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STB ready to take action on rail freight woes

WASHINGTON – The Surface Transportation Board (STB) is preparing to take rapid action to try to solve serious rail freight problems, according to an interview in the Washington Post.

STB Chairwoman Linda Morgan said that railroad management isn’t keeping up with customers’ needs and had essentially "blindsided" Congress by not alerting them that the industry was experiencing serious traffic problems.

Issues under review by the STB include procedures for customers to challenge railroad rates, possible requirements for railroads to share their lines with competitors in busy terminals and railroad performance standards.

BNSF votes to double its common shares; elects directors

FORT WORTH – Burlington Northern Santa Fe shareholders voted to double the number of authorized shares of common stock from 300 million to 600 million. The company has no definitive plans at this time for the use of the additional shares, but they will be used in the future if needed.

Shareholders also elected 15 directors including Robert D. Krebs, chairman, president and CEO.

BNSF directors voted to pay a regular dividend of 30 cents per share on outstanding common stock.

Illinois Central reports record 1^st quarter income

CHICAGO – Illinois Central Railroad reported record first quarter operating income of $68 million, which was the second best quarter in the carrier’s history.

IC is being acquired by Canadian National Railroad.

First quarter revenue increased 6 percent to $181.6 million, but total freight carloads were down 2 percent to 251,775. First quarter operating expenses were up 6 percent to $113.6 million.

HB&T transfer completed

HOUSTON – The Houston Belt & Terminal Railroad has completed the transfer of its maintenance, switching operations and management to UP and BNSF.

The transfer has involved some 400 HB&T employees either to UP or BNSF. The HB&T remains in existence as the owner of several Houston properties.

Carloads up in 1^st Quarter

WASHINGTON – U.S. freight railroads finished the first quarter with 4.5 million carloads, up 2.1 percent from last year, according to the Association of American Railroads.