Well, whatever you call it, this is a GOOD thing, IMO. Railroads are no longer too big or too expensive to be caught up in the LBO frenzy now going on in other industry, and most of the big ones would be pretty lucrative targets for the buy-out people.

Just think, after 75 years of decline, the industry is now growing. It has reasonable debt levels, good cash flow, good credit and is able to make big investments in track and equipment. It has money in the bank and a lot of assets in the form of equipment, real estate and facilities.

All it would take is for one of the rapacious buyout groups to grab a big railroad and take it private. All the debt incurred in doing that would be placed on the railroad's books. Then capital investment would be slowed or stopped altogether and deferred maintenace would begin. That money will go the buy-out group. Assets will be sold off or mortgaged to the hilt to raise more money for the BOG. Equipment will be sold and leased back, pension funds and cash reserves cleaned out, and jobs and service cut.

Once they have wrung every cent they can out of the railroad, they will take the debt-laden shell public again, making even more money on the stock sales.

This is NOT what the industry needs, but it may become a victim of it's own success.