RailRoadFan.com

Is there a date set when CSX will publicly announce what lines will be sold off, or is it a total mystery at this point?

I wouldn't expect a huge one-day release, but rather the slow trickle of STB filings we've been seeing recently.

MQT3001 wrote:I wouldn't expect a huge one-day release, but rather the slow trickle of STB filings we've been seeing recently.

Ahh ok. I'm really curious to see what happens around here, if anything, but I guess I'm just gotta remain patient. Thanks!

I'd agree, from what I understand, after each segment is sold CSX will do a system re-evaluation to see what new impacts/opportunities will present themselves. In other words, it'll look something like this.

Line segment "A" is sold.
CSX does system evaluation/review determining that line segment "B" is a good sale/spin off candidate
Line segment "B" is sold.
CSX does system evaluation/review determining that line segment "C" is a good sale/spin off candidate
Line segment "C" is sold

and so on.

Did I miss something here about CSX routes in Michigan?

JStryker722 wrote:Did I miss something here about CSX routes in Michigan?

CSX announced a few months ago that they were planning to sell off a bunch of lines from around their system. Among those under review to be possibly sold off is Michigan's trackage.

http://trn.trains.com/news/news-wire/20 ... ntial-sale

Oh thats old news lol. CSX Michigan trackage has been under "study for possible sale or lease" since the end of CP running over the PM and the selling or leasing of most of the Thumb trackage to LSRC in 2005.I'll believe a change in ownership/operators when I see it.

I think this time is a much more likely situation.

What I expect to happen is Plymouth north to Flint as well as the Port Huron trackage will be sold / leased to LSRC.

The trackage west of Plymouth to Holland will end up going by lease to either Marquette or LSRC. I don't think they will dump from Holland south because of the power plant and western coal. I also think there will be some sort of agreement where CSX retains the rights to the grain trains over the leased trackage.

I'm not sure which company would be better off with the tracks west of Plymouth. I can see advantages of MQT having that trackage given their reach on the west side of the state.

I could also see CSX holding onto the Plymouth - Holland segment as well.

It wouldnt surprise me if the elk tried to get gr to plymouth

CSX could very well keep west of Plymouth if everything north of Plymouth goes to LSRC. With all LSRC’s traffic funneling directly into Plymouth might provide a more important route getting freight off their railroad to Chicago and points west versus now where the majority of it goes via Toledo because of the way their traffic is blocked to run on D735/736.

Agreed it would help LSRC to go west and likewise MQT to go east. Don't really see any strategic benefit for Watco to be interested at all. When Shasta Duffy sales/ marketing rep left Elk to go to LSRC, Grand Elk really hasn't added any new traffic to what they already had. Look at how many new customers Lake State has gotten. Elks only mission is a reliable feeder to NS and what new customers come along pretty much rely on a lot of additional factors. She needed to keep her job interesting and Lake State responded. In fact MQT. better have a plan if CSX is no more, who they gonna interchange with? Haul the cars to Holland, Elk gets them or trackage rights? You know the STB will be involved if a sale is made.

Super Chief wrote:Agreed it would help LSRC to go west and likewise MQT to go east. Don't really see any strategic benefit for Watco to be interested at all. When Shasta Duffy sales/ marketing rep left Elk to go to LSRC, Grand Elk really hasn't added any new traffic to what they already had. Look at how many new customers Lake State has gotten. Elks only mission is a reliable feeder to NS and what new customers come along pretty much rely on a lot of additional factors. She needed to keep her job interesting and Lake State responded. In fact MQT. better have a plan if CSX is no more, who they gonna interchange with? Haul the cars to Holland, Elk gets them or trackage rights? You know the STB will be involved if a sale is made.

On the contrary, if watco gets it they pick up all the customers between gr and plymouth and depending on what track goes with it, MQT would then solly interchange with the GDLK. Plus they may be able to feed LSRC cars from NS is Lake State gets the track south to plymouth. And the GDLK has many more customers than they did in 2009 and they are still getting more...

If Watco gets Plymouth to Grand Rapids they could use GLC (whom they have a financial investment with) to haul cars down from Ann Pere to Ann Arbor then Toledo. I don't know if this benefits them any

Waddy wrote:On the contrary, if watco gets it they pick up all the customers between gr and plymouth and depending on what track goes with it, MQT would then solly interchange with the GDLK. Plus they may be able to feed LSRC cars from NS is Lake State gets the track south to plymouth. And the GDLK has many more customers than they did in 2009 and they are still getting more...

This is just my opinion, but I don't see the Grand Elk or any WATCO company taking the Plymouth Sub if CSX gets rid of it. The most likely contender I see is LSRC for the Plymouth Sub, with possibly GLC gaining more trackage rights.

Why would I say that? Well, a lot of GLC's traffic comes from Chicago, is brought to GR on Q326 for D707 to take to Lansing, where D708 can take it to Ann Pere. It'd be more efficient for a GLC crew to do GR-Ann Pere in one run, instead of two separate trains taking the responsibility. All it would take to make this happen is to get a couple more SD40s (which according to a crew member is being considered), and maybe some better track maintenance on the Ann Pere interchange point.

Another way the Ann Pere exchange could be handled more easily is if an LSRC crew takes the GLC-bound cars straight from GR to Ann Pere.

One thing for everybody to remember here is capital costs. Do the people you propose will be buying/leasing this stuff have the resources to do it?

MQT3001 wrote:One thing for everybody to remember here is capital costs. Do the people you propose will be buying/leasing this stuff have the resources to do it?

....which is why CSX may very well just keep the line as long as the profit margin is decent and steady.

It's a shame I am so old.

I love starting an operation from scratch

Racer wrote:

Saturnalia wrote:One thing for everybody to remember here is capital costs. Do the people you propose will be buying/leasing this stuff have the resources to do it?

....which is why CSX may very well just keep the line as long as the profit margin is decent and steady.

Whenever someone sells off a line, does the client tend to change things around a bit? For instance... ditch codeline??

MQT3001 wrote:One thing for everybody to remember here is capital costs. Do the people you propose will be buying/leasing this stuff have the resources to do it?

Thank you MQT. THATS the kicker here. Who has the CASH MONEY? The smaller guys would have to mortgage themselves to the hilt to do it IMHO. Install PTC? Do what with the old signals?
It's all speculation and my contacts say CSX isn't making any moves over Michigan at this time.
I was recalled from furlough in 92. I've been hearing about line sales up here since the mid 80's. Nothing has happened, NOTHING. Speculate all you want, that's all it is...pipe dreams, sandhouse talk...whatever.
Watch now, Wyandotte Southern will sign a lease tomorrow with monies from Detroit Connecting and Manny Maroon.

J3rsdm5 wrote:Whenever someone sells off a line, does the client tend to change things around a bit? For instance... ditch codeline??

They can try ... but removing a signalling system is something that must be approved. GDLK tried to remove their signalling between Elkhart and Three Rivers (making the entire line dark except for interlockings controlled by others) and their request was denied. CTC survives (with codeline by leased line except for CP1 in Elkhart).