What that's called is loss of 'institutional memory'.
Some of us here remember when that kind of thing happened to the Strange (?) Yard in Houston after the SP-UP merger in the late 1990's. I think it took about a year and setting up a special local dispatching/ coordination office to straighten it out. Lots of inefficiency and unhappy customers then - also that's when the STB inposed the "Rail Performance Measures" metric to keep track of such things.
- PDN.
1 mad customer here 1 mad one there sooner or later they will all say screw you and leave. Just remember this all you EHH supporters he has a history of doing this same thing in Canada and in the USA with the IC. Customers have a long term memory and will remember how he treated them in the past and will not be so quick to forgive him. CSX gutting their middle management was the worst thing they could have done with him coming in over 1000 people fired that knew how the system ran how to keep customers happy. His my way or the highway policies are going to result in labor problems systemwide then his sell everything he deems surplus is going to bite him in the butt if the economy gets going and CSX is power short. What are they going to do place massive orders for engines that have a 6 month lead time while doing short term leases from Larry's truck and Electric on worn out engines.
I just had 3 former CSX employees walk into my office looking for work today. All were fired for being called surplus. They were MOW workers on a branch line here in IL that serves multiple plastics plants. Their feeling is EHH is going to start selling everything he can to get his beloved below 60% OR regardless of the damage it does to the railroad and then retire and leave the mess for whoever takes over.
BLET1995This really did happen. The Terminal Superintendent made a smart remark to EHH and he replied that he did not like a smart ass and that his services would no longer be needed. The individual does have Conductor seniority out of Etowah, TN.
Malicious compliance is a female dog!
Never too old to have a happy childhood!
This really did happen. The Terminal Superintendent made a smart remark to EHH and he replied that he did not like a smart ass and that his services would no longer be needed. The individual does have Conductor seniority out of Etowah, TN.
oltmannd blue streak 1 With closing the hump at Tilford one has to wonder if this will mean less delays at Howell CP crossing or more for Amtrak's Crescent ? I'd guess that it won't have much effect. Same number of trains to and from same places, just blocking will change.
blue streak 1 With closing the hump at Tilford one has to wonder if this will mean less delays at Howell CP crossing or more for Amtrak's Crescent ?
With closing the hump at Tilford one has to wonder if this will mean less delays at Howell CP crossing or more for Amtrak's Crescent ?
I'd guess that it won't have much effect. Same number of trains to and from same places, just blocking will change.
Don watched the many yard and hump trains block Howell and am wondering if there will be less blockage of that kind. On Crescent a while back watched what appeared to be a very slow hump train block it for 30 minutes while shoving merchandise cars.
Examples today 19 lost ~18 minutes over ideal ATL to Anniston and 20 lost 25 minutes the other way.
-Don (Random stuff, mostly about trains - what else? http://blerfblog.blogspot.com/)
SD70M-2Dude, after sifting out the usual NIMBY complaints, this story from January 2017 supports what you have been reporting. To borrow a phrase from "The Big Lebowski", the Dude abides!
http://www.cbc.ca/news/canada/british-columbia/dramatic-increase-in-train-traffic-through-east-vancouver-1.3922308
kgbw49 ns145, Interesting stuff! CP's carloads drop 144,000, and CN's carloads increase 146,000.
ns145, Interesting stuff! CP's carloads drop 144,000, and CN's carloads increase 146,000.
It is well-known among Canadian railroaders that CN has been eating CP's lunch for years now. It goes back to before EHH took over CP, but has accelerated since then. Not just higher-priority stuff like intermodal and autos, but bulk freight too (especially potash to Vancouver).
And I hear (others at CP can confirm or deny) that CP's Vancouver terminal has been going through some sort of a meltdown for the past while, as a result of all the experienced managers quitting or being fired under EHH. It has gotten bad enough that CN (or CN-contracted crews using our locomotives) have taken over the switching of some customers (intermodal/grain terminals) off CP's downtown Vancouver waterfront yards.
Greetings from Alberta
-an Articulate Malcontent
Decatur AL bridge over the Tennessee River...
ns145...It is my understanding that the auto business is not low-margin. It is, however, customer service-sensitive and that's exactly where Mr. Harrison's methods of controlling operating costs cause problems.
CSX has a bunch of automotive traffic.
466lex ns145 schlimm slotracer Good leaders mix growth with sensible cost reduction, HH did not grow CP In the period of EHH's tenure, 2013-2016, revenues increased each year except the last, which was impacted by economic conditions in Canada. Yes, revenues went up at CP thanks to the power of "Core Pricing" and yearly increases in revenue ton-miles during most of Mr. Harrison's tenure. However, total carloads hardly budged, while at the same time CN showed significant growth. CN's 2016 carloadings exceed 2012 levels, while CP's have declined by 5%. Here are the stats from both companies' annual reports: Year Carloads CP Carloads CN 2012 2.669 million 5.059 million 2013 2.688 million 5.190 million 2014 2.684 million 5.625 million 2015 2.628 million 5.485 million 2016 2.525 million 5.205 million In Canada a "carload" is not a "carload" as counted in the U.S. Intermodal loads are counted as "carloads" by CN and CP in their annual reports. CN's "carload" figures are up entirely because of Prince Rupert international intermodal. For the period cited in the quote, CN carloads (U.S. version) declined 8%, while CP's declined 6%.
ns145 schlimm slotracer Good leaders mix growth with sensible cost reduction, HH did not grow CP In the period of EHH's tenure, 2013-2016, revenues increased each year except the last, which was impacted by economic conditions in Canada. Yes, revenues went up at CP thanks to the power of "Core Pricing" and yearly increases in revenue ton-miles during most of Mr. Harrison's tenure. However, total carloads hardly budged, while at the same time CN showed significant growth. CN's 2016 carloadings exceed 2012 levels, while CP's have declined by 5%. Here are the stats from both companies' annual reports: Year Carloads CP Carloads CN 2012 2.669 million 5.059 million 2013 2.688 million 5.190 million 2014 2.684 million 5.625 million 2015 2.628 million 5.485 million 2016 2.525 million 5.205 million In Canada a "carload" is not a "carload" as counted in the U.S. Intermodal loads are counted as "carloads" by CN and CP in their annual reports. CN's "carload" figures are up entirely because of Prince Rupert international intermodal. For the period cited in the quote, CN carloads (U.S. version) declined 8%, while CP's declined 6%.
schlimm slotracer Good leaders mix growth with sensible cost reduction, HH did not grow CP In the period of EHH's tenure, 2013-2016, revenues increased each year except the last, which was impacted by economic conditions in Canada.
slotracer Good leaders mix growth with sensible cost reduction, HH did not grow CP
In the period of EHH's tenure, 2013-2016, revenues increased each year except the last, which was impacted by economic conditions in Canada.
Yes, revenues went up at CP thanks to the power of "Core Pricing" and yearly increases in revenue ton-miles during most of Mr. Harrison's tenure. However, total carloads hardly budged, while at the same time CN showed significant growth. CN's 2016 carloadings exceed 2012 levels, while CP's have declined by 5%. Here are the stats from both companies' annual reports:
Year Carloads CP Carloads CN
2012 2.669 million 5.059 million
2013 2.688 million 5.190 million
2014 2.684 million 5.625 million
2015 2.628 million 5.485 million
2016 2.525 million 5.205 million
In Canada a "carload" is not a "carload" as counted in the U.S. Intermodal loads are counted as "carloads" by CN and CP in their annual reports. CN's "carload" figures are up entirely because of Prince Rupert international intermodal.
For the period cited in the quote, CN carloads (U.S. version) declined 8%, while CP's declined 6%.
Yes, I understand that CN and CP lump everything together under the heading of "carloads" versus splitting out what we in the US consider "carloads" versus intermodal. I should have explained this difference in my earlier post. Thank you for your clarification on this matter.
I'm not surprised to read that CN's "carloads" have declined by roughly 8% comparing 2016 versus 2012 (2014 vs. 2012 might be a different matter). What did surprise me was that CN's intermodal traffic grew by almost 24%, from 1.742 million units to 2.163 million units. I agree that CN's development of Prince Rupert is a huge factor, but there is a quote in the May 2017 issue of TRAINS by Keith Creel where he defends CP's decision walk away from "low-margin" international intermodal traffic. Thus, some of CN's intermodal growth has come from traffic diversions away from CP. It might be "low-margin" traffic, but CN has found a way to make money moving it. In 2012, CP's freight revenues were 64% of CN's. In 2016, that number fell to 53.5%. One company is moving ahead by growing its intermodal volume, while the other is willing to give it away.
Another sector CN has done well in is automotive. 17.5% growth 2016 versus 2012. Perusing CP's annual reports and examining their automotive sector trends, this is most likely due to more traffic diversions. It is my understanding that the auto business is not low-margin. It is, however, customer service-sensitive and that's exactly where Mr. Harrison's methods of controlling operating costs cause problems.
Closing the hump in Atlanta and turning the yard into a flat switch serving yard really isn't a big deal. The yard doesn't make the CSX top terminals reported in the STB mandated dwell reporting (http://www.railroadpm.org/Performance%20Reports/CSX.aspx)
When you do something like this, you add some circuity and time for some traffic and perhaps another classification event for a small amount of traffic. You also add some traffic into the remaining terminals. It's easy to model and know what the trade-offs are, although I don't know if EHH is big into data and modeling. When he was at CN, there were fragile, tactical tools running on the planner's desktops, but not much use of the strategic modeling tools.
Let's see what happens next... I'm guessing a couple of big places get shuttered and CSX goes back to daily service between them. It'll be interesting to see how the network handles the changed flows.
When NS expanded Bellevue, there were teething problems getting the whole plan into place without creating congestion. There are lots of "nuts and bolt" in real operation that need attention in order to implement plan changes.
rockymidlandrr oltmannd BaltACD beaulieu CSX under Hunter is going to reroute long-haul carload freight via Birmingham and thence Nashville to avoid grades out of Chattanooga on the NC&StL. Tilford Yard will only sort cars that originate or terminate in the Greater Atlanta area. Really hope there has been A LOT of capacity enhancement projects on the S&NA North between Brimingham and Nashville to support the rerouting, as well as capacity enhancement on the Lineville Sub between Birmingham and Manchester. This route has bridge at Decatur, AL controlled by NS, no? Correct, on a bridge that CSX used to own but sold it to NS to shave costs.
oltmannd BaltACD beaulieu CSX under Hunter is going to reroute long-haul carload freight via Birmingham and thence Nashville to avoid grades out of Chattanooga on the NC&StL. Tilford Yard will only sort cars that originate or terminate in the Greater Atlanta area. Really hope there has been A LOT of capacity enhancement projects on the S&NA North between Brimingham and Nashville to support the rerouting, as well as capacity enhancement on the Lineville Sub between Birmingham and Manchester. This route has bridge at Decatur, AL controlled by NS, no?
BaltACD beaulieu CSX under Hunter is going to reroute long-haul carload freight via Birmingham and thence Nashville to avoid grades out of Chattanooga on the NC&StL. Tilford Yard will only sort cars that originate or terminate in the Greater Atlanta area. Really hope there has been A LOT of capacity enhancement projects on the S&NA North between Brimingham and Nashville to support the rerouting, as well as capacity enhancement on the Lineville Sub between Birmingham and Manchester.
beaulieu CSX under Hunter is going to reroute long-haul carload freight via Birmingham and thence Nashville to avoid grades out of Chattanooga on the NC&StL. Tilford Yard will only sort cars that originate or terminate in the Greater Atlanta area.
Really hope there has been A LOT of capacity enhancement projects on the S&NA North between Brimingham and Nashville to support the rerouting, as well as capacity enhancement on the Lineville Sub between Birmingham and Manchester.
This route has bridge at Decatur, AL controlled by NS, no?
Correct, on a bridge that CSX used to own but sold it to NS to shave costs.
There is not a huge amount of NS traffic on that bridge, but it is a bit of a bottle neck. NS could play the bad guy and hold CSX traffic for their own, but CSX can get even with Wauhatchie to Stevenson...
Same thing will likely happen between CSX and NS.
oltmannd BaltACD beaulieu Really hope there has been A LOT of capacity enhancement projects on the S&NA North between Brimingham and Nashville to support the rerouting, as well as capacity enhancement on the Lineville Sub between Birmingham and Manchester. This route has bridge at Decatur, AL controlled by NS, no?
BaltACD beaulieu Really hope there has been A LOT of capacity enhancement projects on the S&NA North between Brimingham and Nashville to support the rerouting, as well as capacity enhancement on the Lineville Sub between Birmingham and Manchester.
beaulieu
That is correct. NS crosses CSX at Dalton on the W&A. Tit for tat. Communications is your friend.
rockymidlandrr, good stuff! Thank you for the excellent intel!
rockymidlandrr Word got out yesterday and confirmed that the Tilford Yard in Atlanta is no longer a Hump yard. Traffic needing humped will be routed away from there, the Receiving yard will be Used to hold trains with no crews, class tracks 21-40 will be taken out of service and tracks 1-20 will be used for flat switching. Superintendent was notified of his firing by the police escorts who escorted him off the property.
Word got out yesterday and confirmed that the Tilford Yard in Atlanta is no longer a Hump yard. Traffic needing humped will be routed away from there, the Receiving yard will be Used to hold trains with no crews, class tracks 21-40 will be taken out of service and tracks 1-20 will be used for flat switching. Superintendent was notified of his firing by the police escorts who escorted him off the property.
n012944 BaltACD The Hedge Fund mentality that I think I am seeing - Maximize hauling cash out of an existing business on the short term - then dump the broken shell back into the real world. No consideration for the on going nature of the enterprise. I see the opposite in my little part of his kingdom. Trains are being put back on that were removed under the previous regime. Trains being run seven days a week as opposed the 6 or 5 day a week land barges that we had been seeing for the last 18 months or so. A normal 24 hour day schedule. I have yet to see a change on the northwestern part of the system that I have not liked.
BaltACD The Hedge Fund mentality that I think I am seeing - Maximize hauling cash out of an existing business on the short term - then dump the broken shell back into the real world. No consideration for the on going nature of the enterprise.
The Hedge Fund mentality that I think I am seeing - Maximize hauling cash out of an existing business on the short term - then dump the broken shell back into the real world. No consideration for the on going nature of the enterprise.
I see the opposite in my little part of his kingdom. Trains are being put back on that were removed under the previous regime. Trains being run seven days a week as opposed the 6 or 5 day a week land barges that we had been seeing for the last 18 months or so. A normal 24 hour day schedule. I have yet to see a change on the northwestern part of the system that I have not liked.
+1
Here's an article that explains Harrison's approach. As to safety and managers operating trains, statistics do not support that such practice has led to more accidents.
"The FRA train accidents per million train-m. The FRA train accidents per million train-miles for CP in 2016 was 0.97, compared with 1.33 in 2015 and 1.26 in 2014." [2016 CP report, p.66]
For comparison, the 2015 CSX report (p 34) shows "The reported FRA train accident frequency rate weakened 2 percent year over year to 2.45."
C&NW, CA&E, MILW, CGW and IC fan
tree68 schlimm In the period of EHH's tenure, 2013-2016, revenues increased each year except the last, which was impacted by economic conditions in Canada. How much of that went back into the railroad, vs into investor's pockets?
schlimm In the period of EHH's tenure, 2013-2016, revenues increased each year except the last, which was impacted by economic conditions in Canada.
How much of that went back into the railroad, vs into investor's pockets?
Capital expenditures were pretty stable. I suggest you look at the 2016 and 2015 annual reports.
Capital Programs
For the year ended December 31 (in millions, except for track miles and crossties)
2016 2015 2014 Additions to capital Track and roadway $ 904 $ 1,119 $ 1,011 Rolling stock 105 158 219 Information systems(1) 88 79 96 Buildings and other 108 180 150 Total – accrued additions to capital 1,205 1,536 1,476.
schlimmIn the period of EHH's tenure, 2013-2016, revenues increased each year except the last, which was impacted by economic conditions in Canada.
Larry Resident Microferroequinologist (at least at my house) Everyone goes home; Safety begins with you My Opinion. Standard Disclaimers Apply. No Expiration Date Come ride the rails with me! There's one thing about humility - the moment you think you've got it, you've lost it...
slotracerGood leaders mix growth with sensible cost reduction, HH did not grow CP
An "expensive model collector"
tree68 sounds like he's taking his cue from DC greyhounds Balancing the needs of investors and customers is part of senior management's job. Go too far either way and the company will suffer. And that's been an ongoing theme in discussions of EHH - that perhaps he skews the scales over to the side of the investors, to the detriment of the customers and the employees. Ideally, you're absolutely right. Unfortunately, we're seeing more and more looting of established companies (and not just railroads, by any means) by folks who simply want to see how many dollars they can wring out of them...
sounds like he's taking his cue from DC
greyhounds Balancing the needs of investors and customers is part of senior management's job. Go too far either way and the company will suffer.
And that's been an ongoing theme in discussions of EHH - that perhaps he skews the scales over to the side of the investors, to the detriment of the customers and the employees.
Ideally, you're absolutely right. Unfortunately, we're seeing more and more looting of established companies (and not just railroads, by any means) by folks who simply want to see how many dollars they can wring out of them...
BaltACD slotracer Spot on Balt. HH walked away from a major bonus at CP when he abruptly left mid January. CP made some noise about merging with CSX in 2014 and tried and failed with NS in 2016. He has friends up on CP and now that he is running CSX, I expect to see another attempt to merge although UP is also rumored to be a target. He claims to take Operating ratio down to 58% in less than 18 months and the immediate and severe measures being implemented so quick seem to bear that goal out. I either see him trying to ram another merger through or earn his massive bonus and disappear to enjoy his remaining time. The remains afterwards we all will have to deal with and fix, just like up on the CP. Hell! I could have the OR down to 0% by the end of the year - sell everything!
slotracer Spot on Balt. HH walked away from a major bonus at CP when he abruptly left mid January. CP made some noise about merging with CSX in 2014 and tried and failed with NS in 2016. He has friends up on CP and now that he is running CSX, I expect to see another attempt to merge although UP is also rumored to be a target. He claims to take Operating ratio down to 58% in less than 18 months and the immediate and severe measures being implemented so quick seem to bear that goal out. I either see him trying to ram another merger through or earn his massive bonus and disappear to enjoy his remaining time. The remains afterwards we all will have to deal with and fix, just like up on the CP.
Hell! I could have the OR down to 0% by the end of the year - sell everything!
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