Re: CEECO Done For - Attn: Shortline Sammie & others--just the beginning.
Author: Ralph Summers.
Date: 05-05-2009 - 19:38
Was at a meeting over the weekend, railroads are changing their business plan and do not plan to hire as many in the future as was expected. Class 1's say that the new GREEN economy we are being forced into will mean that rail traffic will never recover fully as things are going to a post consumer economy. Rails no longer see coal remaining strong, imports will never return to levels seen over past 10 or so years so container traffic will never be as high as in past. Rails are looking at possibly scrapping stored equipment based on current projected needs. If cap and trade comes in some rails will sell carbon credits rather than run as many trains as they might otherwise. Some carriers putting out feelers to contractors for scrapping of SD-40 and even SD-60 locomotives. At least on carrier is planning on purging -8 GE's this summer, most will be scrapped. Have more meetings later this week, some will be with Federal Government officials. Times are CHANGEing faster than you think.