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Good News for DM&E
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[quote]QUOTE: <i>Originally posted by nanaimo73</i> <br /><br />[quote]QUOTE: <i>Originally posted by PNWRMNM</i> <br /><br /> How is DME to make any money hauling coal out of the PRB? [/quote] <br /> <br />...with a route twice as long to Kansas City (and KCS)? <br />[/quote] <br /> <br />What's KC got to do with it? Wouldn't most interchange with the eastern railroads occur north of KC? <br /> <br />Also, perhaps DM&E has lower overall VC with it's SOP than BNSF and UP, which would allow them a lower RVC than the STB's 180% standard. <br /> <br />All we do know is that demand for PRB coal is exceeding the ability of BNSF and UP to deliver it. A third PRB railroad may only provide an equalibrium to the supply demand shortfall. I don't forsee any cutthroat rates coming down the pike with DM&E's entry to the PRB.
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