WEEKLY RAIL REVIEW

FOR THE WEEK ENDING Friday, June 29, 2007

BY: DAVE MEARS

(Posted by permission)

 

 

WEEKLY RAIL REVIEW

FOR THE 7 DAYS ENDING FRI, JUNE 29, 2007

BY DAVE MEARS

 

THE WEEK’S TOP RAIL AND TRANSIT NEWS (in chronological order):

 

(MON) Another five unions joined the Brotherhood of Locomotive Engineers and Trainmen in accepting the new five-year contract negotiated between the National Carriers Conference Committee and the Rail Labor Bargaining Coalition.  The five unions are the Brotherhood of Maintenance of Way Employees, the Brotherhood of Railroad Signalmen, the International Brotherhood of Boilermakers, the National Conference of Firemen and Oilers, and the Sheet Metal Workers International Association.  The American Trains Dispatchers Association rejected the national agreement and the United Transportation Union is separately negotiating an agreement.  Among other provisions, the new contract raises pay 18.2 percent compounded over five years and caps worker health care contributions. (ffd: Railway Age, wire services)

 

(MON) A federal judge approved an agreement between Norfolk Southern and a pool of 480 persons who claimed they suffered serious injuries as a result of the NS derailment and toxic releases in Graniteville, SC in January, 2005.  The agreement gives people who sought medical attention within three months of the derailment amounts from $10,000 up to several hundred thousand dollars, depending on a number of factors.  The railroad has settled with persons who had to evacuate or suffered property damage but were not seriously injured, and has also settled with the families of nine persons killed as a result of the crash. (ffd: Aiken Standard)

 

(MON) To mark its 40th anniversary as a passenger rail advocacy organization, the National Association of Railroad Passengers proposed a notable expansion and modernization of the U.S. intercity passenger rail system.  NARP’s plan proposes a nationwide “grid and gateway” system to be put in place over the next 40 years using "existing resources."  The plan calls for increasing intercity rail route miles from Amtrak’s current 22,000 to 45,000.  Also and noting that there are currently 292 Metropolitan Statistical Areas and state capitals in the U.S., NARP’s plan calls for the number of these served by intercity rail to increase from the current 134 to 237. (ffd: NARP)

 

(MON) Stating that it is trying to remove the language barrier between its workers and those of its Kansas City Southern de Mexico subsidiary, KCS said that it was offering a new web-based program for learning the Spanish language.  A KCS spokesman said that the company has introduced an online language learning center for English-speaking employees designed to teach them a proficient level of Spanish over the course of six months.  The spokesman added that KCS is also offering one-hour language classes twice weekly at its corporate headquarters. (ffd: Progressive Railroading)

 

(TUE) Two Union Pacific freight trains sideswiped each other approximately two miles west of Tama, IA.  At least one locomotive and 42 cars were derailed in the accident, the wreckage of which stretched out nearly one-quarter-mile.  No crewmembers were injured in the accident, the cause of which was still under investigation at press time. (ffd: wire services)

 

(MON) San Francisco, CA’s Bay Area Rapid Transit subway system reported that it had carried its 100 millionth rider for Fiscal Year 2007.  A BART spokesman said this marked the first time that annual system ridership had surpassed the 100 million mark and that it occurred with five days still to go in the fiscal year.  The spokesman also noted that, this past June 13, BART’s one-day weekday ridership total set an all-time record of 381,200 passengers. (ffd: BART, Progressive Railroading)

 

(WED) New York City commuter rail and subway lines suffered power-related delays.  In mid-afternoon, an hour-long blackout affecting parts of Manhattan and the Bronx caused a temporary shutdown of the subway’s 4, 5, 6, D, E and V routes and, also, limited service on Metro North rail lines north out of Grand Central Terminal.  Later that evening, severe storms delayed service on the Long Island Rail Road for more than two hours after floods caused signal problems at the LIRR junction station at Jamaica in Queens.  The New York Times reported that Manhattan’s Pennsylvania Station became so crowded at one point that access to LIRR trains was closed off to new passengers between 8 and 10PM. (ffd: New York Times, wire services)

 

(WED) Southern California’s Alameda Corridor Transportation Authority announced that traffic on its Alameda Corridor rail freight line now has 54 freight trains operating over it daily, an increase of nearly 200 percent from the time of the line’s April, 2002 opening.  The line runs between the Ports of Los Angeles/Long Beach and railroad yards near downtown on a multi-track and grade-separated right-of-way.  An ACTA spokesman said that the Authority, which managed the project’s construction and financing, will collect more than $95 million in user fees and container charges from line use over the next 12 months. (ffd: Long Beach Press Telegram)

 

(WED) New York’s Metropolitan Transportation Authority contracted to replace the armrests on its new Class M-7 commuter rail cars now in service on the Long Island Rail Road and Metro North Railroad.  The railroads have received numerous complaints as well as monetary claims from riders who have ripped their clothing on the armrests.  An MTA spokesman said that the retrofit, which would be performed on 826 LIRR and 336 MNRR M-7's, would cost $3.59 million. (ffd: Railway Age)

 

(THU) Two transit agencies that must appeal to their respective state legislatures for funding planned fare hikes and/or service cuts.  Chicago, IL’s Regional Transportation Authority amended its budget to make up for cash shortfalls.  A RTA spokesman said that, lacking $226 million in additional state funding, the Chicago Transit Authority will have to increase peak fares to $2.75 for bus rides and $3.25 for elevated and subway train rides, and commuter rail operator METRA will need to increase fares 10 percent and continuing plans to reduce or eliminate weekend trains and all weekday service after 9PM.  In Pennsylvania, the board overseeing Philadelphia's Southeastern Pennsylvania Transportation Authority voted to raise fares an average of 11 percent to help address a $150 million cash shortfall.  A SEPTA spokesman said that, if the authority does not receive additional state subsidies by September 2, it will have to raise fares an additional 24 percent, implement a 20 percent across-the-board service reduction, and eliminate nearly 1,000 positions. (ffd: Chicago Tribune, Progressive Railroading)

 

(THU) Rail freight service resumed to and from the New York City borough of Staten Island.  Containers from the new ExpressRail intermodal facility at Staten Island’s Howland Hook Marine Terminal were loaded on flat cars for rail movement to western destinations.  The resumption of rail service to and from Staten Island, which had been curtailed since 1991, was arranged for and funded by the Port Authority of New York and New Jersey and the New York City Economic Development Corporation.  A spokesman for the two agencies said that trains of city trash would soon depart Staten Island for out-of-state landfills. (ffd: Progressive Railroading,.RT&S)

 

(THU) Washington [DC’s] Metropolitan Area Transit Authority approved a $1.9 billion budget for Fiscal Year 2008.  The budget includes $1.2 billion for operations and $731 million for capital expenditures, with the latter including funds to rehabilitate older subway cars, escalators and elevators; purchase 122 new subway cars; improvement maintenance and yard storage facilities; and upgrade traction power to accommodate eight-car trains. (ffd: Progressive Railroading)

 

(THU) Canadian Pacific announced that it would participate in e-Railsafe, a rail industry initiative that undertakes background screening, credentialing and tracking of railroad contractors and their employees.  A CPR spokesman said that it will require its contractors/vendors and their employees who operate at CPR and subsidiary facilities in the U.S. to comply with the program's requirements.  CPR is the sixth railroad and second Canadian railroad to join the e-Railsafe program. (ffd: Progressive Railroading)

 

(FRI) Protesters supporting the “National Day Of Action” called for this date by the First Nations tribal assembly disrupted some Canadian passenger and freight rail services.  Following reports of armed protesters blocking Canadian National’s line between Toronto, ON and Montreal, PQ, CN temporarily suspended freight service on the line and Via Rail Canada temporarily suspended passenger train services between Toronto and Montreal and between Toronto and Ottawa, ON.  A CN spokesman said that, although it had earlier obtained a court order barring occupation of the rail line, the Ontario Provincial Police had refused to enforce the order.  In a related story, Canadian Pacific ordered all its freight trains in Canada to stop operation for one minute at 2PM this date in support of the First Nations initiative. (ffd: Calgary Herald, Via Rail Canada, wire services)

 

(FRI) Union Pacific marked its 145th anniversary.  A UP spokesman noted that, on July 1, 1862, President Abraham Lincoln signed into law the Pacific Railroad Act, creating the Union Pacific and Central Pacific Railroads, and chartering the two companies to link the country from Omaha, NE to Sacramento, CA.  The Central Pacific later became the Southern Pacific, which was merged into the Union Pacific system in the mid-1990s.  Union Pacific is one of the U.S.’s longest surviving corporate names. (ffd: UP Corp.)

 

STATS – TRAFFIC:

 

(NOTE: Canadian traffic includes that on U.S. operations of Canadian-headquartered railroads.)

 

(THU) For the week ending June 23, 2007, U.S. rail volume grand totaled 34.3 billion ton-miles, unchanged from the comparable week last year.  U.S. carload rail traffic was down 0.8 percent, up 0.1 percent in the East, but down 1.4 percent in the West.  Notable traffic increases included metallic ores up 35.7 percent, petroleum products up 11.9 percent, and nonmetallic minerals up 8.8 percent; notable traffic decreases included lumber and wood products down 15.9 percent and crushed stone, sand and gravel down 12.7 percent.  Also for the week, U.S. intermodal rail traffic was down 1.2 percent, Canadian carload rail traffic was up 1.9 percent, Canadian intermodal rail traffic was up 7.6 percent, Mexico’s Kansas City Southern de Mexico’s carload rail traffic was down 0.9 percent, and KCSM’s intermodal rail traffic was up 8.1 percent.

 

For the period January 1 through June 23, 2007, U.S. rail volume grand totaled 823.7 billion ton-miles, down 2.9 percent.  Also for this period, U.S. carload rail traffic was down 4.1 percent, U.S. intermodal rail traffic was down 1.3 percent, Canadian carload rail traffic was down 0.7 percent, Canadian intermodal rail traffic was up 1.6 percent, KCSM’s carload rail traffic was down 4.9 percent, and KCSM’s intermodal rail traffic was up 10.7 percent. (ffd: AAR)

 

MORE STATS – OPERATING PERFORMANCE:

 

 

(NOTE: Effective October 1, 2005, railroads that had been furnishing operating performance statistics to the Association of American Railroads began applying a new standardized definitional framework, aimed at eliminating differences in calculation methodology.  Concurrent with but unrelated to these changes, Canadian National elected to no longer furnish these statistics.)

 

(WED) For the week ending June 22, 2007 and versus the comparable week last year, average total cars on line was as follows:  BNSF, 229,554 cars versus 224,679 cars; Canadian Pacific, 80,378 cars versus 81,722 cars; CSX, 225,406 cars versus 225,676 cars; Kansas City Southern, 27,851 cars versus 26,918 cars; Norfolk Southern, 204,681 cars versus 202,526 cars; and Union Pacific, 309,722 cars versus 322,770 cars.

 

Also for the week ending June 22, 2007 and versus the comparable week last year, average train speed was as follows: BNSF, 22.4 mph versus 22.6 mph; Canadian Pacific Railway, 24.3 mph versus 25.2 mph; CSX, 20.3 mph versus 19.1 mph; Kansas City Southern, 23.7 mph versus 24.6 mph; Norfolk Southern, 21.3 mph versus 21.1 mph; and Union Pacific, 21.6 mph versus 21.0 mph.

 

Finally for the week ending June 22, 2007 and versus the comparable week last year, average terminal dwell time was as follows: BNSF, 23.9 hrs versus 24.4 hrs; Canadian Pacific Railway, 20.3 hrs versus 20.0 hrs; CSX, 23.5 hrs versus 25.5 hrs; Kansas City Southern, 20.9 hrs versus 21.6 hrs; Norfolk Southern, 22.0 hrs versus 22.4 hrs; and Union Pacific, 24.4 hrs versus 27.2 hrs. (ffd: AAR)

 

EXPANSIONS, CONTRACTIONS AND ALIKE:

 

(MON) Shortline and regional railroad holding company Genesee & Wyoming announced that it was terminating the operations of its Mexican railroad, the Ferrocarriles Chiapas-Mayab S.A. de C.V.  The railroad was severely damaged by Hurricane Stan in Fall, 2005 and a G&W spokesman said that its rail traffic has continued to decrease since the hurricane.  “The uncertainty of the Chiapas reconstruction combined with the deterioration of our rail traffic means that we can no longer justify absorbing financial losses or making incremental investments,” added the spokesman. (ffd: G&W Corp., Progressive Railroading)

 

(TUE) CSX filed to abandon approximately 14 miles of its Rupert Subdivision between Rupert Jct, WV and Clearco, WV. (ffd: STB)

 

(THU) BNSF and a developer, Ridge Property Trust, announced that they had signed a memorandum of understanding to develop a new 2,000-acre, rail-served industrial park in Will County, IL.  The announcement further stated that “certain land [in the industrial park] is being considered for future transload operations and potential expansion of intermodal operations in the Chicago metro area.” (ffd: BNSF Corp., RT&S)

 

(THU) Buffalo & Pittsburgh filed to discontinue service over approximately 36 miles of line between Lawsonham, PA and Brookville, PA and over approximately 13 miles of line between Lawsonham, PA and Sligo, PA.  The Pittsburg & Shawmut remnant company, owners of the former, and Shannon Transport, owners of the latter, concurrently filed to abandon these lines. (ffd: STB)

 

(THU) CSX filed to abandon approximately 2 miles of its Muncie Belt line in Muncie, IN. (ffd: STB)

 

(THU) Rail car manufacturer and lessor Trinity Industries announced the formation of TRIP Rail Holdings, which a Trinity spokesman said would be a new railcar leasing and management service provider.  The spokesman added that, over the next two years, its TRIP subsidiary will purchase about $1.4 billion worth of railcars from Trinity and Trinity Industrial Leasing, and will manage and maintain those cars. (ffd: Railway Age)

 

(FRI) The Duluth, Winnipeg & Pacific, the Duluth, Missabi & Iron Range, and the Wisconsin Central concurrently filed to establish the following trackage rights, for purposes including improved operations: DMIR over the DWP between Shelton Jct, MN and Nopeming Jct, MN, totaling approximately 60 miles; WC over the DWP between Nopeming Jct, MN and Rainer, MN, totaling approximately 155 miles; DWP over the DMIR between Shelton Jct, MN and Nopeming Jct, MN, totaling approximately 65 miles; WC over the DMIR between South Itasca, WI and Shelton Jct, MN, totaling approximately 81 miles; and DWP and DMIR over the WC between South Itasca, WI and Fond du Lac, WI, totaling aproximately 297 miles. (ffd: STB)

 

(FRI) Kansas City Southern filed to grant temporary overhead trackage rights to Union Pacific over approximately 285 miles of KCS’s line between Kansas City, MO and Godfrey, MO.  The purpose of the temporary trackage rights is to allow UP to perform program maintenance on its nearby lines. (ffd: STB)

 

APPOINTMENTS, ACHIEVEMENTS AND MILESTONES:

 

(THU) Kansas City Southern appointed Thomas Naso its AVP-Marketing-Intermodal & Automotive Business Units.  Mr. Naso was most recently Senior Director-Intermodal of UPDS, Union Pacific’s intermodal logistics subsidiary. (ffd: KCSR Corp.)

 

(THU) Shortline holding company Patriot Rail appointed Stanley Wlotko its SVP-Operations.  Mr. Wlotko was most recently in charge of Patriot Rail’s railroad operations and business development. (ffd: Patriot Rail Corp.)

 

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Weekly Rail Review (WRR) is edited from public news sources and published weekly to those working in, or interested in, rail and transit.  Send an e-mail to weeklyrailreview@aol.com to receive it, with my compliments.

 

BE SAFE AND PROSPER,

Dave Mears

Cherry Hill, New Jersey, USA

 

 

 

Posted:  07/03/07