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Irrespective of whether one believes the long distance trains are an effective investment, as long as they exist, people who like to travel by rail should ride them if they are a practicable alternative. Everyone is paying for them. Riding them, however, does not make them an optimum investment. In FY12 Amtrak's average cost per federal income tax filer was $14.68.  Not much!.  The average taxpayer would not even recognize it. But on-going losses have a nasty feature.  They add up over time. Amtrak had lost $29.2 billion as of the end of FY12.  Moreover, when adjusted for constant dollars, i.e. inflation, the loss is north of $40 billion. That's real money.   In FY12 the long distance trains were responsible for 119 per cent of Amtrak's losses before depreciation, interest, and miscellaneous charges.  Why is it more than 100 per cent?  Because the long distance trains consumed all of the operating profit margin turned in by the NEC, which reduced the overall losses. Embedded in these losses are Amtrak's food and beverage service losses, most which are incurred on the long distance trains.  In FY12 they were approximately $75 million. Highlighting the losses incurred by Amtrak's food and beverage services does not detract from the good job that most of Amtrak's food and beverage service providers render. Understanding accounting and finance can be challenging. But it is a critical factor in any political, social, and economic decision.  Those who don't take the time to understand fundamental finance are subject to being whipsawed by special interest advocates.  Especially those who argue for a service that the supporters don't come close to paying for. Those who don't like the numbers usually fall back on the everyone gets a subsidy argument. So we need to have one too.  That is irrelevant.  The key question is whether the long distance trains are the optimum use of the limited dollars available for passenger rail. Clearly, I don't think so.
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