CMQ for sale?

Discussion of present-day CM&Q operations, as well as discussion of predecessors Montreal, Maine & Atlantic Railway (MMA) and Bangor & Aroostook Railroad (BAR).

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Dcl1332
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Re: CMQ for sale?

Post by Dcl1332 » Sat Dec 14, 2019 2:45 pm

Something that I noticed but I haven’t see it mentioned. CMQ has track rights on the northern Maine railroad north of Millinocket. Guessing that means CP has track right on the entire NBSR system.
DCL

roberttosh
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Re: CMQ for sale?

Post by roberttosh » Sat Dec 14, 2019 3:09 pm

I believe it may be haulage rights, not trackage rights.

CN9634
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Re: CMQ for sale?

Post by CN9634 » Tue Dec 17, 2019 7:28 pm

Transcript from Creel's presentation two weeks ago:

https://s21.q4cdn.com/736796105/files/d ... script.pdf

CN9634
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Re: CMQ for sale?

Post by CN9634 » Wed Dec 18, 2019 7:40 pm

STB app is in, certainly an interesting read. You can find it on their website under filings

Train60
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Re: CMQ for sale?

Post by Train60 » Wed Dec 18, 2019 8:37 pm

Here a direct link to the Application (from the STB website)
https://dcms-external.s3.amazonaws.com/ ... 300195.pdf

188 pages = lots of detail
Last edited by MEC407 on Thu Dec 19, 2019 7:03 am, edited 1 time in total.
Reason: unnecessary quoting

johnpbarlow
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Re: CMQ for sale?

Post by johnpbarlow » Thu Dec 19, 2019 7:58 am

I posted a summary of CP's STB filing here: viewtopic.php?f=51&t=170613&p=1528686#p1528686

Fritz
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Re: CMQ for sale?

Post by Fritz » Thu Dec 19, 2019 9:44 am

johnpbarlow,
Thanks for posting your summary. I have not read the full application, but, based on what you posted in your summary, my take on this is that CP will run "through freights" between St. Luc (Montreal) and Brownville Junction with possible set-outs/pick-ups in Farnham (local industries and Newport Sub), Sherbrooke (local industries and SLQ interchange), Megantic (local industries - but maybe they will be served from Sherbrooke), and Jackman. Farnham would largely disappear as a system yard and would only handle local traffic and will soon look like the Sherbrooke yard. That's just a guess though. Thanks for posting the summary.
Best,
Fritz

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MEC407
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Re: CMQ for sale?

Post by MEC407 » Thu Dec 19, 2019 11:53 am

This part about the Rockland Branch is worth noting and, in my opinion, a bit surprising:
"...As to the Rockford [sic - should be Rockland] subdivision, a non-contiguous line to the rest of the CMQR, the immediate intent will be to maintain the present services between Rockland, ME and Brunswick ME. Changes will be considered in the event of a significant change in the volume of interchange traffic with Springfield Terminal/Pan-Am at Brunswick, or a change in the Amtrak agreement...The only passenger service operating on lines owned or operated by CMQR is the Amtrak service operating on the Rockland subdivision. Amtrak terminates at the Brunswick Terminal at the west end of the line and does not operate over the line. The Rockland line is owned by the State of Maine, and CMQR is under contract to operate and maintain the track between Brunswick, ME and Rockland, ME. There are no plans to make any changes to the operations or management of the Rockland operation that would alter Amtrak's future ability to operate..."
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gokeefe
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Re: CMQ for sale?

Post by gokeefe » Thu Dec 19, 2019 12:09 pm

I read the very end as saying, "no impact on the Downeaster" and the very early part as saying, "open to changes in operating patterns with Amtrak". So it would appear that they are fully aware of plans to extend operations and do not consider more passenger service to be problematic.

Two notable items here: 1. CP is going to keep the line and 2. Amtrak is the only way forward for passenger operations now as there likely won't be a change of operator.

Based on other parts of the summary as posted I think CN mist have been looking at this along with G&W/Brookfield. The tone sounded very concerned.
gokeefe

Fritz
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Re: CMQ for sale?

Post by Fritz » Thu Dec 19, 2019 1:35 pm

Hello,
I also think that they made a typo in their description of their U.S. yards (from JPB's summary but is taken verbatim from their submission to the STB):

• Newport, VT: operational six-days-a-week to operate eastbound and westbound mainline trains, set-out and pick-up mainline train cars for Sherbrooke, deliver/pick-up St. Lawrence & Atlantic Railway interchange trains, and perform local train service and car switching for customers at or near Lac Megantic, QC. [Newport is site of Vermont Rail System interchange].

I think that they combined the descriptions of the Farnham, Sherbrooke and Newport yards in this paragraph [my additions are in parentheses].

• Farnham, QC: operational six-days-a-week to operate eastbound and westbound mainline trains, set-out and pick-up mainline train cars for [?? they also perform local train service and car switching for customers at or near Iberville, Farnham and Brookport]

• Sherbrooke, QC: [operational five-days-a-week to] deliver/pick-up St. Lawrence & Atlantic Railway interchange trains, and perform local train service and car switching for customers at or near Lac Megantic, QC [and Magog, QC].

• Newport, VT: [operational five-days-a-week to deliver/pick-up Vermont Rail system interchange trains and perform local train service and car switching for customers at or near Newport, VT and Richford, VT]

Best,
Fritz
Last edited by Fritz on Thu Dec 19, 2019 10:41 pm, edited 2 times in total.

CN9634
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Re: CMQ for sale?

Post by CN9634 » Thu Dec 19, 2019 4:45 pm

Personally I find most interesting the appendix items... letters of support for the acquisition while in themselves aren’t of too much interest, the parties who submitted them are (and I’m not talking the usual players Irving, etc). Also the letter from the present CEO of CMQ has some interesting details. Otherwise the rest seems pretty generic, I’m certain after a year everything will start to really unfold.

Cowford
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Re: CMQ for sale?

Post by Cowford » Sun Dec 22, 2019 12:35 pm

Also the letter from the present CEO of CMQ has some interesting details.
The potential for an automotive import/export facility at Searsport?!?

gokeefe
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Re: CMQ for sale?

Post by gokeefe » Sun Dec 22, 2019 3:35 pm

Wow. Who are the primary automotive customers for CP?
gokeefe

CN9634
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Re: CMQ for sale?

Post by CN9634 » Sun Dec 22, 2019 9:04 pm

I believe Glovis exports autos via the Halifax/CN Autoport on the Dartmouth side of things. If CP is to pickup 100% of the Glovis contract as they claim, it wouldn't surprise me part of this acquisition is to satisfy that requirement through auto exports in Searsport. I've heard Glovis comes online in Jan but is fully onboarded by September, 2020... so some work yet to be done.

Potash is coming for sure (plan is Saint John but we'll see if a second option develops), things are already in motion on that too. The intermodal piece also begs the question, will CP build a ramp in Saint John and provide some $$ to get the Irving line up to snuff? A lot of this plan does seem to ride on the Irving group playing ball, but I suspect again, there must be a compelling reason, such as auto and other exports via Searsport, that give you a scenario in case the Irving bet doesn't come out as fruitful.

But, end of day.... look--- CP had to do something. CN literally tried to buy Halifax, then says screw it we'll build our own mega port in Quebec City. They're throwing cash at East Coast projects all over the place and CP is stuck with two ports both located hundreds of miles inland up rivers. Hard to keep up with competition when you're geographically challenged on the Atlantic side of the equation, so CP's move is almost a forced hand in a few regards.

For more on auto exports see here about Autoport in Halifax. Really not hard to imagine Searsport with a similar setup... just a lot of parking lots need to be setup first: https://www.portofhalifax.ca/facilities ... /autoport/

gokeefe
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Re: CMQ for sale?

Post by gokeefe » Sun Dec 22, 2019 10:49 pm

For those of us not familiar with the situation what are the two CP ports inland you're referred to?
gokeefe

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