Hunter Harrison at CSX

Noel Weaver wrote:I think everything in Massachusetts and Connecticut might well end up being sold off to one of the smaller railroads in this area, maybe the G&W.
Noel Weaver

There has certainly been a lot of talk over the years of CSX (and Conrail before them) selling off everything East of Albany, but at this point I would be pretty surprised to see that happen. The B&A is already considered a fairly critical, busy intermodal/automotive corridor and I suspect that once CSX builds their new intermodal hub at Rocky Mount, NC and clears the Howard St tunnel in Baltimore, they will start running additional I-95 DS intermodal trains directly into New England. This is the kind of business that class ones are all about these days, and with all the recent investments that have been made along the route to enhance their intermodal capabilities, I just can't imagine they'd want to give it up to a shoreline.

F line wrote: Stratford Industrial Track? Down to one customer--Ring's End--on the first 1500 ft. of track. Everything else down to the industrial park is long gone. That glorified siding off Stratford Ave. is the only thing they have left off-main in the whole state of CT. Danbury Branch is P&W's, Waterbury Branch is split P&W south of Derby Jct., Pan Am Southern north of Derby Jct. Belle Dock Industrial Track is P&W's. And New Caanan Branch has been freight-extinct for 3 decades.

A bit off topic, but CSX contacted Metro North about using that line again recently for some consignees. If anything happens is anybodies guess near Bridgeport East yard.

freightguy...thanks for sharing some hope for a little revitalization in Bridgeport.

I'd look to Harrison to spin off operations south of Orlando FL to a short line, for the right price, and perhaps the line heading up to Montreal, for starters.

freightguy wrote:A bit off topic, but CSX contacted Metro North about using that line again recently for some consignees. If anything happens is anybodies guess near Bridgeport East yard.

Before I split this off, which line? Stratford Industrial or New Canaan? I can't imagine anything on NC.

On the New Caanan Branch ,there was a Lumber yard at New Caanan,switch was between the road crossing and CP Cane
Might be the Straford Ind track that CSX has in its sights.......

Stratford Industrial is right off the shoreline main between (East) Bridgeport and Stratford station. Basically due east of Bridgeport yard. CSX does service that lumber yard on other side closer to Bishop Ave north of the tracks via B747 out of Cedar Hill.

At least he isn't taking over NS and killing the 611 excursions. CSX hates steam anyway, so him becoming CEO of CSX will really mean "no steam dead or alive on it's own wheels on our tracks ever"! Guess C&O 614 won't run again for a long time. Harrison stated after he took over CP that he hates steam engines because they're costly to operate and serve no useful purpose. That is true, to an extent, a class 1 railroad is in business to haul freight and make a profit and please their shareholders, not run joyrides for the public behind teakettles like the horsey railroad has been doing for the past few years. I guess it all boils down to who is in charge as to whether or not a railroad allows special trains. If Dick Sanborn were alive and head of CSX things might be very different. We could have had 614 excursions out of Baltimore again. His daughter works for CSX but she is not the CEO. Plus, CSX has lawyers whose job is to minimize risk for the company. Steam trains and general public on their property are a big risk.

Cindy Sanborn is Executive VP of Operations - she operationally runs the railroad; she is no mere employee 'working for CSX'. I expect, off her own and shares inherited from her father she has a personally significant position in CSX stock.

Quite the article in today's Wall Street Journal regarding the challenges Yäger will be confronted with if he wishes to impose "precision railroading" upon CSX:

http://www.wsj.com/articles/railroad-ve ... 1486645200" onclick="window.open(this.href);return false;

Fair Use;

At its core, Mr. Harrison’s “precision railroading” strategy seeks to run fewer trains and stick to schedules, ensuring more timely deliveries and better use of locomotives. Cutting trains reduces congestion as well as equipment and labor expenses. Some customers and workers, however, say much of the gains come at their expense.

Of interest; the article reports that operational efficiency will be realized handling trains through Chicago. If CP-CSX is to become a "friendly" interchange garnering both Agent and Shipper's routings, 74% control of The Harbor between the two could "grease the skids" a bit.

Mr. Harrison has told associates that the key to unraveling the spaghetti bowl is forging greater industry cooperation to speed up bottlenecks when freight trains move through different rail networks. He believes his close ties to his former employer CP will help CSX in key hubs such as Chicago, where both trains have routes and terminals

Gilbert B Norman wrote:Quite the article in today's Wall Street Journal regarding the challenges Yäger will be confronted with if he wishes to impose "precision railroading" upon CSX:

http://www.wsj.com/articles/railroad-ve ... 1486645200" onclick="window.open(this.href);return false;

Fair Use;

At its core, Mr. Harrison’s “precision railroading” strategy seeks to run fewer trains and stick to schedules, ensuring more timely deliveries and better use of locomotives. Cutting trains reduces congestion as well as equipment and labor expenses. Some customers and workers, however, say much of the gains come at their expense.

The fewer trains strategy is already in play on CSX and has been for over a year, ergo we now have the 28 hour day and 14K foot trains. If EHH wants to cut back some more we can go to 36 hour days and 20K foot trains.

Precision is what your metrics say they are - metrics are not fudge proof. They weren't on the IC, CN or CP. Until you are in the industry you have no idea.

doepack wrote:
The north end of the Blue Island sub links to a dormant, mothballed line called the Altenheim sub, which runs west through the city toward a connection with CN, along a segment that was once owned by Soo. Toward the western end, CSX switches its one and only customer, the Ferrara Pan candy company, but the remaining 6 mile portion between the Blue Island connection and Ferrara Pan hasn't seen a train in almost a decade, though it's not officially abandoned. However, CP could potentially be quite interested in the Altenheim, because it would provide another route to it's main Bensenville yard west of the city. Theoretically, trains would get off NS's Chicago Line at CP509 (aka Rock Island Jct.), run west to Forest Hill jct., where it would pick up the Blue Island sub for the run north to the Altenheim, then west to Bensenville. Of course, this assumes CP can get trackage rights on the Blue Island sub if CSX decides to hang on to it.

There are two customers on the Altenheim mainline proper. Ferrara Pan on the west end, and National Bakery, just west of the BRC connection. Also located off of the Altenheim right by National Bakery is the 16th st industrial trackage, which has several custormers. All of the 16th st work, along with the Bakery and the candy company provide enough traffic for a 6 day a week local. There are two parts of the Altenheim that doesn't see any traffic currently. First is from Ferrara Pan west to the property line with the CN, which is about half a mile. The other part is between the BRC and the Blue Island sub, which is about 2 and half miles. That section will need some money to be put back into service, as many of the bridges are in poor condition.

As for those that think EHH will sell off CSX's trackage in Chicago do not understand how Chicago works. Just about all of CSX's trackage in Chicago is still legaly owned by the B&OCT, a terminal carrier. As a terminal carrier, it can charge other railroads far more for its services. It is a huge money maker for CSX, and is not going anywhere. CSX has also just announced a new intermodal terminal in Crete, a south Chicago suburb. CSX in Chicago is not going anywhere.

spatcher wrote:There are two customers on the Altenheim mainline proper. Ferrara Pan on the west end, and National Bakery, just west of the BRC connection. Also located off of the Altenheim right by National Bakery is the 16th st industrial trackage, which has several custormers. All of the 16th st work, along with the Bakery and the candy company provide enough traffic for a 6 day a week local.

So CSX switches the 16th St. industrial area as well? I don't know why all these years I thought a Belt local took care of that. Thanks.

The Wall Street Journal reports that Yäger's quest to have Chessie purring on his lap has met with.opposition. While such hardly means that any such deal is off, the ascendancy to CEO will take longer than expected:

http://www.wsj.com/articles/hunter-harr ... 1487259990" onclick="window.open(this.href);return false;

Fair Use:

Hunter Harrison is frustrated that “chest pounding” between his activist investment partner and directors of CSX Corp. contributed to a breakdown in negotiations for him to take the helm of the railroad.

“I wish the two sides would get together and allow for this value creation for the shareholders instead of going through these games which create nothing but further anxiety for the shareholders,” Mr. Harrison said in an interview with The Wall Street Journal.

The Chest Pounding is Harrison's wanting CSX to pick up the $300M he was due from CP + a factor for his supposed expertise.

As a CSX Stockholder, I don't want to pay for the 'privilege' of getting screwed.

Actually I think the hedge fund paid Harrison in advance, most likely refundable if Harrison circumvents them.