The last remnant of North American RailNet Inc. (NAR) soon will be under new ownership. Last week, the company reached an agreement to sell Alberta RailNet Inc. (ARN) to Savage Cos. subsidiary Savage CANAC Corp. The deal is expected to close May 1.
The 345-mile ARN moves coal, lumber, grain, fertilizer, aggregates and other products between Swan Landing, Hythe and Wanham, Alberta, and interchanges with Canadian National Railway Co. Savage CANAC officials expect the short line to increase annual traffic from 25,000 carloads to more than 40,000 carloads by next year.
“Our entry into the North American short-line business follows our overall strategy to meet the materials management and transportation systems needs of customers,” said Savage Cos. President and Chief Executive Officer Allen Alexander in a prepared statement.
Savage and its subsidiaries provide industrial rail switching and transloading, capacity planning, infrastructure, track construction and rehabilitation, and training services.
Earlier this month, NAR agreed to sell the 559-mile Nebraska, Kansas & Colorado RailNet Inc., 297-mile Georgia & Florida RailNet Inc., and 113-mile Illinois RailNet Inc. to OmniTRAX Inc. Subject to regulatory approval, the transaction is expected to be completed in early May. Last year, NAR sold the 245-mile Camas Prairie RailNet Inc. to The Watco Cos.
Source: Progressive Railroading Daily News
