Information of interest to operating railroad and transportation employees

For

Conrail’s largest coal shipper voices fears about takeover

PITTSBURGH – Consol, Inc., has asked the Surface Transportation Board (STB) for permission to get involved in the Conrail acquisition.

The largest coal shipper on the Conrail system has asked the agency to order CSX and Norfolk Southern to reach an operating agreement insuring future competition if the parties can’t do so themselves by May 15.

The Conrail purchase plan calls for NS to become the future owner of Conrail lines in southwestern Pennsylvania.

Consol told STB members that in the absence of an operating agreement completed before the sale, NS could effectively control coal shipments from the region after the Conrail breakup and leave CSX at a disadvantage. Last year Consol gave Conrail 24 million tons of coal to ship by rail, representing 70% of rail ships from the regions and about one-third of total Conrail originated coal tonnage.

The STB has not yet ruled on Consol’s request.

STB proposes steps to re-examine railroad issues

WASHINGTON -- The Surface Transportation Board (STB) proposed on Friday four administrative steps aimed at re-examining several major railroad regulatory issues.

The STB urged carriers and shippers to work out their differences, and none of the four steps will immediately change rail regulatory policy.

Those steps include carrier profitability calculations, competitive access for shippers, standards for determining market dominance and the commercial relationships between large and small carriers.

This decision was the STB’s response to two days of hearings held earlier this month at which more than 60 witnesses appeared.

BNSF, Union Pacific sell Camas Prairie Railroad

LEWISTON, Idaho – Camas Prairie Railroad has been sold to Camas Prairie RailNet, Inc., a wholly owned subsidiary of North American RailNet Inc., by the Union Pacific and Burlington Northern Santa Fe Railroads.

The sale price was not disclosed.

The sale includes all assets of the Camas Prairie Railroad, including 272 miles of trackage. The railroad was formed just after the turn of the century by the predecessor companies of BNSF and UP. RailNet owns and operates about 500 miles of track in Colorado, Nebraska, Kansas and Illinois.