Freight Forecasting

STB Action Creates More Equitable Demurrage Approach

Picture a customer who receives a hefty invoice from an auto repair shop with several additional charges and no details regarding the nature of these fees. The customer is left facing the question of whether to dispute the bill, and if so, how. Such has been the experience of U.S. rail shippers in recent decades when receiving invoices from the railroads for demurrage charges, which are applied by railroads for costs incurred when shipments are held up beyond a reasonable time.

STB Approves CPKC Voting Trust (UPDATED)

The Surface Transportation Board on May 6 approved, by unanimous vote, a voting trust for Canadian Pacific’s proposed merger with Kansas City Southern. “The Board finds that formal Board review of the voting trust agreement proposed for use in connection with this transaction is warranted and determines that the proposed arrangement is acceptable with certain modifications,” STB wrote in Docket No. FD 36500.

Cowen: Can UP Drive to 55?

At Union Pacific’s Investor Day, where achievements in operational efficiency, benefits of PSR implementation, shareholder returns and financial outlook were discussed, management predicted that the railroad will achieve a 55% OR (operating ratio) by 2022. As a result, Cowen and Company modestly adjusted its 2022 assumptions.

Now On Line: Railway Age’s May Digital Edition

The May 2021 issue of Railway Age is available digitally, covering topics from carbon neutrality and cybersecurity to the rebirth of streetcars, and showcasing the honorees of our second-annual Readers’ Influential Leaders poll.