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Article: Railroads Agree on Plan to Split Conrail; Pact Would Leave Norfolk Southern, CSX About Equal in Size
- Article from:
- The Washington Post
- Article date:
- April 9, 1997
- Author:
CopyrightThis material is published under license from the Washington Post. All inquiries regarding rights should be directed to the Washington Post. (Hide copyright information)
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Norfolk Southern Corp. and CSX Corp. agreed yesterday on a
plan to split Conrail Inc. between them, leaving two major rail
freight haulers east of the Mississippi River and possibly setting
up the future consolidation of U.S. railroading into two
transcontinental giants.
Under the agreement, Norfolk-based Norfolk Southern would get
routes representing 58 percent of Conrail revenue while
Richmond-based CSX would get routes representing 42 percent of
revenue. This works out to about 6,000 miles of track for Norfolk
Southern, 3,600 miles for CSX and about 1,000 miles to be shared by
both railroads.
Norfolk Southern would pay about $5.9 billion for its share
and CSX would pay about $4.3 ...