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Yesterday I saw Dons comments on how Lake States connection with CN in Flint could hurt and take away some of HESR traffic. Since they get the main cash cow in DowDupont at Midland and other traffic from the thumb, does HESR have anything to worry about since they have their own connection at Durand, but they also connect with GLC at Durand and have a customer they switch there also.

I think Don was referring to some CN bound LSRC traffic that has historically gone via the HESR to CN at Durand. Now that LSRC has their own connection to CN I doubt they will be moving that traffic via HESR anymore.

You are correct, SD80. Although this will allow LSRC to compete with HESR for Dow traffic destined for CN.

SD80MAC wrote:I think Don was referring to some CN bound LSRC traffic that has historically gone via the HESR to CN at Durand. Now that LSRC has their own connection to CN I doubt they will be moving that traffic via HESR anymore.

They have everything to worry about, the GW charges an arm and leg for their "safe premier" rail service and it has cost them a lot of lost revenue. If it's cheaper to get the cars in flint why would anybody stay with the HESR.

It’s cheaper to get the Dow cars in Durand than flint because you would be paying Canadian National less to take Dow cars to Durand than paying Canadian National to take the Dow cars to flint and Grain it’s cheaper to do grain with HESR because CN or GLC will take it and go south and the Coal is the same.

What's to stop LSRC from under cutting HESR's price?

RailroadingFan wrote:It’s cheaper to get the Dow cars in Durand than flint because you would be paying Canadian National less to take Dow cars to Durand than paying Canadian National to take the Dow cars to flint and Grain it’s cheaper to do grain with HESR because CN or GLC will take it and go south and the Coal is the same.