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  • CSX Acquisition of Pan Am Railways

  • Guilford Rail System changed its name to Pan Am Railways in 2006. Discussion relating to the current operations of the Boston & Maine, the Maine Central, and the Springfield Terminal railroads (as well as the Delaware & Hudson while it was under Guilford control until 1988). Official site can be found here: PANAMRAILWAYS.COM.
Guilford Rail System changed its name to Pan Am Railways in 2006. Discussion relating to the current operations of the Boston & Maine, the Maine Central, and the Springfield Terminal railroads (as well as the Delaware & Hudson while it was under Guilford control until 1988). Official site can be found here: PANAMRAILWAYS.COM.

Moderator: MEC407

 #1613205  by newpylong
 
Definitely shorter than the other On the Road with Joe episodes.

"Giving you a facility that you can be proud of when you come to work." The working conditions/crew amenities that existed under the Big G and P were downright shameful, I know from first hand experience.

I just hope they decide to invest in the facility if only a little bit and keep those folks at work. We talked a lot about Selkirk being able to handle everything but to be honest that's a lot of rail miles from the Maine Central and I think they are going to need to be able to perform light to moderate repairs up there going forward.
 #1613224  by ST377
 
Hearing that labor contracts are moving forward, albeit at a snail's pace. Next target for the B&E is April, but that's a very soft and fluid date. So we'll see....
 #1613244  by MEC407
 
Some fair-use quotes from that article:
Trains wrote:Prior to its acquisition by CSX, Pan Am Railways had been “very good” at acquiring grants for infrastructure work, Sparks said, and CSX will be performing the work this year funded by one of those grants — a $17.5 million CRISI (Consolidated Rail Infrastructure and Safety Improvements) grant to upgrade 75 mainline miles between Yarmouth and Waterville, Maine.

That work will entail 400,000 linear feet of new welded rail; upgrades at 47 grade crossings and new surfaces at 42 private crossings; a 4,800-foot siding extension; replacement of 25 switches; modernization of signal equipment at three existing interlockings and installation of three new control points; addition of additional wayside locations that will extend the signal system by 16 miles; and replacement of 441 timbers on eight bridge decks.
. . .
“It’s a target-rich environment for improvement,” Sparks said, showing a photo of Pan Am’s heavily overgrown Worcester main line prior to acquisition by CSX, followed by several photos of a more manicured right of way: “That’s now the Worcester main line after six months of work. What a difference a little bit of funding and some of your [contractors’] horsepower make. In this area, around the Wachusett Reservoir, we’ve increased speed to 25 mph. But elsewhere, that’s just the beginning. The intent is to go 40, then 49. We’ll see where we end up.”
 #1613281  by johnpbarlow
 
Trains Magazine on-line published a related article on Monday 1/9/23 entitled: "Influx of grant funds may pose track-work challenges for Genesee & Wyoming"

Relevant excerpt:
...Storm [Genesee & Wyoming’s vice president, procurement] also said G&W anticipates starting operation of the Pan Am Southern through its newly created Berkshire & Eastern Railroad in 2023’s first quarter, once labor agreements are resolved. G&W operation of Pan Am Southern, previously a joint CSX-Norfolk Southern operation, was part of the package that allowed CSX to purchase Pan Am Railways...
https://www.trains.com/trn/news-reviews ... e-wyoming/
 #1613364  by S1f3432
 
The acquisition process used by CSX as described early in this thread involved merging
all of the various Panam subsidiary companies into one holding entity which in turn would
be merged into CSX. Is there any info out there as to how far long this has progressed?
 #1613365  by newpylong
 
AFAIK only step 1 has occured which was to gain control of the various Pan Am Systems subsidiaries by 747 Merger Sub 1 or 2 (forgot which).

The final step cannot occur until the Springfield Terminal is dissolved. That in turn cannot occur until PAS has a new operator and the new CSX labor agreements are ratified.

Someone else can probably fill in the blanks here with the actual STB proposed merger steps, the whole thing is quite complex. Pan Am Systems was complex to begin with.
 #1613366  by Gilbert B Norman
 
Mr. Newpy, might this procedure you immediately outlined have to do with Chessie wishing to avoid exposure to whatever claims, such as FELA personal injury cases are pending against a predecessor company?

A like situation of which I gained knowledge involved the conveyance of the Northeast Corridor properties from the Penn Central Estate to Amtrak. The properties were conveyed to Conrail for one nanosecond at 120001 (remember, there's no midnight on the railroad) April 1, 1976. The properties were then conveyed by Conrail to Amtrak a nanosecond later. Therefore, Amtrak avoided having any transaction for the properties with the Estate so to avoid the potential liability of claims against the Estate.

Possibly this same plan was in place to convey properties with the Pan Am/CSX transaction.
 #1613370  by CN9634
 
Told Pan Am cutover Jan 24th (integration to CSX system) and B&E starts in late March with Billerica HQ shut down in April
 #1613448  by newpylong
 
Jeff Smith wrote: Wed Jan 11, 2023 6:53 am Is it possible that CSX spins off any of the branch lines to Short Line operators through either sale or lease?
Anything is possible but there are no immediate plans.
 #1613454  by Gilbert B Norman
 
neman2 wrote: Wed Jan 11, 2023 9:51 pm What is meant by "integration to CSX system"?
Mr. Neman, while I should properly defer to our "boots on the ground" knowledge around here, I would think such would mean that is when the finanancial transactions between Chessie and the apparently formed "acquisition entity" will be completed.

Such hardly means that the operations will have been integrated, employees absorbed under existing Chessie Agreements, and that every Pan Am locomotive has been liveried Chessie. However, from that day forward, Timmy can just get his choo-choo thrills setting up his O-Gauge around the Xmas tree.
 #1613465  by newpylong
 
The financial transaction occurred 6 months ago. CSX was not going to get the railroads and all of its assets with a hand shake.

I am not exactly sure what is meant by "integration to CSX system" but there are many levels of integration that still have to happen. Many have already taken place.
 #1613466  by neman2
 
Does anyone know the status of the new Iron Horse MBTA Operations Center in Billerica? I believe it was supposed to be completed by now. It is supposed to have dispatch space for present Springfield Terminal/ future CSX operations. The architect for the project, Taylor & Burns, has some pretty good pictures (some look concept-type), on a website here---- https://www.taylorburns.com/work/mbta-i ... rol-center
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