Latest news with #CSX
Yahoo
a day ago
- Business
- Yahoo
Is Washington open to railroad mergers? This regulator isn't saying no.
For weeks, railroad executives have played footsie in public, touting the benefits of mergers that would turn regional players into coast-to-coast juggernauts. Investors, too, have caught the bug, bidding up shares of smaller carriers most likely to be acquired. But their enthusiasm hinges on one question: Will the industry's regulator be on board? Try him. Patrick Fuchs, the 37-year-old chairman of obscure and quaintly named Surface Transportation Board, has signalled what colleagues and industry players are interpreting as an openness to consolidation, or at least a clean break from the reflexive antipathy of his predecessor to deals. A focus on fact-based and impartial reviews could open the door for an industry that has long wanted to consolidate — in part to compete with Canada's transcontinental giants — but for much of the past two decades has been thwarted by Washington. 'I think it's a win,' Union Pacific CEO Jim Vena said of consolidation in an interview earlier this year. 'On the regulatory front, it's complicated.' 'I see a lot of benefit,' Norfolk Southern's chief financial officer, Jason Zampi, said in May. 'I also view the regulatory framework as pretty challenging.' Vena has privately expressed a desire to acquire either Norfolk Southern or CSX Railroad, according to people familiar with his thinking, though Union Pacific hasn't taken concrete steps to move in either direction, in part because of the uncertain odds of approval. A Union Pacific spokesperson declined to comment. Vena was also sharply criticized early in his tenure as CEO by Fuchs' predecessor, Martin Oberman, who accused Vena of pulling off 'accounting maneuvers' and headcount reductions to prop up Union Pacific's stock price at the expense of its infrastructure and maintenance (Vena has improved Union Pacific's train performance and stock price.) The STB's predecessor agency was created during the Gilded Age to regulate the burgeoning railroad industry. Today, it adjudicates disputes between railroads and their customers, service issues, and, most significantly, whether mergers can go forward or not. The last one to get the green light was in 2021, when Canadian Pacific merged with Kansas City Southern, a smaller US carrier. Fuchs' shift is subtle, and he declined to comment. But paired with the Trump administration's focus on rebuilding America's industrial might, it's rightly seen as an invitation for would-be acquirers to make their case. Promising railroad mergers and all matters a fair shake, decided on the merits and with the benefit of the president's nationalist economic agenda, could be enough to coax Vena and his peers to try. If Union Pacific were to pursue a deal, it would force the hand of the other big West Coast railroad, Warren Buffett's BNSF. To stay competitive with a beefed-up Union Pacific, it would likely need to strike a deal for whichever East Coast railroad — CSX or Norfolk Southern — Vena doesn't snag. Rail mergers are impossibly difficult even with favorable regulatory conditions. Unionized workforces, jittery customers, and reams of paperwork and filings may give pause to CEOs wary of messing with already pressured stocks. Some rail , thanks to heightened merger guidelines that require any deals to increase market competitiveness, not merely maintain it.
Yahoo
2 days ago
- Business
- Yahoo
Feds approve waiver for Alabama rail project amid automation concerns
The Federal Railroad Administration has approved a Buy America waiver for a planned intermodal container transfer facility (ICTF) in Montgomery, Alabama despite concerns that such a waiver could lead to lost jobs through automation. The Alabama State Port Authority (ASPA), which will oversee the ICTF, told the Federal Railroad Administration that the waiver is necessary in order to purchase two rubber-tired gantry cranes it wants to install at the facility, located next to the main CSX rail line between Montgomery and Mobile, Alabama. Projects receiving funding under FRA's Consolidated Rail Infrastructure and Safety Improvements (CRISI) program – ASPA received a $67.3 million CRISI grant for the project in 2022 – must adhere to the agency's Buy America requirements. But FRA may waive those requirements if it determines that:Applying the Buy America requirements would be inconsistent with the public interest; Steel, iron, and goods produced in the U.S. are not produced in a sufficient and reasonably available amount or are not of a satisfactory quality; Rolling stock or power train equipment cannot be bought and delivered in the United States within a reasonable time; or Including domestic material will increase the cost of the overall project by more than 25%. 'FRA has determined that the two rubber-tired gantry cranes, including spreaders, that meet ASPA's technical specifications are not produced in the United States in a sufficient and reasonably available amount or satisfactory quality' consistent with the regulation, FRA stated in a notice published on Wednesday. 'FRA finds ASPA has conducted appropriate due diligence through market research and an open procurement process to identify potential domestic suppliers for the products. ASPA's efforts included a market research study that identified one potential supplier; however, ASPA did not receive any responses to its RFP from domestic suppliers.' The Transportation Trades Department (TTD), part of the AFL-CIO, which represents railroad employees, had protested the waiver last year, arguing that because ASPA's bid request stipulates that the cranes allow for future conversion to remote operations, a waiver 'may serve as a back door to securing federal funding for a huge share of the cost of equipment that will eventually be converted to semi-automated or automated functions.' 'Put simply, this strategy, if successful, would incentivize procurements that operators would not have made without the government's intervention,' asserted TTD President Greg Regan in comments filed with the FRA.'In other words, the federal government would be subsidizing the near-future elimination of jobs.' Responding to TTD's concerns, FRA pointed out that the waiver does not set precedents and will expire upon the closeout of the grant award, estimated to be April 2028. In addition, because the ICTF will serve international container traffic that passes through the Port of Mobile, Alabama, the waiver will help ASPA 'promote American jobs by supporting the transportation needs of Central Alabama's growing manufacturing, agricultural, and retail industries,' the agency stated. Port of Mobile enters fourth phase of $104M container terminal expansion $231M rail project to connect Port of Mobile to central Alabama Port of Mobile awarded $300M for infrastructure, intermodal improvements Click for more FreightWaves articles by John Gallagher. The post Feds approve waiver for Alabama rail project amid automation concerns appeared first on FreightWaves.
Yahoo
13-06-2025
- Automotive
- Yahoo
WATCH: CSX delivers for Army's 250th birthday bash
BNSF and CSX teamed up to haul nearly 100 pieces of military equipment – tanks, armored vehicles, and tactical vehicles – from Fort Cavazos in Texas to Jessup, Md., in support of the Army's 250th birthday parade scheduled for Saturday in Washington, D.C. The 4,611-ton train originated on BNSF and was interchanged with CSX at Birmingham, Ala. From there, CSX handled the train on a 981-mile route through six states. Nine crews operated the train during its 55-hour trip, CSX said. On the point was the CSX Spirit of our Armed Forces ES44AH No. 1776, a tribute to the five branches of the military. The parade celebrates the founding of the Continental Army, established by the Second Continental Congress on June 14, 1775, more than a year before the signing of the Declaration of Independence.'Our team is honored to support this historic operation celebrating the Army's 250-year legacy of service to our nation,' CSX Chief Executive Joe Hinrichs said in a statement. 'The U.S. Army is a valued partner, and we take pride in employing veterans and active military members whose dedication and leadership inspire us. We remain committed to supporting those who serve and their families.' Subscribe to FreightWaves' Rail e-newsletter and get the latest insights on rail freight right in your inbox. How technology Is helping Union Pacific help truckers…and rail shippers Sharp slowdown in intermodal rail a warning for H2: AARGreenbrier: Elevating rail safety standards with state-of-the-art training The post WATCH: CSX delivers for Army's 250th birthday bash appeared first on FreightWaves.
Yahoo
13-06-2025
- Politics
- Yahoo
News in brief
Russo congratulates new Ohio Democratic Party Chair Kathleen Clyde COLUMBUS — House Minority Leader Allison Russo (D-Upper Arlington) released the following statement congratulating Kathleen Clyde on her election as Chair of the Ohio Democratic Party: 'Congratulations to Kathleen Clyde on her election as Chair of the Ohio Democratic Party. Kathleen brings valuable experience as a former state representative in the Ohio House, along with a deep commitment to democratic values and fair elections. She has been a tireless advocate for working families and the future of our state. I'm confident her leadership will energize our party and help deliver results for Ohioans. I look forward to working alongside her in the fights ahead,' said Leader Russo. CSX Teamsters ratify new contract INDEPENDENCE — Thousands of locomotive engineers at CSX Transportation have voted to ratify a new contract. They are represented by the Brotherhood of Locomotive Engineers and Trainmen of the Teamsters Rail Conference. 'It's an honor to congratulate our members at CSXT for earning this hard-fought contract,' said Mark Wallace, President of the BLET and the Teamsters Rail Conference. 'Adding paid sick days without concession has been a contentious issue that the BLET refused to concede. But thanks to the hard work of our negotiating team, we were able to get it done.' These 3,500 CSXT locomotive engineers will earn raises of 18.77 percent over the life of the agreement and five additional sick days per year, in addition to improved work rules. 'The gains our members secured in this contract were a long time coming,' said Randy Fannon, Vice President of the BLET. 'Our years of negotiating and fighting for the fair treatment our members deserve are finally paying off.'
CBS News
12-06-2025
- CBS News
2 killed after train hits SUV in Somerset County
Two women are dead after a CSX train collided with a vehicle at a train crossing in Rockwood Borough, Somerset County on Thursday morning. KDKA-TV spoke with residents in the area who said that the two train crossings in town have been problematic for years and they want something done about it. "I feel sick almost," said Ken Marker, who lives near where the crash happened. "I'm kind of anxious. I don't think it should have happened. It's just a shame." It all happened just before 10:30 a.m. on Thursday. An SUV found itself between the down gates of a railroad crossing on Bridge Street in Rockwood Borough as a CSX train was coming through. According to Pennsylvania State Police, both occupants of the SUV, an 85-year-old woman and a 67-year-old woman, died in the crash, one at the scene and one later pronounced dead at Conemaugh Hospital after being transported. One neighbor KDKA-TV spoke with said that something has to be done with the two train crossings that divide the town because they tie up residents and first responders. "You think something would be done like a bridge or an underpass, something for the safety of the residents in the town, because the train is constant, nonstop," said the neighbor, who wanted to remain anonymous. While it is not exactly known what caused this crash to happen, Pennsylvania State Police are investigating.
