WRR – 05-21-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

FOR THE WEEK ENDING FRIDAY, MAY 21, 2010     

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 (MON) U.S. airlines sued the U.S. National Mediation Board to stop enforcement of the rule change that permits union-organizing elections to be decided on the number of yea and nay votes cast.  The previous rule, which dated back 75 years, required a majority of an entire work group to approve unionization, effectively counting those who didn’t vote as “no” votes.  The rule change is applicable to both the air and rail industries.  The suit, which was filed by the Air Transport Association, alleges that the new change was unjustified and in violation of existing federal law. (ffd: wire services)

 (MON) The Federal Railroad Administration proposed new regulations prohibiting train and engine employees from “improperly” using electronic devices while on duty.  The new regulations would make permanent the ban on using cell phones and related devices on the job, as was ordered by FRA Emergency Order No. 26, which was put into effect following evidence that the engineer who collided his train in the Metrolink-Union Pacific crash in Chatsworth, CA in 2008 had been texting with his cell phone.  The crash killed 26 persons, including that engineer.  The FRA said that it would accept comment on the proposed new regulations by June 17. (ffd: FRA, Progressive Railroading)

 (MON) The Long Island Rail Road put into effect the first of a series of service cuts necessitated by the projected several hundred million dollar deficit of its parent organization, the New York Metropolitan Transportation Authority.  Peak hour trains were cute on the Babylon, Long Beach, Oyster Bay, Port Jefferson, and Port Washington lines, and daily service to Belmont Park was eliminated altogether.  Several more service cuts are schedule to be implemented in September, including the elimination of weekend service to West Hempstead and Greenport and the shift in weekday off-peak service to Port Washington from half-hourly to hourly. (ffd: CBS Radio)

 (MON) BNSF debuted its newly redesigned website.  Among the new features is a virtual tour, which explains and shows rail equipment and infrastructure.  As before, the website may be linked to at www.bnsf.com. (ffd: BNSF RR, Progressive Railroading)

 (TUE) The E.H. Harriman Memorial Awards were presented in Washington, DC to the railroads with the best employee safety records.  For the 21st year in a row, Norfolk Southern won the gold award for railroads with 15 million or more annual employee hours; for the fourth year in a row, Kansas City Southern won the gold award for railroads with 4 million to 15 million hours; Genesee & Wyoming’s Buffalo & Pittsburgh won the gold award for railroads with 250,000 to 4 million hours; and the Indiana Harbor Belt won the gold award for switching and terminal railroads. (ffd: AAR)

 (THU) Amtrak announced on its website that it had been asked by Virginia Railway Express to continue operating VRE commuter trains past the June 28 date that operation was to be taken over by Keolis Rail Services.  But a VRE spokesman and the Keolis general manager later denied Amtrak’s assertion, saying that it had asked Amtrak for “breathing room.”  “We still believe we are going to make the transition on the 28th,” said the chairman of VRE’s Operations Board. (ffd: Amtrak, NARP, Washington Examiner)

 (THU) A coalition of 11 Northeastern states has asked the Federal Railroad Administration to develop a plan to dramatically upgrade high-speed passenger service in the Northeast Corridor during the next four decades.  In its proposal, the coalition asked that the planning effort be “one of the most comprehensive and inclusive transportation plans ever attempted on a broad, regionwide basis.”  Amtrak has estimated that annual passenger rail ridership on its NEC lines may double to 28 million by 2030, with a four-fold increase to 60 million riders possible by 2050. (ffd: wire services)

STATS – CLASS 1 RAIL TRAFFIC:

 (THU) For the week ending May 15, 2010, U.S. carload rail traffic was up 16.6 percent from the comparable week last year, up 24.5 percent in the East and up 11.6 percent in the West.  Notable traffic increases included metallic ores up 140.9 percent, metals and metal products up 82.9 percent, and motor vehicles and equipment up 39.0 percent; notable traffic decreases included pulp and paper products up 2.8 percent.  Also for the week, U.S. intermodal rail traffic was up 15.2 percent, Canadian carload rail traffic was up 36.4 percent, Canadian intermodal rail traffic was up 20.3 percent, Mexican carload rail traffic was up 14.8 percent, and Mexican intermodal rail traffic was up 18.9 percent.

 For the period January 1 through May 15, 2010, U.S. rail volume grand totaled 585.9 billion ton-miles, up 7.3 percent from the comparable period last year.  Also for this period, U.S. carload rail traffic was up 6.3 percent, U.S. intermodal rail traffic was up 10.3 percent, Canadian carload rail traffic was up 20.1 percent, Canadian intermodal rail traffic was up 9.7 percent, Mexican carload rail traffic was up 23.1 percent, and Mexican intermodal rail traffic was up 34.5 percent. (ffd: AAR)

(NOTE: Canadian counts include traffic from the U.S. operations of the two Canadian-based Class I railroads, Canadian National and Canadian Pacific Railway.)

EXPANSIONS, CONTRACTIONS AND ALIKE:

 (MON) NC Railroad, a subsidiary of National Coal Corporation, announced the sale of its 42-mile line between Oneida, TN and Devonia, TN to R. J. Corman Railroad.  The line sold for approximately $3 million. (ffd: Knoxville News-Sentinel, Progressive Railroading)

 (MON) The North Carolina Department of Transportation (NCDOT) announced that the shortline holding company Patriot Rail had been selected as the new operator of the former Piedmont & Northern line between Gastonia, NC and Mount Holly, NC, which is owned by NCDOT.  Totaling approximately 12 miles in length, the line has been out of service for about 20 years. (ffd: Gaston Gazette, Trains)

 (TUE) The Port Authority of New York & New Jersey announced that it would develop a trash transfer facility at Greenville Yards in Jersey City, NJ.  The facility will receive New York City trash moved by barge across New York Harbor and there transfer it in sealed containers for shipment via rail out of the region.  A PANYNJ spokesman said the new facility will handle the equivalent of 360,000 truckloads of trash annually by 2013.  The spokesman added that New York New Jersey Rail’s car float operation across the harbor will continue to use Greenville Yards as its western terminus. (ffd: PANYNJ, Progressive Railroading)

 (THU) The California Transportation Commission gave final approval for use of public funds to help build a flyover at Colton, CA outside Los Angeles.  The flyover will grade-separate the junction there of BNSF’s Transcon Line and Union Pacific’s Sunset route, where approximately 100 trains a day presently cross.  State and federal funds are anticipated to cover $125 million of the flyover’s $202 million expected total cost. (ffd: Trains)

 (THU) CSX filed to abandon approximately four miles of its Southern Region-Nashville Division-CE&D line in and near Terre Haute, IN. (ffd: STB)

 (FRI) The State of Pennsylvania announced a grant of $4.3 million to the Kiski Junction Railroad to extend a spur nine miles along the Allegheny River to serve an expanding coal mine.  The grant will come from PennDOT’s Rail Freight Capital Budget & Transportation Assistance Program. (ffd: Pittsburgh Tribune Review)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 (SAT) James Burnett passed away at Age 62 from complications related to diabetes.  Mr. Burnett was the chair of the U.S. National Transportation Safety Board in the early 1980s. (ffd: Washington Post)

 (SUN) A.W. “Bill” Johnston passed away at Age 85 in Pawleys Island, SC.  Mr. Johnston had been the AAR’s VP-Operations & Maintenance when he retired in 1988, and was earlier an operating officer with CSX predecessor Baltimore & Ohio Railroad. (ffd: UTU News)

 (MON) The Obama Administration nominated John Pistole to be the head of the U.S. Transportation Security Administration.  Mr. Pistole is presently the deputy director of the U.S. Federal Bureau of Investigation. (ffd: New York Times)

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WRR – 05-14-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

FOR THE WEEK ENDING FRIDAY, MAY 14, 2010     

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 (SAT) National Train Day was celebrated across the U.S.  Major events took place at Amtrak stations in Chicago, IL, Los Angeles, CA, New York, NY, Philadelphia, PA and Washington, DC.  This was the third annual National Train Day, which is held on or near the May 10 anniversary date of the completion of the first transcontinental railroad in 1869. (ffd: NARP)

 (MON) The U.S. National Mediation Board (NMB) ruled that it would recognize union representation if a simple majority of a company’s workers cast ballots in favor of organizing.  The NMB’s previous rule required a majority of the entire work force to favor unionizing, meaning that workers that chose not to vote were effectively counted as “no” vote.  Analysts suggested that this may make easier the organizing of workers in the airline and rail industries. (ffd: Philadelphia Inquirer, wire services)

 (MON) Amtrak’s system timetable for the spring and summer of 2010 took effect.  The system timetable again includes Northeast Corridor trains, which had earlier been listed in a separate timetable due to numerous temporary schedule changes related to ongoing trackwork.  Among the service changes reflected is the restoration of checked baggage service on the “Cardinal,” which operates between New York and Chicago via Cincinnati, OH. (ffd: Amtrak)

 (TUE) At Norfolk Southern’s annual shareholders meeting, NS CEO Wick Moorman criticized the efforts of a “cynical and short-sighted” group of rail shippers who support new federal rail regulatory legislation.  Mr. Moorman said, “We are still engaged in defending against the long-running initiative by a small, but well-funded, group of rail shippers who are attempting to alter the economic regulatory regime which governs us, so as to lower their rates, and at the same time seriously damage our ability to earn adequate returns for our shareholders, and invest in our future.”  He added that while “relatively few” members of Congress support making significant changes in the status quo, “unfortunately for us, a couple of those do hold key committee chairmanships.” (ffd: Journal of Commerce)

 (TUE) A federal appeals court largely let stand a U.S. Surface Transportation Board ruling ordering BNSF to pay $100 million for overcharges in 2004 through 2008 for coal shipments between Powder River Basin mines in Wyoming and a power plant in Moba Junction, WY.  The order was the largest ever benefiting a customer whose shipments are captive to a single railroad.  The court said in its decision that BNSF did not raise its statutory argument “in a timely manner before the board.” (ffd: Journal of Commerce)

 (TUE) Union Pacific noted to the California High-Speed Rail Authority its objections to sharing railroad rights-of-way for high-speed passenger rail services.  In a letter to the authority, UP said that high-speed passenger trains would interfere with rail freight operations and could potentially lead to unsafe conditions.  They also said that they would resist efforts by the state to obtain necessary land through power of eminent domain. (ffd: San Jose Business Journal)

 (TUE) Axion International Holdings announced that it had constructed and put in service the first railroad bridge made from nearly 100 percent recycled plastic.  A spokesman said that the bridge is able to support the weight of a 120-ton locomotive and was less expensive to build than one using steel, concrete or wood.  The bridge was placed in service on railroad tracks of the U.S. Army Transportation Corps in Fort Eustis, VA. (ffd: Virginia Business)

 (THU) The Federal Railroad Administration gave initial approval to begin design and construction of a new high-speed passenger rail line connecting Orlando and Tampa, FL.  Funding for the line, which will be the first of its kind in the U.S., will come from $1.25 billion targeted by the FRA from the $8 billion in passenger rail funding appropriated by last year’s American Recovery & Reinvestment Act (ARRA). (ffd: wire services) 

 (FRI) The OneRail Coalition, whose membership includes the American Short Line and Regional Railroad Association, the Association of American Railroads, rail labor unions and related rail constituencies, commented in support of the Federal Railroad Administration’s proposed National Rail Plan.  Included in the coalition’s comments was the suggestion that the plan establish a national framework for transportation investment in the context of an overall multi-modal transportation network; continue dedicated funding for commuter rail, and establish new dedicated funding sources for high-speed and intercity passenger rail; recognize the complexities of passenger and freight rail partnerships; and boost rail workforce development and planning leadership to support rail industry growth. (ffd: Progressive Railroading)

STATS – CLASS 1 RAIL TRAFFIC:

 (THU) For the week ending May 8, 2010, U.S. rail volume grand totaled 32.2 billion ton-miles, up 16.2 percent from the comparable period last year.  U.S. carload rail traffic was up 14.7 percent, up 16.3 percent in the East and up 13.7 percent in the West.  Notable traffic increases included metals and metal products up 99.7 percent, metallic ores up 70.2 percent, and motor vehicles and equipment up 50.8 percent; notable traffic decreases included grain mill products down 4.8 percent.  Also for the week, U.S. intermodal rail traffic was up 14.0 percent, Canadian carload rail traffic was up 58.0 percent, Canadian intermodal rail traffic was up 9.9 percent, Mexican carload rail traffic was up 37.9 percent, and Mexican intermodal rail traffic was up 36.0 percent.

 For the period January 1 through May 8, 2010, U.S. rail volume grand totaled 553.6 billion ton-miles, up 6.7 percent from the comparable period last year.  Also for this period, U.S. carload rail traffic was up 5.8 percent, U.S. intermodal rail traffic was up 10.0 percent, Canadian carload rail traffic was up 19.3 percent, Canadian intermodal rail traffic was up 9.1 percent, Mexican carload rail traffic was up 23.6 percent, and Mexican intermodal rail traffic was up 35.5 percent. (ffd: AAR)

(NOTE: Canadian counts include traffic from the U.S. operations of the two Canadian-based Class I railroads, Canadian National and Canadian Pacific Railway.)

EXPANSIONS, CONTRACTIONS AND ALIKE:

 (FRI) CSX filed to abandon approximately one mile of its Speedway Running Track in Indianapolis, IN. (ffd: STB)

 (FRI) Tunnel boring began for the long-planned Second Avenue Subway in Manhattan in New York City.  The new line, which will supplement the existing Lexington Avenue line, one of the world’s busiest, will run from 125th Street to Hanover Square.  The project is targeted for completion by 2016. (ffd: Progressive Railroading)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 (WED) Robert Pattison passed away at Age 88.  Originally with the New York Central Railroad, Mr. Pattison became the general manager of the Penn Central and then Conrail Metropolitan [commuter rail] Region in the mid-1970s, and was the president of the Long Island Rail Road from 1976 to 1978. (ffd: Washington Post)

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WRR – 05-07-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

FOR THE WEEK ENDING FRIDAY, MAY 7, 2010       

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 (SAT) Amtrak operated a ceremonial test train over RailAmerica’s Florida East Coast line between Jacksonville, FL and Miami, FL.  A number of state dignitaries were aboard the train, all of whom expressed interest in restoring passenger service on the line as soon as possible, which would serve the many communities between those two cities on Florida’s east coast.  Passenger service on the line was discontinued in 1968, before the 1971 Amtrak startup. (ffd: Florida Times Union)

 (SUN) Notably heavy rains resulted in flooding in parts of Kentucky and Tennessee, particularly so in mid-Tennessee, where more than 13 inches of rain fell in a 24-hour period.  Flooding resulted in the temporary cancellation of the Nashville & Eastern’s Music City Star commuter train, as well as the temporary closure of Norfolk Southern’s line between Memphis, TN and Sheffield, AL.  Most impacted was probably CSX’s line between Memphis and Nashville, TN, which saw three major bridges washed out. (ffd: Nashville Business Journal, Trains, wire services)

 (SUN) Union Pacific closed what was believed to be the last Armstrong-type interlocking tower in service in the U.S.  Armstrong towers operated signals and switches that were connected to the controlling levers in the tower through iron pipe.  The tower, known as Ridgely Tower, located in Springfield, IL. (ffd: Trains)

 (MON) House Transportation & Infrastructure Committee Chair James Oberstar (D-MN) and House Railroad Subcommittee Chair Corrine Brown (D-FL) held a field hearing in Miami, FL to promote and encourage more national passenger train service.  Said Rep. Brown, “As the chair of the Rail Subcommittee, [my] eventual goal is to have high-speed intercity passenger and commuter rail lines connected nationwide to serve as an alternative to our current systems of transportation.” (ffd: Jacksonville Transportation Examiner)

 (MON) The U.S. Department of Transportation announced said that it had begun accepting applications for the second round of Transportation Investment Generating Economic Recovery (TIGER) grants.  USDOT will award $600 million in TIGER-II discretionary grants through the federal Fiscal Year 2010 Appropriations Grant Program.  A USDOT spokesman said that pre-applications will be accepted until July 16 and final applications will be accepted until August 23. (ffd: Progressive Railroading, USDOT)

 (MON) Southern California commuter rail operator Metrolink took delivery of the first of 117 new passenger rail cars.  The new cars include in their design new “crash energy management” technologies that, if the car is collided with, will allow it to crumple so that non-passenger areas, such as electrical service closets, bicycle storage areas, vestibules and stairwells, absorb the main impact. (ffd: The Daily Breeze)

 (TUE) The Massachusetts Bay Transportation Authority announced that it had sued Rocla Concrete Tie Corporation related to the deterioration of their concrete ties installed several years ago on MBTA’s Old Colony commuter rail line near Boston, MA.  The ties were marketed by Rocla as having a 50-year lifespan, and so the agency is suing for negligent misrepresentation, unfair and deceptive trade practices, and breach of warranty.  Rocla earlier settled with Amtrak and Metro-North over the same issue. (ffd: Boston Globe, Trains)

 (TUE) Two BNSF trains collided at slow speed on the BNSF main line near Ashland, NE.  No one was injured in the accident, which derailed two locomotives and one car, although two crewmembers were taken to the local hospital for evaluation.  The cause of the accident was under investigation at press time. (ffd: WOWT TV)

 (TUE) The Association of American Railroads released a report that said that, for every $1 billion in capital investment on freight rail, 7,800 green jobs are created across the U.S. economy.  Entitled “Full Speed Ahead: Creating Green Jobs Through Freight Rail Expansion,” the report was prepared by the BlueGreen Alliance and the Economic Policy Institute. (ffd: AAR)

 (WED) Various rail officials noted recent domestic economic growth.  Among these was a spokesman for the Association of American Railroads, who noted that all 19 carload commodity groups increased in the week ending April 24.  The spokesman said that this was the first week in more than five years that every one of these groups had shown increase. (ffd: Bloomberg News)

 (WED) Speaking before a small group of shipper activists, Senate Commerce Committee Chair Jay Rockefeller (D-WV) said that one major railroad is resisting efforts to negotiate rail re-regulation legislation being proposed by him and his committee.  “There are four railroads.  I think we are making inroads with three; there’s one that we are not making inroads with,” said Sen. Rockefeller.  He added, “Can three trump one with pressure?  I think the answer to that should be yes, but what they want is complex.” (ffd: Journal of Commerce)

 (THU) New York’s Metropolitan Transportation Authority announced that the scheduled layoff of approximately 1,000 of its employees will save approximately $115 million of a projected $400 million budget deficit.  However, it said that several programs will curtailed, including a planned zero-tolerance policy against scratched windows on two subway lines.  The scratched-window vandalism, which significantly obscures Plexiglas windows, is known as “scratchiti.” (ffd: New York Times)

 (THU) San Francisco’s Bay Area Rapid Transit subway system noted the apparent success of a smart phone application known as “Foursquare.”  The app allows BART riders to share their locations on the system, as well as tips, such as places to go near BART station stops.  A BART spokesman said that, in a recent survey, 14 percent of respondents said that they have been riding BART more often because of Foursquare. (ffd: Progressive Railroading)

 (FRI) New York State and CSX officials met concerning high-speed rail service on the CSX line between Albany and Buffalo, NY.  The state and CSX have been in disagreement over high-speed rail, with the state insisting that maximum passenger train speeds increase from 90mph to 110mph, and CSX insisting that a third track must be built for 110mph trains, with that third track at least 30 feet from the existing CSX double-track main line. (ffd: Rochester Democrat and Chronicle)

 (FRI) In a prepared report, Amtrak noted that it had paid host railroads 16 percent more in the previous fiscal year, which ended September 30, 2009, because more Amtrak trains on those railroads had improved on-time performance.  Among various statistics in the report, Amtrak also noted that it had paid BNSF $115.4 million for passenger train operating rights in that fiscal year, which it said equated to $4.44 per train-mile. (ffd: Bloomberg News)

 (FRI) The U.S. Department of Transportation discussed a new national transportation planning initiative, “Transportation For A New Generation.”  Elements of the initiative include shifting more freight from trucks to rail, establishing community “livability” concepts into freight facility planning, and putting greenhouse gas considerations firmly into freight funding and regulatory practices.  USDOT said that the initiative’s draft plan will be open for public comment starting May 15. (ffd: Journal of Commerce)

STATS – CLASS 1 RAIL TRAFFIC:

 (THU) For the week ending May 1, 2010, U.S. rail volume grand totaled 32.9 billion ton-miles, up 16.7 percent from the comparable week last year.  U.S. carload rail traffic was up 16.3 percent, up 22.3 percent in the East and up 12.5 percent in the West.  All 19 carload commodity groups showed increase, notably metallic ores up 333.1 percent, metals and metal products up 109.2 percent, and waste and scrap materials up 67.0 percent.  Also for the week, U.S. intermodal rail traffic was up 13.2 percent, Canadian carload rail traffic was up 29.4 percent, Canadian intermodal rail traffic was up 15.0 percent, Mexican carload rail traffic was up 13.3 percent, and Mexican intermodal rail traffic was up 11.7 percent.

 For the period January 1 through May 1, 2010, U.S. rail volume grand totaled 521.4 billion ton-miles, up 6.2 percent from the comparable period last year.  Also for this period, U.S. carload rail traffic was up 5.3 percent, U.S. intermodal rail traffic was up 9.8 percent, Canadian carload rail traffic was up 18.3 percent, Canadian intermodal rail traffic was up 9.0 percent, Mexican carload rail traffic was up 22.8 percent, and Mexican intermodal rail traffic was up 35.4 percent. (ffd: AAR)

(NOTE: Canadian counts include traffic from the U.S. operations of the two Canadian-based Class I railroads, Canadian National and Canadian Pacific Railway.)

EXPANSIONS, CONTRACTIONS AND ALIKE:

 (MON) A new connection between CSX and the North Carolina Railroad, operated by Norfolk Southern, was put in place at the junction between the two in Greenville, NC.  The new connection enables southbound CSX trains to proceed directly east onto the NS-operated line.  Previously CSX trains had to cross the diamond and then make a reverse move. (ffd: NCDOT, Trains)

 (THU) Progress Rail Services announced their acquisition of FCM Rail.  FCM Rail specializes in maintenance-of-way equipment leasing and related equipment services, including warehouse leasing and short- and long-term equipment rentals. (ffd: Progressive Railroading)

 (FRI) Port Harbor Railroad filed to lease, from Illinois’s Tri-City Regional Port District, approximately three miles of line in and near Granite City, IL. (ffd: STB)

 (FRI) Wichita, Tillman & Jackson Railway filed to grant overhead trackage rights to the Hollis & Eastern Railroad over approximately five miles of line in and near Altus, OK. (ffd: STB)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 (WED) Steve Allman passed away from acute melanoma at Age 51.  Mr. Allman was a longtime Amtrak engineering and transportation principal, and was most recently the general superintendent of Amtrak’s Mid-Atlantic Division.

 (WED) Stephen Branscum was re-elected chair of the University of Denver’s Intermodal Transportation Institute (ITI).  Mr. Branscum is currently, and will continue as, BNSF’s Group VP-Consumer Products. (ffd: ITI, Progressive Railroading)

 (WED) The California High-Speed Rail Authority appointed Roelof van Ark as its new chief executive officer.  Mr. van Ark was most recently the president of Alstom Transportation. (ffd: San Mateo County Times)

 (FRI) Phillip Pagano, the executive director of Chicago area commuter rail operator METRA, took his own life by stepping in front of a METRA train.  Mr. Pagano, who had been with METRA since 1990, had been put on paid administrative leave the previous week related to allegations of misconduct. (ffd: Chicago Tribune)

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WRR – 04-30-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

FOR THE WEEK ENDING FRIDAY, APRIL 30, 2010              

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 (MON) The New York City Transit Authority suffered an on-duty employee fatality.  James Knell, a maintenance-of-way supervisor, was killed while working on the subway line out to Far Rockaway in Queens.  Mr. Knell was believed to have tripped and come in contact with the electrified third rail.  At his funeral mass later that week, several of his fellow track workers wore their orange safety vests over their suits and ties in a gesture of respect. (ffd: New York Daily News)

 (MON) The Surface Transportation Board agreed to postpone action on the Montreal, Maine & Atlantic’s recent application to abandon approximately 233 miles of line in northern Maine.  The STB also said that it would help conduct mediation talks between the Maine Department of Transportation and the railway, so that a plan to continue the lines in operation could be developed. (ffd: Business Week, wire services)

 (MON) The U.S. Department of Transportation’s Bureau of Transportation Statistics announced that it would expand its portfolio of transportation indicators to include a table on freight rail yields.  The monthly table will tabulate freight railroad revenue per ton-mile.  This increases the total number of transportation indicators tracked by USBTS to 21. (ffd: Progressive Railroading, USDOT)

 (TUE) The Association of American Railroads released a study noting the economic benefits of installing Positive Train Control (PTC) to be substantially lower than what some shipper groups, notably the Chlorine Institute, have claimed.  The study, conducted by the Oliver Wyman firmed, pegged industry PTC benefits at $413.2 million over 20 years versus expected costs of between $7 billion and $24 billion over that time.  The Chlorine Institute had earlier stated that PTC would bring $5 billion in benefits and suggested that undervaluing benefits by railroads would enable them to pass on more costs to shippers through higher rates. (ffd: AAR, Dow Jones Newswire)

 (TUE) CSX CEO Mike Ward said the U.S. must make a “renewed and aggressive” national commitment to modernize its infrastructure in order to maintain its leading position in the global economy.  “Other nations are making serious forward-looking investments,” said Mr. Ward.  The U.S. needs to do the same and [also] do a better job of maintain the strong but aging systems we already have in place.”  Mr. Ward made his comments at the Milken Institute Global Conference in Los Angeles, CA. (ffd: Progressive Railroading)

 (TUE) Southeastern Michigan officials have said that they believe a proposed commuter rail service between Detroit and Ann Arbor will be delayed indefinitely due to a lack of funding.  The officials said that they needed another $40 million to $50 million to start service.  They added that they eventually hope to offer round trips daily between Detroit and Ann Arbor, with stops in Dearborn, Ypsilanti and Detroit Metropolitan Airport. (ffd: Detroit News)

 (WED) The New York City Transit Authority suffered another on-duty employee fatality, the second in one week, although this one was not work-related.  Domenick Occhiogrosso dropped dead in the control compartment of the subway train he was operating on the system’s G Line.  The train’s “dead-man’s control” feature halted the train when Mr. Occhiogrosso failed to respond to it. (ffd: New York Times)

 (WED) The Surface Transportation Board called into question Canadian National’s report of crossings blocked for more than 10 minutes on its newly-acquired Elgin, Joliet & Eastern line.  CN’s report indicated that, in November and December, 2009, it had blocked crossings on that line, and for that length of time, on 14 occasions.  However, an independent audit stated that it had blocked crossings in that manner on 1,457 occasions. (ffd: Chicago Tribune)

 (WED) A report by the IHS Global Insight firm predicted that world trade by all modes of transportation was expected to grow 8.5 percent in 2010.  The report stated that “carriers are beginning to respond to an upturn in cargo volume by increasing capacity.”  The report additionally predicted world trade to grow 7.8 percent in 2011. (ffd: Global Insight, Progressive Railroading)

 (WED) New York’s Metropolitan Transportation Authority approved a $1 billion deal to develop the air rights over the Long Island Rail Road’s West Side Yards in Manhattan.  The 26-acre site, which is Manhattan’s largest remaining plot of undeveloped, privately-held land, locates between 30th and 33rd Streets near the Javits Convention Center. (ffd: MTA)

 (THU) Canadian National and the Halifax Port Authority announced an agreement that it said would “enhance the port’s role as a preferred gateway on the [North American] east coast.”  The agreement establishes performance standards for Halifax Gateway partners – CN, the Halifax Port Authority, Cerescorp, and the Halterm Container Terminal – regarding times for loading and unloading containers between vessels and cars, the timing and placement of rail cars at the terminal, and CN transit times to key markets in eastern and central Canada and the U.S. Midwest. (ffd: CN Corp.)

 (FRI) Amtrak noted several capital improvement projects underway this year on its Northeast Corridor Line.  These projects include replacement of the Niantic River Bridge in East Lyme, CT; continued replacement of the catenary system on the Hell Gate Line between New York, NY and New Rochelle, NY; and a major rebuilding of its Wilmington, DE rail station.  Amtrak said that it is this year spending $420 million from its Fiscal Year 2010 and $590 million in funding from the American Recovery & Reinvestment Act (ARRA) for these and other infrastructure projects. (ffd: Amtrak)

 (FRI) Dallas Area Rapid Transit (DART) announced completion plans for the final sections of its Green Line light rail line.  DART officials said that it would open the first part of the Green Line on September 14 of this year, and that it will open the final two sections in December.  The December opening will complete the 20-station, 28-mile, $1.8 billion project. (ffd: Progressive Railroading)

STATS – CLASS I RAIL TRAFFIC:

 (THU) For the week ending April 24, 2010, U.S. carload rail traffic was up 14.6 percent from the comparable week last year, up 17.9 percent in the East and up 12.3 percent in the West.  All 19 carload commodity groups showed increase, notably metallic ores up 163.0 percent, metals and metal products up 80.2 percent, and waste and scrap materials up 59.7 percent.  Also for the week, U.S. intermodal rail traffic was up 15.1 percent, Canadian carload rail traffic was up 22.5 percent, Canadian intermodal rail traffic was up 10.1 percent, Mexican carload rail traffic was up 27.3 percent, and Mexican intermodal rail traffic was up 4.8 percent.

  For the period January 1 through April 24, 2010, U.S. rail volume grand totaled 488.5 billion ton-miles, up 5.6 percent from the comparable period last year.  Also for the week, U.S. carload rail traffic was up 4.6 percent, U.S. intermodal rail traffic was up 9.5 percent, Canadian carload rail traffic was up 17.7 percent, Canadian intermodal rail traffic was up 8.7 percent, Mexican carload rail traffic was up 23.3 percent, and Mexican intermodal rail traffic was up 37.0 percent. (ffd: AAR)

(NOTE: Canadian counts include traffic from the U.S. operations of the two Canadian-based Class I railroads, Canadian National and Canadian Pacific Railway.)

STATS CONTINUED – 1ST QTR., 2010 RESULTS:

 (TUE) Norfolk Southern reported the following results for the First Quarter 2010 versus the First Quarter 2009:  Revenues of $2.238 billion versus $1.943 billion earlier, an increase of 15.2 percent; operating income of $555 million versus $383 million earlier, an increase of 44.9 percent; net income of $257 million versus $177 million earlier, an increase of 45.2 percent; and an operating ratio of 75.2 percent versus 80.3 percent earlier, an improvement of 5.1 percentage points. (ffd: NS RR)

 (WED) Canadian Pacific Railway reported the following results for the First Quarter 2010 versus the First Quarter 2009: Revenues of C$1.1668 billion versus C$1.1096 billion earlier, an increase of 5.2 percent; operating income of C$205.0 million versus C$132.2 million earlier, an increase of 55.1 percent; net income of C$99.8 million versus C$57.3 million, an increase of 74.2 percent; and an operating ratio of 82.4 percent versus 88.1 percent earlier, an improvement of 5.9 percentage points. (ffd: CPR RR)

 (WED) Kansas City Southern reported the following results for the First Quarter 2010 versus the First Quarter 2009: Revenues of $436.3 million versus $346.0 million earlier, an increase of 26.1 percent; operating income of $108.2 million versus 47.6 million earlier, an increase of 127.3 percent; net income of 32.6 million versus a net loss of $8.1 million earlier; and an operating ratio of 75.2 percent versus 86.2 percent earlier, an improvement of 11.0 percentage points. (ffd: KCSR RR)

EXPANSIONS, CONTRACTIONS AND ALIKE:

 (TUE) The Escanaba & Lake Superior filed to abandon approximately 43 miles of line between Ontonagon and Sidnaw, MI.  (ffd: STB)

 (THU) CSX and Canadian Pacific announced plans for a joint-use corridor utilizing CSX’s line between Fresh Pond Jct., NY and Albany, NY, and CPR’s former Delaware & Hudson line between Albany, NY and the international border crossing at Rouses Point, NY.  Per their filing with the STB, CPR would operate all trains between Saratoga Springs, NY and Rouses Point, and both railroads would operate between Albany and Saratoga Springs.  The arrangement also calls for CSX to handle certain CPR traffic moving between Albany and Fresh Pond Jct.; CPR to increase service frequency between Montreal and Fresh Pond Jct.; and CPR to retain trackage rights between Albany and Fresh Pond Jct. (ffd: CSX RR, Progressive Railroading, Trains)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 (SAT) Bill Moedinger passed away at Age 97.  Mr. Moedinger was the last survivor of the original investor group that acquired and rehabilitated Pennsylvania’s Strasburg Railroad into what Trains Magazine has referred to as “one of the top steam tourist railroads of the world.”  Mr. Moedinger was the Strasburg’s president for 17 years and is survived by his son Linn, who is now the Strasburg’s president and chief mechanical officer. (ffd: Trains)

 (MON) Richard Latini was noted to have passed away on April 13.  Mr. Latini was a longtime principal in rail car sales and leasing, and was most recently with Babcock & Brown’s North American Rail Group.  (Editor’s Note: We extend our sympathies to the family of Mr. Latini, who was a longtime Weekly Rail Review reader.)

 (MON) Shortline holding company Patriot Rail appointed Dan Kisner to the newly created position of Director-Fleet Management & Mechanical.  Mr. Kisner was most recently VP-Motive Power Leasing for CIT Rail. (ffd: Progressive Railroading)

 (WED) The National Association of Railroad Passengers announced that it was awarding this year’s Gary Burch Memorial Safety Award to James Oberstar (D-MN), the chair of the U.S. House Transportation & Infrastructure Committee.  A NARP spokesman said that Mr. Oberstar was being honored “for his work as the primary sponsor of the Railroad Safety Improvement Act of 2008.” (ffd: NARP, Progressive Railroading)

 (THU) CSX appointed Cressie Brown its VP-Service Design & Advance Technology.  Ms. Brown succeeds Alan Blumenfeld, who is retiring.  Succeeding Ms. Brown is Susan Arko, who was most recently CSX AVP-Customer Service Operations. (ffd: CSX RR, Progressive Railroading)

 ///

WRR – 04-23-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

FOR THE WEEK ENDING FRIDAY, APRIL 23, 2010              

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 (MON) Newsweek Magazine noted the responsiveness of European passenger railroads when more than 95,000 flights across Europe were canceled due to the spread of ash from the active volcano in Iceland.  The magazine noted that European railways had doubled their high-speed passenger rail network to almost 3,500 miles between 2000 and 2010, and that Germany’s Deutsche Bahn handled a 30 percent increase in passenger traffic at the height of the flight cancellations. (ffd: Newsweek)

 (MON) The Chicago Transit Authority began testing of its new 5000-series subway/elevated cars.  The CTA ordered a total of 406 such cars at a total cost of $603.6 million.  The cars will replace those currently operating that are between 32 and 41 years old. (ffd: Progressive Railroading)

 (TUE) At a Congressional field hearing in Chicago, IL, an Amtrak spokesman called for a “revolutionary, not evolutionary” new surface transportation bill that would provide reliable, multi-year funding for intercity passenger train services.  Noting that previous incarnations of the bill mostly ignored passenger rail, Amtrak Vice-President Joe McHugh said, “Long-term, sustainable funding is the key and without it Amtrak and the whole system will continue to limp along, failing to live up to the promise of what we know rail can do for the nation.”  The House Transportation & Infrastructure Committee has proposed that $50 billion be appropriated into the bill for passenger rail. (ffd: Journal of Commerce, NARP)

 (TUE) Amtrak began testing a beef-based fuel in locomotives assigned to its “Heartland Flyer” passenger train, which operates between Fort Worth, TX and Oklahoma City, OK.  Tallow from Texas cattle, which is fat often used in soap and animal feed, is supplying 20 percent of the fuel for the locomotives, with the remainder being standard diesel.  The Federal Railroad Administration provided Amtrak with $274,000 in funding to conduct the tests in partnership with Oklahoma transportation officials. (ffd: wire services)

 (WED) A hearing of the Senate Commerce Committee noted potential shortcomings in the government’s handling of rail security.  Among the witnesses at the hearing were witnesses from the U.S. Transportation Security Administration, Amtrak, the U.S. Government Accountability Office, the American Public Transportation Association, and CSX.  The latter’s representative noted that, “given the information…received from federal intelligence sources, we believe that the greatest terrorist threat to CSX comes from the approximately 8 million passenger and commuter train miles that each year operate on CSX-owned lines.” (ffd: NARP, Progressive Railroading)

 (WED) The U.S. Surface Transportation Board called on Canadian National to explain discrepancies in its reports to the Board on crossing delays, reports required by the terms of CN’s earlier acquisition of the Elgin, Joliet & Eastern Railway.  Although CN has reported only 14 crossing blockings of 10 minutes or longer in November and December, an independent review conducted by HDR Consulting found that there had been 1,457 instances of streets being blocked for 10 minutes or more during that time period. (ffd: Chicago Tribune, Gary Post-Tribune)

 (WED) Reminiscent of Railroad YMCA’s, MSI Hospitality Solutions opened a 70-room hotel in Lower Allen Township, PA, near Harrisburg, exclusively for Norfolk Southern employees laying over.  The railroad-only hotel includes queen-size beds, flat-screen televisions, a workout room, and a 24-hour restaurant. (ffd: Harrisburg Patriot-News)

 (WED) The University of Nebraska at Lincoln announced that, on May 15, it would conduct what it believed would be the first-ever “History Harvest for Railroad History.”  The History Harvest will allow persons to bring in their railroad-related documents of all sorts, which historians will discuss with their owners and then arrange for their being photographed, videotaped and documented.  A university spokesman said that the project’s goal was to digitize Nebraska rail history materials and make them available in a shared online repository. (ffd: Lincoln Journal Star)

 (THU) After approving plans earlier this month to electrify its commuter rail line between San Francisco and San Jose, CA, only to then announce that budget problems might compel a reduction in service to rush-hour only, Caltrain officials explained that electrification was a partial solution to the line’s financial problems.  The officials said that electrification would allow the expansion of commuter service such that 49 percent more money could be collected, while expense could be kept relatively flat.  “I’m not ready to say electrify or bust,” said Caltrain CEO Mike Scanlon. “But I sure as hell won’t be very proud of what we’d be able to put out.” (ffd: San Mateo Times)

 (THU) Southern California’s Metrolink commuter rail agency said that it has come to an agreement with its new operator, Amtrak, concerning the use of personality tests that rail labor unions had threatened to boycott.  It said that all employees hired by Amtrak that had worked for Connex, the previous operator, would have to take personality tests, but that adverse test results would not automatically disqualify them from running Metrolink trains.  It added that the test results will instead be used to identify personnel who could benefit from additional training. (ffd: wire services)

 (THU) The Association of American Railroad announced that freight rail fuel efficiency had increased in 2009 such that railroads averaged 480 ton-miles to the gallon in moving one ton of freight, up from the previous 436 ton-miles to the gallon.  The AAR further noted that rail fuel efficiency is up 104 percent since 1980 and that, in 2009, railroads generated 667 percent more ton-miles than in 1980, while using 18 percent less fuel. (ffd: AAR)

 (THU) The mayor of the District of Columbia and the governors of Maryland and Virginia announced agreement on action plans to jointly address safety concerns of the Metro subway system serving Washington, DC and its suburbs.  The three agreed that their respective jurisdictions would establish a short-term safety plan and, over the longer term, would establish either their own safety oversight body or ask the federal government  to oversee the system’s safety.  The following day, Friday, the Washington Metropolitan Area Transit Authority, Metro’s parent agency, proposed a plan for closing a projected $189 million gap for Fiscal Year 2011.  The proposal includes hiking the off-peak base fare from $1.65 to $1.90 and adding a 10-cent surcharge to peak hours fares. (ffd: Progressive Railroading)

 (THU) In response to a New York Times article earlier in the week that suggested that rush hour bar car service on Metro North’s New Haven Line commuter trains would soon be discontinued, Trains Magazine ran an article stating that this was not the case.  The magazine interviewed representatives of commuter advocacy groups who noted that a number of bar cars were recently overhauled and that a new commuter car order may also include new bar cars.  Bar car service has been a popular feature of New Haven Line rush hour trains for decades, where it yields an annual operating profit. (ffd: New York Times, Trains)

 (THU) Northern California’s Transbay Joint Power Authority board approved the final design for a new transit center and park in San Francisco.  The design includes a glass-and-steel structure that will serve 12 transit systems, including Caltrain and the future California high-speed rail system.  The center and rooftop park are expected to cost $1.6 billion.  The authority said that it hopes to begin demolishing the existing terminal in mid-August and hopes to open the new terminal in 2017. (ffd: Progressive Railroading)

 (FRI) CSX suffered an on-duty employee fatality.  Melinda Carter, Age 37, was killed while switching cars at a CSX yard near 134th and Ashland Avenue in Chicago, IL.  Initial reports suggested that Ms. Carter may have been struck or run over by the train she was switching. (ffd: Chicago Tribune)   

 (FRI) Amtrak noted that the third annual National Train Day would be celebrated on Saturday, May 8.  Amtrak and other railroads said that they are planning celebratory events open to the public at locations across the country, including major passenger train stations.  A full listing of events is available on the nationaltrainday.org website. (ffd: Amtrak, wire services)

STATS – CLASS 1 RAIL TRAFFIC:

 (THU) For the week ending April 17, 2010, U.S. carload rail traffic was up 16.1 percent from the comparable week last year and – at 296,599 carloads – was the highest weekly total since December 6, 2008.  Notable traffic increases included metallic ores up 177.5 percent, metals and metal products up 68.8 percent, motor vehicles and equipment up 49.0 percent, nonmetallic minerals up 46.4 percent, and primary forest products up 34.5 percent.  Also for the week, U.S. intermodal rail traffic was up 14.6 percent, Canadian carload rail traffic was up 24.3 percent, Canadian intermodal rail traffic was up 14.8 percent, Mexican carload rail traffic was up 27.8 percent, and Mexican intermodal rail traffic was up 42.3 percent.

 For the period January 1 through April 17, 2010, U.S. rail volume grand totaled 455.4 billion ton-miles, up 4.9 percent from the comparable period last year.  Also for this period, U.S. carload rail traffic was up 4.0 percent, U.S. intermodal rail traffic was up 9.2 percent, Canadian carload rail traffic was up 17.3 percent, Canadian intermodal rail traffic was up 8.6 percent, Mexican carload rail traffic was up 23.1 percent, and Mexican intermodal rail traffic was up 39.7 percent. (ffd: AAR)

STATS CONTINUED – 1ST QTR., 2010 RESULTS:

 (TUE) Union Pacific reported the following results for the First Quarter 2010 versus the First Quarter 2009:  Revenues of $3.965 billion versus $3.415 billion earlier, an increase of 16 percent; operating income of $988 million versus $671 million earlier, an increase of 47 percent; net income of $516 million versus $362 million earlier, an increase of 43 percent; and an operating ratio of 75.1 percent versus 80.4 percent earlier, an improvement of 5.3 percentage points. (ffd: CSX RR)

EXPANSIONS, CONTRACTIONS AND ALIKE:

 (MON) The Port of Coos Bay announced that they had concluded an agreement this week to take control of the rail line between North Spit and Coquille, OR.  The Port last year acquired control of the line between Eugene, OR and North Spit from the Central Oregon & Pacific Railroad and this agreement will extend their operation 22 more miles to Coquille. (ffd: World Link)

 (MON) The Richmond, MO-based Williams Group announced that they were in the process of purchasing the St. Maries River Railroad from Potlatch Corporation.  The St. Maries River runs 91 miles between Bovill and Plummer, ID, where it connects with Union Pacific. (ffd: Couer D’Alene Press)

 (TUE) Norfolk Southern said that it anticipated breaking ground later this year for a new intermodal terminal in Greencastle, PA, southwest of Harrisburg, PA near the Maryland-Pennsylvania border.  The new terminal is expected to cost approximately $95 million. (ffd: Public Opinion Online)

 (WED) BNSF held grand opening ceremonies for its new intermodal terminal near Memphis, TN.  Costing approximately $200 million, the terminal spans 185 acres and will have the capacity to handle 1 million intermodal lifts per year when fully operational. (ffd: BNSF RR, Progressive Railroading)

 (WED) Union Pacific filed to abandon approximately one mile of its Brea Industrial Lead in Brea, CA. (ffd: STB)

 (FRI) CSX said it would relocate its Northern Division headquarters from Chicago, IL to North Baltimore, OH.  The relocation will be concurrent with CSX’s construction of a new $175 million intermodal terminal in North Baltimore. (ffd: Progressive Railroading)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 (MON) Ann Purdue resigned as New York State’s Manager-High-Speed Rail.  Newspaper reports suggested that Ms. Purdue, who had been negotiating an agreement with CSX to allow passenger train speeds of up to 90mph on the CSX line between Albany and Buffalo, NY, was in serious disagreement with New York Governor David Patterson over the latter’s new intention to demand speeds of up to 110mph. (ffd: Albany Times-Union, NARP, New York Post)

 (TUE) Greater Portland, Oregon transit operator TriMet appointed Shelly Lomax its Executive Director-Operations.  Ms. Lomax joined TriMet in 1987 as a bus driver. (ffd: Progressive Railroading)

 (WED) The Association of American Railroads named Charles Keltner, a senior manager of corporate facilities for BNSF, the winner of this year’s John H. Chafee Environmental Excellence Award.  The AAR also named U.S. Senator Frank Lautenberg (D-NJ) this year’s winner of the Congressional Chaffee Award, which “each year goes to a member of Congress who demonstrates dedication to the environment. “ (ffd: AAR, Progressive Railroading)

 (THU) Shortline holding company Patriot Rail appointed Dan Kisner to the newly-created position of Director-Fleet Management & Mechanical.  Mr. Kisner was most recently VP-Motive Power Leasing at CIT Rail. (ffd: Earth Times News, Patriot Rail)

 ///

WRR – 04-16-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

FOR THE WEEK ENDING FRIDAY, APRIL 16, 2010              

(In case it is helpful to anyone who may not have received the previous edition due to it possibly having been caught in or deleted by a spam filter, please know that it was sent April 14, reporting about the week ending April 9.)

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 (MON) In a letter to the Virginia state transportation secretary, Amtrak CEO Joe Boardman noting that Virginia Railway Express and French-based Keolis Rail Services have “a ton of work to do in a very short time,” in order for Keolis to begin operating VRE commuter trains as scheduled on June 28.  Keolis, which last year was selected by VRE’s board of directors to take over its train operation from Amtrak, said in response that they had reached agreement with the unions representing VRE train crews and that they would soon extend job offers to Amtrak personnel that had operated VRE trains.  Amtrak has operated VRE trains since the latter’s 1992 inception. (ffd: Washington Post, News & Messenger)

 (TUE) On the occasion of reporting its first quarter results, CSX noted that increased economic activity had caused it to reduce its furloughed train and engine employees from 2,533 to 1,093; reduce the number of locomotives in storage from 707 to 272; and reduce the number of freight cars in storage from 30,533 to 12,321.  CSX also noted that it had recently increased from $750 million to $1.2 billion the amount it will cost for it to install Positive Train Control, as required by 2015 by the Railway Safety Improvement Act. (ffd: Journal of Commerce, Railway Age)

 (WED) Following the Maine legislature’s failure the previous week to secure funds to help purchase 233 miles of lines recently proposed for abandonment by the Montreal, Maine & Atlantic Railway, the legislature this date approved a $57.8 million bond package that included $7 million for the purchase of these lines.  The money would be added to $7 million that would come from the state’s reserves and $3 million that would come from rail shippers on these lines, all of which would go toward the state purchasing them and then leasing them back to the MMA or another operator. (ffd: Bangor Daily News, Trains)

 (WED) New Jersey Transit’s board of directors approved substantial fare hikes to address a projected $300 million deficit in Fiscal Year 2011.  The fare hikes, which are to take effect May 1, include a 10 percent increase for NJT light rail and bus rides, and a 25 percent increase for commuter rail rides.  NJT will also end the sale of reduced off-peak commuter rail round-trip tickets, the last of which will be sold April 30 and can no longer be used after May 23. (ffd: NARP, Progressive Railroading)

 (THU) Union Pacific announced that it and its employees would participate in more than 100 Earth Day events in nearly 70 communities.  The events will include activities such as tree plantings, beautification projects, and recycling programs and an Earth Day Fair at the Union Pacific Center at Omaha, NE. (ffd: UP RR)

 (FRI) Canadian Pacific announced that it would undertake testing of Dakota, Minnesota & Eastern locomotives in West Davenport, IA.  The testing will consist of two initial sounds, followed by six additional sound tests in 10-second intervals.  New Federal Railroad Administration regulations require all railroads to complete specified locomotive horn testing by mid-June of this year. (ffd: Quad City Times)

 (FRI) Amtrak announced that passengers of its “Sunset Limited” train operating between New Orleans, LA and Los Angeles, CA may now download a podcast which provides information about the areas they will be traveling through.  Amtrak, the National Park Service, and Texas A&M University partnered on the podcast, which is free. (ffd: wire services)

 (FRI) Norfolk Southern announced that it now had a presence on four social media websites – Facebook, Twitter, YouTube, and Flickr – and has placed linked icons on its corporate website that link to these sites.  An NS spokesman said that it now has “…nearly 7,000 fans on Facebook…We went live on Twitter in February, and [now have] some 300 people following our 144-character ‘tweets’ through their cell phones, PDAs, and online.”  The spokesman added that approximately 19,000 persons visit NS’s website each workday. (ffd: NS Corp.)

 (FRI) Amtrak asked that votes be cast to determine the winner of its online video contest.  Interested persons can go to www.amtrak.com and click on the “Amtrak TRAINsportation Video Contest” to view the two video entries that made it to the final contest round.  Online voting is open now through April 30, 2010. (ffd: Amtrak)

 (FRI) A report in the Seattle Times noted that a newly constructed highway overpass near the Seattle Mariners’ Safeco Field eliminates a grade crossing on the BNSF line next to the stadium, which in turn may eliminate the need for locomotives pulling trains on the line to blow their horns at that location.  A BNSF spokesman said that continuing to blow horns there is under review by BNSF’s Law Department, but further noted the affection Mariners fans have for the horn blasts, which he said were “part of the theme of the [ball]park.”  Over 100 BNSF, Amtrak and Sounder trains operate past Safeco Field each day. (ffd: Seattle Times)

STATS – CLASS 1 RAIL TRAFFIC:

  (THU) For the week ending April 10, 2010, U.S. carload rail traffic was up 16.4 percent, up 16.9 percent in the East and up 16.1 percent in the West.  Notable traffic increases included metals and metal products up 108.6 percent, metallic ores up 97.6 percent, primary forest products up 54.4 percent, metals and scrap materials up 54.0 percent, and motor vehicles and equipment up 35.5 percent.  Also for the week, U.S. intermodal rail traffic was up 14.2 percent, Canadian carload rail traffic was up 31.0 percent, Canadian intermodal rail traffic was up 17.4 percent, Mexican carload rail traffic was up 68.7 percent, and Mexican intermodal rail traffic was up 76.2 percent.

 For the period January 1 through April 10, 2010, U.S. carload rail traffic was up 3.1 percent, U.S. intermodal rail traffic was up 8.8 percent, Canadian carload rail traffic was up 16.9 percent, Canadian intermodal rail traffic was up 8.1 percent, Mexican carload rail traffic was up 22.7 percent, and Mexican intermodal rail traffic was up 39.5 percent. (ffd: AAR)

 (Note: AAR, from which this information sources, did not publish ton-mile statistics for this week.)

STATS CONTINUED – 1ST QTR., 2010 RESULTS:

 (TUE) CSX reported the following results for the First Quarter 2010 versus the First Quarter 2009:  Revenues of $2.491 billion versus $2.247 billion earlier, an increase of 11 percent; operating income of $634 million versus $522 million earlier, an increase of 21 percent; net income of $306 million versus $254 million earlier, an increase of 24 percent; and an operating ratio of 74.5 percent versus 76.8 percent earlier, an improvement of 2.3 percent. (ffd: CSX RR)

EXPANSIONS, CONTRACTIONS AND ALIKE:

 (MON) Trains Magazine reported that the Escanaba & Lake Superior Railroad had filed with the Surface Transportation Board to abandon approximately 40 miles of ex-Milwaukee Road line between Sidnaw and Ontonagon, MI.  The abandonment stems from the closure of Smurfit-Stone’s paper mill at Ontonagon, which was the largest customer on the line. (ffd: Trains)

 (FRI) The Surface Transportation Board approved the Central Illinois Railroad and the Pioneer Industrial Railway earlier joint filing to discontinue service over approximately six miles of the Kellar Branch, between Peoria and Peoria Heights, IL. (ffd: STB)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 (MON) Union Pacific announced the following appointments: Tony Chacon as VP-Mexican & Automotive Operations, succeeding Robert Naro, who is retiring; Barry Michaels as VP-Intermodal Operations, succeeding Dennis Jacobson, who is retiring; Roger Lambeth as Superintendent-Transportation Services for UP’s Livonia Service Unit; Pat O’Malley as VP-Tax, succeeding Bernie Gutschewski, who is retiring; Bryan Clark as AVP-Federal Tax, succeeding Mr. O’Malley; and Phillip Schultz as General Director-Tax & Financial Reporting, succeeding Mr. Clark. (ffd: UP RR)

 (THU) Kansas City Southern appointed Michael Fenley its AVP-Business Solutions.  Mr. Fenley, who will lead KCSR’s Customer Solutions Center, was most recently at YRC Worldwide Corporation. (ffd: KCS RR)

 (THU) Montreal, Maine & Atlantic Railway appointed Mitchell Whitmire its VP-Mechanical.  Mr. Whitmire was earlier the GM-Locomotive Operations & Maintenance for Kansas City Southern Railway. (ffd: Progressive Railroading)

 (THU) Paducah & Louisville Railway appointed Tom Garrett its president.  Mr. Garrett will also serve as president of PAL affiliates Evansville Western Railway and Appalachian & Ohio Railroad.  PAL also appointed Tom Greene its EVP, COO & CFO.  Tony Reck will continue to serve as chair and chief executive officer of PAL and all affiliated companies. (ffd: Progressive Railroading)

 (FRI) Indiana Rail Road appointed James Merritt its VP-Corporate Affairs.  Mr. Merritt was most recently president of Circle Financial, an Indianapolis real estate investment and management firm. (ffd: Progressive Railroading)

 ///

WRR – 04-09-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

FOR THE WEEK ENDING FRIDAY, APRIL 9, 2010                

(In case it is helpful to anyone who may not have received the previous edition due to it possibly having been caught in or deleted by a spam filter, please know that it was sent April 5, reporting about the week ending April 2.)

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 (MON) MARC, which operates commuter rail service over CSX lines north and west of Washington, DC, noted CSX’s having put into effect its first heat restriction of the year for passenger trains the previous Friday.  A CSX spokesman said that the heat restrictions were put into effect due a 33-degree change in temperature in the Washington area that day. (ffd: News-Post)

 (TUE) St. Louis County, MO voters approved a one-half cent increase in their transit sales tax.  A county spokesman said that the increase would be used in the short-term to restore earlier discontinued transit service and would in the longer term be used to expand both bus service and Metrolink light rail service. (ffd: St. Louis Post-Dispatch)

 (TUE) Amtrak announced that it has targeted having Positive Train Control installed and operable on its Northeast Corridor and Michigan lines by 2012, three years ahead of the federal PTC deadline.  An Amtrak spokesman noted that its Advanced Civil Speed Enforcement System (ACSES), which together with cab signal and automatic train stop replicate essential PTC elements, has already been installed on several sections of its NEC line. (ffd: Amtrak)

 (WED) The U.S. Occupational Health & Safety Administration fined New Jersey Transit $569,587 for retaliating against one of its employees for reporting a work-related illness.  The OSHA investigation that resulted in the fine stated that the NJT employee had been disciplined and then suspended after reporting the illness.  The fine was levied under a federal whistleblower statute and was reportedly a record amount levied under that law. (ffd: Asbury Park Press)

 (WED) The Maine state senate turned down an $85 million bond package that would have funded the acquisition by the state of 233 miles of rail lines that the Montreal, Maine & Atlantic Railway has recently proposed for abandonment.  The bonding proposal had earlier been approved by Maine state representatives.  Later in the week, Federal Railroad Administration Chief Administrator Joe Szabo said that the creation of a partnership between the federal and state government, and private interests, was the best way to preserve the lines.  Still later in the week, the Surface Transportation Board announced that it would hold public  hearings in Maine on May 10 to review the abandonment proposal. (ffd: Bangor Daily News, Canadian Business News, STB)

 (WED) The Federal Highway Administration recommended to state highway officials that they install stop or yield signs at highway-rail grade crossings.  The recommendation was praised by the Association of American Railroads, whose spokesman noted that, “Drivers need to know that they should yield [at crossings] or stop to look for oncoming trains.”  Noting earlier studies of driver behavior, the spokesman added that “only one in five motorists today understand that the crossbuck is a warning sign.” (ffd: American Rail Link)

 (WED) A dedicated freight train service was started for produce originating in Washington State.  The new train, designated “The PNW-Chicagoland Express Intermodal Cold Train Service,” will operate via BNSF between Quincy, WA and Chicago.  Equipment and service support for the train is provided by a partnership between BNSF and Rail Logistics Corp., Columbia Colstore, Chicago Cold Storage, and the Port of Quincy. (ffd: Railway Age)

 (THU) The U.S. Department of Transportation rejected a proposal to toll Interstate 80 across Pennsylvania, the proceeds of which had been intended to help fund transit agencies in the state.  Philadelphia commuter rail and transit operator SEPTA said that it may have to drop more than 20 capital improvement projects from its Fiscal Year 2011 budget as a result, including a $100 million project to implement a new fare collection system and another $100 million project to rebuild the Broad Street subway station.  Later in the week, Pennsylvania Governor Ed Rendell said that he would call the state legislature into special session to deal with the funding loss. (ffd: Philadelphia Inquirer, Progressive Railroading)

 (THU) Union Pacific said that it had failed to negotiate a settlement with U.S. Customs & Border Protection related to fines levied against UP by USCBP from drugs found smuggled in freight cars in the consists of UP trains.  The fines, which stem from over 40 incidents going back to 2002, total $61.2 million.  A UP spokesman said, “The law requires UP to act on only what we can control.  We expect the court will agree that it is impossible for UP to prevent drugs from being smuggled onto Mexican trains.” (ffd: wire services)

 (THU) The New York Times reported that the Chinese government has signed cooperative agreements with the State of California and General Electric to help provide the technology for new high-speed passenger rail service in the state.  The report said that China also wants to help finance construction of high-speed rail.  “We are the most advanced in many fields, and we are willing to share with the United States,” said Zheng Jian, chief planner and director of high-speed rail at China’s railway ministry. (ffd: New York Times)

 (THU) Norfolk Southern said that it will take a special accounting charge and expects to pay $27 million in additional taxes in the first quarter because of a provision in the new health care reform law.  NS said that it currently receives a government subsidy to provide prescription drug benefits to its retirees.  NS has been able to deduct from taxes all the money they spend on the benefits, including the 28 percent federal subsidy, but that break will end in 2013 under the new law. (ffd: Business Week)

 (FRI) Norfolk Southern announced that it had completed raising the clearances in the Cooper Tunnel near Coopers, WV.  The tunnel daylighting is part of NS’s Heartland Corridor Project to enable double-stack train operation between Chicago and the Port of Hampton Roads, VA, a project that an NS spokesman said earlier this year was expected to be complete by this summer.  A spokesman for one of the contractors working on the project said that about 28 tunnels on the route were enlarged by having their ceilings raised, while the others were enlarged by lowering the track through them. (ffd: Bluefield Daily Telegraph)

STATS – CLASS 1 RAIL TRAFFIC:

 (THU) For the week ending April 3, 2010, U.S. rail volume grand totaled 31.3 billion ton-miles, up 11.0 percent from the comparable week last year.  U.S. carload rail traffic was up 10.7 percent, up 7.8 percent in the East and up 12.7 percent in the West.  17 of 19 carload commodity groups increased, led by metallic ores up 104.2 percent, metals and metal products up 84.1 percent, waste and scrap materials up 39.8 percent, coke up 30.3 percent, and motor vehicles and equipment up 21.3 percent.  Also for the week, U.S. intermodal rail traffic was up 6.2 percent, Canadian carload rail traffic was up 14.8 percent, Canadian intermodal rail traffic was up 6.1 percent, Mexican carload rail traffic was up 4.3 percent, and Mexican intermodal rail traffic was up 0.4 percent.

 For the period January 1 through April 3, 2010, U.S. rail volume grand totaled 390.1 billion ton-miles, up 3.1 percent.  Also for this period, U.S. carload rail traffic was up 2.2 percent, U.S. intermodal rail traffic was up 8.4 percent, Canadian carload rail traffic was up 15.9 percent, Canadian intermodal rail traffic was up 7.4 percent, Mexican carload rail traffic was up 20.0 percent, and Mexican intermodal rail traffic was up 37.3 percent. (ffd: AAR) 

EXPANSIONS, CONTRACTIONS AND ALIKE:

 (MON) Kansas City Southern filed to abandon approximately two miles of line in East Feliciana Parish, LA. (ffd: STB)

 (MON) The Surface Transportation Board granted Norfolk Southern’s earlier application to discontinue freight rail service over 14 miles of the Cockeysville Industrial Track, in and north of Baltimore, MD.  The line is owned by the Maryland Transit Administration, which operates light rail service over it. (ffd: STB)

  (TUE) CSX announced that it would halt heavy repairs at its former Raceland, KY car shops, which are now managed by Progress Rail Services.  CSX’s move, which a spokesman said was the result of “an increase in shipper-owned freight cars, improved car utilization, and a newer car fleet,” will result in the indefinite furlough of approximately 125 CSX employees at the shop. (ffd: Ashland Independent, Trains)

 (TUE) Indiana Southern, one of the RailAmerica family of short line railroads, was contracted by Ohio’s Perry County Port Authority to operate the Hoosier Southern Railroad.  The Hoosier Southern operates approximately 23 miles of track and interchanges with Norfolk Southern in Lincoln City, IN. (ffd: Journal of Commerce, Progressive Railroading)

 (WED) CSX filed to discontinue service over approximately 63 miles of its Northern Region-Louisville Division-Hoosier Subdivision Line between Bedford, IN and New Albany, IN. (ffd: STB)

 (WED) Railmark announced that it had acquired the assets and operations of Florida Rail Adventures LLC.  Concurrent with the acquisition, Railmark will move the operation of its Star Clipper Dinner Train from the Greater Detroit, MI area to the Greater Orlando, FL area. (ffd: Railmark)

 (WED) R.J. Corman Railroads filed to acquire, from the NC Railroad, approximately 42 miles of line between Oneida, TN and Devonia, TN. (ffd: STB)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 (MON) The Washington [DC] Metropolitan Area Transit Authority, which operates Metro bus and subway service, appointed James Dougherty its chief safety officer.  Mr. Dougherty was most recently the chief safety officer of the San Francisco Municipal Transportation Authority. (ffd: Progressive Railroading)

 (WED) Canadian Pacific Railway appointed Ed Harris its EVP and chief operating officer.  Mr. Harris retired from Canadian National in 2007, where he had been its EVP-Operations.  CPR also announced the appointment of Jane O’Hagan as its SVP-Marketing & Sales.  Ms. Hagan was most recently CPR’s SVP-Strategy & Yield. (ffd: CP RR)

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WRR – 04-02-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

FOR THE WEEK ENDING FRIDAY, APRIL 2, 2010                

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 (SUN) Parade, the Sunday-supplement national magazine, ran a cover article entitled, “America’s Greatest Train Rides.”  Authored by Stephen Fried, the article chronicled the writer’s recent trip aboard Amtrak’s “Southwest Chief.”  Mr. Fried also included the “Coast Starlight,” “California Zephyr,” and “Texas Eagle” as great American train trips.

 (SUN)  Two Toledo, OH teens phoned 9-1-1 advising that they could not safely get off a train they had hopped that was initially slow moving but that then accelerated to nearly 70mph.  The 9-1-1 dispatcher contacted the railroad, which then arranged to stop all trains on the line.  The two teens were later apprehended and charged with trespassing. (ffd: Sandusky Register)

 (MON) Amtrak announced that it would begin operation of Metrolink commuter trains serving the Greater Los Angeles area starting June 26.  Metrolink trains were most recently operated by Connex, whose operation of them has been criticized, especially since the 2008 Chatsworth, CA accident.  Later in the week, Amtrak and the North Carolina Department of Transportation announced that it would operate a third daily train between Raleigh, NC and Charlotte starting June 5. (ffd: Amtrak, Charlotte Observer)

 (TUE) Rep. John Thune (R-SD) was quoted in Journal of Commerce Magazine concerning the rail regulation bills now before Congress.  Concerning the Senate bill, Mr. Thune noted that, “railroads have some concerns about the final product – or at least the product to date.  But we continue to visit, to discuss with them and with the shipper community how best to resolve them.”  He added that rail executives “acknowledge that something is probably going to pass.  And it may not be something they like entirely.” (ffd: Journal of Commerce)

 (TUE) Amtrak announced that the discounted Northeast Regional rail fares it began offering in February, 2009 and that were to be temporary would be extended indefinitely.  The discounts, which are up to 25 percent, require at least a 14-day advance purchase.  Amtrak said that it carried 492,000 passengers on Northeast Corridor trains in February, 2010, up from 474,000 the previous February. (ffd: Washington Business Journal)

 (TUE) The New York Times reported that New Jersey Transit would “re-think their budget-cutting proposals, including a 25 percent fare hike, after listening to the public outcry at 12 lively hearings” the previous week.  NJT has proposed a systemwide 25 percent increase to bus, light rail and commuter rail fares along with service reductions to address a projected $300 million budget deficit forecast for Fiscal Year 2011.  An NJT spokesman said that a final decision would be made on or about April 4 and that any fare increases or service reductions would become effective on or about May 1. (ffd: New York Times)

 (TUE) Canadian National debuted a new online tool that it said can simultaneously secure a freight rate and calculate carbon emission information.  CN said that the tool calculates carbon emission reductions based on the average shipment lading weight for a single rail car or container, while CN’s “Get Carload Price” and “Get Intermodal Price” public pricing tools provide an estimated rate. (ffd: CN RR, Progressive Railroading)

 (WED) Notably heavy rains brought flooding to several Northeastern states, especially Rhode Island.  The cresting of the Pawtuxet River in Cranston, RI at 20.79 feet, nearly 12 feet above flood stage, resulted in the flooding there of Amtrak’s Northeast Corridor Line, which in turn compelled suspension of train service between New Haven, CT and Boston, MA through the remainder of the week.  On Friday, Amtrak operated three trains between New York and Boston that detoured onto the inland route via Springfield, MA. (ffd: Amtrak, CNN)

 (WED) Union Pacific unveiled a new locomotive commemorating the Boy Scouts of America.  UP No. 2010 features the Boy Scouts of America logo, the BSA’s 100th Anniversary logo, the words, “100 Years of Scouting,” ten emblems representing stages of Scouting and an 11th emblem for the 2010 Boy Scout Jamboree. (ffd: Union Pacific RR)

 (WED) The Federal Railroad Administration began accepting applications for $115 million in planning and construction project funds for high-speed passenger rail projects.  The FRA said that it would accept proposals for these funds through May 19 and would make selection announcements during Summer, 2010. (ffd: FRA)

 (THU) San Francisco, CA commuter rail operator CalTrain, which only the previous week announced plans to eventually electrify its line at a projected cost of $1.23 billion, announced that anticipated losses in funding may force it to limit service to rush-hour only.  “This is not an April Fool’s joke,” said CalTrain CEO Mike Scanlon.  “This is real.  We’re at a watershed moment where there’s a possibility this railroad could go away.”  Mr. Scanlon said that, additional to the funding shortfall, decreases in ridership brought about by job losses have also contributed to the railroad’s financial crisis. (ffd: San Francisco Chronicle, San Mateo County Times)

 (THU) The American Public Transportation Association released a report, “Impacts of the Recession on Public Transportation Agencies.”  The report stated that public transportation systems are facing unprecedented funding challenges due to widespread declines in state and local revenues.  The report said that 84 percent of public transportation systems have had to raise fares and/or cut service, and that 54 percent have transferred funds from capital use to operating use, which it said has “aggravated efforts to keep systems in a state of good repair.” (ffd: APTA, RT&S)

 (THU) Metro North announced that it had fully activated its new Train Time system.  The system provides access to train schedules and on-time status, and individuals can use their smart phones or personal computers to determine whether a train is on time, late, canceled or delayed, including the number of minutes it is late. (ffd: RT&S)

 (FRI) The city of Ames, IA noted the good efforts of Union Pacific locomotive engineer David Lahner.  Mr. Lahner, a 37-year UP employee, spends his own time picking up litter and debris on the UP’s right-of-way through Ames, and has railroad permission and protection to do so on the track.  Mr. Lahner’s has so far cleaned four miles of track and hopes to initiate similar efforts elsewhere on the UP system.  “You’ve heard of Adopt-A-Highway?  Well, I’m trying to get this called Adopt-A-Track, “said Mr. Lahner. (ffd: Ames Tribune)

STATS – CLASS 1 RAIL TRAFFIC:

 (THU) For the week ending March 27, 2010, U.S. rail volume grand totaled 31.7 billion ton-miles, up 17.4 percent from the comparable week last year.  Indicative of possible economic recovery, U.S. carload rail traffic totaled 293,114 units, up 16.5 percent and the highest weekly carload count since November, 2008.  Eighteen of nineteen carload commodity groups increased, led by metals and metal products up 63.0 percent, waste and scrap materials up 37.4 percent, and motor vehicles and equipment up 28.5 percent; the sole carload category decrease was pulp and paper products down 11.0  percent.  Also for the week, U.S. intermodal rail traffic was up 12.0 percent, Canadian carload rail traffic was up 24.3 percent, Canadian intermodal rail traffic was up 10.3 percent, Mexican carload rail traffic was up 26.7 percent, and Mexican intermodal rail traffic was up 34.3 percent.

 For the period January 1 through March 27, 2010, U.S. rail volume grand totaled 358.8 billion ton-miles, up 2.5 percent from the comparable period last year.  Also for this period, U.S. carload rail traffic was up 1.5 percent, U.S. intermodal rail traffic was up 8.6 percent, Canadian carload rail traffic was up 15.9 percent, Canadian intermodal rail traffic was up 7.5 percent, Mexican carload rail traffic was up 21.3 percent, and Mexican intermodal rail traffic was up 40.6 percent. (ffd: AAR)

MORE STATS – NORTH AMERICAN TRADE:

 (MON) The U.S. Department of Transportation’s Bureau of Transportation Statistics reported that surface trade with Canada and Mexico decreased more in 2009 than in any other year of the 15-year history of the North American Free Trade Agreement (NAFTA).  The bureau reported that trade between the U.S. and its NAFTA partners utilizing surface transportation fell 23.3 percent in 2009 compared with 2008.  Trade with Canada totaled $386 billion in 2009, a decrease of 28.1 percent, and trade with Mexico totaled $251 billion in 2009, a decrease of 14.4 percent. (ffd: USBTS)

EXPANSIONS, CONTRACTIONS AND ALIKE:

 (TUE) The Indiana Harbor Belt filed to discontinue its trackage rights over approximately two miles of the Canadian National’s Elgin, Joliet & Eastern line in and near Hammond, IN. (ffd: STB)

 (WED) Canadian National sold a portion of its line west of Toronto Union Station to Metrolinx, the public agency that operates GO Transit commuter rail service that serves the Greater Toronto area.  The transaction gives Metrolinx ownership of a GO Transit corridor linking Toronto Union Station with GO Transit’s Willowbrook maintenance facility.  CN will continue to provide freight rail service over the line. (ff: CN RR)

 (THU) BNSF filed to discontinue its trackage rights over approximately two miles of line owned by the Alameda Beltline Railroad in Alameda County, CA. (ffd: STB)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 (MON) Kansas City Southern appointed Warren Erdman its EVP-Administration & Corporate Affairs.  Mr. Erdman, who has been with KCS since 1997, was most recently its EVP-Corporate Affairs. (ffd KCS RR)

 (TUE) Reading & Northern appointed John Hamm its VP-Business Development.  Mr. Hamm, who is no relation to the actor who portrays Don Draper on the television series “Mad Men,” is recently retired from Proctor & Gamble. (ffd: R&N RR)

 (TUE) The U.S. Department of Transportation appointed ten new individuals to its Advisory Council on Transportation Statistics (ACTS).  “The new ACTS members will assist the department in coordinating data and statistics with our work on transportation systems for the future,” said Secretary of Transportation Ray LaHood on the occasion of announcing the appointments.  Included in the appointments is John Gray, a vice-president with the Association of American Railroads. (ffd: Progressive Railroading, USDOT)

 (WED) Las Vegas Railway Express, which is assisting in the planning and advocacy for resumed passenger rail service between Los Angeles, CA and Las Vegas, NV, appointed John Marino its VP-Rail Operations.  Mr. Marino will continue to serve as president of shortline holding company Patriot Rail. (ffd: wire services)

 (WED) Shortline holding company OmniTRAX appointed Michael Peters its SVP & Chief Commercial Officer.  Mr. Peters was most recently with the consulting firm Peakview Strategy Group LLC. (ffd: Progressive Railroading)

 (FRI) John Fenton was appointed the chief executive officer of Metrolink.  Mr. Fenton was earlier the president and CEO of OmniTRAX, and also earlier worked for the Canadian National, Kansas City Southern, Santa Fe, and Union Pacific Railroads. (ffd: The Daily Breeze)

ADDENDA:

 Further last week’s mention of the Long Island Rail Road as the oldest railroad in the U.S. still operating under its original name and charter (established April 24, 1834), Reader Ed Mayover notes, from the Strasburg Rail Road’s website, that, “[on June 9, 1832], the Strasburg Rail Road was incorporated by a special act of the Pennsylvania Legislature.”

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WRR – 03-26-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

FOR THE WEEK ENDING FRIDAY, MARCH 26, 2010                      

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 (SAT) Union Pacific suffered an on-duty employee fatality.  A 56-year-old UP employee was killed when the vehicle in which he was riding was struck by a Metrolink commuter train on a highway-rail grade crossing in Industry, CA.  The name and length of railroad service of the deceased was being withheld pending notification.  As he was operating a UP company vehicle, it is believed that he was involved with maintenance-of-way. (ffd: San Gabriel Valley Times, Los Angeles Times)

 (SUN) The Philadelphia Inquirer ran a front page story on the success of Pennsylvania short line railroads hauling sand used in the drilling of the state’s Marcellus Shale natural gas fields.  The story included an interview with Tom Myles, who with his sons owns and operates the Wellsboro & Corning Railroad, which has seen its sand traffic nearly triple in the last year.  Also participating in the sand-for-hydraulic-fracturing boom is the Reading & Northern Railroad, which was recently named the winner of an American Short Line & Regional Railroad Association marketing award for its commercial innovations. (ffd: Philadelphia Inquirer)

 (MON) Austin, TX’s CapMetro began commuter rail service.  The line operates trains several times daily between Leander, TX and downtown Austin, a distance of 32 miles.  Fares were to be free during startup week, but will be charged starting March 29. (ffd: Austin American-Statesman, NARP)

 (MON) Amtrak announced that it was creating a High-Speed Rail Department, to be led by an as-yet-unnamed vice president reporting directly to Amtrak President Joe Boardman.  Mr. Board said that the new department “will pursue partnerships with states and others in the passenger rail industry to develop federally-designated high-speed rail corridors, such as the new projects moving forward in California and Florida.” (ffd: Amtrak)

 (MON) The Federal Railroad Administration announced the startup of a new train simulator housed in the U.S. Department of Transportation’s Volpe Center in Cambridge, MA.  FRA said that the new $1.6 million full-sized locomotive simulator will “accurately record crew behavior through the use of video, audio and eye-tracking capabilities at the control and button-pushing level.”  It added, “The simulator will be used to evaluate the safety and reliability of new locomotive technology systems, controls and displays prior to their wholesale adoption by the railroad industry.” (ffd: FRA, USDOT)

 (MON) The U.S. Senate passed an aviation bill that called for the Government Accountability Office to study how air and rail travel can be better coordinated.  Speaking about the Federal Aviation Administration Air Transportation Modernization & Safety Improvement Act, U.S. Sen. Dick Durbin (D-IL), who authored the study amendment, noted that, “Today, code sharing is very common among airlines looking to sell travel to cities that it may not otherwise serve…Expanding this service to include passenger rail providers would increase the options available to take travelers to their destinations.”  The Senate bill must now be reconciled with a separate House bill before going to President Obama’s desk for signature. (ffd: Trains)

 (TUE) The New York Times reported that New York State had “all but concluded” its 18-month investigation of the fact that nearly all Long Island Rail Railroad retirees applied for and got disability payments soon after retirement, at a collective cost of hundreds of millions of dollars.  The newspaper noted that, despite subpoenas of doctors, insurance companies, railroad executives and every worker who retired in 2009, the state attorney general’s office brought forward just one criminal case, and that was dropped last month.  Also involved in the investigation was the U.S. Government Accountability Office, which reported that, as of last April, LIRR retirees applied for disability at a rate 12 times of other railroads; that only three doctors handled most of the claims; and that 64 of 66 claims were approved. (ffd: New York Times)

 (TUE) In testimony before the House Appropriations Committee, Amtrak President Joe Boardman asked for $446 million additional to the $2.1 billion Amtrak has already requested for Fiscal Year 2011, so that the railroad may begin adding to and replacing its locomotive and car fleet.  Mr. Boardman said that Amtrak is looking to acquire 334 new locomotives and 1,200 new cars over the next several years.  In his testimony, Mr. Boardman noted that, “Between 2002 and 2008, Amtrak increased its ridership 32 percent without buying a single piece of new rolling stock…That’s a remarkable accomplishment, but one that cannot be sustained indefinitely.” (ffd: Amtrak, Jacksonville Examiner, wire services)

 (TUE) Massachusetts held the first of a series of public hearings about the state’s new Freight and Rail Plan.  The plan calls for increased freight shipments to and from the state by rail and water to decrease truck traffic, which it said was a major contributor to increased pollution and highway congestion.  Among the plan’s recommendations is the improvement of clearances to better accommodate double-stack intermodal trains. (ffd: Massachusetts Republican [newspaper])

 (THU) The Dakota, Missouri Valley & Western suffered an on-duty fatality.  Jeff Heitzman, Age 46, was killed when the locomotive in which he was riding derailed.  The accident occurred about two-and-one-half miles south of Washburn, ND, on the bank of Turtle Creek. (ffd: Bismarck Tribune)

 (THU) The United Transportation Union reported that Sheet Metal Workers International Association President Mike Sullivan had sent a letter to railroads and UTU officials declaring the SMWIA to be in control of the UTU and that all UTU member dues must be remitted to SMWIA.  The SMWIA had earlier arranged a merger with the UTU, which the UTU later disputed and ultimately abandoned.  Replicating the reply of the U.S. Army commander to German demands for surrender during World War II’s Battle of the Bulge, UTU President Mike Futhey said that he had replied “Nuts!” to Mr. Sullivan’s “demands that [he] surrender the keys to the UTU and its treasury.” (ffd: UTU)

 (THU) In an interview in USA Today, Warren Buffet commented about his and Berkshire Hathaway’s recent purchase of BNSF Railway.  Related his optimism for the future of railroads, Mr. Buffett commented, “They don’t need the government to build them new highways and airports…They’ve already invested heavily in their infrastructure and technology, and they plan to invest more to keep up with the growing demand.”  He added, “They’re the only mode of freight transportation that can handle growth.  What’s not to like about that?” (ffd: USA Today)

 (THU) The oversight board of Caltrain, which operates commuter rail service south from San Francisco to San Jose and Gilroy, CA, approved electrification of the line.  The work, which is planned to be completed over the next five years, is expected to cost $1.23 billion and will allow Caltrain to expand to 114 trains from the 90 presently operated each weekday.  A Caltrain spokesman said that the approval will allow Caltrain to draw from two high-speed rail funding sources: the $9.95 billion California Proposition 1A bond and $2.25 billion in federal stimulus grants. (ffd: San Mateo County Times)

 (FRI) A Norfolk Southern coal train derailed 38 cars east on the NS main line east of Elkhart, IN.  The accident caused the detouring of some freight and passenger trains and also the temporary cancellation of Amtrak’s “Capitol Limited” train.  The cause of the derailment is under investigation. (ffd: WGN News, wire services)

STATS – CLASS 1 RAIL TRAFFIC:

 (THU) For the week ending March 20, 2010, U.S. rail volume grand totaled 31.3 billion ton-miles, up 5.4 percent from the comparable week last year.  U.S. carload rail traffic was 4.3 percent, up 2.1 percent in the East and up 5.9 percent in the West.  Notable traffic increases included metals and metal products up 69.2 percent and waste and scrap materials up 33.1 percent; notable traffic decreases included coal down 6.4 percent and pulp and paper products down 6.1 percent.  Also for the week, U.S. intermodal rail traffic was up 9.5 percent, Canadian carload rail traffic was up 21.1 percent, Canadian intermodal rail traffic was up 12.8 percent, Mexican carload rail traffic was up 18.4 percent, and Mexican intermodal rail traffic was up 45.3 percent.

 For the period January 1 through March 20, 2010, U.S. rail volume grand totaled 327.1 billion ton-miles, up 1.2 percent from the comparable period last year.  Also for this period, U.S. carload rail traffic was up 0.3 percent, U.S. intermodal rail traffic was up 8.3 percent, Canadian carload rail traffic was up 15.2 percent, Canadian intermodal rail traffic was up 7.3 percent, Mexican carload rail traffic was up 20.8 percent, and Mexican intermodal rail traffic was up 41.2 percent. (ffd: AAR)

MORE STATS – PUBLIC TRANSPORTATION RIDERSHIP:

 (MON) The American Public Transportation Association (APTA) said that trips on U.S. public transportation systems declined 3.8 percent in 2009 compared with 2008, which it said was the result of several factors, including the severe economic recession, lower gas prices, and service cutbacks resulting from lower state and local funding.  However with all trips totaling 10.2 billion, it noted that this was still the fourth year in a row that all trips totaled over 10 billion annually.  Again comparing 2009 with 2008, light rail ridership was down one-half of one percent, heavy rail (subway and elevated train) ridership was down 2.6 percent, and commuter rail ridership was down 5.0 percent. (ffd: APTA)

EXPANSIONS, CONTRACTIONS AND ALIKE:

 (MON) Trains Magazine reported that Montana will lease the Otter Creek coal tracts to Arch Coal, which it said will clear the way for construction of the 106-mile Tongue River Railroad over the next several years.  The Surface Transportation Board gave approval in 2007 for construction of the railroad, the cost of which is expected total approximately $550 million.  BNSF will operate its trains over the line. (ffd:Trains)

 (TUE) The Missouri & Valley Park Railroad filed to discontinue service over approximately four miles of line, owned by BNSF, in and near West Valley Park, MO. (ffd: STB)

 (FRI) The Surface Transportation Board granted Indiana Railroad’s earlier request to abandon approximately 23 miles of line comprised of its route between Crane, IN and Bedford, IN and also the Bedford Industrial Track. (ffd: STB)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 (MON) Richard Davey was nominated by Massachusetts Governor Deval Patrick to head the Massachusetts Bay Transportation Authority, which operates bus, subway and commuter rail services serving the Greater Boston area.  Mr. Davey, Age 36, has been the general manager of the MBTA’s Massachusetts Bay Commuter Railroad. (ffd: Boston Globe)

 (THU) The Alaska Railroad appointed its chief financial officer, Bill O’Leary, its acting president.  Mr. O’Leary is serving in the position as a result of the recent resignation of Pat Gamble, who now heads Alaska’s state university system. (ffd: Anchorage Daily News)

 (THU) Amtrak appointed Patrick Merrill its AVP-Policy & Development-West.  Mr. Merrill was most recently with the California Department of Transportation’s intercity passenger rail program. (ffd: Amtrak, Progressive Railroading)

 ///

WRR – 03-19-2010

Weekly Rail Review No Comments

WEEKLY RAIL REVIEW

WEEK ENDING FRIDAY, MARCH 19, 2010

(In case it is helpful to anyone who may not have received the previous edition due to it possibly having been caught in or deleted by a spam filter, please know that it was sent March 15, reporting about the week ending March 12.)

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

(MON) The U.S. Department of Transportation announced that, after consulting with the U.S. Department of Homeland Security, it was narrowing the list of hazardous materials subject to security plan requirements.  The USDOT Transportation Security Plan Requirement mandates that shippers and carriers of “placarded amounts” of hazardous materials develop plans and procedures to address personnel security, unauthorized access and security en route. (ffd: Progressive Railroading)

(TUE) The Union Railroad suffered an on-duty employee fatality.  Andrew Monheim, Age 54 with 35 years’ railroad service, was killed when the train he was operating collided in the early morning hours with another near U.S. Steel’s Edgar Thomson Works in Braddock, PA.  The Union Railroad is one of the Transtar family of railroads. (ffd: Pittsburgh Business Times)

(TUE) Canada’s Transportation Safety Board identified grade crossing safety as one of nine areas that it said posed the greatest risk to Canadians.  The board said that improved signage at crossings is needed as a first step and that Transport Canada, which oversees Canadian transportation matters, needed to do a thorough assessment of high-risk crossings. (ffd: Canadian Broadcasting Corp.)

(TUE) Wal-Mart’s Canadian division named Canadian National “Innovator of the Year” in recognition of the railroad’s efforts in developing solution chain solutions for the company.  Wal-Mart especially recognized CN’s use of new EcoTherm technology, which is designed to protect goods from freezing by employing a temperature-controlled, insulated 40-foot container that does not require a heating unit in transit. (ffd: Progressive Railroading)

(THU) Officials overseeing the conversion of Manhattan’s Farley Post Office Building into Moynihan Rail Station announced that they had engaged the architecture firm of Skidmore, Owings & Merrill to start design work on the first phase of the project, which is now funded.  Phase 1 includes extending Pennsylvania Station’s west-end concourse to allow access to additional tracks, making related track and signal changes, and improving platform ventilation.  The project will also add two entrances flanking Farley’s grand stairs on the west side of Eighth Avenue, and add new escalators and elevators. (ffd: New York Times)

(THU) The new head of New Jersey Transit called for work rule changes to better its financial and operational situation.  New NJT chief head Jim Simpson said that “archaic work rules,” such as a requirement that NJT keep a worker at a station even if ticket sales are automated, deny managers the flexibility to deploy employees where needed.  “We need reform on work rules and pension benefits…If today we need you to be a conductor on a train, that’s fine.  If we need you to be a station attendant, that’s fine.”  NJT has recently proposed fare increases of up to 25 percent, service cuts and other measures to address a projected $300 million deficit. (ffd: Bergen Record)

(FRI) The Chlorine Institute asked the Federal Railroad Administration to re-issue its final Positive Train Control (PTC) rule with a “corrected” cost-benefit analysis.  “This faulty analysis could foster a situation that would allow railroads to impose on shippers of chlorine and other toxic inhalation hazard (TIH) chemicals an unfairly large share of the costs of applying PTC technology,” CI said in a petition to FRA.  However, a spokesperson for the Association of American Railroads said in rebuttal that, “The Chlorine Institute is attacking the FRA’s cost-benefit analysis of PTC as a smoke screen to hide the fact that their shipments will raise the cost of rail transportation for all customers….Instead of bashing the FRA analysis, the Chlorine Institute should join the AAR in improving the safety and efficiency of rail transportation.” (ffd: AAR, Progressive Railroading, Railway Age)

(FRI) Following well-attended public hearings, the New York Metropolitan Transportation Authority modified slightly some planned service cuts.  “While our budget deficit forces us to move ahead with most of the cuts, we were able to take a number of the most painful cuts off the table based on what we heard from our customers, said NYMTA Chair Jay Walder.  The authority is undertaking selected bus, subway and commuter rail service reductions to help address a projected $400 million deficit. (ffd: New York Times, Railway Age)

(FRI) The Eugene, Oregon Police Department has ruled the February 6 death by gunshot of Ronald Langlois, a locomotive engineer for the Portland & Western Railroad, to be a suicide.  Mr. Langlois had been on-duty when he was found shot to death near the locomotive he had been operating that night.  Police said that forensics, interviews with family and co-workers, and Mr. Langlois’s actions proceeding his death were consistent with someone who commits suicide. (ffd: Register-Guard)

(FRI) Amtrak announced that it was now on Twitter as @Amtrak.  It said that passengers will be able to use Twitter to learn the latest about service enhancements, promotions, special offers, and events.  Amtrak also said that it hopes to be able to respond to passenger comments and service-related inquiries via Twitter, additional to asking questions and soliciting feedback. (ffd: Amtrak)

STATS – CLASS 1 RAIL TRAFFIC:

(THU) For the week ending March 13, 2010, U.S. rail volume grand totaled 31.3 billion ton-miles, up 4.3 percent from the comparable week last year.  U.S. carload rail traffic was up 3.2 percent, up 2.9 percent in the East and up 3.4 percent in the West.  Notable traffic increases include metals and metal products up 54.3 percent, waste and scrap materials up 31.8 percent, and grain up 21.9 percent; notable traffic decreases included pulp and paper products down 9.4 percent and coal down 5.1 percent.  Also for the week, U.S. intermodal rail traffic was up 15.1 percent, Canadian carload rail traffic was up 24.5 percent, Canadian intermodal rail traffic was up 10.9 percent, Mexican intermodal rail traffic was up 10.4 percent, and Mexican intermodal rail traffic was up 63.3 percent.

For the period January 1 through March 13, 2010, U.S. rail volume grand totaled 295.8 billion ton-miles, up 0.8 percent from the comparable period last year.  Also for this period, U.S. carload rail traffic was down 0.2 percent, U.S. intermodal rail traffic was up 8.1 percent, Canadian carload rail traffic was up 14.6 percent, Canadian intermodal rail traffic was up 6.8 percent, Mexican carload rail traffic was up 3.2 percent, and Mexican intermodal rail traffic was up 8.6 percent. (ffd: AAR)

MORE STATS – SAFETY:

(MON) The U.S. Federal Railroad Administration released preliminary safety statistics for the Full Year 2009.  For all railroads, reportable train accidents totaled 1,841 compared with 2,461 the previous year, a decline of 25.1 percent.  Of these, 34.98 percent were due to track defects; 34.06 percent were due to human factors; 13.96 percent were due to equipment defects; 2.77 percent were due to signal defects; and 14.23 percent were due to miscellaneous causes.

Also, on-duty fatalities totaled 16 compared with 25 the previous year, a decline of 36 percent, and on-duty injurious conditions (non-fatal) totaled 4,259 compared with 4,934 the previous year, a decline of 13.7 percent.  Highway-rail grade crossing fatalities totaled 248 compared with 289 the previous year, a decline of 14.2 percent, and trespasser fatalities totaled 434 compared with 458 the previous year, a decline of 5.2 percent. (ffd: FRA)

EXPANSIONS, CONTRACTIONS, AND ALIKE:

(MON) Rail product and service provider Wabtec announced that it had acquired Xorail LLC for $40 million.  Xorail, which designs and builds railroad signals, is based in Jacksonville, Florida and has at present approximately 275 employees. (ffd: Pittsburgh Post Gazette, wire services)

(TUE) Norfolk Southern filed to discontinue service over, but not yet abandon, approximately six miles of line in Hamilton County, OH, which includes the stations of Hyde Park, OH and Mariemont, OH. (ffd: STB)

(FRI) Denver, CO’s Regional Transportation District filed to acquire, for future commuter rail and/or transit, approximately 10 miles of BNSF’s Golden Subdivision between Utah Jct., CO and Golden, CO. (ffd: STB)

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

(TUE) Attendant with his recent appointment as head of the Alaska state university system, Pat Gamble resigned as president of the Alaska Railroad.  A successor was not immediately named. (ffd: Fairbanks Daily News)

(WED) Albert Suozzo passed away suddenly at Age 66.  Mr. Suozzo was the general chairperson of United Transportation Union Local 769, which represented UTU members on Amtrak; former Penn Central, Conrail and Pittsburgh & Lake Erie lines; Connex; Herzog; and the Massachusetts Bay Commuter Railroad. (ffd: UTU)

(THU) The Federal Railroad Administration appointed Robert Lauby its Deputy Associate Administrator for regulatory and legislative operations.  Mr. Lauby succeeds Grady Cothen, who is retiring.  Dr. Magdy El-Sibaie was earlier announced as Mr. Cothen’s successor, but he instead took a position with the U.S. Department of Transportation’s Pipeline & Hazardous Material Safety Administration (PHMSA). (ffd: FRA, USDOT)

ADDENDA:

In the edition for the week ending March 5, I reported that Union Pacific was “the longest-standing corporate name in U.S. history.”  However, Reader John Brandon reminds that the Long Island Rail Road, earlier private but now publicly operated, claims to be the oldest railroad in the U.S. still operating under its original name and charter, which was established April 24, 1834.

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