Goderich-Exeter / Southern Ontario Railways

Hello,
I have heard rumors that CN will "re-absorb" the Goderich-Exeter and Southern Ontario Railways. Does anyone know the truth of these rumors, and, perhaps more importantly, the reason for this "re-absorption"? Is GWRR unhappy running these railroads? Or did CN - like one of their regional counterparts south of the border - allow GWRR to maintain and expand the traffic base through good customer service and now are "stealing" that traffic back? Just curious why this is happening. With rare exceptions (e.g. Huron Central), GWRR buys railroads and doesn't sell or abandon them.
Best,
Fritz
P.S. I apologize if there is already a thread on this topic; I was unable to locate it.

This could be the main reason. Several of the short lines in Canada need funding for capital improvements but the government sees otherwise.



RAC: Short lines need dedicated funding


There have been two high-profile short line rail issues in Canada in the past year with the closing of the Hudson Bay Rail Line in Manitoba due to flood damage and the recently announced plans to cease operations on the Huron Central Railway in Northern Ontario.

RAC says the country’s short lines are an integral part of its transportation system and expressed “profound discontent at the lack of capital funding programs dedicated to helping” those railroads invest in their infrastructure.

https://www.railwayage.com/freight/rac- ... -regionals" onclick="window.open(this.href);return false;

Yes funding for capital repairs is definitely a problem. I haven't seen the SOR recently, but some parts of the GEXR have definitely seen better days.

It is worth noting that the GEXR will still exist, but it will only operate over the Goderich and Exeter subdivisions. Everything else will revert back to CN come November, although I do believe GEXR will still have trackage rights.