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The Milwaukee Road
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[quote]QUOTE: <i>Originally posted by M.W. Hemphill</i> <br /><br />The GN still has excess capacity to this day. The Milwaukee Road, even if it's track were perfect, and the two routes were pitted against each other right now, wouldn't be able to compete in the long term. It wouldn't even be able to compete right now. The Milwaukee's costs were just way too high. [/quote] <br /> <br />I question this point -- that the GN route has excess capacity today. Capacity is limited to the weakest point on the system. For today's ex-GN route one would be the Cascade Tunnel which is limited to 1 train per hour for tunnel ventilation. Looking at the Wenatchee AEI reader from Oct. 2-4, 20 trains went over Stevens Pass each day. Yesterday, 23 trains went over the pass. There doesn't appear to be much excess capacity. Also, this leads to the question of why did BN/BNSF reopen Stampede Pass if there is capacity on the ex-GN, not to mention the ex-SP&S along the Columbia. <br /> <br />And regarding the MILW's poor track conditions, I believe the attempts to merge with the CNW in the 1960s were to blame. The MILW reduced track maintenance funding in an attempt to boost the bottom line and increase their liquid assets so the company would look more attractive to CNW's shareholders. When the merger was rejected after 10 years of trying, the track structure was in need of much work. With the increased traffic from the BN merger conditions, the track was beaten to a pulp, which in turn, wrecked their ability to compete with BN or UP. Maybe Mike Sol could speak to this? <br /> <br />Brent <br />
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