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[quote user="Murphy Siding"]    If I understand the situation correctly, DM&E is trying to get a federally guaranteed loan for about $2.5 Billion.  This whole scenario has not been made clear in anything I've ever read about the DM&E loan/expansion.[/quote] Murph, are you really sure that the transaction in question will end up being a federal GUARANTEE on a loan, or  instead an actual loan of taxpayer money through the <a href="http://www.fra.dot.gov/us/content/177">Railroad Rehabilitation & Improvement Financing  </a>program? I notice that the language defining the program permits either, and in googling around, I notice that some critics are faulting DM&E for trying to become an<a href="http://www.journalstar.com/articles/2006/07/16/business/doc44b7ef06e0448518604531.txt">  island of socialism in a sea of railroad capitalism,</a>  ( scan down to comment by Frank Wilner, former chief of staff to the vice chairman of the U.S. Surface Transportation Board) suggesting that taxpayer monies will actually be loaned creating an unfair subsidy not enjoyed by DM&E's competitors. I found <a href="http://www.dmetraintruth.com/pdf/DME_PB_ad.pdf">this critique  </a>by several bankers very informative, especially  where they mention that  even if DM&E is required to buy loan insurance via a credit risk premium to try and mitigate  risk, it ultimately still becomes the taxpayer harnessed with the loss. Which is very perplexing given that DM&E says its loan application contains business secrets and  therefore cannot be made public, (explaining why we have all been left so much in the dark over all of this)   who in their right mind would want to loan money to any entity that balks at  fully disclosing itself? Pig in a poke, anyone? <a href="http://www.dmetraintruth.com/">This site  </a>is worth a read, clearly their bias is strong, but they offer info not available anywhere else.. I wouldn't.
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