What could the next big Class 1 RR merger be?

jonwray

Active member
I've been watching YouTube videos from the last day of Conrail, and it made me think:
What could be the next big Class 1 railroad merger be? What do you think?

I think that one slight possibility could be a merger of CSX and NS, potentially merging to make a new Conrail.
But that's just a theory.

So, what do you think the next big Class 1 railroad merger could be?
 
One that has popped up a couple times is CSX and CN merging, but I don't think that is happening anytime soon. At this point, I don't really see a merger anytime soon, but I do see troubles with BNSF. Last I heard there was UP was taking on UPS and other priority traffic that was once hauled by BNSF. BNSF put way too much emphasis on oil movements and its coming back to haunt them.
 
I could see KCS and CN merging. They would need to build some trackage in Missouri I think.
That would be an awesome paint scheme.
 
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To prevent a regional monopoly, I'm thinking the only railroads likely to merge would be ones with little overlap. BNSF and UP merging, as an example, would be out of the question, since it would be the only Class I on the western half of the US. A CSX and NS merger would create the same effect in the east.

If anything, I can see BNSF and CN merging. CN seems to border BNSF territory in the north and east, with only some overlap in the Midwest. Ferromex could probably merge with KCS, but I base that purely on the fact that KCS has some trackage south of the border and isn't as enormous as the only other two railroads it connects with; UP and BNSF. A KCS and CP or CN merger could also be possible.
 
Norfolk Southern and Pan Am Railways. They currently have a partnership called Pan Am Southern. PAR runs the trains while NS performs the track improvements and maintenance. This allows for NS to run-through auto-carriers and containers to Ayer MA, the current end of the PAS agreement, and gives them full access to the north-south River Line to New Haven and New Hampshire.

Since NS has just purchased the old D&H whose eastern terminus is at Mechanicsville, NY where the old B&M's (PAR/PAS mainline) terminates, this would give them a complete system east. This used to be their big interchange point, and today is an intermodal terminal for traffic both east to Boston via the Hoosic Tunnel and north-south to Rouse's Point for interchange with CN, and south to the NYC region. With ongoing plans to widen (raise) the tunnel, this would mean complete double stacks on the B&M line instead of cut stacks which are lowered at the intermodal terminal in Mech'ville.

This might not sound like much since PAR is probably a Class 3 railroad today - it's hard to believe that their management took two Class 1s and destroyed them to this point, however, this would complete NS's Crescent Corridor from the Canadian Maritimes right down to their southern region, and it would mean ROW improvements and other badly needed upgrades as PAR, former Guilford Transportation Industries, had neglected the maintenance on the system. Even with the PAS partnership, NS put in over $40 million in track work to bring the speeds up from 15 mph with other slower places to at least 40 mph in some places, but that still is not enough and there are still stretches of track that need improvement on the West End.

John
 
Maybe UP will buy the rest of FerroMex, so that they can compete with KCS in the Mexican market... I could see BNSF buying Montana Rail Link. KCS and NS makes the most since though, since they already have trackage rights, and have several joint-ventures. NS and Pan-Am also would make since. Hmmm...
 
My understanding of Montana Rail Link is that its is to BNSF what the former Spokane Portland & Seattle railway was to GN and NP, and glorified subsidiary which though nominally operates on its own, still has strong ties to its parent.....

Mexico needs Ferromex to merge like it needs an arrow to the knee.... Remember, Mexico likes bringing money into itself, not paying us so it can have less..... Not saying it will never happen, but I find it unlikely the Mexican Government wouldn't throw a tantrum and babies into the path of any merger attempt in hopes of blocking it....

KCS I think would be the most likely to want to merge, but I think they're happy being what they are. Much like the Indiana Harbor Belt....

Pan Am.... After learning more about them don't even get me started on them..... NS Just needs to eat that poison snake and get it over with..... Put it out of its, and our, misery....

CSX I think would love to merge with anyone they could. Merger's mean money, and they love them $$'s. But I can't see it ever being approved of either by the US or the Canadians pretty much ever.... Monopoly would be an understatement..... This reminds me of that whole CSX/CN(?) Merger Hoax someone else posted awhile back....

BNSF and CN would be the most interesting and likely to succeed I think, but I can't see Canada going for it. The US maybe, but I doubt it. I have a hard time believing UP and CSX wouldn't object to it.

Im rather in agreement with wva-usa and the NS CEO. It wouldn't really serve anyones purposes to merge atm.

-Falcus
 
If Mr. Buffet was to put BNSF up for sale, I think two RR's would declare war on each other to get it. I think NS and UP would be the ones to do it if BNSF was to go up for sell.
 
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