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  • KCS - SP Merger in 1980s

  • Discussion related to the past and present operations of Kansas City Southern Lines, including affiliates Texas Mexican Railway, Grupo Transportation Ferroviaria Mexicana (TFM), and Panama Canal Railway Co. Official web site can be found here: KCSOUTHERN.COM.
Discussion related to the past and present operations of Kansas City Southern Lines, including affiliates Texas Mexican Railway, Grupo Transportation Ferroviaria Mexicana (TFM), and Panama Canal Railway Co. Official web site can be found here: KCSOUTHERN.COM.

Moderator: GOLDEN-ARM

 #1131345  by CPF363
 
Following the ICC's rejection of the merger between the AT&SF and Southern Pacific, KCS made a significant effort to purchase the entire SP for $1 Billion and assume debt. What were the major reasons why KCS wanted the SP? Would they have been able to operate it successfully more so than the Rio Grande did? Would there be three systems in the west today: BNSF, UP and KCS-SP? Where would the D&RGW had gone in the end?
 #1343701  by Engineer Spike
 
That's a weird question. Who knows, would UP want another line to connect with WP? It wouldn't get BN anywhere, since Salt Lake City would be the end of the line. Same goes for Santa Fe connecting from the south.

SP-KCS sounds like the best fit. It might have been able to get a line east of Denver, like the old RI. Another important link would be KC- St. Louis.

Rio Grand might have ended up as a former class 1, now regional, like FEC, or B&M.
 #1343735  by Backshophoss
 
To gain access to Mexico,SP reached Brownsville Tx,Texas-Mex RR reached Laredo Tx,(then just a shortline till KCS bought)
both have Rail Border crossing points.
 #1346847  by CPF363
 
There was a real effort on the part of KCS to purchase the SP during the Santa Fe-SP merger deliberations and after the SF-SP merger was denied by the ICC in 1987. They were ultimately beat out by the Rio Grande. See below for related articles:

http://utahrails.net/sp/sp-atsf-merger.php" onclick="window.open(this.href);return false;

http://www.joc.com/rail-proposes-bid-sp ... 70105.html" onclick="window.open(this.href);return false;