Hot off the press, "New life for the D&H" or NS,CP and CN agree on something

[Anonymous]

This was on MSNBC earlier on the ticker, looks like a good business decision on the surface. Anyone more knowlegable on this, feel free to weigh in.

[Anonymous]

Knowlegable on what?

[Anonymous]

QUOTE: Originally posted by macguy

Knowlegable on what?

The road and its construction, possibilites for profits to the roads involved, and any theory as to how three very different companies could agree to share something. This is especially important when one considers their individual personalities, conflicting histories, competitive reputations and independent natures.

[Anonymous]

What exactly is happening, do you have a link to the article?

What is happening with all these companies and the D&H?

[Anonymous]

QUOTE: Originally posted by macguy

What exactly is happening, do you have a link to the article?

What is happening with all these companies and the D&H?

Link is www.msnbc.com news wireservises from Reuters dated 12:41 ET on todays date, 8 November 2004. Reported from Vancouver, BC.

[railman]

summary...summary....I'm not lazy, really, but finding old stories on msnbc.com is a adventure for even those with fast internet!

[Anonymous]

November 8, 2004

CN, CPR and Norfolk Southern Announce Agreement To Improve Freight
Service Between Eastern Canada and the Eastern U.S.

MONTREAL, Nov. 8, 2004 - CN, Canadian Pacific Railway (CPR) and Norfolk
Southern Railway (NSR) today announced an agreement that will
significantly improve freight service between Eastern Canada and the
Eastern United States.

The three-party arrangement will give CN and NSR a seamless, direct
north-south routing over CPR's lines south of Montreal that will slice
as much as two days' transit time off some 20,000 annual shipments. It
will also increase freight traffic density and revenues on CPR's wholly
owned subsidiary, the Delaware and Hudson Railway. Implementation is
scheduled to begin Nov. 19, 2004.

CN-NSR traffic destined for the Eastern U.S. will move in CPR
trains on CPR's line between Rouses Point, N.Y., and Saratoga Springs,
under a freight haulage arrangement between CPR and NSR. This CN-NSR
traffic will then move in NSR trains over CPR's line between Saratoga
Springs and the NSR connection near Harrisburg, Pa., under a trackage
rights agreement between CPR and NSR.

The new agreement will cut 330 miles off the current routing used
by CN and NSR, which sees freight traffic handled more circuitously
through the Buffalo, N.Y., gateway.

E. Hunter Harrison, president and chief executive officer of CN,
said: "This three-railroad agreement will benefit both customers and
railroads. First, it will offer CN's existing merchandise carload
customers in Quebec and the Maritimes quicker access to important
consuming markets in the Eastern United States. And second, it will
enable the participating railroads to improve the utilization of their
networks and locomotive and car fleets."

David R. Goode, chairman and chief executive officer of NSR, said:
"We continue to identify and implement efficiencies benefiting shippers
throughout North America. This agreement demonstrates our commitment to
aggressively pursue opportunities to improve service."

Rob Ritchie, president and chief executive officer of CPR, said:
"This is an important initiative that takes costs out of the rail
industry by placing freight traffic on the most efficient routing
without regard to ownership. It also creates a significant source of
new earnings for our Delaware and Hudson subsidiary and is another
major milestone in improving the profitability and value of this part
of our network."

Canadian National Railway Company spans Canada and mid-America,
from the Atlantic and Pacific oceans to the Gulf of Mexico, serving the
ports of Vancouver, Prince Rupert, B.C., Montreal, Halifax, New
Orleans, and Mobile, Ala., and the key cities of Toronto, Buffalo,
Chicago, Detroit, Duluth, Minn./Superior, Wis., Green Bay, Wis.,
Minneapolis/St. Paul, Memphis, St. Louis, and Jackson, Miss., with
connections to all points in North America. For more information,
consult CN's website at www.cn.ca.

Norfolk Southern Corporation is one of the nation's premier
transportation companies. Its Norfolk Southern Railway subsidiary
operates 21,500 route miles in 22 states, the District of Columbia and
Ontario, Canada , serving every major container port in the eastern
United States and providing superior connections to western rail
carriers. NS operates the most extensive intermodal network in the East
and is North America's largest rail carrier of automotive parts and
finished vehicles. For more information, visit Norfolk Southern's
website at www.nscorp.com.

Canadian Pacific Railway is a transcontinental carrier operating in
Canada and the U.S. Its 14,000-mile rail network serves the principal
centres of Canada, from Montreal to Vancouver, and the U.S. Northeast
and Midwest regions. CPR feeds directly into America's heartland from
the East and West coasts. Alliances with other carriers extend its
market reach throughout the U.S. and into Mexico. Canadian Pacific
Logistics Solutions provides logistics and supply chain expertise
worldwide. For more information, visit CPR's website at www.cpr.ca.

For further information contact:

CN
Media: Mark Hallman, [phone]
Investors: Robert Noorigian, [phone]

Norfolk Southern Railway
Media: Rudy Husband, [phone]
Investors: Leanne Marilley, [phone]

Canadian Pacific Railway
Media: Len Cocolicchio, [phone], E-mail: [e-mail]
Investors: Paul Bell, Vice-President, Investor Relations, (403) 319-
3591, E-mail: [e-mail]


-------------
Norfolk Southern Corporation
http://www.nscorp.com

[Junctionfan]

If I understand this correctly, CN is moving all of there NS trains (334-Allentown to Toronto, 335-Toronto to Allentown PA) from their CN Grimsby Subdivision to the CP Hamilton Subdivision? I don't think that CP line can handle it-the line is single tracked and unless CP plans to put up some passing sidings at least between Hamilton and near Fonthill, ON; I don't know how well that will work.

The only thing that I see that is attractive to this route is that the CN trains will not need to stop for the Seaway bridges; CP has a tunnel under the canal. Beyond that, 334 and 335 do interchanges at Port Robinson yard on the Stamford Sub enroute to NS Bison yard in Buffalo. Unless a CN local transports the loads to Fort Erie, they will probably bring it to Niagara Falls yard where NS 387? (ex 445-Bison to Niagara Falls turn) will grab them.

Sounds interesting; I look forward to hear more about it.

[oltmannd]

The D&H main from Albany to Montreal is SOOOO much better than the CSX ex-NYC route via Syracuse, or going the long way around through Buffalo. It's good to see agreements that allow traffic to move over the shortest, fastest routes. No worry about congestion, CP was trying to find enough traffic to keep the D&H in the black. A recent deal with NS helped a lot. This will help a bit more.

The north end of the D&H is a great ride. If you've never taken the Adirondak, you should!

[Junctionfan]

Has CSX done anything like this recently?

[martin.knoepfel]

The message sounds great. But I have some questions.

What happens at Saratoga Springs? Do the trains simply change engines and engineers or do the railroads expect the trains to be shunted? In the latter case, I see a waste of time and probably money.

Wouldn't run-thru-trains and engines be a more economical solution?

[jchnhtfd]

Probably be run-through at Saratoga Springs, although an engine change is possible; a crew change very likely. Won't take long. The D&H line is actually not in too bad shape, and was under-utilised. This whole thing strikes me as a truly bright idea...

[ajmiller]

The article says that the trains will use the CP from Saratoga Springs to the NS connection near Harrisburg. I suppose they mean the connection at Sunbury PA.

Will any of these trains follow the Lehigh line from Scranton to Allentown? I remember that not too long ago, CP was unsatisfied with the condition of the tracks on the part of the Lehigh line owned by Reading & Northern.

[Anonymous]

QUOTE: Originally posted by ajmiller

The article says that the trains will use the CP from Saratoga Springs to the NS connection near Harrisburg. I suppose they mean the connection at Sunbury PA.

Will any of these trains follow the Lehigh line from Scranton to Allentown? I remember that not too long ago, CP was unsatisfied with the condition of the tracks on the part of the Lehigh line owned by Reading & Northern.

I've heard dozens of rumors, my best sourse says that 30T/31T will be gone, this new train will run under a new symbol. CN will also be dropped, the new train will run with solid NS black. [xx(] It will also keep running on the RBMN/NS Lehigh Line.

[Anonymous]

QUOTE: Originally posted by Limitedclear

November 8, 2004

CN, CPR and Norfolk Southern Announce Agreement To Improve Freight
Service Between Eastern Canada and the Eastern U.S.

MONTREAL, Nov. 8, 2004 - CN, Canadian Pacific Railway (CPR) and Norfolk
Southern Railway (NSR) today announced an agreement that will
significantly improve freight service between Eastern Canada and the
Eastern United States.

The three-party arrangement will give CN and NSR a seamless, direct
north-south routing over CPR's lines south of Montreal that will slice
as much as two days' transit time off some 20,000 annual shipments. It
will also increase freight traffic density and revenues on CPR's wholly
owned subsidiary, the Delaware and Hudson Railway. Implementation is
scheduled to begin Nov. 19, 2004.

CN-NSR traffic destined for the Eastern U.S. will move in CPR
trains on CPR's line between Rouses Point, N.Y., and Saratoga Springs,
under a freight haulage arrangement between CPR and NSR. This CN-NSR
traffic will then move in NSR trains over CPR's line between Saratoga
Springs and the NSR connection near Harrisburg, Pa., under a trackage
rights agreement between CPR and NSR.

The new agreement will cut 330 miles off the current routing used
by CN and NSR, which sees freight traffic handled more circuitously
through the Buffalo, N.Y., gateway.

E. Hunter Harrison, president and chief executive officer of CN,
said: "This three-railroad agreement will benefit both customers and
railroads. First, it will offer CN's existing merchandise carload
customers in Quebec and the Maritimes quicker access to important
consuming markets in the Eastern United States. And second, it will
enable the participating railroads to improve the utilization of their
networks and locomotive and car fleets."

David R. Goode, chairman and chief executive officer of NSR, said:
"We continue to identify and implement efficiencies benefiting shippers
throughout North America. This agreement demonstrates our commitment to
aggressively pursue opportunities to improve service."

Rob Ritchie, president and chief executive officer of CPR, said:
"This is an important initiative that takes costs out of the rail
industry by placing freight traffic on the most efficient routing
without regard to ownership. It also creates a significant source of
new earnings for our Delaware and Hudson subsidiary and is another
major milestone in improving the profitability and value of this part
of our network."

Canadian National Railway Company spans Canada and mid-America,
from the Atlantic and Pacific oceans to the Gulf of Mexico, serving the
ports of Vancouver, Prince Rupert, B.C., Montreal, Halifax, New
Orleans, and Mobile, Ala., and the key cities of Toronto, Buffalo,
Chicago, Detroit, Duluth, Minn./Superior, Wis., Green Bay, Wis.,
Minneapolis/St. Paul, Memphis, St. Louis, and Jackson, Miss., with
connections to all points in North America. For more information,
consult CN's website at www.cn.ca.

Norfolk Southern Corporation is one of the nation's premier
transportation companies. Its Norfolk Southern Railway subsidiary
operates 21,500 route miles in 22 states, the District of Columbia and
Ontario, Canada , serving every major container port in the eastern
United States and providing superior connections to western rail
carriers. NS operates the most extensive intermodal network in the East
and is North America's largest rail carrier of automotive parts and
finished vehicles. For more information, visit Norfolk Southern's
website at www.nscorp.com.

Canadian Pacific Railway is a transcontinental carrier operating in
Canada and the U.S. Its 14,000-mile rail network serves the principal
centres of Canada, from Montreal to Vancouver, and the U.S. Northeast
and Midwest regions. CPR feeds directly into America's heartland from
the East and West coasts. Alliances with other carriers extend its
market reach throughout the U.S. and into Mexico. Canadian Pacific
Logistics Solutions provides logistics and supply chain expertise
worldwide. For more information, visit CPR's website at www.cpr.ca.

For further information contact:

CN
Media: Mark Hallman, [phone]
Investors: Robert Noorigian, [phone]

Norfolk Southern Railway
Media: Rudy Husband, [phone]
Investors: Leanne Marilley, [phone]

Canadian Pacific Railway
Media: Len Cocolicchio, [phone], E-mail: [e-mail]
Investors: Paul Bell, Vice-President, Investor Relations, (403) 319-
3591, E-mail: [e-mail]


-------------
Norfolk Southern Corporation
http://www.nscorp.com

Well at least they agreed on something.......It's just too bad that the others (RR's) can't do the same.

[Anonymous]

Progress is made, lets hope it holds

[Anonymous]

It's just a matter of time before all the railroads operate on all the tracks and it's just one big network.

Here in the lower mainland of BC it is already like that, CP, CN, BNSF and the SRY all share a whole bunch of trackage.

[Junctionfan]

I still don't see why CN 335 could make the climb on CP Hamilton Sub if that is what I understand. This train is often 150 cars loaded in most cases with *lumber*, newsprint, adipic acid, cement, steel coils and plastic pellets. It also hauls sulfuric acid, scrap metal, chlorine, LPG, alumina, grain and sometimes potash.

Thease are heavy commodities and between CP Kinnear Yard in Hamilton and CP Welland Yard, it is quite a climb up the hill. I just don't see it happening unless CP lets CN use some DPUs between the grade.

[Anonymous]

Andrew/Junctionfan:
You must have Ontario on the mind. This CN/CP/NS trackage agreement refers to the Montreal/Rouses Point/Saratoga Springs/Albany/Sunbury/Harrisburg corridor ONLY! This traffic won't even come close to Hamilton or Welland or any other part of Ontario. The whole idea is for traffic originating in Quebec and the Maritimes to have a much faster transit time heading to consumers in the U.S. Mid-Atlantic and Southern states. Hopefully Mr. Harrison will also negotiate a similar agreement for CN/CSX traffic in the "I-87/I-95 corridor" to make use of the CP/D&H trackage from Montreal to Albany!

[Junctionfan]

That makes sense now. I'm assuming its only the cars and not the entire train.

[daveklepper]

Unless there has been considerable expansion at Saratoga Springs, I would look for just a crew change and not any power swapping.

[Junctionfan]

What kind of grade is there on that route?

[SALfan]

Does anyone know which railroad started the ball rolling to reach this agreement? Also, the same question for the recent NS/CP agreements for the same area? Thanks.

[Anonymous]

Just think, with three very independant roads cooperating in what appears to be a private treaty of economic cooperation together with the knowlege of the political reality in making such a move. One is given to wonder if the establishment of embacies, consulates, protocols of economic advancement and even the possibility of a political scandal be far away?[?][swg][:-,][:-^]