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CP-NS: Voting trust and other conundrums
Levitation takes two forms among railroads—magnetic levitation relating to futuristic high-speed passenger transport, and stock levitation associated with bidding wars for asset control.
CP pursuing NS. Game on!
It’s official: Canadian Pacific on Nov. 17, 2015 sent an offer letter to Norfolk Southern proposing a merger (an acquisition, really) “that would create a transcontinental railroad with the scale…
CP-NS transcon a craps table roll
Few obstacles bedevil railroads as has the Mississippi River. Spanning it was the nation’s first rail bridge in 1856—promptly assaulted by steamboat Effie Afton. While the bridge was repaired and…
CP + NS is in play: Reports
Canadian Pacific Railway has held early-stage merger talks with Norfolk Southern and is raising financing for an acquisition, according to Nov. 9, 2015 news reports citing confidential sources at both…
STB to hold rail service performance data meetings
The Surface Transportation Board (STB) announced Nov. 9, 2015 that its staff will hold informal meetings with stakeholders between Nov. 16, 2015 and Dec. 7, 2015, on proposed rules for…
Linda J. Morgan, 1952-2015
Linda J. Morgan, 63, the former U.S. Surface Transportation Board Chair who led the agency during the railroad megamergers of the 1990s, died Wednesday, Nov. 4, 2015, after a long…
No fingerprints on NEC track grab
Here’s a mystery for you, but don’t anticipate—as in the board game, “Clue”—that it’s “Col. Mustard, in the library, with a candlestick.” The perp here is the U.S. Senate—the deed…
STB sets 2014 rail cost of capital at 10.65%
The Surface Transportation Board has set the rail industry’s 2014 after-tax cost of capital at 10.65%, some 6% lower than the 2013 figure of 11.32%.
STB extends deadline on Tongue River Railroad Draft EIS
The Surface Transportation Board’s (STB) Office of Environmental Analysis (OEA) has issued a notice extending the deadline—for a second time—for filing comments on the Draft Environmental Impact Statement (EIS) for…
Eliasson to STB: Railroads are healthy; let’s keep them that way
Railroads that are revenue adequate and earn their cost of capital should not be punished by capping their shipping rates, which would discourage the substantial and mostly private investment in…
AAR to STB: Rail revenue caps a terrible idea
Testifying at a July 22, 2015 Surface Transportation Board hearing on railroad revenue adequacy, the Association of American Railroads, executives from its member railroads and economic experts urged federal regulators…
EIA reports rise in oil shipments from Rocky Mountain states
Based on data from the Surface Transportation Board (STB) and Petroleum Supply Monthly, the U.S. Energy Information Administration has reported that rail and pipeline shipments of crude oil from the…
Senate passes S.808
The U.S. Senate on June 19, 2015 passed S.808, the Surface Transportation Board Reauthorization Act of 2015, which would authorize appropriations for STB programs, establish the STB as a government…
AAR defends grain rates at STB hearing
Testifying at a June 10, 2015 Surface Transportation Board hearing on the shipment of grain by rail, representatives from the Association of American Railroads legal and economic policy departments said…
New rail study: “Policy must tolerate market power”
For more than three decades, railroad regulators have used the same method to determine which shippers are captive; and, if so, to determine a remedy to limit railroad market power…
STB sets grain rate regulation hearing agenda
The Surface Transportation Board has announced the speakers for the Board’s June 10, 2015 public hearing, Rail Transportation of Grain, Rate Regulation Review, Docket No. EP 665 (Sub-No. 1), to…
Shippers hoist by own petard at House hearing
Poor Mr. Dooley—Calvin, that is, president of the American Chemistry Council and not the fictional Mr. Dooley created during the late 19th century by humorist Finley Peter Dunne. The latter…
Rails to Congress, STB: “If in doubt, don’t”
Successful baseball pitchers learn to throw first-pitch strikes and stay aggressive in the strike zone when their team is in the lead. Life imitates baseball, meaning railroad spokespersons will serve…
Railroads free, leave us be!
Freedom from excessive regulation helped transform the freight railroads into the most cost effective of all transportation modes. There’s no reason to change that.
STB nominee reflects a shipper tilt
Paint former Surface Transportation Board (STB) Chairman Dan Elliott a darling of the National Industrial Transportation League (NITL), a shipper organization asking the STB to require—through so-called open access—that two…
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