New Watco shortline in Montana (heads up, Boxcab!)

friscobob Dec 29, 2004

  1. friscobob

    friscobob Staff Member

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    Watco's Mission Mountain Railroad in MT starts Dec 28

    [Today's the day! =PSH]

    Sent: Monday, December 27, 2004 4:49 PM

    Joint BNSF-WATCO NEWS RELEASE

    NEWS
    FOR IMMEDIATE RELEASE

    Contacts:
    Ed McKechnie Gus Melonas
    Watco Companies BNSF
    (620) 231-2230 (206) 625-6220

    Watco Companies Announces Acquisition of Montana Railroad

    PITTSBURG, KANSAS and FORT WORTH, TEXAS - December 27, 2004 - The Mission Mountain Railroad, a wholly owned subsidiary of Watco Companies, will begin operations of 40 miles of track in Montana Tuesday morning, Dec. 28,
    2004.

    Acquired through a lease and purchase agreement with The Burlington Northern and Santa Fe Railway Company (BNSF), the Mission Mountain Railroad (MMT) consists of two separate lines. The north line begins at Eureka and extends south to Stryker. The south line begins at Columbia Falls and extends southwest to Kalispell. Interchanges with the BNSF are located at Stryker and Columbia Falls. Primarily moving forest products and grain, the MMT will serve 12 customers at 15 locations, and is expected to move more than 9,000 rail cars the first year.

    "The Mission Mountain Railroad is a great addition to our operations in the Pacific Northwest. We currently serve customers in Idaho, Washington State and Oregon on our Eastern Idaho, Palouse River and Coulee City
    and Great Northwest Railroads," said Watco CEO Rick Webb. "Job One for us on the Mission Mountain Railroad will be to provide the customer with the right car, at the right time, in the right condition and at the right price.

    "That service commitment we make to the Customer every day will provide a great platform to grow the business and provide additional economic stimulus to the economy in northwest Montana. By providing quality, dependable, safe and affordable service, we believe rail transportation in the Mission Mountain area can add value to local businesses and make Montana products more competitive in the national and world market," Webb said.

    "We have an excellent relationship with the BNSF that is built upon mutual respect. The BNSF continues to lead the industry in providing customer service and expanding services to meet our customers' needs. We very much appreciate the opportunity to do business with one of America's great railroads," Webb said.

    "BNSF continuously reviews its network to ensure the most efficient use of assets and to provide the most effective service for its customers," said BNSF's Pete Rickershauser, vice president, Network Development. "We have a longstanding relationship with the Watco Companies, and Watco consistently meets and exceeds the expectations of customers as well as working with BNSF and government agencies not only to preserve but also to enhance local rail service."

    The Mission Mountain is a new company with offices located in Columbia Falls, MT. The general manager is Norm Brown, who has worked for the PCC Railroad based in Palouse, Washington, for the past eight years. The MMT office is located at 720 3rd Street West in Columbia Falls. The local phone number is (406) 892-3293, and the FAX number (406) 892-3294.

    Printable maps of the MMT are available at
    <http://www.watcocompanies.com>;
    click on Railroads and then Mission Mountain Railroad.

    Watco Companies, Inc. (Watco), a Pittsburg, Kansas, based company, operates nine other short line railroads and operates in 23 states. The Mission Mountain joins Watco's other railroads, the South Kansas and Oklahoma Railroad, the Kansas and Oklahoma Railroad, the KAW Railroad, the Stillwater Central Railroad, the Timber Rock Railroad, the Eastern Idaho Railroad, the Palouse River and Coulee City Railroad, the Pennsylvania Southwestern and the Great Northwest Railroad. Watco also operates industrial switching locations and mechanical and locomotive shops across the United States.


    NOTE: No idea what motive power is being used, but most likely will be either one of Watco's own diesels (black & yellow, WAMX reporting marks), a leaser from one of the nearby Watco lines, or a rent-a-wreck or two.
     
  2. BoxcabE50

    BoxcabE50 HOn30 & N Scales Staff Member TrainBoard Supporter

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    Bob-

    Yes. They came into town yesterday. Had a cut of grain cars for the Cenex elevator.

    Brought in right at what passes for "rush hour" here. I'm sure that plenty of local train haters, including our city mis-management were wetting their collective pants at the traffic "jam" created. (DUH! Any time, is train time!) They've been after BNSF for years to tear out this branch. So they can turn a tax paying entity, into a useless greenway/path about four lousy blocks long. What a waste.

    Anyhow, many of us here are thinking Watco is geography challenged. Mission Mountain RY? Huh? The Missions are not even near this valley....

    They did do a good job of blowing the horn! Wow! I could hear it from my house. But then the BNSF boys were always quite lax about using this safety appliance.

    Engine was a Palouse River & Coulee City. Being after dark, I didn't see much.

    :D

    Boxcab E50
     
  3. friscobob

    friscobob Staff Member

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    SOunds like you've got more than your share of transplanted yuppies and folks from a certain state just south of Oregon. The NIMBYs need to remember they're all Johnny-come-latelies, and need to learn their place.

    It's kinda interesting- on Microsoft Train Simulator, I have the BNSF Marias Pass route, including the branch to Kalispel. On my sim, I have two ICG chopnoise Geeps running a local, and I swap 'em out with some Rock Island GP7s. Might be nice to get a pic of a MM locomotive (or at least a WAMX engine) to run on the sim.
     
  4. BoxcabE50

    BoxcabE50 HOn30 & N Scales Staff Member TrainBoard Supporter

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    Bob-

    Sad to say that the NIMBY's all decimate their home area, then move here, and try to tell us how we should live. We did very well, UNTIL they came. Now we have problems of epic proportion. What's left of railroads here, are some of the very few decent paychecks remaining.

    I've read comments about simulator programs that use the branch here in town. Have never seen them. But sounds as though they are mostly fiction. At least the PCC isn't fiction. I do hope they'll letter or paint up their two engines for this new endeavor.

    :D

    Boxcab E50
     
  5. rray

    rray Staff Member

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    I have to respectfully disagree with that line of thought.

    When I moved to Boise from California for a work relocation, I was called a "Californicator" just for sake of my license plate which I quickly replaced with an ada county plate. During the years I was up there I had randomly heard comments about my voice sounding like a "Surfer Dude" and other comments, yet I was a contributing, tax paying citizen also. Yuppy? What's that? I was made to feel I was not white enough. I'm an Anglo American, English Speaking US Citizen, and a darned nice train guy at that! Most of the people there were just plain nice, but it only takes one in 1000 to make a guy feel real bad and out of place.

    Now I admit to have been overrun by non-english speaking immigrants in my area, but I treat them like dignified human beings, especially after being treated like I was some kind of second class citizen at times, when I lived in other than my place of birth.

    The point I am making is that we have to accept that as world populations increase, and economic globalization progresses, there is going to be an influx of immigrants into Good 'ol boy territory, and Good 'ol boys, moving to other places as their careers dictate.

    Please do not take this as a scolding, but rather as a point of view from someone on the receiving end of that way of thinking. I know it's an ugly trend, but hey, when the good lord say "Be Ffruitful and Multiply" he did not say when to slow down. ;)

     
  6. friscobob

    friscobob Staff Member

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    I have relatives that live in California that are the antithesis of what folks in, say, Montana and Colorado would think of when the word "Californicator" comes to mind.

    If it seems I used a broad brush, I apologize, but there are folks (from everywhere, it seems) who move to a spot and can't understand why it isn't like the place they moved from. Newcomers are usually seen with a little bit of suspicion at first.

    I lived in Colorado for 3 1/2 years, and until I changed the license plates on my pickup, I got no end of grief from folks who hate Texans (and I'm a native Midwesterner!!). I just try to fit in to the local way of things wherever I live.

    I think what natives of areas dislike more than just newcomers, is a percieveed notion of where you're from, and what they've heard from secondhand sources (case in point- the unique individuals that reside in places like San Francisco and the LA area). My cousin lives out in Boron, and is a straight-up desert rat. ANd of course, a lot of folks think that Texas is full of yahoo cowboys (I don't wear a hat of boots, but I HAVE been accused of being a yahoo now & then :D )

    Let me rephrase that last statement to the word "NIMBYs". That's accusatory enough, and covers the whole spectrum.

    No offense meant to Cali residents, but unfortunately you are all too aware of the perception you folks have amongst others, however unfair it is.
     
  7. Mike Hawkins

    Mike Hawkins New Member

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    Has anyone determined the motive power for the new line. If they are PCC units, what are the numbers.
     
  8. friscobob

    friscobob Staff Member

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    For those of you who are fascinated by government reports, here's the decision as handed down by the STB. It does mention that part of the railroad is owned by Watco, while the rest is still owned by BNSF and leased to MMR.

    STB 'In Control' dept. - Watco, Mission Mtn RR, BNSF in MT

    Full Text of Decision

    35459

    SERVICE DATE – JANUARY 19, 2005

    DO

    FR-4915-01-P

    DEPARTMENT OF TRANSPORTATION

    Surface Transportation Board

    [STB Finance Docket No. 34635]

    Watco Companies, Inc. –Continuance in Control Exemption– Mission Mountain Railroad, Inc.

    Watco Companies, Inc. (Watco) has filed a verified notice of exemption to continue in control of Mission Mountain Railroad, Inc. (MMT), upon MMT’s becoming a Class III rail carrier.

    The transaction was expected to be consummated on or shortly after December 28, 2004.

    This transaction is related to a concurrently filed verified notice of exemption in STB Finance Docket No. 34634, Mission Mountain Railroad, Inc.–Acquisition Exemption–The Burlington Northern and Santa Fe Railway Company, wherein MMT seeks to acquire by purchase and lease from The Burlington Northern and Santa Fe Railway Company (BNSF) rail lines in the State of Montana. The line being purchased is between milepost 1249.35, near Stryker, and milepost 1272.22, near Eureka, in Lincoln County, MT, a distance of approximately 22.87 miles. The rail line being leased is between milepost 1211.86, near Columbia Falls, and milepost 1227.58, near Kalispell, in Flathead County, MT, a distance of approximately 15.72 miles. MMT will operate both lines.

    Watco, a Kansas corporation, is a noncarrier that currently controls nine Class III rail carriers:
    South Kansas and Oklahoma Railroad Company (SKO), Palouse River & Coulee City Railroad, Inc. (PRCC), Timber Rock Railroad, Inc. (TIBR), Stillwater Central Railroad (SLWC), Eastern Idaho Railroad, Inc. (EIRR), Kansas & Oklahoma Railroad, Inc. (K&O), Pennsylvania Southwestern Railroad, Inc. (PSWR), Great Northwest Railroad, Inc. (GNR), and Kaw River Railroad, Inc. (KRR).

    Applicant states that: (1) the rail lines operated by SKO, PRCC, TIBR, SLWC, EIRR, K&O, PSWR, GNR, and KRR do not connect with the rail lines being purchased or leased by MMT; (2) the continuance in control is not part of a series of anticipated transactions that would connect the rail lines being acquired by MMT with any railroad in the Watco corporate family; and (3) neither MMT nor any of the carriers controlled by Watco are Class I rail carriers. Therefore, the transaction is exempt from the prior approval requirements of 49 U.S.C. 11323. See 49 CFR 1180.2(d)(2). The purpose of the transaction is to reduce overhead expenses, coordinate billing, maintenance, mechanical and personnel policies and practices of its rail carrier subsidiaries and thereby improve the overall efficiency of rail service provided by the ten railroads.

    Under 49 U.S.C. 10502(g), the Board may not use its exemption authority to relieve a rail carrier of its statutory obligation to protect the interests of its employees. Section 11326(c), however, does not provide for labor protection for transactions under sections 11324 and 11325 that involve only Class III rail carriers. Accordingly, the Board may not impose labor protective conditions here, because all of the carriers involved are Class III carriers.

    If the verified notice contains false or misleading information, the exemption is void ab initio. Petitions to revoke the exemption under 49 U.S.C. 10502(d) may be filed at any time. The filing of a petition to revoke will not automatically stay the transaction.

    An original and 10 copies of all pleadings, referring to STB Finance Docket No. 34635, must be filed with the Surface Transportation Board, 1925 K Street, N.W., Washington, DC 20423-0001. In addition, a copy of each pleading must be served on Karl Morell, Of Counsel, Ball Janik LLP, 1455 F Street, N.W., Suite 225, Washington, DC 20005.

    Board decisions and notices are available on our website at <http://WWW.STB.DOT.GOV>.

    Decided: January 12, 2005.

    By the Board, David M. Konschnik, Director, Office of Proceedings.

    Vernon A. Williams
    Secretary
    ___________________________________________________________________________

    Full Text of Decision

    35458

    SERVICE DATE – JANUARY 19, 2005

    DO

    FR-4915-01-P

    DEPARTMENT OF TRANSPORTATION

    Surface Transportation Board

    [STB Finance Docket No. 34634]

    Mission Mountain Railroad, Inc. –Acquisition Exemption–
    The Burlington Northern and Santa Fe Railway Company


    Mission Mountain Railroad, Inc. (MMT), a noncarrier, has filed a verified notice of exemption under 49 CFR 1150.31 to acquire by purchase and lease from The Burlington Northern and Santa Fe Railway Company (BNSF) rail lines in the State of Montana. The rail line being purchased is between milepost 1249.35, near Stryker, and milepost 1272.22, near Eureka, in Lincoln County, MT, a distance of approximately 22.87 miles. The rail line being leased is between milepost 1211.86, near Columbia Falls, and milepost 1227.58, near Kalispell, in Flathead County, MT, a distance of approximately 15.72 miles. MMT will operate both lines.

    The transaction is related to STB Finance Docket No. 34635, Watco Companies, Inc.–Continuance in Control Exemption–Mission Mountain Railroad, Inc., wherein Watco Companies, Inc., has concurrently filed a verified notice of exemption to continue in control of MMT upon MMT’s becoming a Class III rail carrier.

    MMT certifies that its projected revenues as a result of this transaction will not result in MMT’s
    becoming a Class II or Class I rail carrier, and further certifies that its projected annual revenues will not exceed $5 million.

    The transaction was expected to be consummated on or shortly after December 28, 2004.

    If the notice contains false or misleading information, the exemption is void ab initio. Petitions to revoke the exemption under 49 U.S.C. 10502(d) may be filed at any time. The filing of a petition to revoke will not automatically stay the transaction.

    An original and 10 copies of all pleadings, referring to STB Finance Docket No. 34634, must be filed with the Surface Transportation Board, 1925 K Street, N.W., Washington, DC 20423-0001. In addition, a copy of each pleading must be served on Karl Morell, Of Counsel, Ball Janik LLP, 1455 F Street, N.W., Suite 225, Washington, DC 20005.

    Board decisions and notices are available on our website at <http://WWW.STB.DOT.GOV>.

    Decided: January 12, 2005.

    By the Board, David M. Konschnik, Director, Office of Proceedings.

    Vernon A. Williams
    Secretary
     
  9. BoxcabE50

    BoxcabE50 HOn30 & N Scales Staff Member TrainBoard Supporter

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    With the crummy weather of late, I have not, will not, be heading up to Eureka. To see what power is used for that segment. According to Local Watco reps, the power will be tied up at Eureka.

    Power on the line into Kalispell, is a PCC unit. Have not been able to catch it yet. It seems to be elsewhere, :rolleyes: when I do get over to that side of town.

    They did immediately start operations. And are using the small yard here in town quite heavily. Something local whiners are not used to for several decades. Wah. Wah .Wah. They've brought a bunch of cars into town. And are switching, storing, etc. I can quite easily hear the cars banging together.

    Meanwhile, we're still trying to figure out the reason for the RR name. :confused: The Mission Range, (Mountains), a foothill to the Rockies, are far to our south.

    :D

    Boxcab E50
     
  10. friscobob

    friscobob Staff Member

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    You must live either in Kalispell or Columbia Falls. I remember when Kiamichi started up in Hugo- I was living & working there at the time, and it was like one day we had green & black diesels, the next day it was all a brownish maroon. A lot of locals thought the line would fold- 17 1/2 years later, it's going strong (about 50,000 carloads yearly) as a part of the RailAmerica system. It's one of Hugo's biggest employers, and a shining star in the business community.

    Hopefully the MMR will have this kinda of success.

    Remember- Watco is a Kansas-based company, and their idea of a mountain is a large pile of chat (lead mine tailings). ;) [​IMG]
    Perhaps a better name could be Flathead & Northwestern, or Hungry Horse? What would be a better name? (Serious- something that would pinpoint the line to the area).
     
  11. BoxcabE50

    BoxcabE50 HOn30 & N Scales Staff Member TrainBoard Supporter

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    Ummm. I'd better not give you my proposed name for this operation. :rolleyes: Charlie would boot me in the posterior! [​IMG]

    Seriously, the name does not fit. The Missions are about 60 miles south. I'm sure they could have chosen something more local. "Flathead Valley Railway?" Doesn't sound glitsy. But....

    There is decent potential for these guys. Maybe a chance for a new shipper or regaining an old one. As long as they don't neglect the infrastructure!

    I noticed a week or so back, that we had a new member also from the area. Was hoping he'd pop in and say hello!

    "K-Town Ken"
    (AKA- Boxcab E50)

    [ 22. January 2005, 22:24: Message edited by: BoxcabE50 ]
     
  12. GP30

    GP30 TrainBoard Member

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    I'm kinda excited to see what the new WATCO Appalachian & Ohio company will utilize when they take over here in March in stead of 2 or 4 AC4400's......they were will be maybe 4-8 GP11's,30's, 35's, etc.....Maybe Old Tunnel Motors? :D
     
  13. BoxcabE50

    BoxcabE50 HOn30 & N Scales Staff Member TrainBoard Supporter

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    > Pat wrote: "Appalachian & Ohio."

    Sounds better than what they picked here! Hope it fits the area well?

    Hope you'll be keeping us posted on what's happening? Maybe a photo or two?

    :D

    Boxcab E50
     
  14. GP30

    GP30 TrainBoard Member

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    The WATCO / A&O deal caught most of us local railfans by surprise as we all (ok, most) swore that the Wheeling & Lake Erie or R.J. Corman would get the lease.

    I guess the name works well. It won't reach Ohio, though. LOL. I'll try and get a few pics either if I get hired or as a railfan.

    EDIT: Interesting thought: This line has changed hands 8 times within 80 years.

    [ 23. January 2005, 03:59: Message edited by: A&A 6183 ]
     
  15. friscobob

    friscobob Staff Member

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    Remember, when the Baltimore & Ohio and Chesapeake & Ohio started to build, their intentions were to build first to the Ohio River. Of course, you didn't mention which CSX line Watco will be operating, so I don't know if it'll get close.

    ANd remember- the original goal of the St. Louis-San Francisco was to reach that city by the bay- it never got any closer than the dusty little Texas town of Floydada, northeast of Amarillo. However, the railroad kept the nickname - good thing too, I couldn't see modeling a 5,000-mile railroad named "Floyd"... [​IMG] [​IMG]

    (apologies to anyone out there named Floyd)
     
  16. BoxcabE50

    BoxcabE50 HOn30 & N Scales Staff Member TrainBoard Supporter

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    Finally had the right timing today. Sort of. The engine in use on the Kalispell Line is PCC GP35 2357. Unfortunately, I was enroute to an appointment. And traffic wouldn't cooperate....

    :D

    Boxcab E50
     
  17. GP30

    GP30 TrainBoard Member

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    Who? Floyd the barber in mayberry? [​IMG]
     
  18. GP30

    GP30 TrainBoard Member

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    I hate to keep going on an on about this as it is off the subject of the thread................ooh well.

    The line they leased is the Cowen Subdivision, which was part of the old B&O West End CSX was trying to lease/sell off. It runs 154 miles from Grafton in North Central West Virginia to Cowen in the South central-eastern area of WV. The A&O won't reach Ohio unless they get a lease for the portion from Grafton west ward to New Martinsville, WV. Also a portion CSX wants to lease.
     
  19. BoxcabE50

    BoxcabE50 HOn30 & N Scales Staff Member TrainBoard Supporter

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    Pat-

    What does this line ship? I'd guess mostly coal. Is there anything else contributing to it's economic viability? A fair mix?

    :D

    Boxcab E50
     
  20. GP30

    GP30 TrainBoard Member

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    Coal from several locations along the line.

    Lumber Products by boxcar from Weyerhauser near Burnsville.

    Daily local job from here in Buckhannon, to serve several industries in the area (plastic pellets, Parallam wood, more lumber...possibly electric transformers in the future)

    There have been several CABX carbon black airslides and MBLX/ACFX tanks labels for sulphur transport. No idea where they go to.

    Every other week a log truck with logs shows up in the Wye here in Buckhannon and loads one log car (usually a Besse Forest Products car) for the out bound trip to Grafton where the switcher takes cars to be sorted and tied onto Q316/Q317 (only regular manifest freights over the West End any more)
    as it stops in Grafton, and to refuel/replace the Switcher.

    All freights operate as Turns. The engine based here in Buckhannon usually tows boxcars to Burnsville (a.k.a. Heater's Turn) and back and does almost all industrial service on the entire line.

    Here is a rough outline for an normal 24 Hour period through Buckhannon, where the most traffic is seen on the Cowen Sub:
    5-7 Westbound Empties
    5-7 Eastbound Loads
    (each train with different pair of AC's; whole day's trip from Cowen to Grafton)
    Heaters Turn to Burnsville......as needed (2or 3 times a week?)
    Buckhannon switcher....same loco as Heaters turn to Burnsville

    This site is slightly out of date but it sums the line up better than I ever could: Cowen Subdivision

    This line ties in with the (now inactive) Elk River Railroad in Gilmer Station, WV. The new (1999) West Virginia Central at Tygart Junction. And the recently re-opened Beech Mountain Railroad at Alexander.

    There are branch lines along this Subdivision that have go through phases of activity/inactivity depending on coal traffic and the economy.

    I have done some (likely inaccurate) calulations and determined that WATCO will have to come up with a heap of locomotives by the time they start operation in March.
    2 AC44's = 4-6 GP 11/30/35's

    several locations along the line require helpers. If we have 12 trains running in 24 hours that requires 5 locomotives per train; that is 60 locomotives.......tack on 1 or 2 for the Buckhannon switcher / Heaters Turn. That's 62. What about the helpers? How about another 12 or so? 74!

    74 Locomotives, if we are talking about WATCO using only GP's. That number could be signifigantly less if they utilize the SD40's and 50's that have been in the rumor mill.

    Those calculations may seem astounding, but that's the way it was 25-30 years ago around here. Trains were slightly shorter, but didn't detract from the total amount of locomotives in the area.

    Also older locomotives don't improve their pulling capacity over time unless they have underwent and extensive rebuild. It will take newer equipment to handle this line.

    Seems to me that CSX shoves their newest stuff along this line, burns them up, overhauls them and send them else where to handle easier (mechanically) assignments.

    5 years ago it was all SD70's, they all got used up and were sent elsewhere, 3 years ago it was AC44's, now the new SD70ACe's are here to get burnt up intime for the next newest stuff to come along. You almost NEVER see a standard SD70MAC here.

    I expect to see a lot of leased/borrowed stuff to run this line for a while to come. I don't know much about what WATCO has for diesel power except for photos of the lines they operate out west.

    We also have to consider the fact that the line has been Leased........CSX can technically still haul coal but WATCO will be maintaining the rails and stuff...........

    I've likely talked about more than my actual knowledge of the line so if anyone can comments on what I said, post away.

    Phew....enough rambling for one night
     

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