CMQ for sale?

[gokeefe]

That would probably require an abandonment proceeding. They don't really have a choice on that one (until the transaction closes and they can file).

[Cowford]

what is missing? Rockland branch.

Not that I think the Rockland branch is long for this world as a CP-managed property, but it's more likely that the line was not included as CP will only acquire the contract to operate the line for MDOT, not own the line itself. Note that the St-Guillaume Subdivision is shown on their map, but that line has long been out of service.

The CMQ addition to the investor book must have been a rush job, given the lack of editing. I counted at least six grammar errors on pg 69. "The port of St. John..."? Egad.

[johnpbarlow]

Looks like CMQ's US lines will officially be acquired by CP's Soo Line subsidiary per this request for Motion for Protective Order filed with the STB on 12/3/19: https://dcms-external.s3.amazonaws.com/ ... /50036.pdf

Filing will be submitted to STB no later than 12/19/19.

[Zeke]

Job 2 east of Farnham Jan 2, 2020.https://youtu.be/3s_t6kcsd-g

[MEC407]

I think you posted the wrong video.

[CN9634]

Anyone else listen to Creel’s presentation at the Credit Suisse conference? He has about 7 minutes of discussion on CMQ. For example, plan is Saint John to Montreal in 24 hours.... a lot of other interesting bits on there I suggest a listen (the audio sucks but it’s on CPs investor website)

[fromway]

24 hours St. John to Montreal!!!! They will need a traffic cop in the Keag to keep things going smoothly. Are there any bi-pass facilities along the way? They will be keep the Homeland Security people busy at the borders.

[CN9634]

His words not mine... but I suspect it will require a run-through train to make it work properly, with an NBSR crew doing the leg SJ to Brownville Jct in 8 hours, then a CP crew taking over, doing work, and getting to Montreal in the remaining 16. It should be possible once all the track work has been done.

As for customs, the NAFTA improvements circa 2010 with AES and e-manifesting significantly improved cross border cargo flow. Also, things will move in Bond for cars going Canada-Canada (or even still US-US via Canada) so that shouldn't create problems. Customs will certainly flag and stop cars here and there, but they can alert the crew before they hit the border to make a certain setoff well in advance. As it stands now, it isn't really a problem, and much improved from the years before.

[RRAcadia]

The audio from Creel’s presentation was very interesting, sounds pretty promising for the Moosehead and Searsport lines. Big improvements on the way and it sounds like CP isn’t going to waste any time getting stuff done.

[Cowford]

The Atlantic Limited's schedule was 13 hrs, I believe. Doable, but a 24-hr schedule (~21 mph ave train speed) wouldn't leave much time for enroute set-offs and lifts, and would be further challenged by the "longer is better" operating preference guiding the industry today. What are the restrictions/requirements, if any, on US crews working in CDA and vice-versa?

[BAR]

Good question from Cowford about restrictions on crews operating across the border. Amtrak crews work through to Montreal and to Vancouver but how about freight operations? CM&Q crews operated across the international bridge to St. Leonard (very short distance) and trains 1 and 2 change crew nationality at Jackman. Any information about restrictions/requirements or actual current operations appreciated.

[Zeke]

What I don't get is the whole deal. CP has been ruthless in it's devotion to PSR and the attendant penny pinching. Why buy the CMQ with it's need to basically rehab 300 miles of track and bridge replacement reinstall the signal system and many other things required to bring CMQ up to 50--60 mph Class one standards? Friend of mine who is a big wheel one a class one thinks the Irving's may want out of the biz and CP made the first step by grabbing the CMQ possibly before the CN got wind of it. Something really big is more than likely in the works for CP to bite the hook. I know we have been through it here but this is a head scratcher for me.

[CN9634]

You can literally listen to the CEO of CP discuss this. Link is below:

https://www.webcaster4.com/Webcast/Page/1302/32451

[Zeke]

Thanks CN interesting talk by Creel. I am still suspicious, if that's the right word, as to why they would buy the CMQ in mind of the 150 million or more to rehab to CP standards. To spend that amount of hard earned cash they must have mighty big deals up their sleeve and are playing it cool. There is no love lost between CP and arch competitor CN. Wonder what Megantic is thinking now that a class one with the obvious traffic increase including an increase in Haz mat traffic and possibly resumption of Crude by rail ?

[bostontrainguy]

Lac-Megantic is still getting it's bypass.