|This article relies on references to primary sources. (November 2010)|
|Watco Transportation Services, L.L.C.|
|Dates of operation||1983–|
|Track gauge||4 ft 8 1⁄2 in (1,435 mm) standard gauge|
|Length||4,500 track miles|
Watco Companies, L.L.C. (Watco) is a Pittsburg, Kansas-based transportation company formed in 1983 by Charles R. (Dick) Webb. Watco is composed of four divisions: transportation, mechanical, terminal and port services, and compliance. Watco is the owner of Watco Transportation Services, L.L.C. (WTS), which operates 30 shortline railroads in the U.S. and Australia. It is one of the largest shortline railroad companies in the United States. As of May 2011 they operated on 4,500 miles (7,200 km) of leased and owned track. Also under transportation is the contract switching the company provides service for 27 customers. This is the service that Watco originally offered before branching out into other areas.
Watco’s mechanical division has 16 car repair shops and is the largest mechanical services provider in the United States. They provide program, contract and emergency repairs. These services include maintenance of all types of cars including tank cars and coal fleets, and the preparation and cleaning of boxcars and refrigerated cars. There are 23 railroad repair shops, eight locomotive shops and five contract repair shops in the Watco network.
The terminal and port services division operates ten warehouses throughout the country. They also operate several transloading facilities and specialize in loading and unloading railcars and moving commodities to their next destination.
Watco also operates two port services in the Gulf Region. Greens Port Terminal on the Houston Ship Channel in Harris County, Texas and Port Birmingham Terminal on the Black Warrior River in Alabama both provide access to the Gulf of Mexico.
Watco Companies was started in 1983 by Charles R. "Dick" Webb. The first operation was an industrial switching operation in DeRidder, Louisiana, that is still in existence. Webb then started his first mechanical operation, a railcar repair shop in Coffeyville, Kansas in 1985.
The Coffeyville mechanical shop was held captive to the major rail lines, and during discussions with the Union Pacific the opportunity arose to purchase the line running from Nevada, Missouri, to Coffeyville. This was the Union Pacific’s first short line sale. Watco then looked to the West Region, acquiring the Blue Mountain Railroad in 1998, the Palouse River and Coulee City Railroad in 1992 and the Eastern Idaho Railroad in 1993.
In 1998, they began operating the Stillwater Central Railroad in Oklahoma and the Timber Rock Railroad in Texas. The Kansas and Oklahoma Railroad was acquired in 2001 and the Pennsylvania Southwestern Railroad in 2003. In 2004, they started operations of the Great Northwest Railroad in Washington, the Kaw River in Kansas and Missouri, and the Mission Mountain Railroad in Montana. In 2005 they began operating the Alabama Southern Railroad, the Louisiana Southern Railroad, the Mississippi Southern Railroad, and the Yellowstone Valley Railroad in Montana. The Austin Western Railroad was started in 2007 and shares rail with passenger rail. They also acquired Millennium Rail, Inc., a mechanical service company in 2007. The Baton Rouge Southern and the Pacific Sun Railroad were started in 2008, and they also acquired the mechanical services company Fitzgerald Railcar Services, Inc., and Reload, Inc., a 25-year experienced transloading business. The Grand Elk Railroad began operations in 2009.
On December 15, Kinder Morgan Energy Partners, L.P. NYSE: KMP announced an agreement whereby Kinder Morgan will invest up to $150 million over the next year in Watco Companies in exchange for a preferred equity position in the company. Kinder Morgan’s initial investment will be $50 million upon closing, which is scheduled to occur in January 2011. Kinder Morgan is a leading pipeline transportation and energy storage company in North America. The transaction provides capital to Watco for further expansion of specific projects and offers Kinder Morgan the opportunity to share in the subsequent growth.
On December 28, 2011 Watco began operations of the Swan Ranch Railroad (SRRR) in the Swan Ranch Industrial Park in Cheyenne, Wyoming. On January 1, 2012, Watco gained majority ownership of the Wisconsin and Southern Railroad, a regional railroad in Wisconsin, and on February 1, 2012 took over operations of the Birmingham Southern Railroad.
|Railroad||Began operations||Track length (mi.)||Commodities||Facts|
|Alabama Southern Railroad (ABS)||November 2005||85 ||iron and steel, paper products, aggregates||Acquired through lease agreement with KCS|
|Alabama Warrior Railway (ABWR)||August 2009||15 ||coal, aggregates, pipe, scrap steel, cement||Started as Marylee Railroad in 1895|
|Ann Arbor Railroad (AA)||January 2013||50 ||automotive materials||Purchased from Ann Arbor Acquisition Corp, services mostly Chrysler plant producing Jeep Grand Cherokees|
|Arkansas Southern Railroad (ASR)||October 2005||62 ||corn and soybean products||Two branches, 32-mile northern branch and a 30-mile southern branch|
|Austin Western Railroad (AWRR)||October 2007||155 ||aggregates, crushed limestone, calcium bicarbonate, lumber beer, chemicals, plastic, paper||Began sharing the railway with commuter operations in 2010 with Austin, TX|
|Autauga Northern Railroad (AUT)||April 2011||44 ||paper products and aggregates||Third shortline Watco acquired in Alabama|
|Baton Rouge Southern Railroad (BRS)||November 2008||1.5||chemicals, bauxite, plastic pellets, raw coke, calcinated coke||Provides car storage and use by local chemical companies|
|Birmingham Terminal Railway (BHRR)||February 2012||75.9 ||iron ore, coal, steel sheets and pipe||The dragon in the logo represents the fire that is used to smelt steel|
|Blue Ridge Southern Railroad (BLUE)||TBD 2014||93||woodchips, chemicals, paper, cement||Former Southern Murphy Branch|
|Boise Valley Railroad (BVRR)||November 2009||36||frozen vegetables, lumber, fertilizer, fuels||Shares customers with the YSVR and EIRR|
|Eastern Idaho Railroad (EIRR)||1993||270||corn, sugar, wheat, frozen vegetables, coal||Largest Union Pacific sale|
|Great Northwest Railroad (GRNW)||March 2004||77 ||lumber, products, fertilizers, aggregates||Competition to reach Lewiston while the line was being built was called the "Clearwater River Railroad Wars"|
|Grand Elk Railroad (GDLK)||March 2009||151||lumber products, corn, steel||Interchanges with 3 Class I railroads|
|Kansas & Oklahoma Railroad (KO)||July 2001||820 ||wheat, grain products, chemicals, soybean products||Has state and federal shipping agreements|
|Kaw River Railroad (KAW)||June 2004||43 ||iron and steel, corn starch, lumber products, aggregates, plastics, industrial products||Expansions in 2005, 2006, and 2007|
|Louisiana Southern Railroad (LAS)||September 2005||167 ||paper products, aggregates, oils||Interchanges at Gibsland, Sibley, and Pineville|
|Mission Mountain Railroad (MMT)||December 2004||40 ||lumber, wheat||Originally part of the Haskell Pass, built in 1904|
|Mississippi Southern Railroad (MSR)||April 2005||28||corn and soybeans||Interchanges with KCS at Newton|
|Pacific Sun Railroad (PSRR)||October 2008||62||corn, soy, lumber, plastic pellets, beer, paints, recyclables||Crews accommodate the schedules of BNSF, coaster, Amtrak and Metro link passenger trains|
|Palouse River & Coulee City Railroad (PCC)||1992||202 ||wheat, frozen vegetables||$25 million in state-sponsored track rehabilitation backed by 100-year lease|
|Pennsylvania Southwestern Railroad (PSWR)||April 2003||12||steel scrap, steel products||First Watco operation to service a steel mill|
|South Kansas and Oklahoma Railroad (SKOL)||March 1987||380 ||grains, cement, coal, fertilizer, aggregates, steel, sand||Operates out of the historic Cherryvale Depot|
|Stillwater Central Railroad (SLWC)||1998||279 ||crude oil, sand, gypsum, cement, stone, steel||Higher than industry average rating of customer service and personal attention|
|Swan Ranch Railroad (SRRR)||December 2011||3.25 ||asphalt||When finished, the Swan Ranch Industrial Park will encompass 7,200 acres|
|Timber Rock Railroad (TIBR)||1998||168 ||aggregates, lumber products, plastics, fuel||Additions in 2002 and 2004; services the founding operation site in DeRidder, LA|
|Vicksburg Southern Railroad (VSOR)||January 2006||21||lumber, steel||Formerly known as the Redwood Branch|
|Watco Western Australia||May 2012||xxx||grain||First international operation of Watco|
|Wisconsin & Southern Railroad Co. (WSOR)||January 2012||700 ||lumber, coal, liquid and dry fertilizers, corn, beans, plastic, aggregates, ethanol, liquid petroleum||Wisconsin's second-largest railroad|
|Yellowstone Valley Railroad (YSVR)||August 2005||172 ||grains, plastics, ethanol, crude oil, sand||Awarded BNSF Shortline Achievement Award for development of Customers in 2009|
- US group wins CBH contract from QR National The Australian December 14, 2010
- Watco wins CBH grain rail contract Rail Express December 15, 2010
- CBH, Watco rail agreement starts early World Grain April 2, 2012
- CBH grain wagons go to work early Farm Weekly April 5, 2012
- "Watco announces Alabama short line debut". Railway Age. 12 April 2011. Archived from the original on 5 December 2011. Retrieved 6 December 2011.
- "Watco to operate Swan Ranch Railroad in Wyoming". Trains Magazine. 30 November 2011. Retrieved 23 December 2011.
- "Watco to buy control of Wisconsin & Southern". Trains Magazine. 29 November 2011. Retrieved 23 December 2011.
- "Watco adds third railroad in a week". Trains Magazine. 2 December 2011. Retrieved 23 December 2011.
- Alabama Southern Railroad, accessed June 2012
- STB Finance Docket No. 35204, June 2012
- , accessed May 2014
- STB Finance Docket No. 34761, October 26, 2005
- Railroad Retirement Board, Employer Status Determination: Austin Western Railroad, Inc., January 22, 2008
- STB Finance Docket No. 35075, September 14, 2007
- Railroad Retirement Board, Employer Status Determination: Autauga Northern Railroad, Inc., April 14, 2011
- STB Finance Docket No. 35075, April 4, 2011
- STB Finance Docket No. 35169, August 1, 2008
- STB Finance Docket No. 34045, June 12, 2001
- Railroad Retirement Board, Employer Status Determination: Great Northwest Railroad, Inc., July 9, 2004
- STB Finance Docket No. 34475, March 19, 2004
- STB Finance Docket No. 35188, November 17, 2008
- Kansas and Oklahoma Railroad, accessed December 2008
- STB Finance Docket No. 34042, June 12, 2001
- Kaw River Railroad, accessed December 2008
- STB Finance Docket No. 34510, June 24, 2004
- Louisiana Southern Railroad, accessed December 2008
- STB Finance Docket No. 34752, October 7, 2005
- Mission Mountain Railroad, accessed December 2008
- OpenDocument STB Finance Docket No. 34635, January 19, 2005
- Mississippi Southern Railroad, accessed December 2008
- STB Finance Docket No. 34683, April 21, 2005
- STB Finance Docket No. 35174, October 3, 2008
- Pennsylvania Southwestern Railroad, accessed December 2008
- STB Finance Docket No. 34329, April 24, 2003
- Vicksburg Southern Railroad, accessed December 2008
- STB Finance Docket No. 34766, January 13, 2006
- Yellowstone Valley Railroad, accessed December 2008
- STB Finance Docket No. 34736, September 1, 2005