Switching & Terminal

Short Lines: Custom, High-Growth Freight Service

Are short lines offering a better customer experience than Precision Scheduled Railroading (PSR)? The Class I railroad business seems to be all about the benefits of PSR. That’s the name of a cost minimization business strategy introduced more than a decade ago at CN, now expanding as the service model at five of the other six large North American railroad companies (Norfolk Southern, CSX, Union Pacific, Kansas City Southern and Canadian Pacific). Class I’s annually earn more than a Federal Railroad Administration-set threshold of $500 million in revenues.

Observations From NEARS Fall Conference: Cowen

After attending the North East Association of Rail Shippers (NEARS) Fall Conference in Burlington, Vt., Cowen and Company Managing Director and Railway Age Wall Street Contributing Editor Jason Seidl “came away with the view that while economic growth is sluggish, most do not expect a full-blown recession. In addition, several railroad executives admitted that the rails need to do a better job marketing to and servicing their customers. It was clear that Class I’s, short lines, and shippers need to do a better job of working together if rail wants to take share from the trucking space in the future.”