Do you switch your engine terminal?

I would think that the train crews could say: “For the record we would rather not be bothered with those troublesome locals”.

However, from the perspective of a railroad operating as a business with profitability as the goal, those “Locals” are the company’s “Bread and Butter!”

Best not bet the farm…Locals cost money to operate and is not really wanted that’s why railroads spins off industrial branch lines to Port Authories which in turns that line over to a short line operator…

The railroads “Bread and Butter” is found in line haul not local freight.

BTW.If railroads get their way you will see one man crew on those 10,000’ freight trains.

So, you’re saying that hauling from one customer and delivering to another customer is not how a railroad makes money? I have no problem believing that some local freights are more profitable than others and that the big boys would love to sell off the less profitable aspects of their business.

The above premise of transporting goods from one customer to another for profit is such a basic business premise and stupid easy to understand; but, your telling me I’ve got it wrong, huh?

If you understood railroading you would see their idea of customer service is unit trains from Shipper A to Receiver B. Some major railroads is well known to chase off smaller one or two car customers while other railroads embrace them…

Trains Magazine has covered this subject quite well over the years.

Larry, there is nothing of deep mystery as far as railroad business is concerned. I think my 31 years as a business owner makes me fairly capable of understanding how it all works!

Mark,In your line of business I’m sure you’re top notched but,railroads don’t operate like normal business do.Never have.

They would prefer to run intermodal and unit trains from point A to Point B and not have to worry about loose car freight like we see in general freight trains.There would be no need for locals.

Wasn’t for loose car freight they could close and rip out every yard on the system.Think of the billions they could save.

John G. Kneiling the professional Iconoclast mention that in one of his Trains columns in the 60s.

Mark & Larry —

I guess the issue here is one of volume and efficiency. The long intermodal train that runs intact from point A to a far distant point Z will be easier and cheaper to run, and therefore more profitable, than the local that runs from point A to H, stopping to switch a few cars in or out at points B, C, D, E, F, and G. By then, the crew has reached their hours of service limit and must turn their train over to another crew to serve points I, J, K, etc. All those intermediate points must be served in some way; otherwise the railroad loses that share of business. Nowadays many intermediate points that were formerly served by a local freight train, are now served by trucks, with their rail traffic being handled through large intermodal terminals. So you’re both right. The railroads need to get a share of all that business, because all traffic starts out at some smaller location and is destined for another smaller location, even if those small locations are within a very large city. But the long-haul runs will be more profitable than the short hauls.

Tom

I guess we’ve taken this thread a bit off topic. However, I refuse to believe there is some type of Vodo science as to what the railroad’s job is and how railroads make their money! Sure, the big jobs make mo-money; but, it’s all the jobs that determine the bottom line! I have no doubt that some railroads don’t like the small stuff and this has certainly given the trucker his work.

Well, with the way my fleet has grown MoW and engine Facility switching will be a necessity. I’m up to 5 fuel cars that will be shuffled around, there’s also power that’s laying over to consider. Since I’m thinking my dream layout will consist of the SP&S 1st sub, OT, 2nd sub, and 3rd sub there will be plenty of action. I also learned something that did happen during the 60’s that forced NP and GN trains to reroute over the SP&S.