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UTU member killed in Indiana train collision

BUTLER, Ind. -- UTU member Howard Rose of Local 206, Peru, Ind., was killed early yesterday when two freight trains collided in northwest Indiana, and two other rail workers sustained injuries.

Brother Rose, a 59-year-old conductor, had worked for Norfolk Southern (NS) for nearly 35 years. The two injured crew members also worked for NS.

Injured in the accident were UTU member Anthony G. Louros, of Local 1202, Fort Wayne, Ind., who was working as a student engineer at the time, and engineer Jim Gilbert. A nursing supervisor at DeKalb Memorial Hospital in Aurora, Ind., indicated the injured were treated and released.

According to reports, a Norfolk Southern (NS) and Conrail freight train collided about 4:35 a.m. on March 25 at a "diamond" where north-south and east-west trains cross on Butler's east side, about 20 miles northeast of Fort Wayne, Ind.

A Conrail spokesman said the Conrail train was headed from Chicago, Ill., to Columbus, Ohio. The southbound NS freight train was coming from Detroit, Mich., and headed to Kansas City, Mo.

The engine of the NS train apparently hit the fifth car in the Conrail train at an intersection controlled by a Conrail-operated signal. Three Conrail cars were derailed, both of the NS train's locomotives were knocked from the tracks, with one falling on its side, and five of the NS train's 88 Roadrailer cars derailed.

None of the derailed cars carried hazardous materials, but crews were cleaning up about 8,000 gallons of diesel fuel that spilled from one of the locomotives. A white powdery substance spilled at the scene was identified as whey, a dairy product, according to Conrail.

Speed limit on both tracks is 50 mph, but neither railroad said it knew how fast their trains were moving.

The National Transportation Safety Board and the Federal Railroad Administration are investigating.

Amtrak financial health continues to deteriorate

WASHINGTON – The General Accounting Office (GAO) said that Amtrak’s financial condition continues to worsen and that recently enacted reforms won’t solve the passenger rail system’s financial problems.

Amtrak projected this month that its net financial loss for fiscal year 1998 could be about $845 million, about $56 million more than planned. That’s a reversal of Amtrak’s success in recent years in reducing net losses.

"Amtrak continues to be in a very precarious position and will remain so for the immediate future," said the GAO.

The GAO said plans to increase revenue through expanding mail service, delivering higher-value goods and starting high-speed rail service between New York City and Boston will likely be unsuccessful in the short term.

Railroad association names interim president

WASHINGTON -- James Hagen, retired chairman of Conrail, Inc., has been selected interim president of the Association of American Railroads. He succeeds M.B. Oglesby Jr. who resigned abruptly last week.

Hagen will serve until a permanent successor is found.

CSXT increases train speeds in Alabama, Georgia

JACKSONVILLE – CSX announced it would increase the speed of its trains operating through various areas of Alabama and Georgia effective March 30. Seventy-seven at-grade crossings are in the affected area.

The maximum increase is 15mph – from 25 to 40 mph – which CSX said would allow it to improve its operating efficiency as well as minimize delays to motorists.

Union Pacific still on S&P problem list

NEW YORK – Standard & Poor’s assigned a triple-B-minus rating to Union Pacific Capital Trusts proposed $1 billion Term Income Deferrable Equity Securities and placed the issue on CreditWatch with negative implications.

The corporate credit, senior secured, and senior unsecured debt, and equipment trust certificates ratings on UP and its subsidiary railroads remain on CreditWatch with negative implications, where they were placed on Feb. 26.

In addition, S&P affirmed its "A-3" commercial paper and short-term corporate credit ratings on Union Pacific Corp. The ratings are not on CreditWatch.