I think there are two possibilities. Imagine for a moment that they are planning on something bigger, like running Poland Springs water intermodal trains through Mechanicville for delivery and interchange onward to NS. That is where there appears to be some serious growth right now. Pan Am is a relatively small railroad in some senses and right now the big "growth" (in terms of carloads) seems to be coming from Poland Spring. In my mind that makes the relationships between their actions and reactions relatively linear. There's one input (new volume building multiple new freight routes) and one output (new power acquisitions and physical plant improvements at terminals).
Here's the Poland Spring Warehouse for New York. It's in Jersey City. Who's got the freight rights in that area? Conrail Shared Assets. I don't know what the volume for Poland Springs looks like to New York City but I would imagine it could be in excess of 50 containers a day. They have another facility in Brooklyn as well and of course I'm sure there are other major foodservice warehouses that take delivery directly from the bottling plants. You can imagine at that point that number of trucks they must have on the road at any given time headed for New York. It's an absolutely astronomical figure.
Notice also the proximity of the Tropicana facility. Who cares right? Well keep in mind that the Transportation Director at Poland Springs who has been making all of these changes came from Tropicana, ran their Juice Trains and would be intimately familiar with the transportation challenges in that area. I'm just making a guess. For all we know this could just be the execution of planned capital spending that has been developing over the long term. But if you're going to move large quantities of Poland Spring water to New York City by container I think Mechanicville, NY and then Jersey City, NJ makes more sense than Plainville, CT. Crazy to imagine that this water would cross the Hudson twice before arriving at its final destination but stranger things have happened and that's the power of bulk volume movements in freight transportation.
Here's the Poland Spring Warehouse for New York. It's in Jersey City. Who's got the freight rights in that area? Conrail Shared Assets. I don't know what the volume for Poland Springs looks like to New York City but I would imagine it could be in excess of 50 containers a day. They have another facility in Brooklyn as well and of course I'm sure there are other major foodservice warehouses that take delivery directly from the bottling plants. You can imagine at that point that number of trucks they must have on the road at any given time headed for New York. It's an absolutely astronomical figure.
Notice also the proximity of the Tropicana facility. Who cares right? Well keep in mind that the Transportation Director at Poland Springs who has been making all of these changes came from Tropicana, ran their Juice Trains and would be intimately familiar with the transportation challenges in that area. I'm just making a guess. For all we know this could just be the execution of planned capital spending that has been developing over the long term. But if you're going to move large quantities of Poland Spring water to New York City by container I think Mechanicville, NY and then Jersey City, NJ makes more sense than Plainville, CT. Crazy to imagine that this water would cross the Hudson twice before arriving at its final destination but stranger things have happened and that's the power of bulk volume movements in freight transportation.
gokeefe