CN just acquired rail from the shortline Railamerica in Canada. There are some rumors circulating they could be buying more rail in the U.S. has anyone else heard this?
Railroad Forums
Shortline purchase
- Discussion relating to the Canadian National, past and present. Also includes discussion of Illinois Central and Grand Trunk Western and other subsidiary roads (including Bessemer & Lake Erie and the Duluth, Missabe & Iron Range Railway). Official site: WWW.CN.CA
Would love to see them get the SLR back.Are you kidding? The SLR is swimming in profits on a line where CN didn't consider it worthwhile to stay--they're using freshly rebuilt road slugs on an expanding percentage of welded rail. Secondary lines like the SLR are just more efficient in the hands of a small railroad than a Class 1. What CN is good at is taking the cars assembled by smaller roads and moving them longer distances--which is currently the case with the SLR.
--Michael Eby
--http://trainiax.net
--http://trainiax.net
People,
Please do not forget that CN shed their shortlines for three reasons;
1) To generate cash for the purchase if Illinois Central.
2) To downsize, saving on maintenance while shedding employees.
3) To bust the unions out, and spare themselves a LOT of pension payments.
I predicted when it began that within 20 years, CN would regain most of it's shortlines. Looks like that was sooner than expected. If you look at how the spin-offs have been run in the east, they've just been CN Marionettes with the strings being pulled in Montreal.
Dieter/
Please do not forget that CN shed their shortlines for three reasons;
1) To generate cash for the purchase if Illinois Central.
2) To downsize, saving on maintenance while shedding employees.
3) To bust the unions out, and spare themselves a LOT of pension payments.
I predicted when it began that within 20 years, CN would regain most of it's shortlines. Looks like that was sooner than expected. If you look at how the spin-offs have been run in the east, they've just been CN Marionettes with the strings being pulled in Montreal.
Dieter/