Today the STB gave the CP permission to disolve the trust operating the DM&E and IC&E, a actively control the two railroads through the Soo Line Holding Company. They added one noteable condition that if the DM&E is extended into the PRB and those coal trains will operate over lines already owned by the Soo Line, then they must file and have approved an EIS. They also reinterated a similar condition covering the IC&E lines. Baring successful court challenges this will take effect October 30th, 2008
Does this make it sound, like they could run PRB coal through Rochester?
Anybody want to bet on whether there is court challenge in the making as we speak?
Yes, just saw the news myself just moments ago. Definitely an exciting day amid the turmoil going on in the financial world right about now.
Certainly a possibility, but while it is easy to file such a challenge, it will be harder to get a judge to issue an injuction against the merger happening.
The merge has already been approved, so while bringing to to court may stall it, there will probably be no way to prevent it from happening (get the hint Mayo Clinic?). I’m all for this merger, it will possibly add a third player to the PRB coal game, which would increase traffic on not only the DM&E and IC&E, but on current CP lines also. Also it will give anyone on the CP a chance to see IC&E and DM&E power coming through their towns. Unlike CN, CP is not known to rapidly repaint or retire engines they purchase, look at all the SOO power still around. I think this deal makes things better in all ways, for the CP and for us.
Of course, much of the ICE/DME power is ex-CP or ex-Soo power - some of it still wearing CP colors (3 out of the 6 locomotives in this early morning consist in Muscatine, Iowa were wearing CP red and I think the lead locomotive there is completely untouched CP rail red). http://penncentral2002.rrpicturearchives.net/showPicture.aspx?id=1160706
http://penncentral2002.rrpicturearchives.net/showPicture.aspx?id=1160622
http://penncentral2002.rrpicturearchives.net/showPicture.aspx?id=1160779
Realistically, there were only a couple of shippers asking for conditions (and they were contradictory - one power company was worried about losing competitive rail access if the PRB was built, the other was worried about CP not building the PRB line) - most of the shippers along the line supported the merger - with that, there wasn’t any serious doubt it would be approved. KCS was the only railroad to raise any sort of opposition (they were worried because the ICE was a neutral route to Chicago). The shipper community was very muc
Keep in mind that there is STILL something that they refer to as Soo Line. Remember when CN bought the WC? There was still a WC division. However, they disolved that trust (similar to the IC thing too). So, CP still has the ability to refer it as the Soo Line.
Chances are you won’t see the DME or the ICE disolve yet. They more than likely retain their idenity for a while.
On a more interiesting side note, most of the ICE and DME power are ex-CP SD40-2s. Now CP has to deal with them again (LOL)
I am still waiting for the promosed CP coal trains to detour onto the UP’s Adams and Wyeville subs down to Milwaukee…
Phil
IC&E wasnt exactly merged into CP like DM&E was because CP still had 49% intrest in the lines it had sold off . THis is good news its good to have CP-SOO back in town.
CP had an interest in the IMRL, but this was wiped out by the bankruptcy of that company. Until the purchase of the DM&E, CP had no financial stake in the company called IC&E.
The Soo Line still exists as a subsidiary corporation to Canadian Pacific. Effective on October 30th, 2008 Soo Line Corporation will control 4 US railroads;
Soo Line Railroad Corp.
Delaware and Hudson Railroad
Dakota, Minnesota and Eastern Railroad
Iowa, Chicago and Eastern Railroad
I was pleased to note that Soo Line Corp was the best Railroad in the US, on the basis of Revenue Adequacy in the US, ahead of Norfolk Southern for 2007.
As a side note it should be clarified that yes- the DME roster comprises mostly of ex-MILW and ex-CP units now (6300s and 6000s)- but the bulk of the ICE’s roster is composed of ex-UP?MKT/MP/CNW/BCOL SD40-2s (there are 6 ex-CP SD40-2s in the 6200s, and 6 GP9s left of ex-Soo heritage, but not nearly the number that DME rosters).
I would doubt that the CP will make any quick work of repainting any of this power- I am more interested in the comments section what the Mayo Clinic is asking for in regards to operations in Rochester proper- looks like the same old game with them…
Mayo Clinic requests the imposition of the following conditions on applicants:
(1) Work with local, state, and federal agencies to install multiple grade-separated crossings at mutually acceptable locations to facilitate the movement of emergency vehicles to and from medical facilities;
(2) Meet with representatives of Mayo Clinic to consult and coordinate ways to minimize rail transportation’s impacts on Mayo Clinic, especially the increased transportation of hazardous materials;
(3) Install wayside detectors to the west and east of Rochester, MN, to provide timely warning of any potential problem prior to entering the city limits;
(4) Impose speed limits on local hazardous materials traffic of 10 mph and non-hazardous train traffic at 20 mph;
(5) Construct fencing and other appropriate protections for bike paths and pedestrian crossings, and install other sound and aesthetic barriers;
#3 & #6 sound reasonable.
Wait until the City of Rochester finds out how many hoops they will have to jump through for point 6, which implies a quiet zone.
Rochester must be 800 miles from the PRB.
Would there actually be dust after being transported THAT far?
It is funny that CP is getting back SD40-2s and GP9s that they once owned (the GP9s never got CP paint). I would imagine the GP9s might be retired but DM&E and IC&E have both standardized their rosters pretty well. All the SD40s, SD45s, etc have already been sold or scrapped. The two companies mainly own GP38s, GP40s and SD40-2s, and all three of those types of engines are already represented in CP’s current roster. Also, don’t forget CP is quite power short and they are currently leasing a large group of SD40-2s from CITX. I wonder what CP will do to Nahant Yard. I think it will either be expanded to relieve congestion from Bensenville or reduced quite a bit. Either way I’m sure they will close down the roundhouse there and move the maintenence of the IC&E roster to St. Paul. I think it will make for colorful times on the CP, with a mix of IC&E, DM&E, SOO and CP engines.
[quote user=“nordique72”]
As a side note it should be clarified that yes- the DME roster comprises mostly of ex-MILW and ex-CP units now (6300s and 6000s)- but the bulk of the ICE’s roster is composed of ex-UP?MKT/MP/CNW/BCOL SD40-2s (there are 6 ex-CP SD40-2s in the 6200s, and 6 GP9s left of ex-Soo heritage, but not nearly the number that DME rosters).
I would doubt that the CP will make any quick work of repainting any of this power- I am more interested in the comments section what the Mayo Clinic is asking for in regards to operations in Rochester proper- looks like the same old game with them…
Mayo Clinic requests the imposition of the following conditions on applicants:
(1) Work with local, state, and federal agencies to install multiple grade-separated crossings at mutually acceptable locations to facilitate the movement of emergency vehicles to and from medical facilities;
(2) Meet with representatives of Mayo Clinic to consult and coordinate ways to minimize rail transportation’s impacts on Mayo Clinic, especially the increased transportation of hazardous materials;
(3) Install wayside detectors to the west and east of Rochester, MN, to provide timely warning of any potential problem prior to entering the city limits;
(4) Impose speed limits on local hazardous materials traffic of 10 mph and non-hazardous train traffic at 20 mph;
(5) Construct fencing and other appropriate protections for bike paths and pedestrian crossings, and install other sound and aesthe
The detectors aren’t a bad idea, and CPR would surely pick up the tab for those.
As for the rest, how would the burgers of Rochester like to pay an extra sales or property tax for the privilege and honor of financing Mayo’s various wants?
Actually, condition #1 isn’t too bad, either–as I read it, it suggests discussion, nothing more. It might be an eye-opener to Mayo to find out who would have to pay what for the implementation, though.