Railroad

May’s container movements at the Jacksonville port beat the previous record set in October 2019.

Monday is the last day that stakeholders can express their views to the Surface Transportation Board over CN’s proposed voting trust that will be used to acquire KCS. Canadian Pacific says it has the support of North Dakota congressional leaders, while CN touts support from Gulf Coast and southern Plains leaders.

Employment levels at the U.S. operations of Class I railroads were flat to higher from April to May. But year-over-year totals show a nearly 3% decline. Meanwhile, the Class I railroads say they’re actively hiring and training in 2021.

Canadian Pacific and CN each say they have the backing of Upper Midwest grain shippers as both seek to merge with Kansas City Southern.

CSX will be using Wabtec’s technology aimed at reducing emissions and improving fuel efficiency for locomotives.

Truckers may be more likely to be involved in accidents at railroad crossings in the Phoenix area than anywhere else in the country.

The project to expand the Howard Street Tunnel has received federal environmental approvals, bringing the $466 million project closer to fruition. The expansion will enable the tunnel to accommodate double-stacked container trains, which could benefit the nearby Port of Baltimore.

The 32nd version of the venerable report waxes philosophical on why more, not less, logistics spending will be needed.

CN and Canadian Pacific are rounding up support for their respective plans to acquire Kansas City Southern. Regulators are accepting public comments on CN’s voting trust through next Monday. CN would use the voting trust as part of the process to acquire KCS.

About CA$95 million of the CA$3 billion 2021 capital investment budget will go toward projects in Alberta, Ontario, Manitoba and New Brunswick.

Enstructure seeks to expand East Coast and inland terminal presence; Texas short line operator TNW and advocacy group OneRail Coalition announce executive changes.

Opposition to two-person crew legislation puts rail carriers’ economic interests ahead of the safety of the public and railroad workers.

Ocean carriers and Class I railroads both agree that chassis shortages are contributing to volume congestion. But solutions to relieve the congestion rely on multiple supply chain stakeholders, say the railroads.

CN continues to insist that it has widespread support for its plans to acquire Kansas City Southern. That support includes the voting trust proposal that CN would use as part of the merger process.

A G&W subsidiary has acquired a facility formerly known as the Port of Ivory. The subsidiary will conduct bulk transfer operations at the site for agricultural products and chemicals.

Wabtec and General Motors have signed a memorandum of understanding to develop and commercialize GM’s advanced battery technology and its fuel cell technology for Wabtec’s locomotives.

Ukrainian police arrest six alleged members of Clop, a notorious ransomware gang behind multiple cyberattacks on transportation and logistics companies.

South Carolina Ports is touting two new export facilities projects that will have access to the Port of Charleston: a production facility and distribution center for winemaker Gallo and an agricultural transload facility run by Northwest Grains.

The Surface Transportation Board is accepting public comments on CN’s and Kansas City Southern’s voting trust proposal. KCS asserts its financial strength while Canadian Pacific circulates a union’s negative feedback on the CN-KCS merger.

Reducing dwell times for equipment and at the terminals is one way the Class I railroads are seeking to relieve systemwide supply chain congestion, according to executives at recent investor conferences.

Chief Innovation Officer Brain Hancock is retiring from Kansas City Southern, while Jason Morris will succeed Scott Weaver as vice president of labor relations.

The Cass Freight Index surged again in May with continued strength recorded in freight shipments and spend. While the year-over-year comparisons become more formidable in the coming months, the current supply-demand fundamentals are expected to remain in play for some time.

Adding or extending sidings, particularly on three key routes, will reduce delays and improve network fluidity, UP said.

Former Surface Transportation Board Vice Chairman William Clyburn Jr. recommends that STB approve the voting trust proposed by CN and Kansas City Southern.

The American Chemistry Council wants the Surface Transportation Board to look into whether operational changes and cost cutting exacerbated the rail service issues that chemicals shippers have been having in the first half of this year.

An intermodal container terminal in Alabama targeted for “earmark” funding would extend the reach of the Port of Mobile.

A trio of shippers groups, CN, Kansas City Southern and Canadian Pacific offer their takes on whether the voting trust associated with the proposed CN-KCS merger is or isn’t in the public interest.

CSX has appointed Kevin Boone as executive vice president of sales and marketing and has named Sean Pelkey as interim CFO. Mark Wallace, who was EVP of sales and marketing, will remain as an EVP as he undergoes cancer treatment.

FreightWaves recently chatted with Brian E. Gorton, Conrail’s new president and chief operating officer, to discuss his vision for Conrail and what opportunities lie ahead for the Northeast terminal railroad jointly owned by CSX and Norfolk Southern.

Transport deregulation’s long game has left much of the asset-based carrier field with few players. Will the cycle turn to usher in a cast of competitive newbies?

A tale of 2 job reports: Seasonal numbers are closely watched by economists, but the other measurement suggests some success at hiring.

U.S. rail volumes climbed nearly 30% in May from last year’s pandemic-induced troughs. Intermodal traffic has boosted rail volumes this year and could continue to do so in spite of capacity constraints at U.S. ports.

Consulting firm FTR expects railcar orders and deliveries to grow as North American railcar utilization increases amid growing volumes and owners seek to scrap less-utilized cars.

President Joe Biden’s budget for the Federal Railroad Administration supports funding to rehabilitate Amtrak, expand passenger rail service and provide continued support to grant programs.

The rail regulatory body sent several letters to Class I railroad heads last week, asking them to provide plans on how they expect to handle workforce and equipment in light of broader supply chain disruptions and anticipated service demand post-pandemic.

The American Chemistry Council, which represents chemicals shippers, wants the Surface Transportation Board to scrutinize proposed Class I rail mergers to ensure that shippers don’t encounter reduced offerings.

he U.S. Department of Agriculture is forecasting lower export volumes for corn, wheat and soybeans for the 2021-2022 crop year. The agency also expects record overall U.S. farm exports for fiscal year 2021. Also, U.S. rail volumes on a weekly basis were flat to lower from the prior week.

Federal prosecutors in Illinois have indicted six former railroad employees for allegedly fraudulently obtaining federal disability benefits.

CSX needs more data in its market analysis, the Surface Transportation Board said. CSX plans to resubmit its application.

To sweeten the voting trust application before regulators, CN and Kansas City Southern are offering to divest 70 miles of a KCS line in an area of Louisiana where both railroads have competing lines in order to create an “end-to-end” network.

April employment levels at the U.S. operations of the Class I railroads were up 0.42% from March but down 7% year-over-year.

FreightWaves chats with chief sustainability officers about their experience and how they drive sustainable change at each company.

This AskWaves article explains what Class I, Class II and Class III railroads are and why they exist.

News briefs outline U.S. rail volumes, expanded service offerings by TNW Corporation and The Andersons, OmniTRAX rail-ready sites in northeast Ohio and milestones at the Transportation Technology Center complex in Pueblo, Colorado.

Kansas City Southern has opted for CN’s merger offer. It is terminating an existing merger agreement it has with Canadian Pacific.

Four rail labor groups have banded together to warn regulators about potential post-merger efforts to trim labor costs, while investment banking firm Cowen says regulators’ denial of CN’s voting trust signals that CN will have to make a strong case for its proposed merger.

Canadian Pacific wants Kansas City Southern to reject CN’s competing merger offer. The railway also said it won’t engage in a bidding war.

Improving market conditions should support BNSF’s financials in 2021, said S&P on why it modified its ratings for the privately held railroad.

Rising rail traffic and lower numbers of railcars in storage should benefit FreightCar America, as should anticipated market demand to replace an aging railcar fleet, executives said during Monday’s first-quarter earnings call.

The technology upgrades at 12 points of entry along the borders of Canada and Mexico will enable U.S. Customs and Border Protection to inspect rail cargo more quickly and securely, according to CBP.

The attorney who led the legal effort said U.S. chassis producers are ramping up because of the import fees.

Following the Surface Transportation Board’s decision on Monday regarding CN’s proposed merger with Kansas City Southern, both CN and Canadian Pacific remained confident that each is the better suitor for KCS.

Executives with wireless network provider Ondas Networks describe how private telecommunications networks benefit the Class I railroads as well as other transportation modes.

Wabtec’s battery-electric locomotive can reduce a train’s fuel consumption by 11%, a three-month study involving the company, BNSF and the San Joaquin Pollution Control District found.

Democratic leaders with the House Committee on Transportation and Infrastructure want the General Accountability Office to examine the effects that precision scheduled railroading has had on freight and passenger rail operations, rail safety and the labor workforce.

The Surface Transportation Board has decided that it would review a proposed merger between CN and Kansas City Southern under newer, stricter merger rules. The board also denied for now CN’s request to form a voting trust, saying CN’s application is incomplete.

Union Pacific is investigating why a train hauling 28 cars derailed in Minnesota as emergency responders contend with a hydrochloric acid leak.

U.S. rail traffic slipped last week from the prior week, although they’re still up by double-digit percentage points year-over-year, according to data from the Association of American Railroads.

FreightWaves looks at five themes that ran throughout the earnings discussions of the Class I railroads.

CN revised its bid to acquire KCS; CP said it will not seek to counterbid.

Pioneer Lines, Kansas City Southern and Conrail have appointed new leaders.

“First Class I railroad in North America to issue green bonds,” Norfolk Southern shares plans for environmental projects.

Cass freight data released Wednesday shows shipments and expenditures surged again in April.

The U.S. Department of Transportation wants the Surface Transportation Board to take up Amtrak’s request asking to establish passenger service between Mobile and New Orleans.

Rivals Canadian Pacific and CN separately submit more statements of support to the Surface Transportation Board in a bid to show which Canadian railway is best suited to merge with Kansas City Southern.

Freight car and rail parts manufacturer National Steel Car is extending a suspension of operations at its facility Hamilton, Ontario, amid a local order and COVID-19 cases at the facility.

Tremelle Sykes allegedly filed false reports covering railyard companies in Dallas, Fort Worth, Garland, Cleburne, Gunter and Saginaw, Texas.

The Surface Transportation Board has approved the voting trust that Canadian Pacific and Kansas City Southern plan to make as part of the merger process between the two companies.

By either the standard of seasonal or not seasonal jobs, gains in employment are slow given the demand for drivers.

A market recovery is underway for railcar lessors and equipment manufacturers, but the market also has a ways to go before it bounces back completely, according to industry observations.

Steel and chemicals were among the commodities that showed volume strength in April, according to the Association of American Railroads. North American intermodal volumes grew 10.5% in the first quarter, said the Intermodal Association of North America.

Anticipated growth for intermodal will help to support Hub Group’s investments for that sector in 2021.

Billionaire and Microsoft co-founder Bill Gates, the largest shareholder of Canadian railway CN, is giving 14.1 million shares of the company to soon-to-be ex-wife Melinda Gates.

Union Pacific to open an intermodal terminal in Southern California, Port of South Louisiana completes rail yard, plus two appointments: Michael McCarthy to become SMBC Rail Services president and CEO, and Karen Carriere joins Transportation Technology Center Inc. as executive director of technical services.

Amtrak must follow new on-time performance metrics starting July 1. Democratic congressional leaders and the Surface Transportation Board are looking at different ways to help Amtrak reach that goal. Amtrak and the freight railroads share track in certain U.S. regions.

CN and Canadian Pacific continue to campaign for the hearts and votes of Kansas City Southern stakeholders and the Surface Transportation Board.

Executives with parent company Berkshire Hathaway expect BNSF to take steps to protect the railroad’s franchise as the merger between Kansas City Southern and one of the Canadian railways makes its way through regulatory review.

Union Pacific is constructing a grain transload facility at its intermodal terminal near Chicago, while two U.S. senators introduce bipartisan legislation to form a grant program that aims to reduce highway-rail grade crossings.

The Biden administration has nominated Karen Hedlund to serve on the Surface Transportation Board.

Norfolk Southern aims to add longer trains, improve car velocity and provide more technological tools for customers and for safety inspections, with an eye toward future competition with autonomous trucks.

First-quarter operating ratio was 61.5%, compared with an adjusted operating ratio of 63.7% in the first quarter of 2020.

The costs to electrify freight rail in the U.S., albeit expensive, extend beyond strictly capital costs to questions about electric grid reliability and how best to address decarbonization.

CN outlined some scenarios in which a merged railway can compete with long-haul trucking.

A portal to provide agricultural shippers with visibility for their covered hopper cars will help them conform to food safety transportation standards and prevent cross-contact with food allergens.

Canadian railway CN reported net profit of CA$974 million in the first quarter of 2021, a 3.7% decline from the first quarter of 2020.

The Canadian railway CN and Kansas City Southern have agreed to talk about CN’s acquisition bid. Canadian Pacific, which has a competing offer, acknowledges the meeting. CN also submits letters of support from stakeholders to regulators.

OmniTRAX is working with the River Ridge Development Authority of southern Indiana to develop real estate, while a Genesee & Wyoming subsidiary broadens its rail service agreement to include service to the Mason Mega Rail Terminal at the Port of Savannah.

The Surface Transportation Board has determined that a waiver that exempted Kansas City Southern from post-2001 merger rules governing rail mergers applies in the proposed merger between KCS and Canadian Pacific.

Rep. Peter DeFazio, D-Oregon, chair of the U.S. House Transportation and Infrastructure Committee, is concerned that efforts by rival Canadian railways to acquire Kansas City Southern could usher in more consolidations in the freight rail sector.

With a Canadian Pacific and Kansas City Southern merger, grain shippers in the Dakotas will have a real single-line option to reach their end markets rather than having to rely solely on UP or BNSF, says former U.S. Sen. Byron Dorgan.

The Surface Transportation Board will need to scrutinize a proposed merger between Kansas City Southern and either Canadian Pacific or CN to ensure it doesn’t hurt the operations of competing railroads, Union Pacific’s head said on the company’s first-quarter earnings call.

Wabtec is working with railroad customers to transition from diesel power to cut emissions.

FreightWaves introduces FreightWaves Carbon Intelligence. Learn more here!

A 4% drop in operating revenue contributed to a 9% decline in net income for Union Pacific’s first quarter.

For now, Canadian Pacific is not planning to take part in a bidding war with rival CN to acquire Kansas City Southern, saying that its offer is more likely to meet regulators’ litmus test for mergers.

Canadian Pacific’s revenue for the first quarter of 2021 dipped 4% to CA$1.96 billion.

Canadian Pacific and CN both filed letters to the Surface Transportation Board asking the panel to consider the merits of their competing requests to acquire Kansas City Southern.

CSX has capacity on its network, space on its trains and the workforce and locomotives it needs to handle an anticipated growth in service needs in 2021, according to company executives.

CP, which is also seeking to acquire KCS, describes rival CN’s bid to acquire KCS as “massively complex and likely to fail” because it decreases competition.

CSX’s first-quarter net income fell 8% to $706 million from $770 million a year ago.