Freight Cars

R.J. Corman Awarded Contract for Texas Logistics Park

R. J. Corman Switching Company, LLC was awarded a contract to be the switching and transloading provider for the 137-acre multi-modal Hempstead Logistics Park owned by McAlister Assets and operated by RCR Rail Co. The Union Pacific-served logistics park is in Hempstead, Texas, approximately 50 miles northwest of Houston, Texas.

Takeaways, Locomotive and Railcar Conference Call: Cowen

According to Cowen and Company freight transportation analysts Jason Seidl (Managing Director and Railway Age Wall Street Contributing Editor), Matt Elkott and Adam Kramer, inquiries about new railcars appear to have risen slightly in the past month, while locomotive modernizations should remain solid, in the midst of a continuing weak new-build market. Industry-wide Precision Scheduled Railroading implementation has not been tested in a volume growth environment.

Cowen Survey: Railcar Demand Holding

Railcar demand appears to be holding up at the modest levels seen in second-quarter 2019, “despite continued rail traffic declines and ongoing PSR implementation,” according to a Cowen and Company’s third-quarter shipper survey. “Barring a recession, orders are unlikely to fall below replacement demand of about 10,000-12,000 units/quarter for the balance of the year.”

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.”