According to Cowen and Company’s recently conducted second-quarter 2022 Rail Equipment and Rail Shipper Surveys, the outlook for railcar orders is positive, and rail shipping rates will continue to increase. Details follow, plus insights on the Class I railroads, ahead of earnings.
North Shore Railroad (NSHR) and Lycoming Valley Railroad (LVRR) personnel participated in hazmat and emergency preparedness training for first responders in Williamsport, Pa. Also, the operational headquarters of Sierra Northern Railway’s (SERA) Ventura Division moved to Santa Paula, Calif.
The Surface Transportation Board (STB) on July 1 accepted for consideration responsive applications by CN and Norfolk Southern (NS) regarding the Canadian Pacific-Kansas City Southern merger, which is under STB review and seeks to create North America’s first transnational freight railroad, Canadian Pacific Kansas City, or CPKC.
The four largest U.S. freight railroad companies—BNSF, CSX, Norfolk Southern, Union Pacific—all reported, per the request of the Surface Transportation Board, supplemental information about their efforts to improve service and network fluidity. This is, of course part, of an ongoing STB service investigation with public hearings held back on April 26 and 27 of this year.
The Virginia Passenger Rail Authority (VPRA) and Norfolk Southern (NS) on June 30 announced the financial closing of a deal that will expand commonwealth-supported Amtrak service from Washington, D.C., to Roanoke and to the New River Valley.
Virginia Railway Express (VRE) is backing Virginia’s $4 billion initiative to improve passenger and freight rail capacity and relieve automotive traffic congestion with a nearly $195 million contribution.
The Pennsylvania Department of Transportation (PennDOT) and Norfolk Southern (NS) are one step closer to finalizing an operating agreement to expand Amtrak passenger rail service in western Pennsylvania.
At Cowen and Company, we are adjusting our railroad estimates ahead of second-quarter 2022 earnings. Continued rail congestion is hindering volume (still below 2019 levels), while pricing is expected to be on par with first-quarter levels.
Norfolk Southern (NS) on June 27 announced a new operating plan that it says will drive service, productivity and growth.
Norfolk Southern (NS) has promoted three executives, effective July 1: Nabanita Nag, Jason Morris and Wai Wong. All will be part of the Law Division.