KCS + DME/ICE?

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.

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rrfoose
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KCS + DME/ICE?

Post by rrfoose » Sat Jun 16, 2007 4:32 pm

Why didn't KCS pick up I&M Rail Link from MRL? I know that MRL sold it to DM&E because it didn't fit into their operations, and it does for the DM&E (now as their IC&E), but couldn't KCS use the access to Chicago and the Twin Cities via Kansas City? Would KCS make a play for the entire DME/ICE system in the future, or would that be a foolish investment?

CN9634
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Post by CN9634 » Sat Jun 16, 2007 4:38 pm

DM&E/ICE is up for sale. CP and CN are potential buyers. This comes from Trainsmag.com Newswire. To summarize, DM&E was denied the load for 2.5 billion dollars, so they've searched for other methods. They believe the only viable method was infact to sell the railroad to someone. By doing so they will become a "Junior Partner" in a finacial situation which will put them in the PRB. Basically, you can expect DM&E, or whatever it will become, trains rolling out of the PRB in the near future.

rrfoose
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Post by rrfoose » Sat Jun 16, 2007 5:40 pm

Thanks for that update - hadn't checked the newswire recently to see that. Guess it was bad timing for such a topic. But it doesn't look like KCS will be a bidder anyway, so I suppose that pretty much ends this topic. If KCS were interested, now's the time (although I doubt they have the pockets to outbid CN or CP).

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Tadman
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Post by Tadman » Sun Jun 17, 2007 1:03 pm

I think KCS is too busy and too financially tied up with their Mexican operations to worry about PRB. It's a shame, because I think it would be just the outfit to run a superb PRB operation.

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