SERIOUSLY! What gives? Nolan grew East Penn in leaps and bounds, and Regional Rail has done zero to grow business...before the ink was dry on the sale of East Penn to Regional rail, they looked to abandon the Colebrookdale and Chester Valley branches. And God help them if they speak to the press.
rob216 wrote:Sometimes you just need to cut your losses somewhere before it takes you down. This line did not have any active customers in years and sure didnt have coming at all.
Do you have a clue what you are talking about? Trash trains crossed 202 up until Regional Rail took over. Regional Rail stopped service on the line, just like they did to the plastic manufacturer in Boyertown. Even NS ran the Devault branch up until the last customer left town in 2004. And the track is still in place.
jrevans wrote:Rumors has it that NW2 #9008 is being cut up and scrapped on site beneath the PA turnpike overpass.
A shortline destroying what little assets they have? Could they be anymore mismanaged? They have a tiny handful of engines and they are slicing up the one engine on this property.
Class 1 RRs "cut their losses" on branch lines. Class 3 shortlines never....never...trim what few lines they have. They do the opposite: keep every piece of trackage they have.
Put this all together:
1) quick abandonments after company takeover
2) avoid the press when questions, never returning calls
3) removing freshly laid rail and signals
4) scrapping rolling stock
Here is their corporate motto:
"The vision of Regional Rail, LLC is to acquire or create a core group of shortline railroads and or rail related companies, and to manage these companies according to best practices in the industry" - even if it means to cut lines with active customers
"The business model of Regional Rail, LLC is to realize the synergies of combining these smaller entities into a larger enterprise, thereby reducing administrative costs, increasing marketing opportunities, improving negotiating position with suppliers and connecting carriers, and increasing the purchasing power of the combined entities. This will provide improved customer satisfaction, improved profitability, and facilitate long term growth and continued reinvestment into these companies." In short, be the next CSX. Too big for their britches. Abandon their way to profitabilty.
Formed April 2007
Acquired East Penn Railroad, LLC in August 2007 - and began cutting any lines that did not fit the "vision"
Acquired Middletown & New Jersey Railroad LLC in April 2009
Currently reviewing several expansion and/or acquisition opportunities - really? when was the last time this website was updated? Nowhere on here does it say "cut costs, abandon lines."
I have never seen a railroad of this size abandon a line so quickly and rip in up not even a month later. They filed on 4/5/11. Ripped it up less than 4 weeks later.
Somewhere in here, they attempt to run a railroad. They will attempt to abandon any line they own, because it is cheaper to have trackage rights on other railroads. Their recent "growth" opportunties in December 2010 emtailed partnering with the New Hope and Ivyland Railroad to form the Pennsylvania Northeast Railroad, which would be taking over freight operations in the Lansdale area from CSX. My point - run trains on other people's tracks while abandoning the trackage they own, regardless of the amount of customers.