• Pan Am Railways For Sale?

  • Guilford Rail System changed its name to Pan Am Railways in 2006. Discussion relating to the current operations of the Boston & Maine, the Maine Central, and the Springfield Terminal railroads (as well as the Delaware & Hudson while it was under Guilford control until 1988). Official site can be found here: PANAMRAILWAYS.COM.
Guilford Rail System changed its name to Pan Am Railways in 2006. Discussion relating to the current operations of the Boston & Maine, the Maine Central, and the Springfield Terminal railroads (as well as the Delaware & Hudson while it was under Guilford control until 1988). Official site can be found here: PANAMRAILWAYS.COM.

Moderator: MEC407

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  by Gilbert B Norman
 
gokeefe wrote: Sat Jul 04, 2020 5:56 pm I would also note the there is a case to be made for CN to make this acquisition as a defensive move against CP achieving dominance in New England. Although Maine is certainly not the source of traffic it once was there would be very few routes out of New England that CP wouldn't control if they bought Pan Am.
You certainly have a point there. Mr. O'Keefe; CP would as good as "own" Maine, and whatever traffic originates . The only difference between a CP and a CSX takeover is there would still be a competitive E-W routing X-Mass. The Port of Boston would still be happy.

But I think the Surf Board established with the '90's combinations that any major traffic sources will have access open for two roads. On the strength of that, I'd be placing my bet on the "Thoroughbred".
  by JBlaisdell
 
I haven't been on these boards for years. This is all making my head spin...

That said, has anyone considered how the new "NAFTA" may play into this? As far as shifting traffic and patterns?
  by newpylong
 
gokeefe wrote: Sat Jul 04, 2020 11:45 am
Gilbert B Norman wrote:Possibly I am overlooking something, but why would any road be seeking to acquire one without which they have a physical connection?
Mr. Norman,

If we assume there are some kind of barely used or obscure commercial rights that are not well understood then we might have an answer. Either NECR or SLR make sense in that context with or without acquisition (e.g. SLR) or reacquisition control (e.g. ex-CV NECR).



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The SLR was GTW (CN US Subsidiary like the CV) so that also would be a reacquisition.
  by gokeefe
 
Mr. Norman,

I'm not sure that Maine would be considered a "major source" of traffic anymore. On the other hand regarding NS it is my understanding that the STB does not want either of the Massachusetts carriers to be able to dominate the traffic to/from Northern New England.

CP or CN approaching from the North with PAS set aside to others would be a remarkable development in many respects that would give a third Class I carrier access to the Boston market. I would imagine the Board would look very favorably on that indeed.

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  by bostontrainguy
 
gokeefe wrote: Sat Jul 04, 2020 9:59 pm CP or CN approaching from the North with PAS set aside to others would be a remarkable development in many respects that would give a third Class I carrier access to the Boston market. I would imagine the Board would look very favorably on that indeed.
And where pray tell is there the tiniest possibility of building any type of adequate rail yard north of Boston? Awaken the NIMBYS and their lawyers.

Also sadly, what is left of the "Boston Market"? Maybe a few restaurants?

I kind of feel this is going to kill a lot of Boston rail service as things will mostly go north and little will actually pass through the Boston area. They're not going to give the long haul to NS or even CSX. It's going North by Northwest and out of here.

Just thinking out loud . . .
  by Gilbert B Norman
 
newpylong wrote: Sat Jul 04, 2020 9:33 pm The SLR was GTW (CN US Subsidiary like the CV) so that also would be a reacquisition.
A minor point, if I may address it Mr. Newpy.

The road while within the CN "family" was simply the Grand Trunk. The GTW.- Grand Trunk Western - were the CN "family" lines in Michigan and Indiana.

The CN lines within the US. such as the IC J, C&WI, have all been combined into the Grand Trunk Corporation, a US corporation. There is a long standing treaty requiring Canadian roads doing business in the US to do so through a US subsidiary - and v.v.

But I concur with your captioned statement regarding a "reacquisition".
  by RMB357
 
If NS truly wanted Pan Am they would have already worked out a deal for it. NS is only interested in its heavy traffic lines. Maybe Pan Am approached them before putting up the for sale sign to see if there was interest. So far they’ve shown zero. Cutback mode for NS, hold on to that cash for the stockholders. Zero initiative for growth
  by Gilbert B Norman
 
I can only reiterate; CP gets Pan Am, they have a monopoly on any rail traffic within Maine, CN gets it, and they have become a holding company with a property disingenuous with theirs as it exists. Chessie gets it, and "Kitty-Kitty" has a lock on all E-W Mass. traffic. Maritime operators will weigh anchor from the Port of Boston quicker than if scurvy broke out.

Who's left but the Black Pony?
  by gokeefe
 
Depending on how the transaction is handled if PAS is split off it seems as though you might end up with two railroads having yards in Ayer. One at the Auto yard and the other at the main yard.

What Im suggesting is probably wrong for some reason or another but my broader point is that yard space doesn't seem to the the end of the world when it comes to running to (and through Boston).

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  by Gilbert B Norman
 
So Mr. O'Keefe, it appears that rails East of Ayer are passenger only?

It appears you hold that Pan Am could be "chopped in two" with the E-W line going to a competing road (NS) with the B&A (CSX). Both those roads having highway access to the Port of Boston (and anyone left who needs rail transportation; assume no coal fired generation remains) from which both roads can access from the Ayer Intermodal facility.

So Maine would be left with a Class III hardly in a position to compete with CP. A benefit could be that CP will commit the Loonies to fixing up the CP-M/MMA/CMQ and put the Port of St. John back in the game.

Meanwhile back in Boston, it would appear their industry nowadays is brainpower. The only rail that industry needs is passenger.
  by roberttosh
 
Not only does CSX really have no use for the PAS section West of Ayer, it’s doubtful that the STB would allow them to have control (partial control in the case of PAS) of both East/West Mass main lines. If CSX were to take over, NS could get the other half of PAS and Maine would still have some semblance of competition with CP, CSX and SLR. As far as NS is concerned, it just seems that Maine is too far removed from their core network (i.e. Harrisburg) compared to CSX which of course has the big yard at Selkirk as well as the B&A which sees a lot more traffic than any nearby NS line.
  by Gilbert B Norman
 
I like what you're saying, Mr. Tosh. Problem is it makes too much sense to happen.

NS will acquire the B&M/PAS and handle the traffic to Boston/Ayer as it does today (presume ERIE-Binghamton-D&H-M'Ville-PAS). This assumes there is enough to support involvement beyond the existing "marketing arrangement".

So far as competitive rail service in Maine, not their concern. If a CP US subsidiary wants it, that's their problem. Let them deal with Surfboard when the paper concerns seek competition.

Chessie has what she wants - access to Ayer/Boston - and with "the lesser of evils" route.
  by Rockingham Racer
 
Just a quick note: freight traffic in Boston proper has devolved to just about nil. Worcester is the western gateway for Boston now on CSX. Lowell or Lawrence on PAR has plenty of room for increased freight handling for Boston. PAR sends its local BO-1 to Boston from Lowell, but I don't know how "heavy" it is, nor how oftern it runs. The gravel train, DOBO, still runs as well, I believe.
  by QB 52.32
 
Why only consider the Class 1's? Genesee & Wyoming Inc offers one of the best cases when it comes to the value of PAR and PAS (half or whole) that could be derived from market and cost leverage while also pretty much maintaining Class 1 competition status quo in New England. Even along the Conn River/Hartford Line & branches given rights already in place, VRS, and CSOR's main role of acting on behalf of CSX and not independently, I would think the argument would hold.
  by lightbulb
 
Rockingham Racer wrote: Sun Jul 05, 2020 1:26 pm Just a quick note: freight traffic in Boston proper has devolved to just about nil. Worcester is the western gateway for Boston now on CSX. Lowell or Lawrence on PAR has plenty of room for increased freight handling for Boston. PAR sends its local BO-1 to Boston from Lowell, but I don't know how "heavy" it is, nor how oftern it runs. The gravel train, DOBO, still runs as well, I believe.
BO-1 services a bunch of business in Chelsea and Everett area, besides just Peabody. They travel to Peabody at least twice a week from Boston were they are based. Though I doubt there is any rail business growth in Boston proper or North Shore.
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