Edit post

Edit your reply below.

Post Body
Enter your post below.
Sayeth Futuremodal: "Old Timer, If I may..... Mr. Sol did not say, nor did he infer, that dieselization caused any rallroads to go bankrupt. What he said is that debt accumulation from financing massive dieselization caused ROI's to drop in half, a direct correlation. Why you still can't grasp that is anybody's guess. And when you use the ole' "I notice you haven't provided documentation for my false ascertion" routine, well, you just look silly." My problem that you think I can't grasp is basically this: Michael Sol and you would have this forum believe that after WWII all railroad managements, seduced by the promise of quick savings in operating and maintenance costs with diesels, got rid of steam without thought of the costs of financing the change (I say all managements, but the N&W was an exception, paying cash for its original dieselization and the facilities to maintain diesels). I'm sorry that you think I don't grasp the situation. In reality, I grasp it very nicely, thank you. I can assure you first, that the drop in ROI had little or nothing to do with the costs of buying diesels (and I've seen no documentation that my conclusion is wrong), and that there was not a railroad involved that didn't take a hard look at the WHOLE situation, including financing, before they went for the diesels. To say they did is to indict all railroad managements for lacking enough foresight, and in that you're dead wrong. Railroad managements might have been shortsighted in a lot of areas back then, and I'd be the last to argue that they weren't (having been around, back then), but figuring the cost of capital and the long-term implications of heavy investment is not something they'd skimp on. If you and Mr. Sol are looking for a cause for the drop in ROI, you're going to have to look elsewhere. There are plenty of places to look. Old Timer
Tags (Optional)
Tags are keywords that get attached to your post. They are used to categorize your submission and make it easier to search for. To add tags to your post type a tag into the box below and click the "Add Tag" button.
Add Tag