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11/16/2010
Rail News: Rail Industry Trends
Patriot Rail seeks STB exemption to control six Weyerhaeuser short lines
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Patriot Rail Corp. is seeking Surface Transportation Board (STB) approval to continue in control of Columbia & Cowlitz Railway L.L.C., DeQueen and Eastern Railroad L.L.C., Golden Triangle Railroad L.L.C., Mississippi & Skuna Valley Railroad L.L.C., Patriot Woods Railroad L.L.C. and Texas, Oklahoma & Eastern Railroad L.L.C.
The short lines currently are owned by Weyerhaeuser Co. In August, Patriot Rail announced it agreed in principle to purchase the six short lines from Weyerhaeuser pending certain closing conditions, including due diligence and regulatory approval. The parties now plan to complete the transaction on or about Dec. 21, according to a STB filing.
The short lines, which operate a total of 160 miles of track in four states, currently are named the DeQueen and Eastern Railroad Co., which comprises the DeQueen and Eastern, and Texas, Oklahoma & Eastern railroads; the Columbia & Cowlitz Railway; Weyerhaeuser Woods Railroad; Golden Triangle Railroad; and Mississippi & Skuna Valley Railroad.
The railroads primarily serve Weyerhaeuser and International Paper mills, as well as some third-party customers. The acquisition would double the rail holdings of Patriot Rail, which currently owns and operates six short lines operating in eight states.
The short lines currently are owned by Weyerhaeuser Co. In August, Patriot Rail announced it agreed in principle to purchase the six short lines from Weyerhaeuser pending certain closing conditions, including due diligence and regulatory approval. The parties now plan to complete the transaction on or about Dec. 21, according to a STB filing.
The short lines, which operate a total of 160 miles of track in four states, currently are named the DeQueen and Eastern Railroad Co., which comprises the DeQueen and Eastern, and Texas, Oklahoma & Eastern railroads; the Columbia & Cowlitz Railway; Weyerhaeuser Woods Railroad; Golden Triangle Railroad; and Mississippi & Skuna Valley Railroad.
The railroads primarily serve Weyerhaeuser and International Paper mills, as well as some third-party customers. The acquisition would double the rail holdings of Patriot Rail, which currently owns and operates six short lines operating in eight states.