Patriot Rail Subsidiary To Provide Rail Service at Arizona Industrial Park

Kingman Terminal Railroad, a new subsidiary of Patriot Rail Corp., has been awarded a long-term license agreement to provide rail operating services to customers at the Kingman Airport & Industrial Park in Arizona. Service is expected to begin this summer.

The 4,000-acre industrial park is owned by the City of Kingman and managed by the Kingman Airport Authority. More than 80 businesses are located at the park, which also has its own airport.

The agreement, which was executed on April 20, 2012, provides Kingman Terminal Railroad with the rights to operate, maintain trackage, and serve rail customers within the park for up to 22 years. The new railroad will interchange with BNSF Railway.

“Patriot was chosen unanimously by the selection committee for the rail operation, primarily due to its ability to increase carloads and grow the rail business,” said David French, Kingman Airport Authority’s executive director, in a written statement. “This is attractive to both the Park and The City of Kingman, as the local economy is invigorated and new jobs should be created. In addition, Patriot’s strong relationship with BNSF should allow for a seamless transition to new rail provider for customers in the Park.”

[www.railresource.com]

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Let's cut through the Public Relations press release crapola and get down to the brass tacks of what this is REALLY all about.

TRANSLATION:

So that people like Warren Buffett and Matt Rose can continue to bring down their more-than-seven-figure-per-annum compensation packages, BNSF has decided to spin off some industrial switching sites to outsourced carriers that will pay their operating employees much, much less than the current union-scale wages BNSF is paying them.

Nothing is mentioned as to whether or not Patriot Rail will participate in the Railroad Retirement system. But, of course nothing would be mentioned about THAT.

Today, it's the road switchers and yard jobs. Tommorrow it will be the mainline trains. Just you watch.