Projects
BNSF Railway Terminal Analyses and Gulf Region Storage Iin Transit Capacity Analysis
RII conducted physical inspections, developed marketing plans, and financial and economic analyses for major BNSF terminals across the United States including West Seattle, WA, Denver, CO, Quad Cities, IA, Fargo, ND, Kansas City, MO, Coberg, MO, Memphis, TN, Oklahoma City, OK, Omaha, NE, Klamath Falls, OR, and Dallas, TX. Each operation evaluation included a site inspection, customer interviews, financials and economics, traffic and operations review, and development of economic analysis to determine asset disposition [3rd party operated portions, contract switchers, short line operators]. Analysis involved working closely with multiple departments within the BNSF organization, making recommendations for restructuring and assisting with implementation.
RII also performed a broad feasibility study of the economic benefits that could be achieved by construction of a new yard on BNSF’s Gulf Division. Traffic on the Gulf Division has grown substantially and this growth is forecasted to continue. The particular focus of this study was to the Industrial Products business moving in regular train service to and from the Houston area. RII determined three viable locations for a new yard along with economic requirements for development. Additional economics were performed for operations expenses and cost savings. Research was compiled for traffic volumes by commodity including customer interviews, traffic data and growth forecasting of specific commodities. A cost/benefits analysis was also performed for the costs of construction against the benefits on traffic congestion, capacity and equipment/personnel utilization.
RII also performed a broad feasibility study of the economic benefits that could be achieved by construction of a new yard on BNSF’s Gulf Division. Traffic on the Gulf Division has grown substantially and this growth is forecasted to continue. The particular focus of this study was to the Industrial Products business moving in regular train service to and from the Houston area. RII determined three viable locations for a new yard along with economic requirements for development. Additional economics were performed for operations expenses and cost savings. Research was compiled for traffic volumes by commodity including customer interviews, traffic data and growth forecasting of specific commodities. A cost/benefits analysis was also performed for the costs of construction against the benefits on traffic congestion, capacity and equipment/personnel utilization.
Kansas City Southern/Transportacion Maritima Mexicana Buyout
RII advised Transportacion Maritima Mexicana (TMM), the company that won the concession rights to the Northeastern section of the Mexican National Railways as a joint venture with Kansas City Southern, during KCS's buy out of TMM's interest in Transportación Ferroviaria Mexicana (TFM). Work included traffic analysis, traffic diversions, operations costing and options for evaluating TMM's interest in the line that became Kansas City Southern de Mexico (KCSM).
Norfolk Southern (NS)/North Carolina Railroads (NCRR) Operations Analysis
RII examined the operations, traffic flows, train speeds, physical facilities and joint agreements of Norfolk Southern's operation over NCRR track in support of ongoing agreements between the two parties. This corridor is one of the busiest traffic corridors in NS' system and includes some of the busiest Amtrak routes. RII's work resulted in an analysis of NS' system in the region, including alternative routes, upgrade costing for alternatives, transportation costing, traffic diversions analysis. RII also developed potential business development opportunities and a complete valuation of the corridor, including track components, buildings and right of way.
Florida East Coast Railway
RII performed evaluations of all rail equipment of the Florida East Coast Railway (FEC) for 7 years after its acquisition by Fortress Group. RII performed document reviews, physical inspections of FEC’s locomotives and a sampling of railcars, containers, trailers and other equipment to determine the overall condition and develop the market value for the equipment for purposes of using the equipment for financing. Valuations included up to 20 locomotives, over 1000 freight railcars, 3 prestige historical passenger business cars and extensive maintenance of way and intermodal equipment. RII also performed an asset life cycle analysis for FEC's equipment, examining the remainder of life for all equipment in to assist in financial depreciation and equipment replacement planning, as well as assess the maintenance program.
