail transportation options to our New England customer base. This joint venture is the culmination of those efforts,” said David Fink, Pan Am Railways’ president. “With energy prices continuing to rise, the Patriot Corridor will give our customers additional capacity and speed to get their products to market.”
“Norfolk Southern has been working with Pan Am Railways to improve rail service and increase transportation options between the Norfolk Southern system and the Boston area,” said Wick Moorman, Norfolk Southern’s chief executive officer. “The Patriot Corridor creates a new level of rail competition in upstate New York and New England by improving train speed, reliability, and capacity, as well as strengthening connections between the region’s short line and regional railroads and Norfolk Southern’s 22-state network.”
The parties will seek approval for the transaction with the U.S. Surface Transportation Board. Additional materials describing the transaction will be posted on Norfolk Southern’s Web site, www.nscorp.com, and will be furnished to the SEC as part of a Current Report on Form 8-K.
Norfolk Southern is currently improving the Heartland Corridor, a high-capacity rail route linking the Port of Virginia (Norfolk), Columbus, Ohio, and Chicago, and has announced the Crescent Corridor, an initiative to divert freight traffic from highways to rail between New Orleans, Memphis, and the Northeast.
Norfolk Southern, Pan Am Railways
Kansas City Southern
Added capacity helps PCRC set new record for container movements
May 15, 2008
Last week, PCRC moved 7,832 containers (6,017 loaded and 1,815 empty), setting a new record for most containers moved by PCRC in a week. The previous record was 7,173 containers in November 2007. PCRC director of marketing Tom Kenna attributes the increase in containers moved to market demand and added terminal capacity.
As a result of better performance at Panamanian ports, market demand drove PCRC to invest US $25 million to increase its capacity to handle more intermodal business. PCRC added seven locomotives, two RTG intermodal cranes, three Linde sideloaders and additional support equipment, such as tampers and trucks. It also extended the Atlantic and Pacific intermodal terminals from seven double stack car lengths to 10 double stack car lengths and added 16 additional double stack cars.
"Steamship lines are using PCRC to add value to the Panama Canal maritime route by carrying out transshipment operations on both coasts of Panama, and using our railroad to link the ports on both coasts," said Kenna.
Kenna added that last year, a major shipping line decided to stop using the Panama Canal altogether with one of their services, and instead started calling at the Port of Balboa on the Pacific side and using PCRC to move their containers across Panama for connection to the Caribbean and U.S. East Coast ships. The ship then returns to Asia for another load of containers.
"The steamship line saves time and money by turning ships at Balboa and foregoing the Canal transit," said Kenna. "The service was so successful that early this year, they started doing the same with another one of their services that previously used the canal. As more shippers see the savings of using PCRC, I think we will see demand grow even stronger."
Jointly owned by KCS and Panama Holdings, LLC of Hazelcrest, Ill., PCRC provides ocean-to-ocean transshipment service between the Atlantic and Pacific oceans. The 47.6 mile railroad serves as an efficient intermodal line for world commerce and complements the existing transportation infrastructure provided by the Canal, the Colon free trade zone and the Pacific and Atlantic ports. PCRC's wholly owned subsidiary, Panarail Tourism, offers luxury passenger service for business commuters, tourists and private charters.
Kansas City Southern
Birmingham, Alabama
Birmingham, Ala., Seeks Bids for Streetcar System
May 1, 2008
The Birmingham-Jefferson County Transit Authority in Alabams says it seeks proposals for the design and construction of its planned $33 million, 2.5-mile streetcar system. Birmingham hopes to start construction on the line by November.
Interested parties must attend a May 19 pre-proposal meeting to qualify as bidders. Proposals will be accepted by the transit authority until June 30.
The proposed route would begin at the intermodal facility on Morris Avenue and wind through the city, passing cultural hotspots, such as the Birmingham Museum of Art and the Birmingham-Jefferson Convention Complex.
City and transit authority officials may travel to Milan, Italy, to view Peter Witt-style heritage streetcars in operation there; Birmingham is mulling use of such cars for its project.
Railway Age
CSX
CSX Announces National Gateway to Improve Flow of Freight
May 01, 2008
On May 1st, CSX Corporation launched the National Gateway, a $700 million public-private infrastructure initiative to create a highly efficient freight transportation link between the Mid-Atlantic ports and the Midwest.
When completed, the National Gateway would provide greater capacity for product shipments in and out of the Midwest, reduce truck traffic on already crowded highways, and create thousands of jobs that directly or indirectly support the National Gateway.
CSX has already committed $300 million to the National Gateway, and will work with several states and the federal government to secure additional funding.
The National Gateway incorporates two primary parts. First, CSX would build or expand several high-capacity, job-producing intermodal terminals where product shipments are exchanged between trucks and trains. At the same time, CSX would work together with state and federal government agencies to create double-stack clearances beneath public overpasses along the railroad. Double-stack clearances allow rail carriers to stack intermodal containers atop each other, enabling each train to carry about twice as many cargo boxes. Currently many overpasses only accommodate single-stack trains.
"More and more, the nation is becoming aware of the tremendous safety, economic and environmental benefits that railroads create. Our trains can move a ton of freight 423 miles on a single gallon of fuel, and one train can carry the load of more than 280 trucks," said Michael J. Ward, chairman, president and chief executive officer of CSX. "The National Gateway leverages those benefits to the fullest by combining the resources and expertise of the public and private sectors."
The National Gateway was launched at the offices of Pacer International, a CSX customer, in Dublin, Ohio with Governor Ted Strickland. The governor has pledged to work with state and federal officials to support the initiative, which calls for two new intermodal terminals in Wood County and Columbus at a cost of $130 million to CSX. The terminals will ultimately spur the development of related businesses and thousands of jobs to support them.
"In Ohio, this initiative helps solidify our state's position as a transportation gateway for the country," said the Governor. "This is a major competitive advantage that can greatly benefit the citizens of Ohio, and the state of Ohio is committed to doing its part to help build this sort of needed infrastructure. In doing so, we'll also be setting an example for other states around the nation."
"We are delighted that CSX and Governor Strickland are taking these important steps to ensure the future viability of our transportation system," said Michael E. Uremovich, Chairman and CEO, Pacer International.
The National Gateway will enhance three existing rail corridors that run through Maryland, Virginia, North Carolina, Pennsylvania, Ohio and West Virginia. Those corridors include:
--The I-70/I-76 Corridor between Washington, D.C. and northwest Ohio via Pittsburgh;
--The I-95 Corridor between North Carolina and Baltimore via Washington, D.C.; and
--The Carolina Corridor between Wilmington and Charlotte, North Carolina.
The U.S. Department of Transportation forecasts that by 2020, overall freight tonnage hauled in the United States will have grown by 70% from 1998 levels. The National Gateway infrastructure initiative is designed to address the ever-increasing demands placed on the nation's capacity strained freight network.
A study of the National Gateway project by Cambridge Systematics, a nationally recognized transportation research firm based in Cambridge, MA found that every $1 of public money invested in rail infrastructure improvements will lead to $8 in public benefits. The study noted that by improving the flow of freight and shifting freight transportation from the highway to the railway, the initiative will improve safety, relieve congestion, benefit the environment and reduce highway maintenance costs. For more information, visit www.nationalgateway.org.
CSX
CSX
CSX Shares Rise as Proxy Materials Go Out
April 30, 2008
CSX shares have handsomely outperformed those of most other railroads this year, as well as the Dow, S&P, and NASDAQ averages, and they achieved a new 12-month high in trading on Wednesday. CSX stock was, in fact, hovering between $63 and $64–vs. $38 about a year ago—as proxy materials began to go out to shareholders from CSX management and from the hedge funds that are challenging management for control of the CSX board. These materials are intended to give shareholders the information they need to decide whether to vote for the current governance of the railroad or for the new governance that the hedge funds, controlling about 12% of the shares, want to install.
A letter from CSX Chairman, President, and CEO Michael J. Ward dated April 30 accompanied the “definitive proxy materials” that went to CSX shareholders, and its opening paragraph stated the railroad’s strongest argument for maintaining things the way they are: “On April 15, 2008, your company extended its track record of outstanding performance, announcing record-breaking first-quarter earnings. CSX reported an increase of 63% in earnings per share over last year and affirmed industry-leading expectations for shareholder value creation.”
The proxy material of the challengers—the Children’s Investment Fund (TCI) and other members of its group, including 3G Capital Partners—took the form of a 79-page white paper that implicitly acknowledged the strides the company has made, but suggested that the company is riding a wave of prosperity that is carrying all railroads to higher profits, but is trailing most of its peers in key operating and financial measurements. The “white paper” also says CSX’s current board does not have enough rail operating experience, which the hedge funds’ proposed slate of directors would remedy; and it concludes with an attack on CSX’s capital improvement spending, which the challengers think is absorbing profits that should be going to shareholders.
CSX’s owners will decide at their meeting on June 25 whether they want to stay the course or change direction.
Railway Age
Florida Tri-Rail
Tri-Rail Setting Ridership Records
April 30, 2008
With gasoline prices hovering near $4.00 per gallon in the U.S. (and in some areas topping it), passenger rail ridership is climbing. One example is the South Florida Regional Transportation Authority’s Tri-Rail commuter train system, which in March set an all-time ridership record and in April experienced a 28.2% increase over the prior-year period. SFRTA says it expects to set another monthly record for April, once figures have been tabulated.
In March 2008, 348,997 people took Tri-Rail trains, up from 306,783 in 2007. On April 29, Tri-Rail carried 15,504 passengers, one of the highest ridership days on record and the ninth day in 2008 that ridership has exceeded 15,000.
SFRTA says its Employer Discount Program, which has more than 3,000 members, has contributed to the increase. Employees of companies who register for the free program can purchase a monthly ticket for unlimited rides for just $60 a month.
Railway Age
Union Pacific
Union Pacific Named General Motors 2007 Supplier of the Year
April 29, 2008
Union Pacific has been named a 2007 General Motors Supplier of the Year for the fourth time this decade for delivering superior services to GM. Jim Young, Union Pacific Corporation chairman and CEO, accepted the award during ceremonies Saturday, April 26, in Jacksonville, Fla.
"GM is proud to honor Union Pacific as a GM Supplier of the Year winner," said Bo Andersson, GM group vice president, Global Purchasing and Supply Chain. "This award is our way of telling the winners that we appreciate all of their efforts in working together with GM to manufacture world-class vehicles."
Union Pacific Railroad is the largest automotive carrier west of the Mississippi River and provides transportation services for all of GM’s finished vehicle business in the western United States.
"Receiving this recognition four of the last seven years reflects the dedication and commitment of Union Pacific employees to deliver General Motors parts and vehicles," said Young. "We were recognized for our improved service performance, flawless support of GM’s 2007 model launches and ability to help them save money versus over-the-road trucks."
The GM Supplier of the Year award began as a global program in 1992. Award-winners are selected by a global team of executives from purchasing, engineering, manufacturing and logistics who base their decisions on supplier performance in quality, service, technology and price. This year, General Motors honored 97 suppliers for their excellence throughout 2007. Union Pacific was the only railroad selected.
Union Pacific
Genesee & Wyoming
Genesee & Wyoming Signs Agreement to Acquire CAGY Industries, Inc.
April 29, 2008
Genesee & Wyoming Inc. (GWI) (NYSE: GWR) announced that it has signed an agreement to acquire CAGY Industries, Inc. (CAGY) for approximately $78.4 million in cash. The final purchase price will be adjusted for working capital at the time of closing. In addition, GWI has agreed to pay contingent consideration of up to $18.6 million upon satisfaction of certain conditions over the next two years. The acquisition is subject to customary closing conditions, including the expiration of the 30-day notice period required by the Surface Transportation Board for GWI to obtain authority to control CAGY. GWI expects to close the acquisition and commence operations on June 1, 2008.
Founded in 1975 and headquartered in Columbus, Miss., CAGY is the parent company of three short-line railroads, Columbus & Greenville Railway (C&G), Chattooga & Chickamauga Railway (CCKY) and Luxapalila Valley Railroad (LXVR). CAGY's three railroads employ 48 people, own and operate a fleet of 22 locomotives, own and lease more than 280 miles of track and are expected to haul more than 26,000 carloads of freight traffic over the next 12 months.
C&G operates more than 80 miles in the state of Mississippi, from the Port of Greenville on the Mississippi River to Greenwood, where it interchanges with Canadian National. C&G also operates between Columbus, Miss., and West Point, Miss. In addition, C&G operates throughout the Columbus, Miss., area and provides connections to Norfolk Southern, Kansas City Southern, CSXT, BNSF, Alabama & Gulf Coast Railway and Golden Triangle Railroad, as well as LXVR, its sister railroad.
Customers of C&G include (i) major feed suppliers to the catfish and pork industries, including Delta Western, Fishbelt Feeds and Prestage Farms, (ii) major milling operations in the rice industry, including Producers Rice and MasterFoods, (iii) several facilities serving the agriculture industry including PYCO Industries, ConAgra, Farmer's Grain and Platte Chemical, and (iv) other customers including USG Corporation, Columbus Brick and a new Scott Petroleum bio-diesel plant. In addition, C&G is one of two railroads that serve the new $850-million SeverCorr electric arc furnace (EAF) steel facility in Columbus, Miss., which is 100-percent-owned by Severstal. SeverCorr commenced production in the second half of 2007 and is expected to complete an expansion in 2010 that would increase annual capacity from 1.5 million tons to 3.0 million tons.
LXVR runs 36 miles from Columbus, Miss., to Belk, Ala., and serves both Georgia-Pacific and Weyerhaeuser lumber mills and SDR, a new steel dust recycling facility. CCKY operates over two branch lines that run south from Chattanooga, Tenn., for a combined 65 miles to Hedges, Ga., and Lyerly, Ga. CCKY serves both Reichhold Chemical (subsidiary of Dow Chemical) and Shaw Industries (subsidiary of Berkshire Hathaway).
"Over the past three decades, CAGY has built an impressive short-line railroad organization," GWI Chief Executive Officer John C. Hellmann said. "With the support of local communities, customers and employees, CAGY has succeeded in revitalizing its rail infrastructure and substantially increasing rail traffic. The addition of CAGY to GWI will expand our already significant presence in the southeastern United States and further diversify our commodity base. We are pleased that Roger Bell, who has been the architect of CAGY's success as president and CEO, will continue to lead the rail operations as part of the GWI family of railroads."
GWI expects to fund the acquisition under its $225-million senior revolving credit facility. Following the acquisition, GWI will have approximately $117 million of remaining funding capacity, inclusive of cash. As of March 31, 2008, pro forma for the acquisition, GWI's consolidated net debt to capitalization is expected to be approximately 43 percent including contingent consideration with net debt to pro forma EBITDA of approximately 2.4x. GWI expects the acquisition to be immediately accretive to its earnings per share and free cash flow.
GWI owns and operates short line and regional freight railroads in the United States, Canada, Australia and the Netherlands and owns a minority interest in a railroad in Bolivia. Operations currently include 48 railroads organized in eight regions, with more than 5,700 miles of owned and leased track and approximately 3,000 additional miles under track access arrangements. GWI provides rail service at 16 ports in North America and Europe and performs contract coal loading and railcar switching for industrial customers.
Map:
http://www.newscom.com/cgi-bin/prnh/20080429/NYTU045
Genesee & Wyoming
Metro Transit
Metro Transit Logs Highest First-Quarter Ridership in 24 Years
April 23, 2008
The last time more people rode Metro Transit in the first three months of the year Apple introduced the Mac, a stamp cost 20 cents and the summer Olympics were in L.A.
That was 1984.
This year customers boarded Metro Transit buses and trains 19.2 million times from January through March. That’s 7.2 percent, or 1.3 million rides, more than the same period last year.
Metro Transit recorded ridership increases across all types of its service, paced by a 16.4 percent increase on the Hiawatha light-rail line. Three-month ridership was 2.1 million, the first time first-quarter ridership topped 2 million in the four-year history of light-rail service.
Ridership on urban local services was up 8.3 percent, and express bus ridership was up 4.3 percent. Suburban local ridership saw a 6 percent increase and rides on Maple Grove contracted routes jumped 49 percent.
The first-quarter figures continue a very positive trend, said General Manager Brian Lamb. Ridership last year was the highest in a quarter century, and ridership over the past two years is up 10.4 percent.
“People are looking for alternatives to driving alone as they cope with higher gas prices, growing congestion and the stress of driving,” Lamb said. “With about 80 percent of riders heading to work and school, Metro Transit is proving its value not only as a congestion reliever but also as a service that helps drive the economic engine of the region.”
Metro Transit saw double-digit increases in its employer- and student-based programs. Workers at 175 companies use discounted annual Metropasses issued through their employers. Metropass holders took 2.2 million rides in the first quarter, up 15 percent over last year. Students at the University of Minnesota holding U-Passes logged 1.4 million rides, also an increase of 15 percent over the first three months of 2007.
“We are well on our way toward exceeding our goal of 78 million rides this year,” he said.
To make it easier to take the bus or train, Metro Transit implemented two new trip planning features during the first quarter.
• Enhanced its self-service, on-line trip planner by adding mapping capability. The trip maps are interactive and intuitive, so customers can zoom in and out and more easily see the locations of the bus and train stops that they will use. The trip planner also provides maps with complete walking directions to and from bus and train stops.
• Began a customer test of NexTrip, a web tool that provides real-time bus departure information using global positioning technology.
“We continue to look for the best uses of technology to improve customer service and advance our commitment to the environment through our Go Greener Initiative,” Lamb said.
Metro Transit is a service of the Metropolitan Council.
Metro Transit
Amtrak
Amtrak Feasibility Study of Passenger Rail Service from Quad Cities to Iowa
City Released
April 18, 2008
A study conducted by Amtrak on behalf of the Iowa Department of Transportation (Iowa DOT) concerning the feasibility of passenger rail service from the Quad Cities to Iowa City on a route originating at Chicago was released today at a news conference in Iowa City.
Annual rider ship on the full route is estimated at about 187,000 passengers, based on two daily round-trips and if improvements are made allowing maximum speeds of 79 mph. The states of Iowa and Illinois would share the capital investment costs and the estimated annual Amtrak operating contract expense of about $6 million. The estimated cost to upgrade the railroad infrastructure in this example is $54.9 million.
"Regional intercity passenger rail service is a positive alternative to highway and air travel. Rail service has tremendous advantages in terms of reducing our dependence on fossil fuels and foreign sources of oil; slowing the growth of highway congestion and associated pollution; energy conservation; and lifestyle enhancement through improved mobility for persons who either cannot or simply do not want to drive or fly," said Iowa Governor Chet Culver. "That's why passenger rail service has a bright future in America and why we are going to have to give it a higher priority in moving people in Iowa."
"In light of escalating fuel prices, congested interstates and the environmental impacts of highway transportation, modal opportunities such as rail passenger service need to be seriously examined," said Iowa DOT Director Nancy Richardson.
"This project is an excellent example of the type of public-private partnership that will be essential to sustaining and expanding this country's multi-modal transportation network. The Iowa DOT appreciates Amtrak's interest in expanding rail passenger service in Iowa, and is anxious to join them, the Iowa Interstate Railroad and Illinois Department of Transportation in determining the next steps to making this route a reality," Richardson added.
"State-supported routes are the fastest growing part of our business. We look forward to working with Iowa and Illinois to meet with the host railroads and take the next steps to initiate this service," said Amtrak President and CEO Alex Kummant.
Amtrak has never operated scheduled trains to Iowa City, which lost its Rock Island Railroad passenger rail service in 1970, or the Quad Cities, which lost its Rock Island Railroad service in 1978.
The Amtrak study released
today is an addendum to an earlier study and report issued in December 2007
for the Illinois Department of Transportation, analyzing the feasibility of
rail passenger service from Chicago to the Illinois Quad Cities. Both
reports are available at: www.iowadot.gov/amtrakstudy/
The Illinois report found
the best route between the Quad Cities and Chicago would use a portion of
the former Rock Island Railroad, now owned by Iowa Interstate Railroad (IAIS),
from the Quad Cities to a proposed track connection to the BNSF Railway near
Wyanet, Ill. The choice of the IAIS/BNSF route is also enhanced by taking
advantage of recently improved Amtrak stations at Princeton, Mendota and
Naperville, Ill.
A map depicting the
preferred routes from Chicago to the Quad Cities and from the Quad Cities to
Iowa City can be found at: www.iowadot.gov/amtrakstudy/
For Amtrak service to reach
Iowa City, passenger rail service must first be established to the Quad
Cities. The addendum released today specifically examines the feasibility of
extending service the 59 miles from the Quad Cities to Iowa City via the
Iowa Interstate Railroad.
Moving Forward
Although there were general operational discussions and field inspections with the host freight railroads, the specific infrastructure improvement proposals, draft schedules and other railroad-related comments in these reports have not been negotiated or agreed to with the host freight railroads, and reflect only the findings and best judgment recommendations of the study team.
For rail passenger service to be extended to Iowa City, several things must occur:
- There must be support from Iowans.
- Funding must be secured.
- Detailed discussions and formal negotiations must take place between Iowa and Illinois and the railroads
- Railcars and locomotives must be procured and stations must be developed.
- Infrastructure improvements must be completed.
- Additional personnel must be recruited and trained.
Amtrak
Iowa Interstate
Iowa Interstate Railroad Buys 12 GE Locomotives
April 22, 2008
Regional carrier Iowa Interstate Railroad, Ltd. (IAIS) has announced a $26.4 million purchase of 12 new General Electric Evolution Series locomotives; the cost includes tooling and warranties, IAIS Chairman Dennis H. Miller said.
“This transaction will position IAIS to efficiently handle new levels of business that will materialize in 2009,” Miller said. “The new GE ES44AC locomotives are 18 % more fuel efficient than other alternatives, including rebuilt locomotives, that we considered. One of the new 4,400 Horsepower units will pull a train equivalent to what two or three of our current units can handle, further reducing our fuel consumption and maintenance costs.
“These new units are also environmentally friendly and comply with all of the latest EPA requirements.” Miller continued. “The locomotives will be manufactured at GE’s Erie, Pennsylvania plant and we expect them to be delivered by October 1 of this year.
Miller said the locomotives will help IAIS, a subsidiary of Railroad Development Corp., cope with traffic growth spurred by “five new ethanol plants starting up over the next year.” The railroad expects traffic to grow 25%-to-30% as a result.
Railway Age
City of Detroit
Motor City Moves Ahead with Light Rail Plan
April 22, 2008
Detroit city officials Monday made public a plan, developed behind the scenes for several months, for a $371 million light rail line to run up the middle of Woodward Avenue, from an indeterminate point downtown to the State Fairgrounds.
Norman White, chairman for the Detroit Transit Options for Growth Study, unveiled the plan in conjunction with Rep. Carolyn Cheeks Kilpatrick,(D), and Detroit Mayor Kwame Kilpatrick.
The city will seek federal funding to pay for 60% of the cost, and anticipates 40% to come from private sources and foundation grants. Several sources, including Crain’s Detroit Business, have reported on an intense effort by private-sector supporters of the plan in recent months to generate the local matching share for the project, though specific individuals and/or businesses have not been identified.
Under current plans, Detroit’s Department of Transportation would oversee the operation.
Railway Age
LA-Las Vegas Maglev
Senate Approves Funds for LA-Las Vegas Maglev
April 21, 2008
The U.S. Senate has approved $45 million in funding for a proposed maglev line linking Southern California and Las Vegas. The proposed line, debated for nearly two decades, would cost an estimated $12 billion to construct. The proposed funding, still requiring approval by President Bush, would be used to conduct environmental assessment studies.
The proposal is backed by Sen. Harry Reid, D-Nev., who says the project would ease traffic congestion. “If it’s going to be really done in a big way, a Las Vegas way, the magnetic levitation would be the way to do it,” Reid said. “We could bring someone from LA to Las Vegas, and vice-versa, in less than an hour.”
Railway Age
Charlotte LYNX
Heritage Trolleys Appear on Charlotte LYNX Line
April 21, 2008
Charlotte Area Transit System’s Lynx Blue Line welcomed the reappearance of heritage trolley equipment April 20. Three Birney replica cars, manufactured by Gomasco Trolley Co. and now equipped with modern pantographs, will operate on weekends for roughly one month, switching to a daily schedule in mid-May, and supplement CATS’ current Blue Line service between uptown and South End. The $1.30 is the same as the current CATS line.
Railway Age
Maryland Transit
Administration
Wabtec’s MotivePower Gets $95 Million Order from Maryland MTA
April 21, 2008
Wabtec Corp.’s MotivePower subsidiary has received an order worth $95 million for 26 MPXpress commuter locomotives from the Maryland Transit Administration, for use on MARC commuter rail service. The locomotives, to be built in Boise, Idaho, will be delivered in 2008-09.
“We have a strong backlog of locomotive projects, and this order demonstrates our important role in the commuter rail marketplace,” said Albert J. Neupaver, Wabtec’s president and chief executive officer.
The company says the MPXpress includes the latest technology advancements and meets the latest crashworthiness and safety standards recommended by the American Public Transportation Association. The units also contain a number of components produced by other Wabtec subsidiaries.
Railway Age
US Department
of Transportation
USDOT Unveils New Rail Hazmat Routing Rule
April 17, 2008
The onus soon will be on railroads to ensure they're routing every hazardous material-carrying train on the safest and most secure route. A new federal interim final rule on rail haz-mat routing goes into effect June 1.
Introduced yesterday by the U.S. Department of Transportation (USDOT), the rule requires railroads to conduct a comprehensive safety and security risk analysis of a haz-mat shipment's primary route and any practicable alternative routes. The analysis must consider information provided by local communities and a minimum of 27 risk factors, such as trip length, volume, haz-mat type, existing safety measures along the route and population density. Railroads must begin compiling information concerning the commodities they transport and routes utilized beginning July 1. They then have nine months — from January to September 2009 — to perform initial risk and route assessments. Railroads must implement their routing decisions based on the analyses by September 2009. Developed by the USDOT's Pipeline and Hazardous Materials Safety Administration in consultation with the Federal Railroad Administration, the rule applies to railroads that move Poison Inhalation Hazard materials, such as chlorine and anhydrous ammonia; more than 5,000 pounds of certain explosives in a single carload; and certain high-level radioactive materials.
"This strong measure better ensures that rail shipments of hazardous materials will reach their final destinations safely and without incident," said U.S. Transportation Secretary Mary Peters in a prepared statement.
The rule also includes several rail security provisions designed to guard against tampering with a rail haz-mat car during transportation. In addition, the rule complies with the provisions of the Implementing Recommendations of the 9/11 Commission Act of 2007 and complements the USDOT's recent proposal to increase by 500 percent the amount of energy a tank car must absorb during a train accident before puncturing, such as through innovative designs, materials and technologies, said Peters.
The Association of American Railroads (AAR) welcomed the new rules, which address railroads’ highest priority: the safety and security of the communities they serve, the AAR said.
“But this does bring up a bigger issue, and that is the use of safer chemicals and technology,” said AAR President and Chief Executive Officer Edward Hamberger. “The only way you can eliminate all of the risk of transporting toxic chemicals is if you don't move them at all.”
The Center for American Progress last year pointed out that at least 25 cities have stopped using chlorine to purify drinking water or treat wastewater in recent years, including Washington, D.C., he said.
“Similarly, there are other fertilizers that can substitute for anhydrous ammonia. Between them, chlorine and anhydrous ammonia account for more than 80 percent of all toxic chemicals moving by rail,” said Hamberger. “Railroads are caught in the middle in all of this since we are required under federal law to move even the most dangerous chemicals.”
Progressive Railroading
Amtrak
Amtrak Coast Starlight Returns to Klamath Falls
April 18, 2008
Amtrak has resumed service to Klamath Falls, Ore., on its Los Angeles-to-Seattle Coast Starlight, following the repair of track by owner Union Pacific on the route near Chemult, Ore. All rail service ceased Jan. 19 following mud slides on Coyote Mountain, which obliterated UP track.
Right-of-way between Klamath Falls and Eugene, Ore., remains out of service pending the removal of debris. Amtrak will continue to use a shuttle bus service to bridge the gap created in the Coast Starlight route.
Railway Age
Union Tank Car
Union Tank Car Closing East Chicago, Ind., Plant
April 15, 2008
Union Tank Car Co.'s oldest factory, located in East Chicago, Ind., will close by May's end, the company has announced. The facility, in operation for more than 40 years, has produced 75,000 tank cars, but a declining market for tank car sales and leases, along with long-term demand estimates, necessitates the facility's shutdown, the company said.
Eligible employees will be offered severance packages, with hourly workers' packages adhering to the terms of the labor contract signed in December 2005. The plant employs about 70 salaried and 375 hourly employees.
Union Tank Car will continue production operations from plants in Sheldon, Tex., and Alexandria, La., and through its network of repair facilities.
Railway Age
Union Pacific
Union Pacific to Display Katy Locomotive at Kansas City Union Station
April 10, 2008
Union Pacific Railroad will display a modern locomotive painted with historic colors and graphic elements of the Missouri-Kansas-Texas Railroad (Katy) at Kansas City’s Union Station Thursday, April 17 - Sunday, April 20, 2008. The display is in conjunction with the 2008 Katy Railroad Historical Society’s annual convention and pays tribute to the men and women of the Katy.
"We are proud to display the Katy locomotive in Kansas City to help celebrate the railroad heritage of the second largest rail hub in the United States," said Cameron Scott, Union Pacific’s general superintendent - Kansas City Service Unit.
The Katy Heritage Series locomotive joined the Missouri Pacific and Western Pacific locomotives in 2005. Three more Heritage Series locomotives, the Chicago & North Western, Southern Pacific, and Denver & Rio Grande, were introduced in 2006. All honor the people and the railroads that have made Union Pacific what it is today.
The Missouri-Kansas-Texas Railroad, affectionately referred to as the Katy, was created in 1865. By the time it joined Union Pacific in 1988, the Katy served six Midwestern states with more than 3,377 miles of track. It was an important north-south link between the Midwest and Texas, especially for the growing coal business. The Katy had primary operating centers in Denison, Texas; Bellmead, Texas; and Parsons, Kan.; and was headquartered in Dallas.
The Katy Heritage Series locomotive was numbered 1988 to reflect the year its namesake joined Union Pacific, and the locomotive initially operated within territory served by the Katy.
The Heritage Series marked the fifth time in company history that Union Pacific has painted locomotives in colors other than the traditional UP "Armour Yellow" paint scheme. Previously, locomotives were custom painted in 1991 to honor UP employees serving in the Persian Gulf War, in 1994 to call attention to the United Way Campaign, in 1996 for the Atlanta Games Olympic Torch Relay Train, and in 2002 for the Salt Lake City Games Olympic Torch Relay Train.
Union Pacific
BNSF Railway
BNSF Sets Monthly Coal Tonnage Record in March
April 7, 2008
BNSF loaded a monthly record 23.9 million tons of coal in the Powder River Basin (PRB), including Wyoming and Montana mines, in March, breaking the previous record of 23.7 million tons set in November 2007. The PRB total includes a monthly record 14.6 million tons loaded by mines on the 103-mile Joint Line in Wyoming; the previous record of 14.2 million tons was set in January of this year.
"The fact that we were able to set these records despite flooding in the Midwest is a tribute not only to the BNSF people who kept the trains rolling, but also to the PRB mines and our utility customers who loaded and unloaded the trains promptly and helped us keep them moving," says Steve Bobb, BNSF’s group vice president, Coal. "This record performance shows the benefits of our close working relationships."
During the first three months of this year, BNSF loaded a total of 69.0 million tons of coal in the PRB, up 5.4 million tons, or 8.6 percent, from the 63.6 million tons loaded during the first three months of last year.
Large-scale construction projects planned by some mines in April are expected to affect coal train loadings on the Joint Line and result in substantially reduced PRB coal loadings this month.
BNSF Railway
Amtrak
Freight-Rail Delays Cost Amtrak $137 Million in FY06, Inspector General
Report Says
April 3, 2008
Earlier this week, the U.S. Department of Transportation’s Office of Inspector General released a report detailing freight-rail delays’ effects on Amtrak.
Requested in February 2007 by Sen. Frank Lautenberg (D-N.J.), the report states that the delays cost the national intercity passenger railroad almost $137 million in overtime and fuel costs, and lost revenue in FY2006. The amount is equal to about 30 percent of Amtrak’s federal operating subsidy.
More than 97 percent of Amtrak’s 21,000 route miles run along tracks owned and maintained by freight railroads. Between fiscal years 2003 and 2007, Amtrak’s on-time performance (OTP) for long-distance trains outside of the Northeast Corridor (NEC) fell from an average of 51 percent to 42 percent, and OTP for shorter corridors outside the NEC fell from 76 percent to 66 percent, the report states. In comparison, OTP for Acela service — which runs on the Amtrak-owned-and-operated NEC — currently stands at 86.1 percent.
In October 2007, the Senate passed Lautenberg’s Passenger Rail Investment and Improvement Act of 2007 (S. 294), which authorize $11.6 billion for Amtrak over a six-year period. The bill includes a provision that enables the Surface Transportation Board to investigate Amtrak delays and issue fines to freight railroads if the OTP of an individual route falls below 80 percent in two consecutive quarters due to freight interference.
Progressive Railroading
Canadian Pacific
Canadian Pacific employees partner for safety
April 2, 2008
Canadian Pacific has joined a Federal Railroad Administration (FRA) rail safety pilot project that engages employees in operation safety improvements in the American Midwest, announced Executive Vice-President and Chief Operating Officer Kathryn McQuade today.
"We are pleased to partner with the FRA, bringing rail safety to the next level of effectiveness," said McQuade. "The safety of our employees and all the communities we serve is our highest priority."
The Confidential Close Call Reporting Pilot Project involves the FRA, Canadian Pacific, and employees represented by the Brotherhood of Locomotive Engineers and Trainmen (BLET) and United Transportation Union (UTU) in Portage and Milwaukee, WI. Certain BLET and UTU represented employees based in St. Paul, MN will also participate in the pilot project.
"This pilot project is an opportunity to improve our performance and provide an even safer work environment for our employees," added McQuade.
Employees can voluntarily and anonymously report incidents that could have resulted in an accident, but did not, without fear of sanction or penalty from the company or the federal regulator. The information will be studied to determine areas of potential risk and to develop solutions to prevent accidents in the future. Importantly, a review team will evaluate the reports as they are received in order to make safety recommendations for those that require immediate attention.
Close call reports will be taken for five years, providing sufficient time for a thorough analysis. The project is funded by the FRA. Canadian Pacific is the second large railroad to pilot the project.
Canadian Pacific
Iowa Northern
Iowa Northern TWC in Service
April 3, 2008
Iowa Northern Railway has placed a new computerized Track Warrant Control (TWC) system from RailComm, Inc., into revenue service. RailComm’s Domain Operations Controller (DOC®) train control system is accessed through web-enabled Software-as-a-Service (SaaS), a “pay-as-you-go” system that RailComm says eliminates capital equipment procurement constraints and minimizes the need for local IT support. The DOC® system is a C3i (command, control, communications, and informationi) server-based platform that supports a variety of integrated fuinctions for indication, control, access, and distribution of operational data. It resides on servers within RailComm’s managed data center in Rochester, N.Y.
Railway Age
CSX
CSX Transportation Announces Establishment of Huntington Dispatching Center
April 01, 2008
CSX Transportation is establishing a new dispatching center at its division headquarters in Huntington, with approximately 80 train dispatcher and related positions being relocated here, CSX Chairman, President and Chief Operating Officer Michael J. Ward announced today.
"CSX has a rich history in the Mountain State and we're delighted the company is investing in these good jobs in Huntington," said West Virginia Gov. Joe Manchin. "This is a partnership for success for both CSX and for West Virginia."
Train dispatchers plan, direct and respond to any issue relating to the movement of trains, maintenance and inspection equipment on CSXT tracks.
Ward thanked West Virginia Governor Joe Manchin for his support in bringing the new jobs to Huntington. The state has offered Economic Opportunity Tax Credits for each job created in the move and is providing up to $2,000 per employee for training.
Ward added that CSXT is spending about $4.5 million to create the dispatching center at the railroad's Huntington Division headquarters.
Construction is scheduled for completion in late May and the center is scheduled to begin operation in August.
CSX
Canadian Pacific
CP, FRA Join in Pilot Safety Project
April 2, 2008
Canadian Pacific is joining a Federal Railroad Administration rail safety pilot project involving employees in operation safety improvements in the U.S. Midwest, according to CP Executive Vice-President and Chief Operating Officer Kathryn McQuade.
FRA is funding the Confidential Close Call Reporting Pilot Project, which also involves the Brotherhood of Locomotive Engineers and Trainmen (BLET) and the United Transportation Union (UTU) in Portage and Milwaukee, Wis., and also in St. Paul, Minn. Union Pacific also has joined the effort, according to the FRA.
Under the program, employees can voluntarily and anonymously report incidents that could have resulted in an accident, but did not, without fear of sanction or penalty from the company or the federal regulator. The information will collected over a five-year period and studied to determine areas of potential risk and to develop solutions to prevent accidents in the future. A review team will evaluate the reports as they are received in order to make safety recommendations for those that require immediate attention.
"We are pleased to partner with the FRA, bringing rail safety to the next level of effectiveness," said McQuade. "The safety of our employees and all the communities we serve is our highest priority."
Railway Age
Columbus, Ohio
Ohio's Capital Embarks on Streetcar Effort
April 1, 2008
Backed by Mayor Michael Coleman, transit advocates in Columbus, Ohio, are advancing a three-mile, $103 million streetcar line to spur economic development and link Columbus city neighborhoods. The line would be paid for with a 4% surcharge on concert tickets, sporting events, and downtown parking. The streetcar would also serve as an initial transit link for a larger system, including commuter rail, envisioned by transit advocates for Ohio's capital city and its suburbs.
The plan, announced late last week, forecasts construction to commence in 2010, with revenue service starting in 2012. The average fare would be $1. The plan assumes the surcharge would raise $6.9 million each year for 25 years to cover the overall cost, plus interest. Operating expenses would total about $4.5 million annually.
Ohio State University will contribute $12.5 million toward construction, university president E. Gordon Gee said. Students likely would ride free or at a discount. Ty Marsh, president of the Columbus Chamber of Commerce, said business owners generally support the streetcar concept.
Railway Age
Norfolk Southern
Toyota Recognizes Norfolk Southern with Logistics Awards
March 26, 2008
Toyota Logistics Services has awarded Norfolk Southern Corporation the 2007 President's Award for overall logistics excellence among rail carriers, its highest award given to a logistics provider.
The award is based on overall performance in customer service, on-time performance and quality. Norfolk Southern has received the President’s Award five times since the program began in 1996.
“Outstanding and consistent service performance, a proven commitment to working with the customer, and a focus on damage prevention are all in alignment with Toyota objectives”, said Alan DeCarr, group vice president for Toyota Logistics Services & International Operations. “We are pleased to recognize Norfolk Southern as a repeat recipient of the President’s Logistics Award."
“Norfolk Southern’s partnership with Toyota started in 1986 when the company opened its first U.S. plant, in Georgetown, Ky.,” said Donald W. Seale, NS executive vice president and chief marketing officer. “Our commitment to that partnership remains strong today, and we look forward to continuing to meet Toyota’s high standards for excellence by providing safe, damage-free, on-time service.”
Norfolk Southern also received Toyota's Logistics Excellence Award for On-Time Performance among rail carriers. This is the seventh time NS has won the award.
Norfolk Southern transported 700,000 Toyota vehicles in 2007, including those originating from NS-served plants in Georgetown, Ky., Lafayette, Ind., and Princeton, Ind. Georgetown produces the Camry, Avalon and Solara and will add the new Venza model CUV in the fall of 2008. Lafayette produces the Camry, and Princeton produces the Sienna mini-van, Sequoia SUV, and Tundra truck.
Norfolk Southern
Amtrak
Amtrak Wins Another One
March 25, 2008
Amtrak’s Keystone Corridor, offering fast, direct service between Harrisburg and Philadelphia with some trains continuing on to New York, is taking its toll on short-haul air service. Thanks to the state of Pennsylvania, the line was recently upgraded to higher speeds and more frequent service.
As an extension of the Northeast Corridor, the electrified line is a piece of first-class railroad. Just how effective the upgrading and schedule revisions have been is reflected in Colgan Air’s decision to end service between New York and Harrisburg citing increased fuel costs, frequent flight delays and cheaper, competitive Amtrak service.