csx is in trouble, yes or no?

[Anonymous]

rumors are flying that csx is on the verge of dividing into north and south
along the mason-dixon and ohio river lines. the northern portion will be
going to canadian national. i have picked this up from railfans and from
csx employees, who were not in contact with each other as far as i know.

how can we determine if there is anything more than the various rumors that
float from time to tiime? wouldn't any such division and can nat attachment
require action by a federal agency? i remember how the bnsf plus canadian
plot got scotched. why would there be any more likelihood now than then?

all comments and opinions welcomed.
[e-mail]

[CSSHEGEWISCH]

The division you mention above sounds like a division into Chessie System and Seaboard System and is probably little more than wishful thinking.

[tree68]

The fact that the CSX freight I saw tonight had CN power on the point probably has less to do with any actions such as those suggested and a whole lot more to the fact that the train probably came off CN and is simply using run-through power. See it all the time here.

[GP40-2]

Let's see...they made a $300 million profit in the last 4 quarters. Yep, looks to me like they are in trouble...

Seriously, why don't some of you look into the business end of things BEFORE you post these silly statements all the time.

[csxengineer98]

now this is a new one for me..... i have heard nothing about this from the rummor mill...
csx engineer

[CSXrules4eva]

Yes this is really interesting I think I'm going to have to talk to certain CSX employees and find out what's going on. From the title of the thread I thought that CSX was in serious financial trouble!! Don't scare me like that. LOL.

[Anonymous]

Doesn't sound logical. Both UP and BNSF would have to be interested in CSX's Chicago/East Coast route/s, and I believe it is also CSX's busiest. CSX also has some important north south routes between Chicago and Atlanta, and along the Eastern seaboard that would be severed.
I would be more inclined to believe that, if in fact ,CSX is in trouble, that CN would buy all of it.
Jimmy

[Saxman]

Yes! CSX is the weak sister in the east and in financial trouble. The recent sale of lines to various shortlines not only spins off "unprofitable lines" but enhances the value of the remaining lines to a possible sutior.

In my humble opinon, the suitors will be CN and NS. NS will gain a route around Washngton DC and CN will enter Atlanta and Jacksonville. Lines neither want will go to various shortlines such as Rail America and the Wheeling.

Saxman

[csxengineer98]

QUOTE: Originally posted by Saxman

Yes! CSX is the weak sister in the east and in financial trouble. The recent sale of lines to various shortlines not only spins off "unprofitable lines" but enhances the value of the remaining lines to a possible sutior.

In my humble opinon, the suitors will be CN and NS. NS will gain a route around Washngton DC and CN will enter Atlanta and Jacksonville. Lines neither want will go to various shortlines such as Rail America and the Wheeling.

Saxman

no way on the NS..... if NS would buy csx... they would have doubled thier system with aditional rail miles that are in about the same locations to NS trackage...a railroad is not goign to spend the billions in capital to by a mirror of its own system... anyone else but NS i can see taking over csx... and its not so much that csx is in trouble...its called streamlineing.... the "big picture" that i see is...is just mainlines... yards and branches will be spun off to short lines and regionls...they will service the customers and switch blocks of freight...only to have csx trains come in..set off a block of cars someplace...and pick up a block of cars and head down the road....basicly just the long hall truckdrivers of the railroads....and its not just csx....alot of railroads are doing this.... class 1s are going to be long hall volume trains....and branch and yards will go to the class 3s to do all the other work..... i hope im wrong..but that seems to be what eveyone in the industry thinks is going on....
csx engineer

[Saxman]

CSX engineer,

To further clarify my postion about CN and NS buying CSX. Each will only retain what is benificial to them. You are right that NS would duplicate many routes. However they are hamstrubg around Washington DC moving traffic from the northeast to the southeast .

I agree with your assesment that the industry is moving to long hual volume trains and the role of shortlines in regards to yards and branche lines. A clear example is the auto load facility in New Boston, MI on the CSX Saginaw Sub. General Motors is building a new plant in Lansing, MI. CN has bought land to access the plant. Several conductors I have worked with by the location where the "yard " is planned have wondered how many jobs CN will have to service the plant. My answer is none. CN will only drop off and pick up cars. Most seem stuned to think this could be done. Sort of a reality check. If the economics were right, I am sure EHH would get out of switching the various auto plants along the CN in Michigan.

Saxman

[Junctionfan]

I don't think that the U.S government will allow CN to buy anything like that. I believe long before they get bought out, there will be a dramatic overhaul of management including Michael Ward if it gets as bad as it professes to be.