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Hot News! Edited by Carl G. Perelman |
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CANADIAN PACIFIC POSTS SECOND QUARTER RESULTS: "This was a tough quarter with the unprecedented rise in fuel prices, the North American economic downturn, and prolonged flooding on our US mainline," said Fred Green, President and CEO. "Combined, these had a significant impact on CP's earnings." "We see the current economic conditions continuing, and CP is taking aggressive steps which should position us well for 2009," continued Mr. Green. "I have accelerated a rigorous process to improve our productivity, efficiency, and yield." Freight revenues increased almost two per cent despite a decrease in traffic. This was mainly due to pricing, inclusive of fuel recoveries. CP experienced strong growth in industrial and consumer products of 17 per cent, intermodal of nine per cent and coal of six per cent. This was offset by decreases in forest products of 21 per cent, grain of nine per cent, sulphur and fertilizers of five per cent, and automotive of two per cent. Operating expenses increased seven per cent with fuel up 34 per cent and purchased services and other, depreciation and amortization and materials up from two to nine per cent. This was offset by a decrease in equipment rents of 20 per cent and compensation and benefits of four per cent. .SUMMARY OF FIRST-HALF 2008 COMPARED WITH FIRST-HALF 2007 Net income for the first half of 2008 was $246 million compared with $385 million in 2007, a decrease of 36 per cent. Diluted earnings per share was $1.59 down from $2.46. Freight revenues increased two per cent to $2.3 billion and operating expenses were up seven per cent to $1.9 billion. EXCLUDING FOREIGN EXCHANGE GAINS AND LOSSES ON LONG-TERM DEBT AND OTHER SPECIFIED ITEMS
1930s PULLMAN CAR FOR SALE ON eBAY: This week, luxury train operator, Orient-Express, is auctioning an original 1930's Pullman Car on eBay. Currently stored in Orient-Express' Battersea depot, Car number 85 is a third class parlour car, which was built in 1932, and was once part of the famous Brighton Belle. The car has a unique history; it entered service in January 1933 where it spent the next forty years conveying city workers and holiday makers between London and Brighton. It was withdrawn from service in 1972 but it found a completely new lease of life as a restaurant attached to the 'Nag's Head' Public house in Mickleover in Derbyshire. Following this, it was then moved to the heritage Severn Valley Railway in Shropshire but was never put back to use on the rails. Venice Simplon-Orient-Express purchased it in 1998 and since then it has been stored undercover, awaiting restoration. Car 85 is in above-average condition for its age and type and this is "a rare opportunity for a truly dedicated collector of railwayana who would enjoy the restoration process," says Andrew Overton, General Manager Orient-Express UK Trains, he add's "this car is being auctioned off as it is now surplus to our (Orient-Express) requirements." Orient-Express have 8 carriages in their reserve fleet which are not refurbished. Car 85 is a third class car and Orient-Express only use first class cars. This rare opportunity allows an avid railway enthusiast to bring this car back to life. The item is currently on http://www.ebay.co.uk and is item number 270256929705, The auction ends on Monday 28th July at 13.23. (Orient Express Hotels Ltd - posted 7/23) NORFOLK SOUTHERN REPORTS RECORD FINANCIAL RESULTS: For the second quarter of 2008, Norfolk Southern Corporation reported record net income of $453 million, or $1.18 per diluted share, compared with $394 million, or $0.98 per diluted share, for the same period of 2007. Second-quarter railway operating revenues were a record $2.8 billion, up 16 percent compared with the second quarter of 2007. "Norfolk Southern delivered record financial results during the quarter, reporting continuing strength in our coal, agriculture, and metals markets," said Norfolk Southern CEO Wick Moorman. "Looking ahead, our franchise should continue to benefit from a broad and balanced customer base as well as from rail's inherent advantages over other transportation modes -- safety and reliability, fuel efficiency, and environmental sustainability." Although continued weakness in the automotive- and housing-related industries contributed to a 2 percent reduction in traffic volume compared with the same quarter last year, higher average revenue per unit more than offset the effect of reduced volumes. Compared to the second quarter of 2007, general merchandise revenues increased 10 percent to a record $1.5 billion, coal revenues climbed 34 percent to a record $775 million, and intermodal revenues increased 11 percent to a record $532 million in the second quarter of 2008. Railway operating expenses increased 16 percent to $2 billion for the second quarter compared with the same period of 2007, primarily due to higher fuel expense, which rose by $212 million, or 76 percent. The railway operating ratio for the quarter was 71.1 percent, about even compared with second-quarter 2007. (Norfolk Southern Corporation - posted 7/22) NEW WEEKEND TRAIN ON THE PASCACK VALLEY LINE: The new weekend service on the Pascack Valley Line, which began last fall after a hiatus of four decades, is being expanded beginning Sunday August 3, 2008. MTA Metro-North Railroad is adding a new inbound train on the Pascack Valley Line that departs Spring Valley at 7:10 p.m. making limited stops in New Jersey, and arriving in Hoboken at 8:28 p.m. and at Penn Station at 8:38 p.m. This brings the number of daily weekend trains on the Pascack Valley Line to 24, a dozen in each direction. Ridership is now 250 each weekend day and growing. In fact, overall ridership on Metro-North's West-of-Hudson service is up 17% during the first six months of the year compared to the same period last year, due primarily to the introduction of off-peak and weekend service on the Pascack Valley Line. When the new timetables take effect on August 3, there will be a number of other, minor changes to both the Port Jervis Line and Pascack Valley Line schedules. New timetables are available at Hoboken Terminal, Penn Station NY, and Secaucus and customers are advised to pick up a copy to check for changes. On weekdays, the 5:29 a.m. train from Spring Valley will have a five-minute later connection at Secaucus, and therefore will arrive in Penn Station five minutes later at 6:51 a.m. Also, the 5:28 p.m. train from Penn Station will now leave four minutes earlier at 5:24 p.m. Arrival times at Pascack Valley Line stations remain unchanged. A number of minor schedule adjustments will be made to other Penn Station–Secaucus connections, ranging from one to three minutes earlier. See the new timetable for details. An extra getaway train will operate on August 29, the Friday before the Labor Day holiday weekend, The train that departs Hoboken at 2:51 p.m. and Penn Station at 2:35 p.m. has been extended for this holiday and will arrive at Pearl River at 3:47 p.m.; Nanuet at 3:55 p.m.; and Spring Valley at 4:01 p.m. On the Port Jervis Line, a number of minor schedule adjustments will be made to some Penn Station–Secaucus connections, ranging from 3 minutes earlier to 3 minutes later. See the new timetable for details. (Metro-North - posted 7/21) U.S. DEPUTY SECRETARY OF TRANSPORTATION BARRETT ANNOUNCES $1 MILLION GRANT TO HELP REDUCE THE LEADING CAUSES OF RAIL-RELATED DEATHS: Deputy Secretary of Transportation Vice Admiral Thomas J. Barrett today announced a $1.015 million grant to continue federal support of public education efforts to reduce collisions between trains and motor vehicles at highway-rail grade crossings and discourage illegal trespassing along railroad rights of way. “Most rail-related deaths are preventable, and the far-reaching educational outreach efforts of Operation Lifesaver helps save lives every day,” said Barrett, noting that in 2007 there were 338 grade crossing and 473 trespasser deaths which accounted for a combined 95 percent of all rail-related fatalities. Barrett explained that the grant is being provided by the Federal Railroad Administration (FRA) and will support the public outreach and training programs of Operation Lifesaver, Inc. (OLI), a national not-for-profit rail safety organization. An additional $338,332 will be generated in matching funds or services, he added. The federal funds will be used for OLI’s States Assistance Program, which provides up to 50 grants to state organizations that manage railroad safety awareness programs. In addition, the FRA grant will support training programs for OLI’s more than 2,100 volunteer trainers and presenters, specialized communications programs, publications and other related materials. Barrett further stated that the annual FRA grant funding will be used for new OLI initiatives, including production of a training video for commercial truck and bus drivers, development of more outreach resources for the Hispanic/Latino community, creation of new public service announcements, and a special initiative targeting college age and 25- to 30 year-olds. And, in response to the consistently high and relatively unchanged number of trespass deaths in recent years, OLI will renew its emphasis on addressing trespass issues. The grant announced today supports the goals of the U.S. Secretary of Transportation’s 2004 Action Plan for Highway-Rail Grade Crossing Safety and Trespass Prevention that provides a roadmap for guiding federal, state, local, railroad industry and other efforts to combat these problems. Deputy Secretary Barrett announced the FRA grant at the OLI International Symposium in Covington, KY. (US DOT - posted 7/21) CANADIAN PACIFIC AND CN IMPLEMENT NEW RAIL TERMINAL EFFICIENCIES AT DELTAPORT: CN and Canadian Pacific (CP) today announced an agreement allowing the Deltaport Division of a jointly owned rail subsidiary to manage rail switching operations for CN's and CP's intermodal trains at Deltaport, a marine container terminal located at Roberts Bank, 40 kilometers south of Vancouver's inner harbour. "Deltaport Division will streamline the logistics chain at the terminal, generating greater efficiencies in the overall rail and port operation," said Keith Creel, CN executive vice- president, operations. "These service and productivity gains support Canada's Asia-Pacific Gateway Initiative, which aims to bolster the competitiveness of the nation's west coast ports." CN and CP move approximately 70,000 TEUs (twenty-foot equivalent containers) into and out of Deltaport each month. Container cars must be switched into the terminal tracks for loading and unloading. Kathryn McQuade, CP's executive vice-president and chief operating officer, said: "More specifically we expect Deltaport Division will enhance the fluidity and capacity of both railways calling at Deltaport and deliver better service to our port and terminal partners within the Pacific Gateway." The railways' Deltaport switching agreement represents another positive development in CP's and CN's directional running zone in the Fraser Canyon and Co-Production operating agreements in the greater Vancouver area. (CN, CP - posted 7/18) CARLOAD FREIGHT UP, INTERMODAL DOWN DURING MOST RECENT WEEK: Carload freight was up but intermodal volume was down on the nation's railroads during the week ended July 12 in comparison with the corresponding week last year, the Association of American Railroads (AAR) reported today. Carload freight in the week totaled 321,049 cars, up 3.3 percent from last year. Volume was up 6.4 percent in the West but down 1.2 percent in the East. Intermodal volume, which is not included in the carload data, totaled 231,921 trailers or containers, down 2.8 percent from a year ago. Trailer volume was up 2.4 percent while container traffic slipped 4.1 percent. Total volume was estimated at 33.6 billion ton-miles, up 4.3 percent from the 28th week of 2007. Eleven of 19 carload commodities registered gains from a year ago with metallic ores up 22.4 percent, grain up 6.3 percent and coal up 3.9 percent. Among commodities reporting declines were primary forest products, 19.9 percent; lumber and wood products, 16.4 percent; and nonmetallic minerals, 4.1 percent. Cumulative volume for the first 28 weeks of 2008 totaled 9,059,027 carloads, up 0.4 percent from 2007; 6,187,074 trailers or containers, down 3.1 percent; and total volume of an estimated 937.4 billion ton-miles, up 1.6 percent from last year. On Canadian railroads, during the week ended July 12 carload traffic totaled 73,467 cars, virtually the same as last year while intermodal volume totaled 50,840 trailers or containers, up 4.5 percent from last year. Cumulative originations for the first 28 weeks of 2008 on the Canadian railroads totaled 2,079,530 carloads, down 4.0 percent from last year, and 1,322,159 trailers and containers, an increase of 4.5 percent from last year. Combined cumulative volume for the first 28 weeks of 2008 on U.S. and Canadian railroads totaled 11,138,557 carloads, down 0.5 percent from last year, and 7,509,233 trailers and containers, a 1.9 percent decrease from last year. The AAR also reported that carload freight on the Mexican railroad Kansas City Southern de Mexico (KCSM) during the week ended July 12 totaled 9,293 cars, down 13.4 percent from last year. KCSM reported intermodal volume of 3,962 trailers or containers, down 0.6 percent from the 28th week of 2007. For the first 28 weeks of 2008, KCSM reported cumulative volume of 294,147 cars, down 3.3 percent from last year, and 132,142 trailers or containers, up 9.7 percent. Railroads reporting to AAR account for 89 percent of U.S. carload freight and 98 percent of rail intermodal volume. When the U.S. operations of Canadian railroads are included, the figures increase to 96 percent and 100 percent. The Canadian railroads reporting to the AAR account for 91 percent of Canadian rail traffic. Railroads provide more than 40 percent of U.S. intercity freight transportation, more than any other mode, and rail traffic figures are regarded as an important economic indicator. (AAR - posted 7/17) NEW AMTRAK AD CAMPAIGN PROMOTES RE-LAUNCH OF NORTHEAST REGIONAL SERVICE: In support of Amtrak's re-launch of its Northeast Corridor Regional service as Northeast Regional, the corporation has introduced a new advertising campaign in states along the Northeast Corridor from Virginia to Massachusetts. The goal of the campaign, scheduled to run from July 13th through September 7th, is to inspire customers who may not be regular Northeast Corridor passengers to try the new Northeast Regional service themselves. The new Northeast Regional service will feature a number of enhancements for passengers including refurbished Café cars with new menus. In addition, these new Café cars will now be positioned in the middle of each train to improve access for coach passengers who account for more than 90 percent of all riders. Other improvements include refurbished Business class seats and interiors. En-route cleaning will help keep the trains clean and fresh. The new Northeast Regional logo was chosen from among 10 designs tested. Research showed that the logo is a striking, memorable graphic that is modern and up-to-date. It also conveys a good travel experience. The track imagery also easily connects it to the existing Amtrak brand. "Introducing a strong logo to represent the revitalized service was key as the Northeast Regional service is Amtrak's busiest, transporting more than 6.8 million passengers last fiscal year alone" said Emmett Fremaux, Amtrak's Vice President, Marketing & Product Management. The integrated media plan for the new Northeast Regional re-launch includes newspapers and business journals, radio ads, outdoor gas station and bus placements, and online display ads and search. Messaging focuses on the key elements that draw customers to the convenience and comfort of rail travel — mostly notably, freedom from traffic congestion, city to city-center trip time, and more recently, higher gas prices. The entire campaign, budgeted at $2.1 million, is expected to attract an additional 136,000 passengers to the service, valued at $8.9 million in ticket revenue annually. The creative was developed by Amtrak's agency of record, Arnold Worldwide in McLean, Va. (Amtrak - posted 7/16) CSX REPORTS RECORD SECOND QUARTER EARNINGS: CSX Corporation has reported second quarter 2008 earnings of $385 million, or a record 93 cents per share. Last year CSX reported second quarter earnings of $324 million, or 71 cents per share. Second quarter 2008 results included 4 cents per share associated with the resolution of certain tax matters. On a comparable basis, excluding this item, second quarter EPS was up 25 percent from a year ago. (See table below for reconciliation of quarter items to reported numbers.) “CSX continues to deliver significant value for shareholders and demonstrate the secular strength of our business,” said Michael Ward, chairman, president and CEO. “The strong earnings performance delivered by this team was supported by all–time records in revenue and operating income, despite the effects of a softer economy.” Sustained strong demand for export coal, grain, ethanol, metals and phosphates and fertilizers, as well as solid yield management, continued to lead significant revenue growth across CSX’s markets. Revenue increased in eight of the company’s ten markets resulting in overall quarterly revenues of $2.9 billion, a 15 percent increase over the same period last year. CSX produced quarterly operating income of $717 million, up 17 percent over the $612 million reported last year. The company’s continued focus on productivity and cost control helped to offset the significant increase in fuel costs, driving its operating ratio to 75.3 percent for the quarter. “We are achieving the company’s vision, quickly taking this company’s results to industry leading positions,” said Ward. “This success is propelled by our employees every day delivering exceptional customer service, safety, innovation and a balanced approach to managing capital that drives shareholder value and positions the company to leverage future demand.” Reflecting the company’s strong second quarter performance and the underlying strength of its business, CSX continues to target the upper end of its previously announced 2008 EPS guidance of $3.40 – $3.60 on a comparable basis. (CSX - posted 7/16) EL DINING CAR PRESERVATION SOCIETY DELUXE EXCURSION OVER FORMER EL ROUTES: The Erie Lackawanna Dining Car Preservation Society has drawn up tentative plans to run a "joy-ride" excursion over most of NJ Transit's former Erie Lackawanna commuter lines on Saturday, August 16, 2008. Featuring two Morristown & Erie private cars, this round-trip excursion will begin at Hackettstown/Mt. Arlington and travel to Suffern, traversing the Morris & Essex, Boonton-Montclair, Main and Bergen County Lines. A stopover in Hoboken will include a walking tour of Hoboken Terminal and the surrounding area, provided by the Hoboken Historical Society. Tickets for this excursion will be $119 per person ($109 for ELDCPS Members). The price includes a light lunch and afternoon snacks. Before we finalize any plans, however, we are looking to see if there is any demand for this trip. If you are interested in signing up for this trip, please contact us OFF-LIST at store@eldcps.org. We expect to only offer 39 tickets for this excursion, so if you are interested please let us know immediately. Tentative Schedule :
NEW RAIL CARGO SERVICE LINKING STATEN ISLAND TO MAJOR RAIL FREIGHT NETWORK COMPLETES BANNER FIRST YEAR ExpressRail Staten Island - the ship-to-rail facility serving New York Container Terminal - completed a successful first year by moving more than 44,000 containers by rail and removing approximately 70,000 trucks from local roads including the Goethals Bridge. The rail facility, which began service last June 28, already has exceeded 34,000 containers handled for this year, surpassing projections for the entire year. The Staten Island rail facility has the capacity to handle up to 100,000 containers a year. ExpressRail Staten Island also saw the number of containers it handles monthly jump from 451 in July 2007 to more than 5,000 in June 2008. Port Authority Chairman Anthony R. Coscia said, "Investing in on-dock rail terminals is a critical part of our strategy to maintain our port's standing as the East Coast's premier shipping destination. The success of the New York Container Terminal shows that our $600 million investment in ExpressRail is paying dividends by reducing congestion on our local roads and enabling the movement of essential goods in an efficient and environmentally sustainable way." Port Authority Executive Director Chris Ward said, "Putting cargo containers on trains means fewer trucks on the road, which is good news for drivers and good news for the environment. We're pleased that the Staten Island facility has been a success, and we look forward to helping them continue to grow their rail business in the future." Jim Devine, president of New York Container Terminal, said, "We are extremely pleased that in its first year, our rail operation has exceeded not only ours but perhaps more importantly, our customer's expectations, and we look forward to further growth in the future. We are thankful to both the Port Authority and New York City Economic Development Corporation for their help in bringing this important facility online, and we are particularly thankful to all the rail operators, Conrail, CSX and Norfolk Southern, for their tremendous support in making this facility a success." The $26 million ExpressRail Staten Island facility was built on a 39-acre parcel on the former Procter & Gamble site, which was purchased by the Port Authority in December 2000. The Staten Island rail facility consists of five tracks that are linked to the reactivated Staten Island Railroad. Containers are loaded onto rail cars and transported via the Staten Island Railroad to the Conrail Main Line in Elizabeth, N.J., which connects to the nation's extensive rail freight network. The rail facility required the reactivation of the Staten Island Railroad. It also required the rehabilitation of the Arthur Kill Lift Bridge and the construction of a rail link from the bridge to the Chemical Coast Line to allow cargo trains to have access to the national rail freight network. In 2007, ExpressRail broke several records for container volume, handling 5.7 percent more containers than in 2006. The total volume handled by ExpressRail removed more than half a million trucks from state and local roads. The ExpressRail terminals handled 358,043 cargo containers in 2007, an increase of approximately 20,000 over the previous record of 338,882 in 2006. In the past seven years, the number of containers transported by rail from the Port of New York and New Jersey more than doubled. (PANYNJ - posted 7/15) VIRGINIA TRANSPORTATON BOARD SETS PUBLIC MEETINGS FOR STATEWIDE RAIL PLAN: The public is invited to comment on the draft Statewide Rail Plan during five public meetings to be held throughout Virginia in July. The meetings, hosted by the Commonwealth Transportation Board (CTB), will provide a time for the Virginia Department of Rail and Public Transportation (DRPT) to brief the public on the draft plan and receive comments. DRPT is developing the Statewide Rail Plan to provide a clear vision and strategy to address rail needs in the Commonwealth. The proposed projects are designed to meet the Commonwealth’s goals for the efficient and effective movement of people and goods through passenger and freight rail transportation. The draft Statewide Rail Plan is now available on DRPT’s Web site at www.drpt.virginia.gov and at DRPT’s Richmond headquarters located at 1313 East Main St, Suite 300, Richmond, VA. A reference copy will also be available at each public meeting. Meeting dates and locations are as follows:
NEW RAIL TUNNEL PROJECT GETS FUNDING BOOST Senators Frank R. Lautenberg and Robert Menendez yesterday successfully appropriated $75 million towards the Access to the Region’s Core (ARC) project – more than five times the amount dedicated last year – further advancing the engineering of two new rail tunnels under the Hudson River. “The unwavering support from senators Lautenberg and Menendez for this critical project will help provide relief to the state’s transportation system,” said Governor Jon S. Corzine. “We applaud their efforts to secure record levels of appropriations for this project.” "We continue to receive incredible support for the ARC Tunnel project from senators Lautenberg and Menendez. We are aggressively pursuing a full funding grant agreement with the federal government and the Senators' support is invaluable," said Port Authority Chairman Anthony R. Coscia “Our Washington delegation continues to lead the charge towards moving this vital project from the drawing board to shovels in the ground,” said Transportation Commissioner and NJ TRANSIT Board Chairman Kris Kolluri. “Clearly, they are committed to seeing the project become a reality.” “This funding is keeping the ARC Tunnel project moving towards a full funding grant agreement from the Federal Transit Administration,” said NJ TRANSIT Executive Director Richard Sarles. “The Senators have worked tirelessly to support the project.” About Access to the Region’s Core The ARC program includes two new single-track railroad tunnels between New Jersey and New York, additional Penn Station capacity under 34th Street in Manhattan, and signal and track improvements along and adjacent to the Northeast Corridor. The project will double the number of commuter rail tracks between New Jersey and New York and double peak-period trans-Hudson train capacity from 23 trains per hour to 48. ARC will allow for the introduction of transfer free rail service to New York on the Main, Bergen County, Pascack Valley, Port Jervis and Raritan Valley lines, the Montclair Boonton line west of Montclair, North Jersey Coast Line south to Bay Head, as well as the Morristown Line west of Dover. It will also create the capacity for future rail extensions. The project includes expanded station capacity for New York Penn Station under 34th Street, with underground connections to several New York City subway lines (A, B, C, D, E, F, N, Q, R, V, W, 1, 2, 3, and PATH trains.) (NJT - posted 7/11) RAIL FREIGHT TRAFFIC UP DURING HOLIDAY WEEK: Both carload and intermodal freight registered gains during the week ended July 5 in comparison with the corresponding week last year, the Association of American Railroads (AAR) reported today. Both weeks included the Fourth of July holiday. Carload freight in the week totaled 286,242 cars, up 1.1 percent from last year. Volume was up 1.5 percent in the West and 0.3 percent in the East. Intermodal volume, which is not included in the carload data, totaled 194,136 trailers or containers, up 0.8 percent from a year ago. Trailer volume was up 7.3 percent while container traffic slipped 0.9 percent. Total volume was estimated at 30.0 billion ton-miles, up 2.0 percent from the 27th week of 2007. Eleven of 19 carload commodities registered gains from a year ago with metallic ores up 14.3 percent, grain up 13.6 percent and metals up 13.7 percent. Among commodities reporting declines were farm products other than grain, 17.2 percent, lumber and wood products, 15.6 percent; and motor vehicles and equipment, 14.0 percent. Cumulative volume for the first 27 weeks of 2008 totaled 8,737,978 carloads, up 0.3 percent from 2007; 5,955,153 trailers or containers, down 3.1 percent; and total volume of an estimated 903.8 billion ton-miles, up 1.5 percent from last year. On Canadian railroads, during the week ended July 5 carload traffic totaled 67,848 cars, down 5.8 percent from last year while intermodal volume totaled 44,624 trailers or containers, up 1.9 percent from last year. Both weeks included the Canada Day holiday. Cumulative originations for the first 27 weeks of 2008 on the Canadian railroads totaled 2,006,063 carloads, down 4.1 percent from last year, and 1,271,319 trailers and containers, an increase of 4.2 percent from last year. Combined cumulative volume for the first 27 weeks of 2008 on U.S. and Canadian railroads totaled 10,744,041 carloads, down 0.6 percent from last year, and 7,226,472 trailers and containers, a 1.9 percent decrease from last year. The AAR also reported that carload freight on the Mexican railroad Kansas City Southern de Mexico (KCSM) during the week ended July 5 totaled 11,198 cars, up 7.3 percent from last year. KCSM reported intermodal volume of 4,433 trailers or containers, up 10.6 percent from the 27th week of 2007. For the first 27 weeks of 2008, KCSM reported cumulative volume of 284,854 cars, down 2.9 percent from last year, and 128,180 trailers or containers, up 10.0 percent. Railroads reporting to AAR account for 89 percent of U.S. carload freight and 98 percent of rail intermodal volume. When the U.S. operations of Canadian railroads are included, the figures increase to 96 percent and 100 percent. The Canadian railroads reporting to the AAR account for 91 percent of Canadian rail traffic. Railroads provide more than 40 percent of U.S. intercity freight transportation, more than any other mode, and rail traffic figures are regarded as an important economic indicator. AAR is the world's leading railroad policy, research and technology organization focusing on the safety and productivity of rail carriers. (AAR - posted 7/10) NJ TRANSIT APPROVES PURCHASE OF NEW DUAL-POWERED LOCOMOTIVES: NJ TRANSIT took another step forward today in the modernization of its rail fleet, as the Board of Directors approved the purchase of 26 dual-powered locomotives to replace its aging diesel fleet. The Board awarded a contract to Bombardier Transit Corporation for the purchase of 26 dual-powered locomotives—which can operate in both electrified and non-electrified territory—at a total cost of approximately $310 million, including design, engineering, manufacturing, training and spare parts, with the option to purchase additional locomotives in the future. "With gas prices over $4 a gallon and climbing, New Jersey commuters are flocking to mass transit at a record pace," said Governor Jon S. Corzine. "Our continued expansions and improvements to NJ TRANSIT will go a long way to providing better services for riders who are helping the environment and their wallets by leaving their cars at home." "We are excited to bring dual-powered technology to our state’s rail network," said Transportation Commissioner and NJ TRANSIT Board Chairman Kris Kolluri. "These new locomotives are both a cost-effective and environmentally-friendly way of enabling trains to operate along both electrified and non-electrified rail lines." "Once we create new trans-Hudson capacity with the completion of the ARC Tunnel, our new fleet of dual-powered locomotives will enable us to provide a ‘one-seat’—or transfer-free—commute for thousands of customers who today must transfer between trains," said NJ TRANSIT Executive Director Richard Sarles. "More immediately, the new locomotives will have the benefit of being quieter, more fuel efficient and more environmentally-friendly than the locomotives they’ll replace, some of which are 40 years old." Benefits of the dual-powered locomotives over the older diesel engines include better acceleration, more efficient operation than current diesel locomotives, cleaner operation in electric mode, and reduced reliance on diesel fuel. The new locomotives will meet the latest federal emissions requirements, replacing the older locomotives that were grandfathered from having to meet the current standards. NJ TRANSIT uses diesel locomotives to operate rail service in non-electrified territories, which includes the Pascack Valley, Main/Bergen County and Raritan Valley lines, as well the North Jersey Coast Line between Long Branch and Bay Head and Montclair-Boonton and Morris & Essex lines west of Dover. Nearly 40 percent of the state’s commuter rail system is non-electrified. The first dual-powered locomotives are expected to arrive in 2011, with complete delivery anticipated in late 2012. (NJ TRANSIT - posted 7/10) NJ TRANSIT ADOPTS FY 2009 OPERATING, CAPITAL BUDGETS: The NJ TRANSIT Board of Directors today adopted a Fiscal Year 2009 Budget that supports historic ridership levels by increasing seat capacity, modernizing the bus and rail fleets and maintaining the system in a state of good repair. "Ensuring that the residents of New Jersey have a safe, efficient and reliable public transit system has been a priority of my administration, and at no time has it been more critical to the economic vitality and the future of our state than today as record numbers of citizens are making the smart choice and leaving their cars in favor of public buses, trains and light rail service," Governor Corzine said. "The support of Governor Corzine, the legislature and the New Jersey congressional delegation enables NJ TRANSIT to serve the growing needs of residents who rely on mass transit for their daily commute," said NJ TRANSIT Chairman and Transportation Commissioner Kris Kolluri. Today, the NJ TRANSIT Board approved a $1.7 billion FY09 operating budget and a $1.29 billion capital plan that advances major capacity-enhancing projects, funds improvements at bus and rail facilities and supports the purchase of transit vehicles to replace aging equipment. "This budget relies on more state support and continued cuts in back-office expenses to keep our core rail and bus system running efficiently and meet record demand for service," said NJ TRANSIT Executive Director Richard Sarles. NJ TRANSIT’s fiscal year runs from July 1 through June 30.
CN WELCOMES ADDED VESSEL CALL AT PORT OF PRINCE RUPERT CONTAINER TERMINAL: Canadian National welcomed the arrival yesterday of a second weekly steamship alliance vessel at the Port of Prince Rupert. The COSCO/K-Line/Yang Ming/Hanjin (CKYH) alliance will now ship Hong Kong, South China, East China and North China cargoes, as well as those from Yokohama, to North America via Prince Rupert. COSCO was the first steamship company to serve the new terminal and launched an initial weekly call at the port from China and Yokohama in October 2007. James M. Foote, CN's executive vice-president, Sales and Marketing, said: "The CKYH alliance second weekly vessel is testament to the logistics value of the CN-Port of Prince Rupert-Maher Terminals service offering to the international shipping community. Together, we have created a new, highly competitive gateway for goods entering North America and transiting CN's network to the U.S. Midwest and Central Canada. "CN is consistently delivering fifth morning availability of containers in Chicago and sixth morning availability in Memphis, a leading U.S. distribution hub. With the growth in imports over Rupert, we continue to identify new opportunities for backhaul container movements to Asia from the continental interior, including the U.S. Midwest and Western Canada." The new container traffic from the second-vessel call at Prince Rupert is consistent with CN's expectations for the port's operations and is included in the Operating Plan for implementing its proposed acquisition of the principal lines of the Elgin, Joliet & Eastern Railway Co. (CN - posted 7/09) METRO-NORTH INTRODUCES ON-BOARD HAND HELD TICKET MACHINES: After a successful pilot program last year, Metro-North Railroad is introducing ticket machines to all its conductors to modernize and simplify on-board ticket issuing. This technological innovation will improve customer service as well as the railroad's operating efficiency. Using wireless connection, the devices will be able to receive text messages from Rail Traffic Controllers, which will give train crews up-to-the-minute information during service disruptions. This will enable train crews to keep customers better informed when delays occur. "These text messages will provide more information faster to more trains, which will improve the crews' ability to inform customers when service is disrupted for whatever reason," said Metro-North President Peter A. Cannito. "Text messaging will supplement, not replace, radio contact with the Rail Traffic Controllers that all trains maintain." The devices are being phased in beginning this month. So far, 200, about a third of all train conductors, have been equipped with these hand-held ticket machines and separate receipt printers. This approach is a first in the passenger railroad industry and was developed by Metro-North's own Information Technology Department. The software has been copyrighted and several railroads have expressed interest in purchasing the program. The new machines are replacing the old "duplex" ticket blanks currently used for on-board ticket sales. Duplexes require a conductor to use a hole puncher to mark the boarding station and destination, the fare zone, whether the trip is peak or off-peak, and the ticket type - adult, senior, etc. Then the two sheets are pulled apart with one part going to the customer as a receipt and the other going in the conductor's pocket for manual tallying later. Using the new device, a conductor will select from a menu the departure and arrival stations. The device then calculates the fare and issues a receipt using a wireless printer. Another benefit of the hand held device is its ability to store ticket sales data that will simplify record keeping for conductors as well as produce a database of actual zone-to-zone ticket sales by ticket type, time and train number. Conductors will be able to download daily sales information and save time by eliminating manual record keeping, eliminating mathematical errors and eliminating data entry. This also will improve revenue accounting and auditing capabilities. The software and hand held devices were tested last year by about 30 conductors. The system got excellent reviews from customers and employees and performed well. Conductor training is ongoing. The railroad also is working with banks to implement - for the first time - consumer-protected, secure credit and debit card purchases on board trains. The start-up cost for the hand helds, including the devices, software, new receipt stock and training is $3.6 million, including a one-year, $420,000 contract to Verizon Wireless to enable the system. The railroad has purchased 1,000 handheld devices from Intermec of Everett, Washington and 1,000 printers, which use perforated, pre-numbered rolls of paper, from Zebra of Vernon Hills, Illinois. (MTA - posted 7/09) NEW YORK SENATOR JOE BRUNO ANNOUNCES PLANS FOR $40 MILLION RAIL LOGISTICS CENTER IN MECHANICSVILLE, N.Y.: N.Y. State Senator Joe Bruno (R-Brunswick) today announced that a new intermodal and automotive rail logistics center will be constructed at the former rail yard located within the towns of Halfmoon, Mechanicville, and Stillwater. This new rail terminal will anchor the western end of Pan Am Southern's Patriot Corridor, which will be a high-speed freight rail route between the Capitol Region and the Boston area once track and signal improvements are complete. Construction of the $40 million facility is expected to begin in the first quarter 2009 and be complete by April 2010. "As soaring energy costs have forced businesses to re-think how to transport consumer goods, the rail industry has once again become an increasingly viable and affordable option," Senator Bruno said. "Today's announcement by Norfolk Southern and Pan Am Railways to invest in constructing a new facility in Southern Saratoga County is great news for the local economies in Mechanicville, Halfmoon and Stillwater." "Transportation by rail is still the most economically efficient way to move freight, and even more so today with ever rising fuel prices. This is a great announcement for the Capitol Region and for all of New York State," said Governor David A. Paterson. "I want to thank Norfolk Southern and Pan Am Railways for choosing to locate here and I applaud Senator Bruno's efforts to get them to come. This is exactly the sort of smart investment in our transportation infrastructure that we need to make during these tough economic times, and one that will spur further economic development." "On behalf of the Pan Am Southern joint venture, I would like to thank Senator Bruno for his leadership and commitment to bring rail yard operations back to Saratoga County," said Wick Moorman, Norfolk Southern's chief executive officer. "With the demand for moving freight throughout the U.S. and New York's Capitol Region at unprecedented levels, this rail facility will serve as the premier distribution point for consumer products and finished automobiles for upstate New York and western New England." "Pan Am Railways is pleased to partner with the State of New York, Saratoga County, and the towns of Mechanicville, Halfmoon, and Stillwater on this important regional transportation project," said David Fink, Pan Am Railways' president. "This new terminal will add much-needed freight capacity to the Capitol Region, and is critical to the success of our Pan Am Southern joint venture." In May, Pan Am Railways and Norfolk Southern announced plans to create a joint venture, called Pan Am Southern. The key component of Pan Am Southern is the Patriot Corridor, the 155-mile main line track that runs between Mechanicville and Ayer, Mass. Pan Am Southern also includes 281 miles of secondary and branch lines, including trackage rights, in Connecticut, Massachusetts, New Hampshire, New York, and Vermont. The new Saratoga County rail logistics center will serve as the primary distribution hub for the Patriot Corridor. The Pan Am Southern joint venture is subject to the approval of the U.S. Surface Transportation Board, which is expected to issue a decision on the transaction in October 2008. (Norfolk Southern Corporation - posted 7/08) LOUISVILLE & INDIANA RAILROAD REOPENS MAIN LINE: The Louisville & Indiana Railroad (LIRC) said it reopened its 106-mile main line on June 30 after floods, June 8, washed out track at six locations between Louisville, Ky. and Indianapolis, Ind., including a bridge near Rockford, Ind. The first through train operated between LIRC's southern terminus at Jeffersonville, Ind. and Indianapolis on July 1. "Thanks to our Engineering forces and several contractors who really pitched in, we were able to reopen the line in three weeks," said John Secor, LIRC president. "We recovered the spans from the water, which made the project go much faster," said Secor. "Now that we're in full operation, we're eager to go after new business." Despite the outage, LIRC was able to serve customers from Louisville as far north as Seymour and from Indianapolis southward to Columbus. A small amount of traffic was rerouted over other lines. Louisville & Indiana provides the shortest, most direct rail link between Indianapolis and Louisville. LIRC connects with CSX Transportation, Indiana Rail Road, Norfolk Southern, and Paducah & Louisville Railway. LIRC also serves the ports of Indiana, located on the Ohio River at Jeffersonville, Ind. LIRC's business consists primarily of cement, chemicals, food products, grain, lumber, manufactured goods, paper, plastics, scrap and steel. The railroad also offers a truck-rail transload facility at Jeffersonville. "This allows customers who don't have a rail siding to take advantage of rail transportation, which is much more energy efficient," Secor said. "Trains use only one-third as much fuel as trucks to move a ton of freight." Louisville & Indiana began operations in March 1994 when it acquired the former Pennsylvania Railroad main line from Conrail. (Louisville & Indiana - posted 7/08) NJ TRANSIT TO DISCUSS PURCHASE OF DUAL MODE LOCOMOTIVES: One of the topics for the agenda of the March 9th NJ Transit Board of Directors meeting will be the purchase of dual mode locomotives. The printed agenda mentions that "NJ Transit uses diesel locomotives, which are approximately 40 years old and in need of replacement, to operate its current rail service in non-electrified territories. The purchase of dual-powered locomotives is a cost-effective solution for operating in both electrified and non-electrified territory. The dual-powered locomotives will provide the flexibility to operate throughout the entire system as needed. There are several benefits to replacing the diesel locomotives with the dual-powered locomotives. The dual-powered locomotives run more efficiently in diesel mode than the older diesel locomotives in the NJ Transit fleet that they will replace. The dual-powered locomotives will also operate more cleanly in electric mode than the diesel locomotives, a direct benefit to the environment, and with better acceleration. Fuel savings will also be realized when operating under electric power. The use of these locomotives will also allow NJ Transit to develop operational experience with the dual power capability in anticipation of the Access to the Region’s Core project which is designed to provide one-seat, direct rail service to New York City. Authorization is requested to contract (No. 07-062) with Bombardier Transit Corporation of Bensalem, Pennsylvania, for the purchase of 26 Dual-Powered Locomotives, including spare parts, at a cost not to exceed $309,921,369, plus five percent for contingencies, subject to the availability of funds. Authorization is also requested to amend the contract (No. 05-098) with STV, Incorporated of New York, New York, for design and engineering assistance during the manufacture of the dual-powered locomotives at a cost not to exceed $7,904,000, plus five percent for contingencies, for a total contract authorization of $13,352,850, subject to the availability of funds." (NJ Transit - posted 7/07) RAILAMERICA AND FLORIDA EAST COAST RAILWAY ANNOUNCE REGIONAL VICE PRESIDENTS: RailAmerica, Inc. (RA), one of the nation's leading short-line and regional railroad operators, and Florida East Coast Railway (FEC), a regional freight railroad operating along the east coast of Florida, announced six regional vice presidents who will be responsible for leading the overall operations of the railroad(s) in their respective region. Both RA and FEC are owned by private-equity funds managed by affiliates of Fortress Investment Group. "The combined experience of these outstanding individuals will contribute greatly to the operations and growth of our portfolio of outstanding railroads," said David Rohal, Senior Vice President, Chief Operating Officer, RA. The regional vice presidents are:
VIA RAIL'S EXPERTISE AND KNOW-HOW RECOGNIZED BY SNCF INTERNATIONAL: VIA Rail Canada announced today the signing of a cooperation agreement with SNCF International, an independent subsidiary of the Société Nationale des Chemins de Fer français (SNCF; the French railway system), designed to promote their know-how in operating and managing existing passenger train services both in North America and elsewhere in the world. Thanks to this close collaboration, VIA Rail Canada and SNCF International will share their knowledge and experience in order to encourage rail transport, and to commercialize the know-how and long professional and technical traditions of La Groupe SNCF and VIA Rail for the ultimate benefit of passengers. The collaboration between the two companies will take various concrete forms, ranging from joint participation in requests for proposals to technical or operational support in the development of projects, in particular in the fields of customer service, operations, maintenance of rolling stock, training, management and information exchange. "We are very pleased to be signing this agreement with SNCF International, which has an excellent reputation in the rail sector. This collaboration will allow us to share our respective know-how, and confirms that VIA Rail is a model to which other countries turn concerning questions of passenger rail," declared Paul Côté, VIA's President and CEO. The Chairman and CEO of SNCF International, Jean-Pierre Loubinoux, for his part affirmed: "VIA Rail has a great deal of expertise in the delivery of passenger train services, and will certainly be an added value to help us open doors to new business opportunities." "As Canadians mark the 141st anniversary of Confederation, we remember railways helped build our modern nation. I congratulate VIA Rail Canada and SNCF International for this new partnership to share expertise with international railway clients. I expect that they will play a significant role in showcasing the Canadian expertise in today's transportation systems. The signing of this agreement speaks to the historic collaboration between Canada and France," stated the honourable Lawrence Cannon, Minister of Transport, Infrastructure and Communities. (VIA Rail Canada - posted 7/05) NORFOLK SOUTHERN RESUMES NORMAL OPERATIONS THROUGH HANNIBAL, MISSOURI: Norfolk Southern trains have resumed using the route through Hannibal, Missouri disrupted by the flooding of the Mississippi River. The main line has been restored and normal operations have resumed. (NS - posted 7/05) EXPANDED SHORE LINE EAST SERVICE BEGINS TOMORROW: Governor M. Jodi Rell has announced expanded and enhanced Shore Line East (SLE) rail service on track for this summer. “Starting on the Fourth of July, Shore Line East will operate year-round weekend service from Union Station in New Haven to Old Saybrook,” Governor Rell said. “This is great news for everyone who is looking for ways to save money on their gasoline purchases. The timing could not be better as the state experiences an influx of summer residents and tourists coming to the shoreline. This weekend service will offer more options for the public to travel to New York City from the Connecticut shoreline while reducing traffic congestion on I-95. I encourage the public to take a ride any weekday or weekend this summer.” The weekend service will provide a full complement of nine trains in each direction. Initial weekend rail schedule will include four westbound trains to New Haven from early morning to early afternoon and five eastbound trains from mid-afternoon to late evening. The trains will also provide reverse stops at Guilford station throughout the day. The Connecticut Department of Transportation (DOT) plans to operate SLE rail service over weekdays, weekends and holidays throughout the year. Inaugural weekend service operated during the 2007 holiday season from November through December as part of a special service enhancement. The special service provided more than 3,600 passenger rides in the seven-week period. The state has instituted various service enhancements on SLE this spring. In May, SLE began a new late evening weekday train from Union Station in New Haven departing at 10:05 p.m. That train will now operate seven days a week. The late evening train was a request of many commuters who travel from New York to Connecticut. Previously, the latest SLE train departed weekdays at 8:50 p.m. The new service will allow customers to depart Grand Central Terminal (GCT) by 8:07 p.m. to connect in New Haven at 10:05 p.m. For New London customers, more rail service is now available to New Haven. In an agreement with Amtrak, DOT is offering two additional trains cross-honoring SLE weekly, monthly and ten-trip tickets, bringing the total to six trains to and from New London. A mid-day train departing New London at 11:36 a.m. will arrive in New Haven at 12:08 p.m. and a late evening train departing New Haven at 9:08 p.m. will arrive in New London at 9:58 p.m. The cross-honoring began this spring and SLE customers can board in Old Saybrook as well as New London. Consult the timetable for the Shore Line East at www.ShoreLineEast.com or call 800-ALL-RIDE for schedule details including new weekend service. Weekend train schedules will also be published in regional newspapers ads beginning week of June 30th. Shore Line East trains are owned and operated by DOT, under contract with Amtrak, to provide daily rail operations. SLE commuter operations began in 1990, serving seven stations along the 33-mile segment of Amtrak’s Northeast Corridor between New Haven and Old Saybrook. The service was extended to New London in 1996. SLE provides more than 2,100 passenger trips each day, with nearly 484,000 trips in 2007. (ConnDOT via Andy Kirk - posted 7/03) MONTREAL, MAINE & ATLANTIC RAILWAY TRIMS SERVICE, PERSONNEL: Montreal, Maine & Atlantic Railway said today that it has trimmed its train service and furloughed 33 employees at the end of June. "The current economy has caused a downturn in paper, lumber and other forest products shipments which, along with extraordinary snow removal and spring flooding expenses, have forced us to make adjustments to keep the railroad operating efficiently and still provide reliable service to our customers," said Bob Grindrod, MMA's president. In addition, Katahdin Paper said it plans to close its Millinocket, Maine mill (one of two operated by the company) on July 28. "Paper from the Millinocket mill and inbound raw materials account for about 12 per cent of our carloadings," Grindrod said. Cutbacks include reducing service from six to five days a week on the main line between Millinocket, Maine and Montreal. Trains on most other main and secondary lines will operate three days a week. Layoffs will primarily affect operations, mechanical and engineering forces, Grindrod said. Belt tightening is nothing new to the MMA, which coped with an even larger downturn in 2003 when its largest customer, Great Northern Paper (now Katahdin Paper), closed both its Millinocket and East Millinocket mills and filed for bankruptcy. Paper and forest products generate about 60 percent of MMA's volume. MMA handles about 40,000 freight shipments annually and serves approximately 300 customers in Maine, Vermont, Quebec and New Brunswick. "Because railroads are more efficient and use only one-third the fuel required by trucks, it makes sense for customers to switch to rail service," said Grindrod. "We can cut transportation costs significantly. For example, shipping a ton of paper from Maine to Nevada by rail is one-third the cost of truck." In an effort to gain new customers, MMA has launched an international initiative to increase shipments via Searsport, Maine. "The Mack Point Terminal is one-to-three days shorter sailing time between Europe and large East Coast ports," notes Grindrod. "It's also less congested and we have larger clearances for oversized shipments." Since operations began in 2003, MMA has handled about 250,000 shipments while taking an estimated 700,000 trucks off U.S. and provincial highways. "In addition to reducing pollution and saving energy, MMA rail service has reduced road repairs and expense to taxpayers," Grindrod added. (Montreal, Maine & Atlantic Railway - posted 7/03) U.S. FREIGHT TRAFFIC OFF FOR THIS JUNE COMPARED TO LAST: Freight traffic on U.S. railroads was off during June in comparison with June 2007, the Association of American Railroads (AAR) reported today. Railroad carload traffic fell 3.6 percent compared with June 2007, while intermodal traffic fell 4.0 percent compared with the same month last year. Overall, U.S. railroads originated 1,295,161 carloads of freight in June 2008, down 48,950 carloads from June 2007. U.S. railroads also originated 923,031 intermodal units in June 2008, a decrease of 38,514 trailers and containers from June 2007. “Rail volumes were already under pressure because of the continuing weakness in the economy, but the massive recent flooding in the Midwest made things much worse,” noted AAR Senior Vice President John T. Gray. “Railroads are extremely resilient, though. Many of the affected areas have already been returned to service, and railroads expect to return to normal operations quickly,” Gray added. Five of the 19 major commodity categories tracked by the AAR saw carload increases on U.S. railroads in June 2008 compared to June 2007, led by grain (up 4,206 carloads, or 5.0 percent, to 88,040 carloads) and chemicals (up 3,232 carloads, or 2.7 percent, to 124,891 carloads). Ethanol, a small but rapidly-growing rail traffic segment, is included in the “chemicals” category. Commodities showing carload declines in June 2008 included coal (down 17,677 carloads, or 3.2 percent, to 542,324 carloads); motor vehicles and equipment (down 17,051 carloads, or 19.1 percent, to 72,450 carloads); and coke (down 6,213 carloads, or 28.8 percent, to 15,397 carloads). In the second quarter of 2008, total U.S. rail carloadings were down 0.6 percent (27,006 carloads) to 4,278,770 carloads, while intermodal traffic, which consists of trailers and containers on flat cars and is not included in carload figures, was down 2.4 percent (71,414 units) to 2,941,922 trailers and containers. For the first half of 2008, total U.S. rail carloads were up 19,750 carloads (0.2 percent) to 8,451,736 carloads, as year-over-year increases in coal (up 109,670 carloads, or 3.1 percent), grain (up 86,774 carloads, or 16.0 percent), and chemicals (up 24,409 carloads, or 3.1 percent), among others, more than offset declines in motor vehicles and equipment (down 78,781 carloads, or 14.6 percent); coke (down 46,739 carloads, or 32.3 percent); and crushed stone, sand, and gravel (down 35,778 carloads, or 6.7 percent), among others. U.S. intermodal traffic was down 191,358 trailers and containers (3.2 percent) for the first six months of 2008 to 5,761,017 units. Total volume for the first six months was estimated at 873.8 billion ton-miles, up 1.5 percent from the January-June period of 2007. Canadian rail carload traffic (which includes the U.S. operations of Canadian railroads) was down 17,041 carloads (5.3 percent) in June 2008 to 302,101 carloads. In June, carload gains for crushed stone, stand, and gravel (up 1,465 carloads, or 15.4 percent) and metallic ores (up 1,366 carloads, or 2.5 percent), among others, were not enough to offset declines in carloads of motor vehicles and equipment (down 5,342 carloads, or 17.9 percent), lumber and wood products (down 4,632 carloads, or 29.0 percent), and chemicals (down 3,214 carloads, or 5.5 percent), among others. Canadian intermodal traffic was up 5,937 units (3.2 percent) in June 2008 compared with June 2007 to 193,694 trailers and containers. In the second quarter of 2008, Canadian carloadings were down 5.4 percent (56,883 carloads) to 988,447 carloads, while intermodal traffic was up 3.9 percent (23,840 units) to 632,771 trailers and containers. For the first half of 2008, Canadian rail carloadings were down 4.0 percent (81,377 carloads) to 1,939,446 carloads, while intermodal traffic was up 4.3 percent (50,576 carloads) to 1,226,695 units. Carloads carried on Kansas City Southern dé Mexico, a major Mexican railroad, were down 368 carloads (0.8 percent) in June 2008 to 43,975 carloads, while intermodal units carried totaled 19,112 units, up 416 units (2.2 percent). For the first half of 2008, KCSM carloads carried were down 3.3 percent (9,362 carloads) to 273,656 carloads, while intermodal units carried were up 10.0 percent (11,241 units) to 123,747. For the week ended June 28, the AAR reported the following totals for U.S. railroads: 328,564 carloads, down 2.2 percent (7,426 carloads) from the corresponding week in 2007, with loadings up 0.4 percent in the East and down 4.1 percent in the West; intermodal volume of 229,676 trailers and containers, down 4.5 percent (10,770 units) from last year; and total volume of an estimated 34.0 billion ton-miles, down 0.9 percent from the corresponding week last year. For Canadian railroads during the week ended June 28, the AAR reported volume of 76,083 carloads, down 3.6 percent from last year; and 48,021 trailers and containers, up 5.3 percent from the corresponding week of 2007. Combined cumulative rail volume for the first half of 2008 on 12 reporting U.S. and Canadian railroads totaled 10,391,182 carloads, down 0.6 percent (61,627 carloads) from last year, and 6,987,712 trailers and containers, down 2.0 percent (140,782 units) from 2007. (AAR - posted 7/02) BROOKVILLE RELEASES ADDITIONAL BL20 LOCOMOTIVES: Today the Brookville Equipment Corporation has released BL20 locomotive Connecticut Department of Transporation 130 and Metro North BL20 110. The 130 is the last of the Conn Dot BL20s to be delivered while the 110 is the first such Metro-North unit. Both are expected to be in transit to Harmon, N.Y. this coming holiday weekend. (Andy Kirk - posted 7/02) MISSOURI PROVIDES $5 MILLION FOR IMPROVED AMTRAK SERVICE: Reliability of Kansas City to St. Louis trains operated by Amtrak for the Missouri Department of Transportation can improve, thanks to $5 million provided by the Missouri state legislature and approved by Gov. Matt Blunt to increase track capacity on the route. The Missouri Mules (Trains 311, 313, 314 & 316) provide twice-daily round trips across the state and have been plagued by lengthy delays due to heavy freight traffic on the Union Pacific Railroad line. “This is great news for Missouri,” said MoDOT Director Pete Rahn. “This funding will lead to improved service, helping make Amtrak trains an even better travel alternative.” New track extensions, called sidings, will reduce bottlenecks between Kansas City and Jefferson City in west central Missouri. These parallel tracks can allow trains to pass each other without having to stop. In addition to the state appropriation, MoDOT is seeking an additional $5 million in federal matching funding from a new Federal Railroad Administration program. “This marks a major change in Missouri’s approach to passenger rail,” Rahn added. “State-supported Amtrak service has been running between Kansas City and St. Louis since 1979 and each year legislators have budgeted only enough money to operate the trains; nothing to build improvements. This capital improvement funding shows a new level of commitment by our legislators to Amtrak service.” Missouri Senate Leader Mike Gibbons was instrumental in the legislative push to provide the additional funding. "As gas prices continue to rise, Missourians need and deserve a reliable and affordable alternate mode of travel,” he said. “This funding allows trains to pass without delay, relieves congestion and will improve on-time performance of passenger rail, meaning it will be a real option for travelers.” Improvements on the line could not be occurring at a better time. Ridership between Kansas City and St. Louis increased sharply in April and May, compared to the same period last year. “Much of this route is a single set of tracks and Amtrak trains share the limited capacity with numerous freight trains,” said Michael Franke, Amtrak Assistant Vice President – State Partnerships. “Investments in infrastructure have been sorely needed for passenger trains to operate more reliably between St. Louis and Kansas City." “This capital funding is an important first step in addressing the capacity of this heavily-used corridor and such investments in the infrastructure will ultimately lead to improvements in train performance,” Franke added. A study of chokepoints on the route was completed in 2007 by the University of Missouri-Columbia and siding construction and extensions were found to have the most immediate prospect for service improvements. “This study forms the basis of discussions with Union Pacific Railroad as to how the project will be implemented, and discussions with the railroad on how the project will take shape will begin in the next few weeks,” said Brian Weiler, MoDOT Director of Multimodal Operations. “These improvements will also complement Union Pacific’s own improvements near the chokepoints at the Gasconade and Osage rivers.” (Amtrak - posted 7/02) EASTSIDE ACCESS TUNNEL BORING MACHINE REACHES GRAND CENTRAL TERMINAL: The Metropolitan Transportation Authority (MTA) today announced that after just eight months, the first of two 200-ton tunnel boring machines had completed its mile-long plus journey from the bedrock beneath the intersection of 63rd Street and Second Avenue to the terminus of what will become a new station and concourse underneath Grand Central Terminal. The second machine is scheduled to complete its parallel journey near the end of the summer. “It is terrific that the progress on the East Side Access project is moving forward steadily,” said Elliot G. Sander, the Executive Director and CEO of the MTA. “We look forward to inaugurating Long Island Rail Road service at Grand Central Terminal – a dream many have shared for generations.” Now that the machine has reached its destination, excavation will begin on what will become a cavern underneath Park Avenue between 49th and 51st Streets that will connect the newly built tunnel with parallel tunnels which will allow the future Long Island Rail Road flexibility in accessing all eight tracks in the new station under Grand Central. That work involves intermittent blasting and mechanical excavation that is scheduled to begin in mid-July and last for six to eight months. MTA Capital Construction and the contractor working on the project, a joint venture of Dragados, S.A., and Judlau Contracting, have worked to minimize the size and impacts of blasts. One to two blasts per day will occur when blasting is underway, although the team does not expect that blasting will occur each day. Each blast will be imperceptible to most people in the Grand Central Terminal area. If felt, the noise and vibration may be similar to the muffled thud of a box of books dropped on the floor in another room. The East Side Access project will provide Long Island Rail Road service to Grand Central Terminal for 160,000 customers a day. (MTA - posted 7/02) STUDY SHOWS THAT FREIGHT RAIL CAN REDUCE GRIDLOCK ON AMERICA'S HIGHWAYS: The seventh annual Congestion Relief Index, a study of traffic congestion in 82 major urban areas, shows that freight rail can help reduce time spent in gridlock traffic, thus saving drivers hundreds of dollars in gasoline and hours behind the wheel. If 25 percent of freight volume is shifted from trucks to rail, by 2026, commuters across the United States could each save an average of $985 in fuel costs. Even more, the shift of freight volume would save commuters 41 hours a year – an entire work week – in time spent in their cars. “With gas prices at an all-time high, Americans can’t afford to waste money and time sitting in traffic. Because one intermodal train can take nearly 300 trucks off our highways, shifting freight from trucks to trains reduces competition between commuters, drivers and freight traffic for space on the road,” said Wendell Cox, author of the study and principal of Demographia, a market research and urban policy consultancy. “Freeing up space on our highways increases the flow of traffic and saves commuters’ time, money and gasoline.” The study shows that a 25 percent shift of freight from trucks to rail in urban areas in the U.S. by 2026 would, on average:
OFFICIALS GATHER FOR OPENING OF RESTORED SHELTER AT HISTORIC BLOOMFIELD STATION U.S. Representative Bill Pascrell, Jr. and NJ TRANSIT Executive Director Richard Sarles joined Bloomfield Mayor Raymond McCarthy and other officials today to celebrate the reopening of the newly restored shelter at the historic Bloomfield Station on the Montclair-Boonton Line. "I am pleased to have been able to secure funding toward a project that provides a more comfortable commuting environment for Bloomfield residents," said Pascrell, who secured the federal funding while a member of the House Transportation and Infrastructure Committee. "This project is a great example of how the Federal Transit Administration and NJ TRANSIT can work together to improve the link between transportation and communities," said FTA Regional Administrator Brigid Hynes-Cherin. "As a representative of this district, I am proud to have worked on ensuring that sufficient funding levels were directed toward making these improvements at Bloomfield Station," said State Senator Ronald L. Rice, who serves as Chairman of the Senate Community and Urban Affairs Committee. "This project enabled us to provide an enhanced commuting experience for customers of Bloomfield Station while preserving a historic asset to the Township and the State," said Transportation Commissioner and NJ TRANSIT Board Chairman Kris Kolluri. Listed on the State and National Registers of Historic Places, the inbound shelter of Bloomfield Station suffered fire damage in 1991 and was stabilized in 2004 to preserve the structure for future rehabilitation. The completed project offers customers a restored and reopened shelter, with a climate-controlled waiting area, new lighting and seating. Also today, Bloomfield Township officials joined Congressman Pascrell to unveil a new vehicle received through NJ TRANSIT’s Community Shuttle Program to expand the Township’s jitney bus service. Communities that participate in the program receive mini-buses—leased at no charge—to operate commuter shuttles to train stations and bus corridors during peak hours. "With connecting bus service and a Community Shuttle stop right at the station, Bloomfield Station is a model of intermodality, where customers can transfer with ease between shuttles or buses and the train," said NJ TRANSIT Executive Director Richard Sarles. "NJ TRANSIT’s investment in Bloomfield Station has not only provided a safer, more comfortable commute for our Township residents," said Bloomfield Township Mayor Raymond McCarthy. "It has restored the historic character of a building that is at the heart of our central business district." In May 2007, the NJ TRANSIT Board of Directors awarded a $1.3 million contract to Watertrol, Inc. of Cranford, NJ to rehabilitate the inbound shelter and restore the boarding platforms. The project included installation of new windows, floor tiles, lighting and seating, as well as heating and air conditioning in the waiting area. The project also called for the repair and staining of the concrete platform and canopy, strengthening of roof supports and installation of new roofing tiles. Serving more than 900 customers on a typical weekday, Bloomfield Station is NJ TRANSIT’s third busiest outlying station on the Montclair-Boonton Line. (NJ Transit - posted 6/30) HO TOWER BULLDOZED: Reportedly the infamous HO Tower, located along the former B&O mainline across the Potomac River from Hancock, Md., was demolished by bulldozers early Thursday. This was one of the last mechanical lever interlockings in North Amerca.. (Alexander D. Mitchell IV - posted 6/28) AGREEMENT ON GARY/CHICAGO INTERNATIONAL AIRPORT EXPANSION SMOOTHES WAY IN INDIANA FOR CN'S EJ&E ACQUISITION: CN said today a four-party preliminary memorandum of understanding (PMOU) on the rail line relocation required for the expansion of Gary/Chicago International Airport (GCIA) should resolve a key concern that had been raised in opposition to CN’s proposed acquisition of the principal lines of the Elgin, Joliet & Eastern Railway Company (EJ&E). GCIA, EJ&E, CSX Corporation, and Norfolk Southern Corporation (NS) signed the PMOU, which was announced earlier today. CN, while not a signatory to the PMOU, is committed to honor its terms upon regulatory approval of its EJ&E acquisition by the Surface Transportation Board (STB) and its assumption of control of the EJ&E lines. “CN welcomes this agreement and salutes key stakeholders for working cooperatively to resolve engineering issues related to GCIA’s expansion,” said E. Hunter Harrison, CN president and chief executive officer. “The end result will also ensure a fluid, effective rail network in Northwest Indiana. This is important to CN and to the region’s economy. “CN is particularly pleased that this agreement should mean the STB need not invest additional time and resources in examining concerns that had been raised by GCIA and others about the potential impact of our proposed purchase of the EJ&E on the GCIA’s operations and expansion plans. We hope that resolving these issues, including concerns that the STB’s Section of Environmental Analysis had indicated it would review as part of its environmental assessment, will help to expedite the STB’s overall review of our transaction,” Harrison said. The joint agreement as it affects CN’s EJ&E transaction calls for::
UNION PACIFIC AND NORFOLK SOUTHERN INTRODUCE NEW AUTOMOTIVE CO-LOADING SERVICE: Automotive manufacturers now have the ability to take advantage of each other’s rail car capacity to deliver finished vehicles to market faster and more efficiently. Union Pacific and Norfolk Southern have launched a new Automotive Interline Co-Loading Service, which allows multiple manufacturers’ vehicles to be combined within a single rail car. By combining smaller shipments of vehicles, manufacturers avoid having to wait to fill a rail car by themselves. For example, on April 30, Union Pacific and Norfolk Southern partnered for the industry’s first Interline shipment. Chrysler minivans and Ford F150s were co-loaded at Norfolk Southern’s loading facility in Melvindale, Mich., and unloaded approximately 2,241 miles away at Union Pacific’s facility in Mira Loma, Calif. “Innovative collaboration like our Co-Loading Service allows us to be proactive in providing new solutions to serve our customers’ changing needs,” said Julie Krehbiel, vice president and general manager-Automotive Marketing and Sales for Union Pacific. “This new service significantly enhances efficiency in the vehicle distribution supply chain at the origin and destination.” “Improved service for the auto manufacturers is also a primary target of this new capability. Co-Loading will create the ability to ship vehicles sooner by generating rail car quantities of vehicles by combining smaller destination facility shipments," said David Julian, President - Automotive & Supply Chain Services for Norfolk Southern Railroad. (NS - posted 6/27) SEPTA TO LEASE RAIL CARS FROM NJ TRANSIT TO EASE OVERCROWDING OF REGIONAL RAIL TRAINS The SEPTA Board has approved the lease of eight rail cars from NJ Transit to ease overcrowding of the Regional Rail system that has resulted primarily from an influx of riders due to high gasoline prices. The eight used cars, which have no independent propulsion, will be used on seven SEPTA trains that are propelled by diesel locomotives. Schedule adjustments will be made for these trains to carry additional customers and permit further flexibility of system-wide rider capacity. “This is a new challenge we are happy to face,” said SEPTA General Manager Joseph Casey. “Since January we have been providing almost three million more rides each day. The acquisition of these additional rail cars, plus other measures to increase capacity, should provide seats for our customers until our brand new cars begin arriving next year,” he said. SEPTA has ordered 120 new regional rail cars from Rotem USA, the first of which will begin arriving in late 2009. The eight NJ Transit cars will be leased for two years at a monthly cost of $10,000 or $1,250 per car. SEPTA’s diesel propelled rail fleet operates primarily on its longer rail lines; R5 Thorndale/Paoli, R3 West Trenton, R7 Trenton. The majority of the SEPTA rail fleet consists of self-propelled, electric-powered trains (SEPTA - posted 6/26) RAIL FREIGHT TRAFFIC DOWN DUE TO MIDWEST FLOODS: Midwest floods continued to negatively impact rail freight traffic during the week ended June 21, the Association of American Railroads (AAR) reported today. Carload freight in the week totaled 318,275 cars, down 5.7 percent from the comparable week last year. Volume was off 6.1 percent in the West and 5.3 percent in the East. Intermodal volume, which is not included in the carload data, totaled 228,547 trailers or containers, down 5.6 percent from a year ago. Trailer volume was off 1.8 percent while container traffic dropped 6.6 percent. Total volume was estimated at 32.8 billion ton-miles, down 4.4 percent from the 25th week of 2007. Only two of 19 carload commodities registered gains from a year ago with chemicals up 4.9 percent and grain mill products up 0.8 percent. Among commodities reporting declines were motor vehicles and equipment, 19.3 percent; lumber and wood products, 21.8 percent; and petroleum products, 11.6 percent. Cumulative volume for the first 25 weeks of 2008 totaled 8,123,172 carloads, up 0.3 percent from 2007; 5,531,341 trailers or containers, down 3.2 percent; and total volume of an estimated 839.8 billion ton-miles, up 1.6 percent from last year. On Canadian railroads, during the week ended June 21 carload traffic totaled 75,754 cars, down 6.9 percent from last year while intermodal volume totaled 48,407 trailers or containers, down 1.4 percent from last year. Cumulative originations for the first 25 weeks of 2008 on the Canadian railroads totaled 1,863,363 carloads, down 4.0 percent from last year, and 1,178,674 trailers and containers, an increase of 4.3 percent from last year. Combined cumulative volume for the first 25 weeks of 2008 on U.S. and Canadian railroads totaled 9,986,535 carloads, down 0.5 percent from last year, and 6,710,015 trailers and containers, a 1.9 percent decrease from last year. The AAR also reported that carload freight on the Mexican railroad Kansas City Southern de Mexico (KCSM) during the week ended June 21 totaled 10,628 cars, off 3.9 percent from last year. KCSM reported intermodal volume of 4,887 trailers or containers, up 5.8 percent from the 25th week of 2007. For the first 25 weeks of 2008, KCSM reported cumulative volume of 262,602 cars, down 3.2 percent from last year, and 119,021 trailers or containers, up 10.0 percent. Railroads reporting to AAR account for 89 percent of U.S. carload freight and 98 percent of rail intermodal volume. When the U.S. operations of Canadian railroads are included, the figures increase to 96 percent and 100 percent. The Canadian railroads reporting to the AAR account for 91 percent of Canadian rail traffic. Railroads provide more than 40 percent of U.S. intercity freight transportation, more than any other mode, and rail traffic figures are regarded as an important economic indicator. AAR is the world's leading railroad policy, research and technology organization focusing on the safety and productivity of rail carriers. (AAR - posted 6/26) VIA'S FLAGSHIP CANADIAN MOVING TO A NEW SCHEDULE: On December 2, 2008, VIA's flagship western transcontinental Canadian will depart at a new time. A new evening departure time from both Vancouver and Toronto will enable passengers to make connections in Toronto to/from eastern Canada, as well as provide customers with more daylight viewing through the Rockies. The cross-country journey will move from a three-day, three night trip to a three-day, four-night schedule and will also include additional time at select enroute stations where the opportunity for touring is possible. "The redesign of the Canadian's schedule was undertaken with our customers in mind," said VIA's Chief Customer Officer, Steve Del Bosco. "We want to provide the best total travel experience for our customers, from the service in our stations and on board, to the overall on-time operation of the train itself. This new schedule addresses not only the needs of our customers but tour operators as well." << Highlights of the redesigned schedule: - The new schedule comes into effect December 2, 2008; - The operating departure days from Vancouver and Toronto remain unchanged; - Thrice weekly departures from Toronto on Tuesday, Thursday and Saturday; - Thrice weekly departures from Vancouver on Tuesday, Friday and Sunday; - One additional night is added to the schedule in each direction thus changing the arrival days in Toronto and Vancouver; - The departure times at both originating terminals move to an evening departure. - Train No.1 - departs Toronto at 22:00 and arrives in Vancouver +4 at 09:42 - Train No.2 - departs Vancouver at 20:30 and arrives in Toronto +4 at 09:30 The new schedule will mean a change in train operations for some communities. For example, in the Prairies and British Columbia (Saskatoon, Kamloops) the new eastbound operation will make daylight train travel a viable option. VIA's Canadian was the only regularly-scheduled train in North America to be included in the Society of International Railway Travelers, 2008 "World Top 25 Trains". From Toronto to Vancouver, no matter the time of year, the images are unforgettable: mountain sheep grazing in the Rockies, elk loitering outside Jasper, the skyline of Toronto looming on the horizon. And if you choose to add a touch of elegance to your journey with VIA's Silver & Blue class, it begins with a bon voyage reception and continues with award-winning service that includes on-board fine dining, accommodations and attention par excellence. Passengers can enjoy the scenery from the large picture windows of their seats or from the 360 degree scenic dome. For more information on VIA's Canadian, train schedules or to book a trip anywhere in the VIA system, customers can visit VIA's secure Web site at viarail.ca. Passengers also can book their tickets at self-ticketing kiosks in most Québec City-Windsor Corridor stations, by calling 1 888 VIA-RAIL (1 888 842-7245), TTY 1 800 268-9503 (hearing impaired), or through their travel agent. (VIA Rail Canad - posted 6/25) GO TRANSIT WILL USE NEW STREAMLINED ENVIRONMENTAL ASSESSMENT PROCESS TO STUDY UPCOMING PROJECTS: GO Transit is pleased that the Ontario government has approved a revised, streamlined six-month environmental assessment (EA) process for transit projects in the Greater Toronto Area. GO plans to submit several upcoming improvement projects for study under the new process. "We recognize the important role GO plays in preserving our environment," said GO Transit Chairman Peter Smith. "The Ontario government wants GO to expand, and this streamlined EA process is a strong signal that they are cutting out red tape to make it happen." The first project GO will submit under the revised EA process is the proposed expansion of rail service on the Milton line. The study will explore introducing all-day, two-way GO Train service to meet demand. GO will also submit its proposed Lakeshore East train service extension to Bowmanville for assessment under the new process. GO Trains currently run as far east as Oshawa, with GO Buses offering connections east to Bowmanville. With the six-month EA process for transit projects, GO will be able to more promptly improve and expand transit options for commuters across the GTA and Hamilton. "We would like to express our thanks to Environment Minister John Gerretsen and to Transportation Minister Jim Bradley for making this happen. GO Transit is always looking for ways to improve service for our customers, and this shorter EA process will really help," said Smith. GO Transit is the Province of Ontario's interregional public transit system linking Toronto with the surrounding regions of the Greater Toronto Area (GTA). GO carries more than 50 million passengers a year in an extensive network of train and bus services that spans over 8,000 square kilometres. (VIA Rail Canad - posted 6/25) FREIGHT RAIL SEEN AS WAY TO REDUCE GREENHOUSE GASES: The nation would save billions of gallons of fuel and reduce greenhouse gas emissions by millions of tons if freight was shifted from highways to rail, a Senate panel was told today. "Greater use of rail transportation offers a simple, cost-effective and immediate way to meaningfully reduce greenhouse gas emissions without potentially harming the economy," Association of American Railroads President and CEO Edward R. Hamberger said during a hearing on climate change and transportation by the Senate Committee on Commerce, Science and Transportation. "One way we positively impact the environment is by reducing fuel and energy consumption," he continued. "Railroads last year were able to move a ton of freight an average of 436 miles on a gallon of diesel fuel. It's like moving a ton from Boston to Baltimore or Eugene, Ore., to San Francisco on a gallon of fuel." Hamberger noted that railroads are almost four times as fuel efficient as trucks, adding: "If just ten percent of the long haul freight moving by truck were shifted to rail, annual fuel savings would exceed one billion gallons." He pointed out that greater fuel efficiency brings with it fewer emissions of greenhouse gases. "Every ton-mile of freight that moves by rail instead of highway reduces greenhouse gas emissions by two-thirds or more. Shifting 10 percent of the long-haul freight that moves by truck would reduce annual greenhouse emissions by more than 12 million tons." Freight railroads, he added, account for just 0.7 percent of the nation's greenhouse gas emissions. Moving more freight by rail can also help reduce "gridlock on America's highways, saving commuters time, money and fuel," Hamberger said. "If 25 percent of freight volume was shifted from trucks to rail by 2026 commuters could save an average of 41 hours a year in commuting time, 79 gallons of fuel and nearly $1,000 in total congestion costs." Hamberger said that expanded passenger rail would also be good for the environment. "The average intercity passenger train produces 60 percent lower carbon dioxide emissions per passenger mile than the average automobile and half as much as an airplane." Capacity remains a significant challenge to both freight and passenger rail, he said. Hamberger then proposed several policy initiatives to increase the capacity of the rail network. "First, pass the Freight Rail Infrastructure Capacity Expansion Act (S.1125/H.R. 2116) which provides a 25 percent tax credit for investments in new track, intermodal facilities and other projects that increase capacity. That credit would be available not just to railroads but to any entity that invests in rail capacity expansion." He also urged passage of the Short Line Railroad Investment Act "which extends a targeted tax credit for smaller railroads that expired at the end of last year." Finally, he called for more public private partnerships in which the public pays for the benefits it receives and railroads pay for the benefits they receive. "The Chicago CREATE project, the Heartland Corridor, and the Alameda Corridor are all examples of such projects in which public and private dollars are leveraged together to produce public benefits that otherwise would not be realized." Review Mr. Hamberber's testimony at www.aar.org/Government_Affairs/testimony/ and click on the entry: "Edward R. Hamberger, President & CEO, AAR: Hearing on Climage Change Impacts on the Transportation Sector." (posted 6/24) |
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