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Nov
10

Denver-RTD CEO Johnson takes helm

Rail News Home Railroading People 11/10/2020 Rail News: Railroading People
Debra JohnsonPhoto – RTD-Denver

The Regional Transportation District of Denver (RTD) yesterday welcomed Debra Johnson as the agency's new chief executive and general manager. 

Johnson – the first woman to assume the role in the agency's 51-year history – takes the reins during a transitional year at RTD, with service changes and budget challenges brought about by the pandemic. She succeeds Paul Ballard, who led RTD on an interim basis since February. 

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Nov
10

NRF: Ports log record peak season imports

Rail News Home Intermodal 11/10/2020 Rail News: Intermodal
U.S. ports covered by Global Port Tracker handled an estimated 8.1 million TEUs from July through OctoberPhoto – Port of Oakland

Major U.S. retail container ports logged record imports this summer and fall, recording their busiest peak season as retailers replenish inventories and stock up for the holiday season, according to a Global Port Tracker report released yesterday by the National Retail Federation (NRF) and Hackett Associates.

U.S. ports covered by Global Port Tracker handled an estimated 8.1 million 20-foot equivalent units (TEUs) from July through October, the peak shipping season.

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Nov
10

Rail Pulse reps to discuss new venture at RailTrends

Rail News Home Rail Industry Trends 11/10/2020 Rail News: Rail Industry Trends
Representatives of the new Rail Pulse venture will talk about the new program at the RailTrends® 2020 conference, which will be held virtually Nov. 19-20.The presentation will be made Nov. 19 and feature speakers Robert DeGroot, vice president of railroad leasing and sales for Trinity Industries Inc.; Michael McClellan, VP of strategic planning at Norfolk Southern Corp.; and Paul Titterton, senior VP and chief operating officer at GATX Corp.NS, Trinity, GATX, Genesee & Wyoming Inc. and Watco Cos. LLC last month announced the formation of Rail Pulse to create a technology platform that will help transform rail shipping. The new venture aims to facilitate and accelerate the adoption of GPS and other telematics technology across the North American rail-car fleet.
Now in it's 16th year, RailTrends — presented by Progressive Railroading and Tony Hatch, senior transportation analyst at ABH Consulting — features the perspectives of senior executives from Class Is, regionals and short lines during two days of sessions.This year's event is being held virtually instead of in New York City due to the COVID-19 pandemic. Conference attendees will hear about key trends from three Class I chief executive officers and other high-ranking industry representatives.For more information about RailTrends 2020, click here to view the website. To register, click here.

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Nov
10

KCS updates capital allocation policy

Rail News Home Kansas City Southern 11/10/2020 Rail News: Kansas City Southern
Kansas City Southern announced today that its board approved updates to its capital allocation policy.The new policy intends to continue deploying cash so that 40% to 50% will go to capital projects and strategic investments and 50% to 60% to share repurchases and dividends, KCS officials said in a press release.Also, from time to time, KCS plans to use additional debt to support the revised policy and intends to increase its debt-to-EBITDA ratio.The board also approved an increase in the quarterly dividend on KCS common stock from 40 cents to 44 cents per share; and a new $3 billion share repurchase program, which will expire Dec. 31, 2023."Kansas City Southern's revenue growth, margin improvement and cash flow generation this year have been remarkable given the economic and operational challenges we have faced," said President and Chief Executive Officer Patrick Ottensmeyer. "Our plan to prudently increase the amount of capital returned to shareholders demonstrates management's and our board's confidence in our strong growth prospects, ability to continue delivering on our long-range plan and the long-term efficiencies and lower capital spend intensity created by our precision scheduled railroading implementation."The policy will continue to balance the company's objectives of delivering "meaning capital returns while investing in future growth opportunities and maintaining a desirable credit profile," Ottensmeyer added.

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Nov
10

Alabama port wins grant to expand storage at Watco terminal

Rail News Home Intermodal 11/10/2020 Rail News: Intermodal
The Alabama Department of Economic and Community Affairs awarded an Alabama Inland Port Infrastructure Program grant to the Decatur-Morgan County Port Authority in Alabama to partly fund construction of two warehouses. The 70,000-square-feet of new warehouse space will help the port better serve the agriculture and steel markets. The added space also will Decatur serve as a transportation mode for the automotive sector in Alabama and Tennessee, Watco Co. LLC officials said in a press release.Watco will contribute funds for the warehouses, located at Watco’s Decatur Riverport terminal in the Mallard-Fox Creek Industrial Park.The project’s total investment value is $3.3 million and will include the hiring of additional Watco employees.
Norfolk Southern Railway serves the port. 

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Nov
10

NS concerned about CSX efforts to acquire Pan Am Railways

Rail News Home M&A 11/10/2020 Rail News: M&A
In a Nov. 6 letter to the STB, Norfolk Southern said it's concerned a CSX acquisition of Pan Am Railways would harm rail competition.Photo – panamrailways.com/Ted Krug

Norfolk Southern Railway is expressing concerns to the Surface Transportation Board (STB) about CSX's potential acquisition of Pan Am Railways Inc., the 1,700-mile New England regional.

Since 2009, NS has been a partner in a joint venture with Pan Am to control Pan Am Southern LLC (PAS), which provides NS access to New England via trackage rights.

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Nov
10

RailTrends 2020: A virtual cornucopia — by Tony Hatch

Tony Hatch is an independent transportation analyst and consultant, and program consultant for Progressive Railroading’s RailTrends® conference. Email him at This email address is being protected from spambots. You need JavaScript enabled to view it..

We won’t be gathering in New York City on Nov. 19-20, and we’ll miss the meals, coffee and cocktail chatter that is always such a big part of RailTrends. And what we’ll really miss is you, the audience, which I have always thought is the best in the industry. We knew we were doing something right when top leaders stayed after they themselves spoke to listen to others, or when they dropped in from other duties to hear and see what was going on. We’ll get that back in 2021. 

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Nov
10

BNSF posts lower Q3 revenue, issues sustainability report

Rail News Home BNSF Railway 11/10/2020 Rail News: BNSF Railway
BNSF Railway Co.'s third-quarter 2020 total revenue fell 14% to $5 billion and operating income dipped 8% to $2 billion compared with revenue and operating income during the same quarter in 2019.The Class I attributed the decreases primarily to an 8% drop in unit volume due primarily to the COVID-19 pandemic, BNSF officials reported yesterday in a press release."Volumes sequentially improved from earlier periods, but continued to be impacted in the third quarter," they said.Additionally, average revenue per car/unit declined 6% during the quarter.Other factors that affected BNSF's third-quarter bottom line included the following:
• Consumer products volumes rose 1%. Increased retail sales and inventory replenishment by retailers, along with higher e-commerce activity, offset earlier declines and resulting in higher domestic intermodal volumes.
• Industrial products volumes dropped 23%, due primarily to a decline in U.S. industrial production driven by the pandemic and reduced demand in the energy sector, which drove lower sand and petroleum products.
• Agricultural products volumes rose 4% in the quarter. Higher grain and meal exports were substantially offset by the pandemic's impact on volume, primarily ethanol and sweeteners, along with lower soybean exports.
• Coal volumes plummeted 25%.The Class I posted Q3 operating expenses of $3.2 million, down 18%, and net income of $1.3 billion, down 8%. The railroad logged an operating ratio of 59.7%, down from 62.6% in Q3 2019.BNSF officials attributed the decrease in expenses to lower volume-related costs, productivity improvements and the effects of cost control initiatives.Meanwhile, BNSF has issued its corporate sustainability report, which focuses on the Class I's accomplishments during the 2018 and 2019 calendar years. The report can be read here

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Nov
09

Metra adds bike storage on Milwaukee District North Line

Rail News Home Passenger Rail 11/9/2020 Rail News: Passenger Rail
Metra's Bike Car will enable storage of 16 bicycles instead of the usual five allowed on rail cars.Photo – Metra

Metra in Chicago last week deployed a new rail-car with additional bicycle storage on the Milwaukee District North Line as part of a pilot program that will last until spring 2021. 

The bike car will have room to store 16 bicycles instead of the usual five allowed on Metra rail cars. The car will operate on four inbound and four outbound trains during the week and two inbound and two outbound trains on Saturdays. 

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Nov
09

Montreal transit agency adopts APTA’s pandemic safety plan

Rail News Home Security 11/9/2020 Rail News: Security
About 200 other North American transit agencies have announced their participation in APTA's program.Photo – STM

The Societe de transport de Montreal (STM) last week adopted an American Public Transportation Association (APTA)  safety program aimed at encouraging riders to use public transit during the COVID-19 pandemic.

Under the program, STM committed to:

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Nov
09

NYSDOT completes construction of Buffalo Amtrak station

Rail News Home Amtrak 11/9/2020 Rail News: Amtrak
New York officials yesterday marked construction completion of the new Exchange Street Station at a ribbon cutting ceremony in Buffalo, New York.Photo – New York Governor's Press Office

New York Gov. Andrew Cuomo yesterday announced that major construction has been completed on Amtrak’s Exchange Street Station in downtown Buffalo. 

The station was designed to accommodate additional train routes and future expansion of intercity bus service, Cuomo said in a press release.

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Nov
09

Caltrain to close Atherton Station

Rail News Home Passenger Rail 11/9/2020 Rail News: Passenger Rail
The station closure will also allow Caltrain to reallocate service to nearby stations such as Menlo Park and Redwood City.Photo – Caltrain

Caltrain’s board last week voted to close its rail station in Atherton, California, due to low ridership and dated infrastructure.

Prior to the COVID-19 pandemic, the Atherton Station received limited weekend-only service and averaged 114 passengers per weekend day. Weekday service to the station was cut in 2005 due to low demand.

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Nov
09

STB OKs Pacific Sun's request to end operations, trackage rights on BNSF lines

Rail News Home Short Lines & Regionals 11/9/2020 Rail News: Short Lines & Regionals
Pacific Sun provided the service on the lines under an agreement with BNSF. That agreement expired Sept. 30.Photo – Watco Cos. LLC

The Surface Transportation Board (STB) last week approved Pacific Sun Railroad's request to discontinue its operations over 21.5 miles of rail line leased from BNSF Railway Co., as well as trackage rights on 45.49 miles of rail line on BNSF in San Diego County, California.

The STB's decision takes effect Dec. 5.

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Nov
09

Garneau revises order affecting winter train speeds

Rail News Home Safety 11/9/2020 Rail News: Safety
Canada Transport Minister Marc GarneauPhoto – Transport Canada

Canada's Transport Minister Marc Garneau last week ordered railroads to reduce their train speeds based on frigid temperatures to ensure the safe transportation of dangerous goods in colder weather.

The order, issued under the Rail Safety Act, is aimed at further reducing the risk of derailments during winter months, Transport Canada officials said in a press release. Restricting train speeds will be based on temperature conditions rather than on a winter date range, as required under a previous order.

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Nov
09

STB: Cleveland-Cliffs to acquire six short lines

Rail News Home M&A 11/9/2020 Rail News: M&A
Cleveland-Cliffs Inc. last week notified the Surface Transportation Board (STB) that the mining company intends to acquire control of six short lines owned by ArcelorMittal USA LLC.The short lines are Brandywine Valley Railroad Co., Steelton & Highspire Railroad Co., Lake Michigan & Indiana Railroad Co., Upper Merion & Plymouth Railroad Co., Cleveland Works Railway Inc. and South Chicago & Indiana Harbor Railway Co.The acquisition is part of Cleveland-Cliffs' recently announced agreement to purchase all of ArcelorMittal USA's assets for $1.4 billion. Once the sale is closed, Cleveland-Cliffs will become the largest flat-rolled steel producer in North America, with combined shipments of 17 million net tons in 2019, company officials said in a Sept. 28 press release. The company will also be the largest iron ore pellet producer in North America, with 28 million long tons of annual capacity.Currently, Cleveland-Cliffs owns one short line — the Lake Superior & Ishpeming Railroad — which operates in Michigan, according to the STB notice.

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Nov
09

Cleveland-Cliffs to acquire six short lines

Rail News Home M&A 11/9/2020 Rail News: M&A
Cleveland-Cliffs Inc. last week notified the Surface Transportation Board (STB) that the mining company intends to acquire control of six short lines owned by ArcelorMittal USA LLC.The short lines are Brandywine Valley Railroad Co., Steelton & Highspire Railroad Co., Lake Michigan & Indiana Railroad Co., Upper Merion & Plymouth Railroad Co., Cleveland Works Railway Inc. and South Chicago & Indiana Harbor Railway Co.The acquisition is part of Cleveland-Cliffs' recently announced agreement to purchase all of ArcelorMittal USA's assets for $1.4 billion. Once the sale is closed, Cleveland-Cliffs will become the largest flat-rolled steel producer in North America, with combined shipments of 17 million net tons in 2019, company officials said in a Sept. 28 press release. The company will also be the largest iron ore pellet producer in North America, with 28 million long tons of annual capacity.Currently, Cleveland-Cliffs owns one short line — the Lake Superior & Ishpeming Railroad — which operates in Michigan, according to the STB notice.

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Nov
09

Flynn: Amtrak looks forward to working with Biden, Congress

Amtrak is looking forward to working with President-elect Joe Biden and Congress to help get the nation's economy moving again during and after the pandemic, Amtrak President and Chief Executive Officer Bill Flynn said over the weekend.

Flynn also reiterated his request that Congress act now on pandemic relief and economic stimulus funding, which would enable Amtrak to recall furloughed employees, restore service frequency on long-distance and state-supported routes and advance capital projects on its network.

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Nov
06

Rail supplier news from Jaguar, CGI, Alstom and NRC (Nov. 6)

Rail News Home Railroading Supplier Spotlight 11/6/2020 Rail News: Railroading Supplier Spotlight
VIA Rail selected CGI Inc. to assist in implementing a passenger reservation system.Photo – VIA Rail Canada Inc.

Jaguar Transport Holdings acquired the Marion Industrial Center in Marion, Ohio, and will rename it the Marion Industrial Rail Park. The center features 8 miles of rail infrastructure, rail switching and rail-car maintenance services, transloading operations, third-party logistics services and 1.55 million square free of distribution facilities. The site also has over 511 industrial-zoned acres with 200 ready for further development, Jaguar Transport officials said in a press release.

VIA Rail Canada Inc. selected CGI Inc. to assist in implementing a passenger reservation system. The implementation will include the latest digital and cloud technologies to help the railroad create an integrated travel experience for riders, CGI officials said in a press release.

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Nov
06

In memoriam: Former BLET General Chair Pat Williams

Rail News Home Railroading People 11/6/2020 Rail News: Railroading People
Pat WilliamsPhoto – ble-t.org/

Pat Williams, former general chairman of the Brotherhood of Locomotive Engineers and Trainmen (BLET)'s BNSF General Committee of Adjustment, died Oct. 29 from complications related to a blood infection, union officials announced this week. He was 68.

Williams was a U.S. Navy veteran and served in Vietnam. He began his rail career in July 1969 as a conductor for the Atchison, Topeka & Santa Fe (AT&SF) Railroad, and was promoted to locomotive engineer in 1978, working primarily out of Belen, New Mexico. In 1977, Williams became a member of the BLET in Belen, and remained with the union for more than 40 years.

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Nov
06

DCTA honored for procurement excellence

Rail News Home Passenger Rail 11/6/2020 Rail News: Passenger Rail
The award is given annually to organizations that demonstrate innovation, professionalism, productivity and leadership in procurement functions.Photo – DCTA

The Denton County Transportation Authority (DCTA) yesterday was awarded the Achievement of Excellence in Procurement® (AEP)  from the National Procurement Institute Inc. (NPI) for the fifth consecutive year.

The AEP award is given annually to public and nonprofit organizations that demonstrate innovation, professionalism, productivity and leadership in procurement functions. Recipients are scored based on standardized criteria, DCTA officials said in a press release. 

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