WEEKLY RAIL NEWS RECAP for 2005

From Railworkers United for Train Safety
For the week ending Saturday, February 19, 2005

Compiled by Dave Mears

(NOTE: The expression "ffd" at the end of a news item means "for further details" and usually represents what is believe to be the most helpful news resource if a reader wants more information on a particular item.)

THE WEEK'S TOP NEWS (in chronological order):

(MON) U.S. Secretary of Transportation Norman Mineta held a news conference in Chicago, IL.'s Union Station to defend the Bush Administrations zero funding proposal for Amtrak for Fiscal Year 2006. Addressing critic's charges that the Bush Administration wanted to put Amtrak in bankruptcy, Mr. Mineta said, "I've got news for you. If I wanted to kill Amtrak, I wouldn't have to lift a finger. The system as it now stands is dying and everyone knows it." Mr. Mineta said that the Administration would again present to the U.S. Congress a passenger rail reform bill that Congress rejected in 2003 and whose provisions include opening passenger rail operations to competition and transferring responsibility for funding operating subsidies to the states. Responding to Mr. Mineta's news conference, which was not open to the public, U.S. Senator from Illinois Dick Durbin commented, Secretary Mineta didn't come here with a plan. He came here with an excuse for this terrible budget decision. Mr. Mineta then traveled to another appearance, at Charlotte, NC.'s Amtrak station, on Tuesday. (ffd: Chicago Tribune, NARP, USDOT)

(MON) The Orange County Transportation Authority voted to table proposed construction of a 28-mile light rail line between Irvine, CA. and Fullerton, CA. An OCTA spokesman said that they had been unable to secure a federal funding commitment to cover one-half of the projects expected $1 billion cost. The spokesman added that other alternatives would now be considered, including widening some roads and developing improved bus transit projects, with a final report expected this coming June. (ffd: Los Angeles Times, Trains)

(MON) A rail-highway crossing crash was captured on video. The accident occurred in Oxnard, CA. when an Amtrak train struck a truckload of strawberries that had proceeded onto a crossing and then stopped for a red traffic signal ahead of it. The truck's driver was not injured in the crash, however, 2 passengers aboard the Amtrak train were treated for minor injuries. The accident was captured by a bystander, Gaspar Medina, who said that he was videotaping as evidence in a lawsuit related to an accident near the crossing he was involved in last September. Mr. Medina"s video may be seen at

http://cbs2.com/topstories/topstories_story_048081949.html. (ffd: wire services)

(MON) Canadian National announced that had reached a tentative labor agreement with the United Transportation Union. A CN spokesman said that the agreement covered approximately 2,600 train service employees. The spokesman added that, while specific terms of the agreement were being withheld pending ratification, the new agreement provided for "wage, benefit and quality of work-life improvements" and would run for 3 years, retroactive to January 1, 2004. (ffd: CN Corp., Railpace)

(TUE) Union Pacific suffered an on-duty employee fatality at its Heritage Park Shops in Council Bluffs, IA. Daniel Weinert, Age 46, was killed by an explosion that occurred as he was grinding a metal tank. The explosion, which was of such force that it threw Mr. Weinert 30 feet across the shop room, also injured 3 other shop employees in the vicinity. Later in the week, a UP spokesman said that the railroad had determined that the tank's epoxylike liner had been improperly cured during its manufacturing process, which formed and trapped a gas that was ignited by sparks from Mr. Weinert's grinder. (ffd: Des Moines Register, Trains)

(TUE) Construction began on Phoenix, AZ.'s new light rail line. A city spokesman said that the line, which will total approximately 20 miles in length, "will start in North Phoenix, go into downtown, then head past the airport and through downtown Tempe, ending in suburban Mesa." The spokesman added that the line is expected to open in December, 2008. (ffd: wire services)

(TUE) The U.S. Department of Transportation announced creation of 2 new departmental agencies. In a prepared statement, USDOT said that one office, the Research and Innovative Technology Administration, will house the Office of Intermodalism and Bureau of Transportation Statistics, and would also oversee the USDOT's objectives for transportation technology innovation and research. The other office, the Pipeline and Hazardous Materials Safety Administration, will include the Office of Hazardous Materials Safety and Office of Pipeline Safety. (ffd: USDOT)

(TUE) Caltrain renewed Amtrak's contract to operate its commuter rail services between San Francisco, CA., San Jose, CA. and Gilroy, CA. An Amtrak spokesman said that the contract runs until June, 2009 and includes 2 one-year options. Caltrain runs 86 trains on weekdays and 62 trains on weekends between San Francisco and San Jose, with rush-hour service to and from Gilroy. (ffd: Amtrak)

(WED) The U.S. Department of Justice confirmed that it is investigating possible anti-competitive pricing practices by BNSF and Union Pacific. "The Department of Justices Antitrust Division is looking at the possibility of anti-competitive practices involving the transportation of coal," said a USDOJ spokesman. Spokesmen for BNSF and UP said that they were cooperating with USDOJ, including having furnished requested documentation related to pricing and market conditions. (ffd: Dallas Morning News, Wall Street Journal)

(WED) Boston, MA.'s Massachusetts Bay Transportation Authority announced that it had contracted with InSite Wireless to install, operate and maintain an underground neutral wireless communication network in MBTA's subway system. An MBTA spokesman said that this would allow subway passengers to use their wireless voice and data devices, including mobile telephones and handheld computers. The spokesman added that installation would be done in phases, with first service in the Park Street, Downtown Crossing, Government Center and State Street stations and the tunnels connecting those stations. (ffd: Progressive Railroading)

(WED) Metrolink announced that they would rename an interlocking control point in honor of Thomas Ormiston, the Amtrak conductor in Metrolink service who was one of 11 killed in the January 26 Metrolink train accident. A Metrolink spokesman said that CP Metro on its East Bank Line would be renamed CP Ormiston. The spokesman added that the change would be effective March 1. (ffd: SCRRA)

(THU) In a rare note of discord, the National Association of Railroad Passengers criticized Amtrak for failing to specify a grant request in a customary annual letter sent by Amtrak Board Chairman David Laney. NARP reported that, unlike past years, a specific grant request was replaced with the statement that a request would be sent "as soon as a planning process permits." NARP added that "it is unfortunate, to say the least, that the Amtrak Board, which should have known for months about the February 15 grant request deadline, is unwilling to say how much the company needs, not having a number on the Hill makes securing funding that much more difficult."(ffd: NARP)

(THU) California Governor Arnold Schwarzenegger withdrew his earlier proposal to fold the responsibilities of the state's High-Speed Rail Authority into the state's existing transportation agencies. The withdrawal means that the High-Speed Rail Authority will continue as an independent entity. Also withdrawn are 87 other independent state boards and commissions earlier proposed for abolishment or absorption. (ffd: Los Angeles Times)

(FRI) CSX formally opened its new state-of-the-art training center in Atlanta, GA. The center will consolidate CSX training performed at several other system locations. "Our Atlanta facility will be a key part of our overall plan to recruit, train and qualify employees for fulfilling careers in our company", said Wayne Richards, CSX AVP-Contract Staffing and Training. A CSX spokesman said that the facility is expected to train more than 3,500 employees annually. (ffd: CSX Corp.)

(FRI) J. P. Morgan Chase Co. said that it had reached agreement to buy rail equipment supplier Progress Rail Services from Progress Energy. A Progress Energy spokesman said that it had sold Progress Rail for approximately $402 million. With approximately 3,500 employees, Progress Rail provides railcar parts, m-of-w equipment, rail and other track material, as well as rail car repair and recycling facilities. (ffd: Railway Age)

(FRI) Metro North Commuter Railroad reported on the success of the program to rebuild its fleet of Class M2 commuter rail cars. An MNCR spokesman said that the rebuilt M2's, which at 30 years old are the oldest in MNCR's fleet, had achieved an average of 98,676 miles between failures, better than any other car class. The spokesman added that the 'M2 Critical Systems Replacement Plan' includes installing moister-resistant power inverters, new housings for electrical components, new rubber gaskets on electric doors and new bathrooms. The spokesman added that all 241 M2's would be rebuilt in the next 5 years, at a total cost of approximately $150 million. (ffd: Stamford Advocate)

(SAT) In an apparent first, a British train operator designated a locomotive to honor a deceased rock music star. A spokesman for Cotswold Rail, which operates in Southwest England, said that it had named a locomotive in honor of the late Joe Strummer, who resided in Southwest England and died there in December, 2002 of a heart attack. Strummer and his band mates made up The Clash, which had a hit single entitled Train In Vainon their 1980 album London Calling, an album that many rock critics have hailed as one of the very greatest. (ffd: wire services)

WEEKLY STATS

(THU) For the week ending February 12, U.S. rail volume totaled 31.8 billion ton-miles, up 7.1 percent from the comparable week last year. Also for the week, U.S. carload rail traffic was up 6.0 percent, up 4.0 percent in the East and up 7.7 percent in the West.

Notable traffic increases included non-grain farm products up 22.5 percent, metallic ores up 20.9 percent, crushed stone, sand and gravel up 14.2 percent and coal up 11.2 percent; notable traffic decreases included primary forest products down 5.0 percent and motor vehicles and equipment down 4.9 percent.

Also for the week, U.S. intermodal rail traffic was up 11.6 percent, Canadian carload rail traffic was up 2.6 percent, Canadian intermodal rail traffic was up 6.5 percent, Mexico's Transportacion Ferroviaria Mexicana's carload rail traffic was up 11.5 percent and TFM's intermodal rail traffic was up 14.1 percent.

For the period January 1 through February 12, U.S. rail volume totaled 182.6 billion ton-miles, up 2.8 percent from the comparable period last year.
Also for the period,
U.S. carload rail traffic was up 1.9 percent,
U.S. intermodal rail traffic was up 8.5 percent,
Canadian carload rail traffic was up 2.7 percent,
Canadian intermodal rail traffic was up 2.6 percent,
TFM's carload rail traffic was up 7.1 percent
and TFM's intermodal rail traffic was up 22.9 percent. (ffd: AAR)

MORE STATS: BIG 6 OPERATING PERFORMANCE:

(THU) For the week ending February 12, average train speed was 24.3 mph for BNSF, 23.8 mph for Canadian National, 24.2 mph for Canadian Pacific, 19.0 mph for CSX, 21.2 mph for Norfolk Southern and 21.3 mph for Union Pacific. Average train speed is calculated by dividing train miles by hours operated, excluding dwell time.

Also for the week ending February 12, average terminal dwell time was 10.3 hrs for BNSF, 15.1 hrs for Canadian National, 36.8 hrs for Canadian Pacific, 30.7 hrs for CSX, 25.7 hrs for Norfolk Southern and 30.3 hrs for Union Pacific. Average terminal dwell time is the average time a car is at specified terminal locations, expressed in hours. (ffd: AAR)

ACQUISITIONS, ABANDONMENTS AND ALIKE:

(MON) Union Pacific filed to abandon approximately 1 mile of its Dry Valley Subdivision in Caribou County, ID. (ffd: AAR)

(FRI) Buffalo & Pittsburgh Railroad granted South Buffalo Railway overhead trackage rights over approximately 2 miles of line in and near Buffalo, NY. The purpose of the trackage rights is to improve interchange between BPRR and SB. (ffd: STB)

PERSONNEL CHANGES AND ALIKE:

(MON) Solomon Williams died in Bradenton, FL. at Age 101. Mr. Williams is recognized as the first person of African-American descent to regularly operate a locomotive in Florida, having started in engine service in 1916. Mr. Williams worked for a switching railroad serving the Manatee Crate Company, which went out of business in 1951. (ffd: Sarasota Herald Tribune)


For the week ending Saturday, February 12, 2005

Compiled by Dave Mears

(NOTE: The expression "ffd" at the end of a news item means "for further details" and usually represents what is believe to be the most helpful news resource if a reader wants more information on a particular item.)

THE WEEK'S TOP NEWS (in chronological order):

(MON) The Bush Administration released its proposed FY2006 budget. As reported in last week's WRR, the budget does not include any funding for Amtrak, but does include $360 million for sustaining Northeast Corridor passenger and freight operations in the event of Amtraks demise. Comments opposing the absence of Amtrak funding continued through the week. Amtrak President David Gunn called the proposed budget irresponsible and a surprising disappointment,adding that the Bush Administration had "no plan for Amtrak other than bankruptcy." U.S. Senator Charles Schumer (D-NY.) said that the end of Amtrak would "shred the safety net we'll need in case "God forbid" our airspace is shut down again like it was after 9/11." The budget also excludes any funding for the Alaska Railroad and the Railroad Rehabilitation and Improvement Financing (RRIF) loan program. However, the budget does include $2 billion in the form of unused tax credits for building a direct rail connection in New York City between Lower Manhattan and JFK Airport in Queens, a project favored by New York Governor George Pataki and budgeted as part of a $20 billion federal program to help locales affected by the 9/11 terrorist attacks. (ffd: Progressive Railroading, Railway Age, Trains)

(MON) CSX filed with the U.S. Surface Transportation Board to overturn Washington, DC.'s new ordinance banning hazardous material shipments within 2 miles of the U.S. Capitol. The ordinance was passed by Washingtons city council the previous week and is currently awaiting Mayor Anthony Williamss signature. In its filing, CSX stated that the ban is pre-empted by federal law regulating interstate rail transportation, adding that it would cause CSX great inefficiencies and hardship while creating little additional security. (ffd: AAR, Washington Post)

(MON) Amtrak resumed operation of its Surfliner passenger trains between Los Angeles, CA. and Santa Barbara. Service had been suspended due to the route having been severely damaged by torrential rains and mudslides in mid-January. An Amtrak spokesman said that Surfliner service further north to San Luis Obispo would resume on or about February 28, at which time Amtraks Coast Starlighttrain would also resume operation between Los Angeles and Oakland. Also on Monday, Los Angeles commuter rail operator Metrolink resumed operation of its Ventura Line service north of Moorpark to Oxnard. (ffd: NARP, Trains)

(TUE) The U.S. Department of Transportation issued its record of decisionof recommended mass transit projects. The list recommends new and ongoing projects endorsed for long-term federal funding commitments, also known as full funding grant agreements, and totals $1.5 billion of the proposed FY2006 federal budget. Funding newly recommended includes $390 million for New York Citys East Side Access for the Long Island Rail Road, $55 million for a 9.6 mile light serving Charlotte, NC. and $55 million for Pittsburgh, PA.s North Shore light-rail connector line. (ffd: Progressive Railroading, USDOT)

(TUE) Pennsylvania Governor Ed Rendell said that he would formally request the states transportation planning agencies to divert $85 million originally targeted for highway projects to state transit agencies. A spokesman for the largest Pennsylvania transit agency, Philadelphias SEPTA, said that the change would forestall planned fare hikes, service cuts and layoffs until at least June. Said SEPTA board chairman Pat Deon, I am very happy [and] we want to work?to come up with a more permanent fix. The planning agencies are expected to endorse the proposed funding diversions. (ffd: Philadelphia Inquirer)

(TUE) 2 men were arraigned in Kansas City, KS. county court charged with stealing copper wire used for controlling signals on BNSFs Transcon Line. The theft disrupted signal operation on the line the previous Saturday, forcing BNSF to manually dispatch and protect the line between Gardner and Wellsville, which totals approximately 45 trains daily. A BNSF spokesman said that approximately 600 feet of copper wire stolen early Saturday and then replaced, and then another 1200 feet of copper wire was stolen Saturday afternoon. The spokeman said that the second stolen section was replaced and normal signal operation resumed on the line by Saturday night. (ffd: Kansas City Star)

(TUE) Amtrak took delivery of 5 new Class MP15D switching locomotives. The locomotives will replace several existing Amtrak switch locomotives that are approximately 50 years old. Also for Amtrak, 10 new multi-level auto cars were routed to Progress Rail at DeCoursey, KY. for final fittings. The cars will begin replacing those presently in Auto Train service, which were acquired secondhand many years ago. (ffd: Railpace, NARP)

(TUE) Construction began on a new rail line crossing the Andes Mountains of South America. A spokesman for the Association of Latin American Railroads said that the line will run from the Ferrosur Roca's western terminus in Zapala, Argentina across the Andes to connections with Chilean railroads and Pacific ports. The spokesman added that the new line will initially cost $49 million and will eventually total approximately 120 miles in length. (ffd: Progressive Railroading)

(WED) A bipartisan group of congressman again introduced the Transportation Equity Act of the 21st Century, also known as TEA-21, to the U.S. House of Representatives. The proposed legislation reauthorizes the existing TEA-21 Act, which originally expired in 2003 and has since been extended 6 times. This latest proposal appropriates approximately $284 billion for transportation projects over a 6-year period, including approximately $53 billion for mass transit programs. The proposed amount is less than the $375 billion earlier wanted by the House and the $318 billion earlier wanted by the Senate, but is more than the $256 billion supported by the Bush Administration in the reauthorization legislation that was introduced and subsequently died in the House last year. (ffd: Progressive Railroading, Railway Age)

(WED) The U.S. Department of Transportation released an internal report stating that its Federal Railroad Administration needs to refocus its safety programs because significant safety problems persist despite a significant increase in FRA enforcement. The 2-month old report, prepared by USDOTs Office of Inspector General, said that the FRAs approach to regulation, which stresses partnershipover punishment, might be failing to fix the most persistent safety problems. The report went on to recommend that the FRA adopt safety programs that will focus field inspection activities, assess when a partnership approach is no longer effective and more traditional enforcement is warranted?.and include specific milestones for measuring progress.(ffd: New York Times, Railway Age)

(WED) New York City dedicated its new Whitehall Ferry Terminal, the Manhattan terminus for its Staten Island ferry service. The new facility, which was reconstructed over the past several years at a cost of $201 million, includes a new 75-foot-high entry hall and new connecting entryways to the South Ferry station of the Nos. 1 and 9 subway lines. A NYC spokesman said that a reconstructed facility at the other end of the ferry operation, at St. George on Staten Island, was expected to open by next spring. (ffd: New York Times)

(WED) BNSF opened its new centralized radio repair shop in Kansas City, KS. The new facility consolidates radio and related telecommunications repair that had previously been done at 20 different BNSF locations. A BNSF spokesman said that the new facility will perform repairs to BNSFs 3,500 end-of-train devices, 4,500 front-of-train devices, 30,000 handheld radios, 12,000 other mobile radios and 5,500 locomotive radios. (ffd: BNSF Corp.)

(WED) The Port of Los Angeles Harbor Commission announced that it had selected BNSF to co develop and operate a new intermodal transfer yard to be located approximately 5 miles north of the port. A port spokesman said that the new yard, known as a near-dock facility, would receive containers from the port which would then be put on intermodal trains routed via the new Alameda Corridor rail line out of Los Angeles. The spokesman reminded that the Port of Los Angeles and the adjoining Port of Long Beach receive approximately 7 million containers annually. (ffd: Long Beach Telegram)

(WED) New Jersey public officials released a report urging the construction of a new twin rail tunnel under the Hudson River. The new twin tunnel would supplement 2 existing rail tunnels under the river currently operated by Amtrak, both of which are 95 years old this year. The report stated that the twin tunnel would immediately double rail capacity into and out of New York, meet New Jersey Transits needs for at least 20 years, and help support New York and New Jersey development. The tunnel will have national benefits and should be a federal priority,said U.S. Senator Frank Lautenberg (D-NJ.) The report estimated the cost of the twin tunnel at approximately $5 billion. (ffd: New York Times, wire services)

(WED) France and Germany announced an agreement designed to expedite rail freight services between their 2 countries. Under the agreement, freight trains will no longer stop at the border to change locomotives and crews. Trains from France will run through to Cologne and Mannheim in Germany and trains from Germany will run through to Metz and Lyon in France. A spokesman for the state railroads of both countries said that the new agreement will cut transit time several hours. The spokesman added that necessary operational changes include requiring crews of one country to be fluent in the technical aspects of language of the other country, as well as being qualified on each state railroads operating characteristics. (ffd: International Herald Tribune)

(THU) Union Pacific announced a series of rate increases for selected shipments to and from some Arizona locations. The rates, which take effect March 1, are designed to reduce demand and thereby help reduce congestion on UP at and through Arizona. A UP spokesman said that some of the [Arizona] shippers are getting way more cars than they have the ability to unload. UP has suffered congestion in and through Arizona the last several months, due mainly to capacity constraints, but also due to weather-related causes. (ffd: Bloomberg News)

(THU) The U.S. National Transportation Safety Board announced that it would hold a symposium to discuss positive train control technology. The meeting will be held March 2 and 3 at the NTSB Academy in Ashburn, VA. The goal of this symposium is to reinvigorate the dialogue between industry and both state and federal agencies on the issues relevant to the implementation of positive train control systems,said NTSB Chairman Engleman Conners. PTC has been on the NTSBs most wanted listof transportation safety improvements since its inception in 1990. (ffd: NTSB)

(FRI) Railway Age Magazine announced the winners of its 2005 Short Line and Regional Railroads of the Year competition. The magazine declared the Cedar Rapids & Iowa City Railway as Short Line of the Year and the Red River Valley & Western Railroad as Regional of the Year. A magazine spokesman said that the Cedar Rapids & Iowa City was recognized for exceptional achievements in productivity, safety and customer serviceand that the Red River Valley & Western was recognized for outstanding business achievements through Class I partnership, marketing, and customer service efforts.(ffd: Railway Age)

WEEKLY STATS

(THU) For the week ending February 5, U.S. rail volume totaled 31.2 billion ton-miles, up 10.2 percent from the comparable week last year. U.S. carload rail traffic was up 9.0 percent, up 5.2 percent in the East and up 12.1 percent in the West. Notable increases included coke up 22.5 percent, metallic ores up 20.3 percent and coal up 14.0 percent; notable decreases included primary forest products down 12.7 percent and nonmetallic minerals down 8.9 percent. Also for the week ending February 5, U.S. intermodal rail traffic was up 9.9 percent, Canadian carload rail traffic was up 13.7 percent, Canadian intermodal rail traffic was up 4.4 percent, Mexicos Transportacion Ferroviaria Mexicanas carload rail traffic was up 16.6 percent and TFMs intermodal rail traffic was up 27.9 percent.

For the period January 1 through February 5, U.S. rail volume totaled 150.8 billion ton-miles, up 1.9 percent from the comparable period last year. Also for the period, U.S. carload rail traffic was up 1.1 percent, U.S. intermodal rail traffic was up 7.9 percent, Canadian carload rail traffic was up 2.7 percent, Canadian intermodal rail traffic was up 1.8 percent, TFMs carload rail traffic was up 6.2 percent and TFMs intermodal rail traffic was up 25.0 percent. (ffd: AAR)

MORE STATS:

(MON) The U.S. Federal Railroad Administration released preliminary safety statistics for the first 11 months of 2004. During this period, train accidents were down 1.0 percent, highway-rail crossing accidents were down 1.9 percent and trespasser accidents were down 8.9 percent, all when ranked with the comparable period in 2003. However, highway-rail crossing fatalities were up 12.6 percent. Trespasser fatalities were down 5.5 percent.

Also and for the Full Year 2004, no on-duty U.S. railroad maintenance-of-way employee or related engineering contractor was reported killed by a moving rail car, locomotive or piece of machinery. An FRA spokesman added that 2004 was the first year without such a fatality since the adoption of new rail roadway worker protection rules in 1997. (ffd: Progressive Railroading, Railway Age, USDOT)

ACQUISITIONS, ABANDONMENTS AND ALIKE:

(TUE) CSX granted Finger Lakes Railway overhead trackage rights over approximately 2 miles of CSX line in and near Auburn, NY. (ffd: STB)

(TUE) The U.S. Surface Transportation Board granted CN-Soo Lines earlier request to abandon approximately 5 miles of its West Allis Line between Milwaukee, WI. and Wauwatosa, WI. (ffd: STB)

PERSONNEL CHANGES AND ALIKE:

(MON) The Reading, Blue Mountain & Northern Railroad appointed Wayne Michel its President. Mr. Michel was most recently RBM&Ns EVP and was earlier a marketing director with the former Conrail. (ffd: RBM&N Corp.)

(WED) U.S. Senator Trent Lott (R-MS.) was appointed chairman of the Senate Committee on Commerce, Science and Transportations Surface Transportation and Merchant Marine Subcommittee. The subcommittee has responsibility for managing Senate legislation related to railroads and Amtrak, as well as automobiles, trucks, maritime and ports, driver safety, transportation of hazardous materials, pipelines and transportation research. (ffd: Railway Age)


For the week ending Saturday, February 5, 2005

Compiled by Dave Mears

(NOTE: The expression "ffd" at the end of a news item means "for further details" and usually represents what is believe to be the most helpful news resource if a reader wants more information on a particular item.)

THE WEEK'S TOP NEWS (in chronological order):

(MON) 2 U.S. senators introduced bipartisan legislation to toughen federal oversight of the rail industry. The bill's provisions include requiring the Federal Railroad Administration to investigate all fatal crossing accidents, requiring railroads to file accident reports more promptly, increasing the number of inspectors focusing specifically on crossing and hazardous material matters, and raising fines for railroads that violate FRA regulations. The bill is cosponsored by Sen. Charles Schumer (D-NY.) and Sen. Lindsey Graham (R-SC.). Also on Monday and recalling the recent Graniteville, SC. derailment and gas leak resulting in 9 fatalities, Sen. Jon Corzine (D-NJ.) said that he planned to introduce legislation that would ensure that older rail tank cars are brought up to current safety standards. (ffd: New York Times, Rochester Democrat & Chronicle)

(MON) The Canadian Heartland Training Railway announced that it would begin training on 21 miles of line leased from the Central Western Railway in and near Stettler, AB. A CHTR spokesman said that the line "will provide a safe and practical worksite that will [in turn] provide working knowledge and experience to those enrolled in railway conductor training programs developed by the Railway Association of Canada's Institute of Railway Technology." The spokesman added that training using the line would begin on or about April 1. (ffd: CHTR Corp.)

(MON) British railway engineers announced that they would begin equipping in-service, high-speed trainsets with track monitoring equipment. Andrew McNaughton, chief engineer for U.K. track and infrastructure owner Network Rail, said, "30 years ago, the equipment needed to do this would have been too big to fit to a bogie [wheel set]. Now it's the size of a personal computer? This is the first time that [in-]service trains anywhere in the world will be carrying equipment repeatedly monitoring the quality of track." A Network Rail spokesman added that the first trainsets equipped would be those operating on the East Coast main line between London, England and Edinburgh, Scotland. (ffd: UK Rail News & Views)

(TUE) The District of Columbia City Council voted to ban rail and truck shipments of hazardous materials within 2 miles of the U.S. Capitol. A spokesman for D.C. Mayor Anthony Williams said that he would sign the new ordinance. Late last year, the council voted down a similar ordinance following voluntary action by CSX -- whose main line skirting federal offices in Southwest and Southeast Washington has been of primary concern -- to divert hazmat shipments to routings away from the Washington area. A CSX spokesman said that it was reviewing the ordinance. Association of American Railroads President and CEO Edward Hamberger issued a statement called the council's actions "regrettable", adding that "rerouting does not eliminate the overall risk, but merely shifts it to other communities." (ffd: AAR, Washington Times, wire services)

(TUE) The Bush Administration proposed a FY2006 budget eliminating operating subsidies for Amtrak. The proposed budget includes $360 million for Northeast Corridor capital improvements. The proposal contrasts with Amtrak's FY2005 federal funding of approximately $1.2 billion, of which approximately $570 million is for operating subsidies. The National Association of Railroad Passengers called the proposal "a tired reminder of similar failed efforts by past [Republican] Administrations, which proposed [zero subsidies] for FY1986 through FY1991." U.S. Senator Tom Carper (D-DE.) called it "a nonstarter in Congress." (ffd: NARP, New York Times, Wilmington News Journal, wire services)

(TUE) Union Pacific confirmed that they would put approximately 20 miles of second main track in service on their Sunset Line by the end of this month. The new double track locates on segments of the line between El Paso, TX. and Demming. In a January 11 letter to customers concerning efforts to improve service on the Sunset Line, UP EVP-Marketing & Sales Jack Koraleski noted that "a special operations team is coordinating the many projects that are now under way on this critical route?Once we complete this [improvement] work, we are targeting 44 trains per day on this route." (ffd: Railway Age, UP Corp.)

(WED) The New York City Transit Authority resumed near-normal operation on its A and C subway lines. Operation of the lines had been disrupted following a January 23 fire that destroyed a circuitry room near the Chambers Street subway station in Lower Manhattan. NYCTA President Lawrence Reuter had originally said that complexity of circuitry repairs required might result in service on the lines being disrupted from 3 to 5 years. In announcing the resumption of near-normal service after only 9 days, Mr. Reuter apologized for his initial prediction, noting the "Herculean effort" by subway repair personnel who devised a "very basic, temporary automatic signaling" system that will permit trains to run on the lines with automatic signal protection. (ffd: New York Times)

(WED) Norfolk Southern and project partner Motiva Enterprises opened a new ethanol facility at Motiva's petroleum distribution terminal in Sewaren, NJ. A Norfolk Southern spokesman said that the new facility is now the largest rail-served ethanol terminal in the New York Harbor area, with the capability of unloading 40 rail cars daily. The spokesman added that ethanol "is increasingly being used as a cost-effective octane enhancer for gasoline and as a clean-burning replacement for Methyl Tertiary Butyl Ether, a chemical recently banned by Connecticut and New York State." (ffd: NS Corp.)

(WED) Concurrent with the national "State of the Union" address, the American Public Transportation Association released a "state of the transit industry" address. The APTA noted that, in 2004, new light rail lines opened in Houston, TX., Minneapolis, MN., Charlotte, NC. and Little Rock, AR. and that, last November, voters passed 80 percent of local transportation financing initiatives, the largest of which was $4.7 billion for a Denver, CO. area light rail and commuter rail system. However, the APTA also noted that transit agencies have been unable to plan future projects because of a delay in passing a new federal Transportation Equity Act, the original act having been extended 6 times since its September, 2003 expiration, with the current extension expiring this May. (ffd: APTA)

(WED) Rail supplier Wabtec announced that it had completed its acquisition of Italy-based Rutgers Rail for $36 million. A Wabtec spokesman noted that Rutgers Rail supplies brake shoes, disc pads and interior trim components to European freight and passenger railroads. The spokesman added that "with this acquisition, we expect Wabtec's sales outside of North American to be about 25 percent of our total sales, compared to about 5 percent when we went public 10 years ago." (ffd: Progressive Railroading, Wabtec)

(THU) The U.S. Federal Railroad Administration announced that it had assessed fines totaling $298,000 against CSX for "multiple violations of highway-rail grade crossing safety regulations related to a 2004 crossing accident in Henrietta, NY., where a train struck a vehicle and killed an elderly couple." The fines, some of the largest by FRA in recent memory, cited CSX "for failure to make repairs without undue delay at 3 highway-rail grade crossings" and for "failing to have the train crew involved stop and flag highway traffic as the required alternate means of providing warning and protection to motorists, "and additionally cited CSX for inadequate drainage caused by fouled ballast. (ffd: Progressive Railroading, Railway Age)

(THU) One BNSF freight train rear-ended another that was stopped on its main line near Wellsville, KS. , approximately 45 miles south of Kansas City. The accident injured a crewperson on the colliding train. 6 cars on the first train were derailed and 2 locomotives and 2 cars on the second train were also derailed. A third train approaching the accident scene was able to stop before striking the wreckage. (ffd: wire services)

(THU) A Norfolk Southern freight train derailed 27 cars near Roanoke, VA. No crewpersons were injured in the accident and no hazmat cars were involved. The train, principally of coal cars, was enroute from Bluefield, WV. to Roanoke when it derailed. (ffd: Roanoke Times)

(THU) A bus-like vehicle being pulled across railroad tracks was struck by a train near Nagpur in western India. The collision killed 52 persons seated aboard the vehicle, including 30 women and 10 children. No one was injured aboard the train, which remained on the tracks. (ffd: wire services)

(THU) Philadelphia, PA. commuter rail and transit operator SEPTA announced that it had reached agreement with American Premier Underwriters, the custodian of the remnant assets of the former Penn Central, in the longstanding Paoli Rail Yard environmental contamination case. The rail yard was the site of a commuter rail car maintenance facility that had been contaminated by the residuals of a coolant used in motor transformers. In 1986, the U.S. Environmental Protection Agency ordered SEPTA, Conrail and Amtrak to clean up and remediate the site. The 3 railroads did so, but preserved their claim that Penn Central, now APU, was responsible for most of the contamination. A SEPTA spokesman said that the agreement calls for APU to pay $23 million to SEPTA, of which SEPTA is obligated to pay Conrail approximately $9 million. (ffd: SEPTA)

(FRI) The Association of American Railroads reminded that its 21st annual edition of its "Railroads Ten-Year Trends" booklet is now available. The new edition provides tables and graphs which present an economic overview of the U.S. rail freight industry for the years 1994 through 2003. The booklet costs $50 for individuals from AAR member railroads and $100 for others, and may be ordered from the AAR's website. (ffd: AAR)

WEEKLY STATS

(THU) For the week ending January 29, U.S. rail volume totaled 30.3 billion ton-miles, up 3.1 percent from the comparable week last year. Also for the week, U.S. carload rail traffic was up 2.1 percent ? up 1.3 percent in the East and up 22.8 percent in the West ? U.S. intermodal rail traffic was up 8.1 perrcent, Canadian carload rail traffic was up 11.9 percent and Canadian intermodal rail traffic was up 11.3 percent.

For the month of January, 2005, U.S. carload rail traffic was down 0.7 percent from January, 2004. In reporting January's results, an Association of American Railroads spokesman noted the month's many weather-related operational difficulties, including "torrential rains and mudslides, blizzards and bitter cold." Notable carload increases included crushed stone, sand and gravel up 8.6 percent, metallic ores up 8.5 percent and coal up 0.5 percent; notable traffic decreases included waste and scrap materials down 9.2 percent, grain down 5.6 percent and grain mill products down 5.5 percent. Also for the month, U.S. intermodal rail traffic was up 7.4 percent, Mexico's Transportacion Ferroviaria Mexicana's carload rail traffic was up 3.8 percent and TFM's intermodal rail traffic was up 24.2 percent.

In Canada in January, intermodal rail traffic was down 1.1 percent and carload rail traffic was up 0.1 percent. Notable traffic increases included metallic ores up 14.6 percent and grain up 6.1 percent; notable traffic decreases included non-grain farm products down 33.3 percent and coal down 4.8 percent. (ffd: AAR)

MORE STATS 4TH QTR., 2004 AND FULL YEAR 2004 RESULTS:

(MON) Kansas City Southern Railway reported operating income of $31.7 million compared with a $1.9 million loss the previous fourth quarter, revenues of $173.7 million compared with $147.0 million the previous fourth quarter, and an operating ratio of 81.8 percent compared with 86.9 percent the previous fourth quarter. For the Full Year 2004, KCSR reported operating income of $101.0 million compared with $44.5 million the previous year, revenues of $635.7 million compared with $575.3 million the previous year, and an operating ratio of 84.1 percent compared with 88.6 percent the previous year. In reporting their improved 2004 operating ratios, a KCS spokesman noted that the 2003 comparative operating ratios exclude a $21.1 million claims reserve adjustment affecting results that year. (ffd: KCS Corp.)

ACQUISITIONS, ABANDONMENTS AND ALIKE:

(TUE) The Railroad Switching Service of Missouri filed to abandon their entire railroad, approximately 2 miles of line, between the publishing facility of the St. Louis Post-Dispatch and its connection to Norfolk Southern near Broad Street, in St. Louis, MO. (ffd: STB)

(THU) The U.S. Surface Transportation Board approved BNSF s trackage rights over approximately 16 miles of Union Pacific line serving the Bayport Industrial District in and near Houston, TX. BNSF and UP had reached agreement on these trackage rights last December. BNSF had earlier planned, in conjunction with 4 chemical shippers, to build its own 13-mile line to reach and serve Bayport. (ffd: Progressive Railroading, STB)

PERSONNEL CHANGES AND ALIKE:

(MON) The U.S. Department of Transportation appointed Daniel Smith to be the Associate Administrator of Safety for the Federal Railroad Administration. Mr. Smith has been with the FRA since 1978. (ffd: USDOT)

(TUE) U.S. Representative Ernest Istook (R-OK.) was not re appointed as the head of the House Appropriations Subcommittee on Transportation. Mr. Istook recently came under intense criticism for initially deleting federal funding for transportation projects in the districts of 21 fellow representatives who supported increased funding for Amtrak. Mr. Istook, a noted Amtrak critic, later apologized to his colleagues for that action. (ffd: Friends of Amtrak, The Hill)

(TUE) Union Pacific appointed Julie Krehbiel AVP & GM of Union Pacific Distribution Services and Beth Whited AVP-Automotive for the General Motors account. Ms. Krehbiel has been with UP since 1988 and Ms. Whited has been with UP since 1987. (ffd: UP Corp.)

(TUE) Canadian Transport Minister Jean Lapierre nominated Paul Cote as president and CEO of Via Rail Canada. Mr. Cote has been serving as president and CEO in an interim capacity. (ffd: Progressive Railroading)

(THU) Union Pacific appointed Bob Naro VP-Mexico Operations. A UP spokesman said that Mr. Naro, who started with UP predecessor Missouri Pacific in 1965, would be responsible "for all aspects of UP's Mexico's operations, including border operations, interchange with Mexican railroads, capacity planning and special UP Mexico projects." (ffd: UP Corp.)


For the week ending Saturday, January 29, 2005

Compiled by Dave Mears

(NOTE: The expression "ffd" at the end of a news item means "for further details" and usually represents what is believe to be the most helpful news resource if a reader wants more information on a particular item.)

THE WEEK'S TOP NEWS (in chronological order):

(SUN) A major snowstorm that had begun the previous day caused rail service disruptions in much of the Northeastern and Middle Atlantic U.S. Amtrak and also commuter railroads serving Washington, DC., Philadelphia, PA., New York, NY. and Boston, MA. curtailed some train services into Monday. Freight railroads serving the region issued service advisories to customers alerting them to possible pickup and delivery delays. Boston was particularly hard hit by blizzard-level snow and winds, which added to a January snow total there of 43.1 inches, the most recorded in Boston since record keeping began. (ffd: wire services)

(SUN) A fire possibly set by a homeless person destroyed a circuitry room in a tunnel near New York City's Chambers Street subway station in Lower Manhattan. The destroyed circuitry, much of which was of an older design and installation, controlled much of the operation of the subways A and C Lines, causing the A Line to have to be operated on 18-minute headway's instead of the normal 6 minutes and the C Line having to be suspended. Although subway officials said initially that the damage was so severe as to render the lines disrupted or out-of-service for up to several years, a subway spokesman said later in the week that the lines would instead be affected for 3 to 6 months. (ffd: New York Times)

(MON) The U.S. Department of Transportation announced that it had reached agreement to provide $587 million in federal funding for construction of a light rail line serving Phoenix, AZ. A city spokesman said that the line would total approximately 20 miles in length, and would serve Phoenix and the neighboring communities of Tempe, Mesa and Glendale. The spokesman added that a starter segment of the line was now expected to be in service by December, 2008. (ffd: Railway Age, wire services)

(MON) Construction crews laid the first new rail for San Diego, CA.'s new Sprinter light rail line. A spokesman for the North County Transit District, the lines operator, said that the line will total 22 miles in length, running from Oceanside to Escondido through Vista and San Marcos. The spokesman added that Burlington Northern Santa Fe will continue to provide rail freight service over the line. (ffd: North County Times)

(MON) U.S. Senator Charles Schumer (R-NY.) said that he would introduce legislation to strengthen federal regulation of U.S. railroads. "The Federal Railroad Administration, right now, has the power of a wet noodle", said Mr. Schumer. The senator made his comments while standing at a CSX rail-highway grade crossing in Pittsford, NY. near Rochester. A spokesman for the senator said that his proposed regulations would bolster the FRA's power by toughening regulations, increasing its ability to fine railroads, and double the number of FRA inspectors.(ffd: Rochester Democrat & Chronicle)

(MON) Burlington Northern Santa Fe announced that it was renaming itself BNSF Railway. To publicize the name change, BNSF Chairman Matt Rose participated in events that included ringing the closing bell at the New York Stock Exchange. Concurrent with the name change, BNSF Railway will retire its current logo, with its design remnant of its predecessor Santa Fe Railway, replacing it with a new logo. (ffd: BNSF Corp., Fort Worth Star Telegram)

(MON) A survey commissioned by the Railway Association of Canada found that a majority of Canadian citizens believe that the country's highways would be safer and the environment cleaner if Canada relied more on freight rail and passenger rail. About 90 percent of the surveys respondents said that they believed rail was the safest and most environmentally friendly transportation mode. And more than 90 percent of respondents said that the Canadian government should invest in maintaining, upgrading and expanding rail infrastructure, and that they would support transportation policies and financial incentives to encourage greater use of rail. (ffd: Progressive Railroading, RAC)

(WED) Beginning a terrible chain of events, a Metrolink commuter train operating in push-mode struck a vehicle parked on a crossing in Glendale, CA. The commuter train then derailed, striking a ballast train with 2 Union Pacific locomotives parked on an adjacent siding and knocking one of the UP locomotives on its side, and then sideswiping another Metrolink commuter train coming in the opposite direction. The crashes killed a total of 11 persons and injured more than 180 others aboard both commuter trains. The vehicle belonged to one Juan Manuel Alvarez, Age 25, who was uninjured and who reportedly told investigators that he had parked his SUV on the crossing with the intention of committing suicide, but changed his mind at the last-minute and exited the vehicle, leaving it parked on the tracks. Among the 11 persons killed was Thomas Ormiston, Age 58, an Amtrak conductor on-duty aboard one of the Metrolink trains. (ffd: wire services)

(WED) Possibly overshadowed by events in nearby Glendale, Burlington Northern Santa Fe also suffered an on-duty employee fatality on Wednesday. Conce Campbell, Age 52, was fatally injured while switching cars at Terminal Island, which is near Torrance, CA. in Greater Los Angeles. (ffd: Torrance Daily Breeze)

(WED) The California High-Speed Rail Authority approved previously designated route alignments for the bulk of the states proposed 700-mile high-speed passenger rail system. The approval directs staff to move forward to finalize the first round of environmental analysis. California Governor Schwarzenegger's proposed budget has earmarked $1.7 million for this analysis and related work. The proposed system is years away from final approvals and from gaining a definitive source of funding for land acquisition, construction and operation. (ffd: Trains)

(WED) A federal judge issued a temporary restraining order against a strike threatened by Long Island Rail Road locomotive engineers. The engineers dispute relates to the lease of Arch Street Yard in Long Island City, NY., which will be used for warranty work by Bombardier, who is manufacturing the LIRR's new M-7 commuter rail cars and who will use their own personnel to switch the cars at the warranty facility. A spokesman for the union representing the engineers, the Brotherhood of Locomotive Engineers and Trainmen, said that they had received letters from the LIRR stating that they will not negotiate the dispute and that the railroad has violated neither the contract nor the law and has acted in good faith.(ffd: New York Newsday, Trains)

(WED) The U.S. Department of Transportation said that it will host public meetings on April 12 and 19, where senior USDOT officials will listen to public opinion on past, present and future regulations. Making regulations simpler, more effective and less burdensome is a challenge that can only be met if the public participates, said Transportation Secretary Norman Mineta. Mr. Mineta added that, in addition to the public meetings, USDOT will accept related comments in writing through April 29. (ffd: JofC Online, USDOT)

(WED) Ticketing personnel struck Frances state railway system. The strike was in sympathy of a female ticket collector who was sexually assaulted aboard a train in Southwestern France. A railway spokesman said that the strike had disrupted services on nearly all Frances rail lines. Wednesdays strike follows a work stoppage by French rail workers the previous week that protested work conditions, cutbacks and planned reforms. (ffd: wire services)

(WED) Israel announced plans to build a 100-kilometer rail line connecting the West Bank and the Gaza Strip. An Israeli government spokesman said that passenger services on the new line would provide safer travel without the security threat of Palestinians in Israeli territories. The spokesman added that the line would also serve Israel's Ashod Seaport. (ffd: Anadolu News Agency)

(THU) The Association of American Railroads said that it and its member railroads have offered to assemble a team of experts to travel to South Asia to help rebuild critical rail lines that were destroyed by the tsunami that hit that region on December 26. In a letter to U.S. Secretary of Transportation Norman Mineta, AAR President Edward Hamberger said that recognizing the importance of [those countries rail infrastructures] in delivering aid to tsunami victims, Americas railroads want to assist in this effort to rebuild. Mr. Hamberger went on to state that the railroad industry is prepared to recruit and support a multi disciplinary team of experts.(ffd: AAR)

(THU) Canadian National locomotives engineers approved a strike mandate. However, any strike action is on hold until the Canadian Industrial Relations Board issues essential service levels for the railroad in the event of a strike. A spokesman for the union representing the engineers said that they were still at odds with CN over several issues, adding that they have been without a contract since the end of 2003. The dispute does not involve CN engineers operating in the U.S. (ffd: wire services)

(THU) Houston, TX.'s transit agency repealed its ban on the carrying of concealed handguns on its system. A spokesman for the Metropolitan Transit Authority of Harris County said that the repeal responds to a 2003 Texas state law that says that Texas cities cannot bar licensed gun owners from carrying concealed weapons in public buildings. Pro-gun organizations then sued the agency, contending that the law also applies to public transit. Authority Chairman David Wolff called the change a nonevent.(ffd: Seattle Post-Intelligencer, wire services)

WEEKLY STATS

(THU) For the week ending January 22, U.S. rail traffic totaled 29.3 billion-ton miles, down 3.9 percent from the comparable week last year, due at least in part to weather-related problems across the country. U.S. carload rail traffic was down 4.3 percent, down 2.3 percent in the East and down 5.8 percent in the West. Notable traffic increases included metallic ores up 16.2 percent and coke up 4.1 percent; notable traffic decreases included non-grain farm products down 43.3 percent, food and food products down 11.3 percent and grain down 8.8 percent. Also for the week ending January 22, U.S. intermodal rail traffic was up 5.1 percent, Canadian carload rail traffic was down 7.0 percent, Canadian intermodal rail traffic was down 4.7 percent, Mexico's Transportation Ferroviaria Mexicanas carload rail traffic was up 9.9 percent and TFMs intermodal rail traffic was up 35.2 percent.

For the period January 1 through January 22, U.S. rail traffic totaled 89.3 billion ton-miles, down 1.1 percent from the comparable period last year. U.S. carload rail traffic was down 1.7 percent, U.S. intermodal rail traffic was up 7.2 percent, Canadian carload rail traffic was down 3.5 percent, Canadian intermodal rail traffic was down 2.1 percent, TFMs carload rail traffic was up 2.4 percent and TFM's intermodal rail traffic was up 18.3 percent. (ffd: AAR)

MORE STATS : 4TH QTR., 2004 AND FULL YEAR 2004 RESULTS:

(MON) For the Fourth Quarter 2004, Union Pacific reported net income of $79 million compared with $551 million the previous fourth quarter, revenues of $3.22 billion compared with $2.97 billion the previous fourth quarter, and an operating ratio of 93.7 percent, compared with 80.1 percent the previous fourth quarter. In reporting their fourth quarter results, a UP spokesman noted the effect of higher fuel prices, increasing operating costs and a special charge for covering asbestos claims. For the Full Year 2004, UP reported net income of $604 million compared with $1.59 billion the previous year, revenues of $12.22 billion compared with $11.55 billion the previous year, and an operating ratio of 89.4 percent compared with 81.5 percent the previous year. (ffd: UP Corp.)

(TUE) For the Fourth Quarter 2004, CSX reported net income of $66 million compared with $123 million the previous fourth quarter, revenues of $2.17 billion compared with $1.90 billion the previous fourth quarter, and an operating ratio of 85.5 percent compared with 87.4 percent the previous fourth quarter. For the Full Year 2004, CSX reported net income of $339 million compared with $246 million the previous year, revenues of $8.02 billion compared with $7.44 billion the previous year, and an operating ratio of 87.6 percent compared with 91.2 percent the previous year. (ffd: CSX Corp.)

(TUE) For the Fourth Quarter 2004, Burlington Northern Santa Fe reported net income of $347 million compared with $226 million the previous fourth quarter, revenues of $2.92 billion up 19 percent from the previous fourth quarter, and an operating ratio of 77.1 percent compared with 80.6 percent the previous fourth quarter. For the Full Year 2004, BNSF reported net income of $791 million compared with $816 million the previous year and revenues of $10.95 billion compared with $9.41 billion the previous year. (ffd: Railway Age, wire services)

(WED) For the Fourth Quarter 2004, Canadian National reported net income of C$376 million compared with C$224 million the previous fourth quarter, revenues of C$1.74 billion compared with C$1.51 billion the previous fourth quarter, and an operating ratio of 65.0 percent compared with 66.1 percent the previous fourth quarter. For the Full Year 2004, CN reported net income of C$1.26 billion compared with C$1.01 billion the previous year, revenues of C$6.55 billion compared with C$5.88 billion the previous year, and an operating ratio of 66.9 percent compared with 69.8 percent the previous year. (ffd: CN Corp.)

(WED) For the Fourth Quarter 2004, Norfolk Southern reported net income of $264 million compared with $52 million the previous fourth quarter, revenues of $1.95 billion compared with $1.68 billion the previous fourth quarter, and an operating ratio of 76.3 percent compared with 80.3 percent the previous fourth quarter. For the Full Year 2004, Norfolk Southern reported net income of $923 million compared with $535 million the previous year, $7.31 billion compared with $6.47 billion the previous year, and an operating ratio of 76.7 percent compared with 81.9 percent the previous year. In reporting comparative previous fourth quarter and previous year results, an NS spokesman noted that a special charge related to NS's employee voluntary separation program has been excluded. (ffd: NS Corp.)

(THU) For the Fourth Quarter 2004, Canadian Pacific Railway reported net income of C$129 million compared with C$174 million the previous fourth quarter, revenues of C$1.02 billion compared with C$963 million the previous fourth quarter, and an operating ratio of 77.2 percent compared with 76.9 percent the previous fourth quarter. For the Full Year 2004, CPR reported net income of C$413 million compared with C$401 million the previous year, revenues of C$3.90 billion compared with C$3.66 billion the previous year, and an operating ratio of 79.8 percent compared with 80.1 percent the previous year. In reported 2004 results, a CPR spokesman noted the effect of foreign exchange gains on long-term debt and other specified items. (ffd: CPR Corp.)

ACQUISITIONS, ABANDONMENTS AND ALIKE:

(MON) Burlington Northern Santa Fe filed to abandon approximately 8 miles of line between Sanborn, ND. and Rogers, ND. (ffd: STB)

PERSONNEL CHANGES AND ALIKE:

(MON) The U.S. Department of Homeland Security announced the resignation of Asa Hutchinson, who had been its Under Secretary for Border and Transportation Security. Concurrent with the resignation, the Bush Administration announced its intention to nominate former U.S. Deputy Transportation Secretary Michael Jackson as Mr. Hutchinsons replacement. (ffd: JofC Online)

(TUE) The U.S. Department of Transportation's Volpe Transportation Systems Center announced the appointment of Curtis Tompkins as its General Director. Dr. Tompkins was previously the Center's director in charge of management improvement initiatives. (ffd: USDOT)

(WED) Norfolk Southern announced the following appointments: Michael McClellan as VP-Automotive & Intermodal Marketing; David Julian in charge of Automotive & Supply Chain Services; David Lawson as VP-Industrial Products; David Brown as VP-Strategic Planning; and Bob Bartle as GM-Northern Region. (ffd: NS Corp.)

(THU) Union Pacific announced that Ike Evans would retire as UP's Vice Chairman effective February 28. Mr. Evans had been with UP since 1998 and was previous SVP of Emerson Electric and, prior to that, was with General Motors. (ffd: UP Corp.)


For the week ending Saturday, January 8, 2005

Compiled by Dave Mears

(NOTE: The expression "ffd" at the end of a news item means "for further details" and usually represents what is believe to be the most helpful news resource if a reader wants more information on a particular item.)

THE WEEK'S TOP NEWS (in chronological order):

(SUN) Canadian National confirmed an on-duty employee fatality on its railroad the previous Thursday. A CN spokesman said that Conductor Cliff Green, Age 64, was fatally injured while switching cars in Taylor, BC. (ffd: UTU)

(SUN) The northern end of Baltimore, MD.'s light rail line was closed to begin work double-tracking the line. A spokesman for the line said that the closure affects all stops north of North Avenue to the end of the line in suburban Hunt Valley, MD. The spokesman said that the line segment would reopen in several months. (ffd: WJZ TV)

(MON) 7 rail unions announced the creation of a "rail labor bargaining coalition" to coordinate upcoming contract negotiations with rail carriers. A spokesman for the coalition said that they were developing a coordinated contract negotiating strategy and that each individual union will not sign off on any tentative agreements until all coalition members concur. The coalition totals the approximately 85,000 combined workers of the Brotherhood of Maintenance of Way Employees, the Brotherhood of Locomotive Engineers and Trainmen, the National Conference of Firemen and Oilers, the Brotherhood of Railway Signalmen, the Sheet Metals Workers International Association, the International Brotherhood of Boilermakers and the American Train Dispatchers. (ffd: International Brotherhood of Teamsters)

(MON) The Federal Railroad Administration published a "final rule" requiring reflective material on the sides of locomotives and freight cars as a safety measure to make trains more visible at highway-rail grade crossings. The rule requires railroads to install yellow or white reflective materials on locomotives over a 5-year period and on freight cars over a 10-year period. (ffd: Railway Age, USDOT)

(MON) The U.S. Army Corp of Engineers approved environmental permits for work renovating the 18-mile rail line between suburban Boston, MA. and Greenbush, MA. The permits were the last significant hurdle remaining to work that will reconstruct the line for commuter rail service between Boston and Greenbush, which last saw such service in 1959. (ffd: Boston Globe, NARP)

(MON) Washington State's Sound Transit announced that they would extend the new light rail line planned for the Seattle, WA. area so that it also serves the city's Sea-Tac Airport. A Sound Transit spokesman said that the line will total approximately 16 miles in length and is expected to be finished by December, 2009. (ffd: Seattle Post-Intelligencer)

(TUE) A tunnel collapse derailed a CSX freight train near Glencoe, KY. A CSX spokesman said that the tunnel, known as Eagle Tunnel on CSX's Louisville Division, partially collapsed near its north portal and was then struck by the train, which derailed its locomotives and 10 of its 41 cars. The train's crew received minor injuries in the accident. The spokesman added that the collapse may have been caused by extremely saturated soil at the tunnel resulting from recent rains and snows in the area. (ffd: Trains)

(TUE) Texas Governor Rick Perry affirmed his support for the state's proposed Trans-Texas Corridor Project. The project proposes constructing a right-of-way paralleling Interstate 35 between Oklahoma and Mexico that would include multiple highway lanes for cars and trucks and multiple rail lines for passenger and freight trains, and would be one-quarter mile wide at some locations. A spokesman for the state's Department of Transportation said that the corridor, which is estimated to cost over $175 billion and is far from securing necessary approvals, would be owned by the state, but built by private contractors, who in return would be able to charge tolls for its use for up to 50 years. (ffd: Los Angeles Times)

(WED) California Governor Arnold Schwarzenegger recommending scrapping the state's High Speed Rail Authority, with its remnant responsibilities folded into the state's Transportation Commission. "Californians can't get from place to place on little fairy wings," the Governor said in his State of the State message. "This is a car-centered state. We need roads." The Governor's proposal, which some legislators said threatened well-established passenger rail initiatives in the state, contrasts with the policies of California's 2 previous governors, one of whom declared at a highway opening that the state had "just built its last freeway." (ffd: NARP, wire services)

(WED) English Channel Tunnel passenger rail operator Eurostar announced that it had carried a record 7.27 million passengers in 2004, up 15 percent from 2003. A Eurostar spokesman said that on-time performance also increased in 2004 to 89 percent, up 10.9 percent from 2003. The spokesman said that the 2003 opening of a new high-speed rail line between the tunnel portal at Folkestone and suburban London, which allowed a reduction in Eurostar travel times between England, France and Belgium, had helped boost passenger counts and on-time performance. (ffd: wire services)

(THU) A Norfolk Southern freight train collided with an NS locomotive and cars standing on an adjacent siding in Graniteville, SC. The accident killed the train's engineer and injured its conductor, and derailed its 2 locomotives and 14 of its 42 cars. One of the derailed cars then leaked chlorine gas, which then asphyxiated 8 persons in businesses and residences surrounding the accident site. The number killed is the largest to die due to a train accident in North America since Amtrak's "City of New Orleans" crossing crash at Bourbonnais, IL. in March, 1999, in which 11 persons died. By week's end, more than 200 persons had been treated at nearby hospitals for chlorine gas poisoning and over 5,400 residents in the vicinity of the accident site were still evacuated. (ffd: wire services)

(THU) The National Transportation Safety Board issues a report critical of both CSX and Baltimore, MD. related to the July, 2001 derailment and fire in CSX's Howard Street Tunnel. The report criticized CSX for failing to keep adequate maintenance records and city officials for incomplete emergency planning. The report also found no "convincing evidence to provide a probably cause for the accident", but went on to suggest the cause as having "involved an obstruction between a car wheel and the rail, in combination with changes in track geometry." The accident derailed 11 cars, 1 of which ignited and continued burning for several days, forcing the evacuation of many businesses and residences in the vicinity of the tunnel. (ffd: Trains)

(THU) CG Rail announced that it would relocate its rail car float operation from Mobile, AL. to New Orleans, LA. effective May 1. A CG Rail spokesman said that it also planned to double the capacity of the ships its uses to provide the service by adding a second deck to each. The ships operate to Coatzacoalcos in Southeast Mexico, where they connect with the Ferrosur Railway, which serves the petrochemical-producing area south of Veracruz, MX. (ffd: AAR)

(THU) CSX announced that it had expanded its "A+B Pricing" program that provides web-accessible interline price quotes for general merchandise traffic. A CSX spokesman said that the program now provides quotes for many interline shipments from CSX origins to destinations on Canadian National and Burlington Northern Santa Fe. The spokesman added that the system would be expanded further in the next several months to also provides quotes to many destinations on Norfolk Southern, Union Pacific and Canadian Pacific. (ffd: Progressive Railroading)

(FRI) A passenger train and freight train collided head-on near Crevalcore, Italy. The accident, Italy's worst in nearly 25 years, killed 17 persons and injured more than 50 others. The cause of the accident, which occurred on a single track line, was still inconclusive at press time. (ffd: wire services)

(FRI) Japan announced that it would sell its remaining shares in the Central Japan Railway probably by the end of Fiscal Year 2005. A government spokesman noted that it had already sold its stakes in East Japan Railway and West Japan Railway, and so the upcoming sale will complete the privatization of the 3 rail carriers set up upon the dissolution of the former state-run Japan National Railway. (ffd: The Japan Times)

WEEKLY STATS

(THU) For the week ending January 1, 2005, U.S. carload rail traffic was up 0.7 percent from the comparable week last year, up 2.2 percent in the East, but down 0.4 percent in the West. Also for the week ending January 1, U.S. intermodal rail traffic was up 17.4 percent, Canadian carload rail traffic was up 6.9 percent and Canadian intermodal rail traffic was down 3.2 percent.

For the month of December, 2004, U.S. carload rail traffic was up 2.6 percent, U.S. intermodal rail traffic was up 16.1 percent, Canadian carload rail traffic was up 3.3 percent, Mexico's Transportation Ferroviaria Mexicana's carload rail traffic was up 12.5 percent and TFM's intermodal rail traffic was up 36.2 percent, all when ranked with December, 2003.

For the year 2004, U.S. rail volume totaled 1.61 trillion ton miles, the most ever. U.S. carload rail traffic was up 2.9 percent in 2004. Notable traffic increases for the year included chemicals up 4.3 percent and coal up 3.0 percent; notable traffic decreases included motor vehicles and equipment down 3.0 percent. Also for the year 2004, U.S. intermodal rail traffic was up 10.4 percent, Canadian carload rail traffic was up 6.7 percent, TFM's carload rail traffic was up 4.4 percent and TFM's intermodal rail traffic was up 10.4 percent. (ffd: AAR)

ACQUISITIONS, ABANDONMENTS AND ALIKE:

(MON) The Carrizo Gorge Railway announced that it had operated a successful test train the previous week. The shortline, which has been out-of-service for several years, was acquired by new owners 5 years ago who have been renovating the line to resume freight service. The line's route mileage totals 150 miles, mainly out of San Diego, CA. (ffd: San Diego Union-Tribune)

(WED) Union Pacific filed to abandon approximately 1 mile of its Drive Valley Subdivision in Caribou County, ID. (ffd: STB)

(WED) Northern Lines Railway announced that it would lease, from Burlington Northern Santa Fe, and operate approximately 5 miles of line between St. Cloud, MN. and St. Joseph, MN. and, also, approximately 17 miles of line between St. Cloud, MN. and Cold Spring, MN. (ffd: STB)

(FRI) Pittsburg, KS.-based Watco Companies announced that it would lease, from CSX, and operate approximately 158 miles of line between Grafton, WV. and Cowen, WV. A CSX spokesman said that the lease and operation would be effective on March 25. (ffd: CSX Corp.)

CHANGING PEOPLE AND PLACES:

(MON) The Bush Administration appointed Robert Jamison Acting Chief Administrator of the Federal Railroad Administration. Mr. Jamison was most recently the deputy administrator of the Federal Transit Administration. Mr. Jamison replaces Betty Monro, who retired as Acting Chief Administrator effective December 31. The FRA has been without a permanent Chief Administrator since Allan Rutter resigned in Spring, 2004. (ffd: Railway Age, wire services)

(MON) Kansas City Southern announced the following appointments: Arthur Shoener as EVP and COO; Jerry Heavin as SVP-International Engineering; and Owen Zidar as VP-Marketing. (ffd: KCS Corp., Railway Age)

(THU) The Association of American Railroads announced that its Transportation Technology Center, Inc. subsidiary had appointed Firdausi "Dose" Irani as Managing Director of its new London, England branch office. (ffd: AAR)

(THU) Burlington Northern Santa Fe announced the following appointments in its Marketing and Sales Department: John Hickerson as VP-Domestic Intermodal and Fred Malessa as VP-International Intermodal. (ffd: BNSF Corp.)

(THU) The Railroad Retirement Board appointed Terri Morgan CIO, who has been acting in that capacity for several months. (ffd: AAR)

(THU) U.S. Congressman Steve LaTourette was appointed chairman of the House of Representatives' Railroad Subcommittee. The appointment was made by Don Young, chairman of the House's Transportation and Infrastructure Committee. Mr. LaTourette's website describes him as a "fiscally conservative, moderate Republican." Mr. LaTourette represents Ohio's 14th Congressional District in Northeast Ohio. (ffd: AAR)