Genesee & Wyoming

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This article is about the railroad holding company. For the namesake subsidiary, see Genesee and Wyoming Railroad.
"Rail Link" redirects here. For other uses, see Rail Link (disambiguation).
Genesee & Wyoming Inc.
Type Public
Traded as NYSEGWR
Industry Short line and regional railroad freight
Founders Edward Laton Fuller
Headquarters Darien, Connecticut
Area served United States, Canada, Mexico, Bolivia, Australia, Netherlands
Key people John C. Hellmann, President and CEO
Website http://www.gwrr.com/
Typical G&W livery on a Huron Central locomotive.

Genesee & Wyoming Inc. is a short-line railroad holding company that owns or maintains interests in 63 railroads throughout six countries (the United States, Canada, Bolivia, Australia, Mexico, and Netherlands), and operates more than 7,400 miles (11,900 km) of owned and leased track, with more than 1,400 miles (2,300 km) under additional track-access arrangements.[1] The company had its roots in the Class III Genesee and Wyoming Railroad, which began in 1899.[2]

History[edit]

Early years[edit]

Genesee and Wyoming Railroad, predecessor of Genesee & Wyoming Inc., was purchased out of bankruptcy in 1899 by Edward L. Fuller. At that time, the railroad was operating as a 14.5 miles (23.3 km) long single-track line serving a single customer, a salt mine owned by Fuller in Retsof, NY. It was still operating the same line for the salt mine when Mortimer B. Fuller III, great grandson of Edward L. Fuller, purchased the railroad in 1977. The holding company, Genesee & Wyoming Railroad Inc., was organized during the same year, and the railroad became its subsidiary.[2]

With deregulation of the rail industry by the Staggers Rail Act of 1980, railroads began disposing of unprofitable routes. Genesee & Wyoming acquired several of these short line railroads, scattered across the United States, from 1985 to 1996. Its acquisitions began including railroads in other countries in 1997.[2]

Continued expansion[edit]

In November 1997 Genesee & Wyoming purchased the South Australian freight operations of Australian National and rebranded the operation Australian Southern Railroad.[3]

In October 2000 Australian Railroad Group, a 50/50 joint venture between Genesee & Wyoming and Wesfarmers, were the successful bidder for the Westrail freight business in Western Australia.[4][5] As part of the joint venture agreement, ownership of Australian Southern Railroad passed to Australian Railroad Group.

In July 2003, the Carolina Coastal Railway, operated by G&W subsidiary Rail Link, Inc., was sold to Main Line Rail Management, Inc.

On May 26, 2005, G&W announced that it has agreed to purchase the railroad operations of Rail Management Corporation (RMC). G&W paid $243 million in cash and assume $1.7 million in company debt to gain control of 14 short line railroads from RMC across the southeastern United States, as of June 1, 2005.[6][7]

As of the close of 2005, Genesee and Wyoming had 2,330 employees in North America. That year, Hurricane Stan wiped out several miles of Genesee & Wyoming track in Mexico. In 2006, the Mexican government agreed to pay 75 percent of the rebuilding costs, or $15 million, to reconstruct the track.

In June 2006 the Australian Railroad Group joint venture was broken up with the Western Australian above rail operation sold to QR National and the below rail infrastructure to Babcock & Brown in a $974 million (A$1.55 billion) deal. At the same time Wesfarmers sold its 50% share in the South Australian operation back to Genesee & Wyoming Inc for $15 million (A$22 million).[8] The operation was rebranded Genesee & Wyoming Australia.[9]

Also in 2006, Genesee & Wyoming elected to write off most of the value of its Bolivian operation, on fears that the Bolivian government would soon nationalize privately held railroads there.[10] Genesee & Wyoming remains an investor in Empresa Ferroviaria Oriental, S.A.[11]

In June 2010 Genesee & Wyoming Inc, through a subsidiary holding company, paid A$334 million to acquire the operational rights to and the leasehold of the Tarcoola to Darwin Railway from the Asia Pacific Transport Consortium, and the operational rolling stock of FreightLink.[12][13] This 1,400 miles (2,300 km) rail line was the longest the company has leased.[2]

On 2 August 2011, Genesee & Wyoming announced that it planned to purchase the Arizona Eastern Railway from Iowa Pacific Holdings for US$90.1 million, with the deal expected to be completed by the end of the year.[14] The deal was closed on 1 September 2011.[15]

On July 23, 2012, Genesee & Wyoming Inc. (GWR) agreed to purchase RailAmerica Inc. (RA), the short-line railroad holding company controlled by Fortress Investment Group LLC (FIG), for $1.39 billion to combine North America’s two largest short-line and regional rail operators.[16][17][18]

Subsidiaries[edit]

Logos of Rail Link subsidiaries have a coupler in the center.

Rail Link, Inc. (reporting mark RLIX), a subsidiary of Genesee & Wyoming Inc., provides industrial switching and related customer logistics services. Rail Link, headquartered in Jacksonville, Florida, serves industrial customers at 30 locations in 11 states and operates 26 short line railroads (including the Commonwealth Railway, and Yorkrail). Rail Link railroads serve 10 major U.S. ports.[citation needed]

Holdings[edit]

Genesee & Wyoming Inc. owns controlling interests in the following railroads, either directly or through subsidiaries. These subsidiaries include Rail Link, Inc. (1996), Genesee & Wyoming Canada, Inc. (1997), Emons Railroad Group (2002), CAGY Industries (2008), and Summit View, Inc. (2008). In 2005 G&W acquired the properties formerly owned by the Rail Management Corporation.

Company Acquired from Date Notes
Aliquippa and Ohio River Railroad Summit View 2008[19]
Allegheny and Eastern Railroad direct 1992
AN Railway Rail Management 2005[20]
Arizona Eastern Railway Iowa Pacific Holdings 2011[21]
Arkansas, Louisiana and Mississippi Railroad Georgia-Pacific 2003[22]
Atlantic and Western Railway Rail Management 2005[20]
Bay Line Railroad Rail Management 2005[20]
Buffalo and Pittsburgh Railroad direct 1988
Cape Breton and Central Nova Scotia Railway[23] RailAmerica 2012
Chattahoochee Bay Railroad direct 2006[24]
Chattahoochee Industrial Railroad Georgia-Pacific 2003[25]
Chattooga and Chickamauga Railway CAGY 2008[26]
Chicago, Fort Wayne and Eastern Railroad RailAmerica 2012
Columbus and Greenville Railway CAGY 2008[26]
Columbus and Ohio River Railroad Summit View 2008[19]
Commonwealth Railway Rail Link 1996[27]
Corpus Christi Terminal Railroad Port of Corpus Christi 1997[28]
Dansville and Mount Morris Railroad direct 1985
East Tennessee Railway Rail Management 2005[20]
First Coast Railroad direct 2005[29]
Fordyce and Princeton Railroad Georgia-Pacific 2003[22]
Galveston Railroad Rail Management 2005[20]
Genesee and Wyoming Railroad direct 1977
Genesee & Wyoming Australia direct 2006 Formed following the demerger of Australian Railroad Group subsidiaries, Australia Western Railroad and Australia Southern Railroad. Former sold to QR National, latter to G&W and rebranded Genesee & Wyoming Australia. Purchased the assets of FreightLink including the remaining lease period of the Tarcoola to Darwin railway in June 2010. Leases (form the Government of South Australia) and has exclusive use of (parts of) the former intrastate railway network. Manages and operates the railway network located at Whyalla South Australia. Has access to the railway managed by Australian Rail Track Corporation. Is seeking an operational agreement with Alinta Energy to operate the Leigh Creek Railway.
Georgia Central Railway Rail Management 2005[20]
Georgia Southwestern Railroad direct 2008[30]
Goderich–Exeter Railway RailAmerica 2012
Golden Isles Terminal Railroad Georgia Ports Authority 1998[31]
Hilton and Albany Railroad direct 2012 (scheduled)
Huron Central Railway G&W Canada 1997
Illinois and Midland Railroad direct 1996[32]
KWT Railway Rail Management 2005[20]
Little Rock and Western Railway Rail Management 2005[20]
Louisiana and Delta Railroad direct 1987
Luxapalila Valley Railroad CAGY 2008[26]
Mahoning Valley Railway Summit View 2008[19]
Maryland Midland Railway direct 2007[33] Owns 87.4% interest, Lehigh Cement (the largest shipper on the line) owns the remaining 12.6%
Meridian and Bigbee Railroad Rail Management 2005[20]
Ohio Central Railroad Summit View 2008[19]
Ohio and Pennsylvania Railroad Summit View 2008[19]
Ohio Southern Railroad Summit View 2008[19]
Ottawa Valley Railway RailAmerica 2012
Pittsburgh and Ohio Central Railroad Summit View 2008[19]
Pittsburg and Shawmut Railroad direct 1996[34]
Portland and Western Railroad direct 1995
Quebec Gatineau Railway G&W Canada 1997 Lessee of Mirabel Railway
Rapid City, Pierre and Eastern Railroad Canadian Pacific Railway 2014[35][36] 660 miles of track from the Dakota, Minnesota and Eastern Railroad west of Tracy, Minnesota. Purchase announced January 2, 2014, expected to close by mid-year.
Riceboro Southern Railway Rail Management 2005[20]
Rochester and Southern Railroad direct 1986
St. Lawrence and Atlantic Railroad Emons 2002[37]
St. Lawrence and Atlantic Railroad (Quebec) Emons 2002[37]
Salt Lake City Southern Railroad Utah 2002[38]
San Diego and Imperial Valley Railroad RailAmerica 2012
Savannah Port Terminal Railroad Georgia Ports Authority 1998[31]
South Buffalo Railway Bethlehem Steel 2001[39]
Talleyrand Terminal Railroad Rail Link 1996[27]
Tazewell and Peoria Railroad direct 2004[40] Lessee of Peoria and Pekin Union Railway
Tomahawk Railway Rail Management 2005[20]
Utah Railway direct 2002[38]
Valdosta Railway Rail Management 2005[20]
Warren and Trumbull Railroad Summit View 2008[19]
Western Kentucky Railway Rail Management 2005[20]
Willamette and Pacific Railroad direct 1993
Wilmington Terminal Railroad Rail Management 2005[20]
York Railway Emons 2002[37]
Yorkrail Emons (York) 2002[37]
Youngstown and Austintown Railroad Summit View 2008[19]
Youngstown Belt Railroad Summit View 2008[19]
Bradford Industrial Railroad direct 1988 Merged 2004 into Buffalo and Pittsburgh Railroad[41]
Carolina Coastal Railway Rail Link 1996[27] Sold 2003[42]
Ferrocarriles Chiapas-Mayab direct 1999 Ceased operations 2007 [43]
GWI Switching Services direct 1994 Ceased operations 1997[44]
Penn Eastern Rail Lines Emons 2002[37] Sold 2002[45]

The G&W also owns a minority share in Ferroviaria Oriental, a Bolivian railway.

References[edit]

  1. ^ "About Us". Genesee & Wyoming, Inc. Retrieved August 11, 2011. 
  2. ^ a b c d "Our History – Genessee & Wyoming Inc.". Retrieved August 11, 2011. 
  3. ^ "An Sale: Private Owners Go From Zero to Three" Railway Digest October 1997 page 8
  4. ^ "Australian Railroad Group buys Westrail freight" Railway Digest October 2000 page 23
  5. ^ Company History Wesfarmers
  6. ^ Genesee & Wyoming, Inc. (May 26, 2005), Genesee & Wyoming Announces Agreement to Acquire Short Line and Port Railroads from Rail Management Corporation. Retrieved May 27, 2005.
  7. ^ Trains News Wire (May 26, 2005), G&W to acquire Rail Management Corp. rail operations. Retrieved May 27, 2005.
  8. ^ Sale of Australian Railroad Group Wesfarmers February 14, 2006
  9. ^ "Genesee & Wyoming Agrees to Sell Western Australia Operations and Certain Other Assets of the Australian Railroad Group for A$1.3 Billion (US$956 million)" (Press release). Genesee & Wyoming, Inc. February 13, 2006. Retrieved 2006-02-14. 
  10. ^ "Genesee & Wyoming Inc. Annual Report 2006". Retrieved 2 August 2012. 
  11. ^ "Empresa Ferroviaria Oriental, S.A.". Genesee & Wyoming. Retrieved 2 August 2012. 
  12. ^ "Adelaide-Darwin railway sold to US company". ABC News. June 10, 2010. Retrieved August 11, 2011. 
  13. ^ "FreightLink-owned Adelaide-Darwin railway to be sold to US company Genesee & Wyoming". Adelaide Now (The Advertiser). June 9, 2010. Retrieved August 11, 2011. 
  14. ^ "Genesee & Wyoming Inc to acquire Arizona Eastern Railway". Rail.co. 2 August 2011. Archived from the original on 2 August 2011. Retrieved 3 August 2011. 
  15. ^ "Genesee & Wyoming completes Arizona Eastern acquisition". Progressive Railroading. 6 September 2011. Retrieved 7 September 2011. 
  16. ^ Bloomberg, http://www.bloomberg.com/news/2012-07-23/genesee-wyoming-agrees-to-buy-railamerica-for-1-39-billion.html
  17. ^ Associated Press (July 23, 2012). "Genesee & Wyoming to pay $1.39B for RailAmerica". STL Today.com. Retrieved July 23, 2012. 
  18. ^ "UPDATE 4-Genesee & Wyoming to buy RailAmerica for $1.4 billion". Reuters. July 23, 2012. Retrieved July 23, 2012. 
  19. ^ a b c d e f g h i j Surface Transportation Board, Finance Docket No. 35177, October 10, 2008
  20. ^ a b c d e f g h i j k l m n Surface Transportation Board, Finance Docket No. 34708, June 24, 2005
  21. ^ Surface Transportation Board,Finance Docket No. 35537, August 18, 2011
  22. ^ a b Surface Transportation Board, Finance Docket No. 34453, February 5, 2004
  23. ^ Taylor, Roger (2012). Halifax Herald http://thechronicleherald.mobi/business/120411-taylor-business-as-usual-for-ns-rail-company |url= missing title (help). Retrieved 6 February 2013. 
  24. ^ Surface Transportation Board, Finance Docket No. 34913, November 9, 2006
  25. ^ Surface Transportation Board, Finance Docket No. 34454, January 16, 2004
  26. ^ a b c Surface Transportation Board, Finance Docket No. 35139, May 15, 2008
  27. ^ a b c Surface Transportation Board, Finance Docket No. 33291, November 18, 1996
  28. ^ Surface Transportation Board, Finance Docket No. 33437, August 14, 1997
  29. ^ Surface Transportation Board, Finance Docket No. 34671, April 25, 2005
  30. ^ Surface Transportation Board, Finance Docket No. 35183, October 22, 2008
  31. ^ a b Surface Transportation Board, Finance Docket No. 33615, July 1, 1998
  32. ^ Surface Transportation Board, Finance Docket No. 32863, decided February 22, 1996
  33. ^ Surface Transportation Board, Finance Docket No. 35098, November 16, 2007
  34. ^ Surface Transportation Board, Finance Docket No. 32904, decided June 6, 1996
  35. ^ "Canadian Pacific to sell west end of its Dakota, Minnesota & Eastern line to Genesee & Wyoming" (Press release). Canadian Pacific Railway. 2014-01-02. Retrieved 2014-01-07. 
  36. ^ "Canadian Pacific reaches deal to sell western part of DM&E rail line". The Globe and Mail. The Canadian Press. 2014-01-02. Retrieved 2014-01-07. 
  37. ^ a b c d e Surface Transportation Board, Finance Docket No. 34148, February 28, 2002
  38. ^ a b Surface Transportation Board, Finance Docket No. 34235, September 16, 2002
  39. ^ Surface Transportation Board, Finance Docket No. 34107, November 21, 2001
  40. ^ Surface Transportation Board, Finance Docket No. 34545, October 1, 2004
  41. ^ Surface Transportation Board, Finance Docket No. 34447, January 22, 2004
  42. ^ Surface Transportation Board, Finance Docket No. 34368, August 14, 2003
  43. ^ Central America going nowhere. Railway Gazette International August 2007.
  44. ^ Surface Transportation Board, Finance Docket No. 33513, December 12, 1997
  45. ^ Surface Transportation Board, Finance Docket No. 34223, July 22, 2002

External links[edit]