Should You Bundle Your Moves When Negotiating Rail Rates?

Being strategic with your rail rate negotiations means establishing goals for your current and future contracts, clarifying each party’s values, and challenging the ground rules. Although you should always negotiate with your entire rail transportation portfolio in mind, this does not mean that it is always best to bundle your rates when negotiating. Shippers often […]

CSX Service Concerns Update

Here is an update to our post on July 25th regarding CSX’s service problems. Over the past month the Surface Transportation Board (STB) has expressed their concerns to CSX and the railroad has issued several statements. A summary of events: 7/27/17: The STB sent a letter to CSX’s CEO expressing concerns about deteriorated service resulting […]

Maximize Your Rail Rate Negotiation Leverage

  As a follow up to the Rail Rate Guide that we published last month, here are some additional tips for maximizing your negotiating leverage with rail carriers. Take the time to be strategic. Working in logistics can feel like a plate spinning skit. It’s fast paced work, you have to juggle multiple priorities, and there can be […]

STB Announces Railroad Cost of Capital for 2016

On August 7th the Surface Transportation Board (STB) announced they had determined the railroad industry’s after-tax cost of capital for 2016 was 8.88 percent. The cost-of-capital figure represents the board’s estimate of the average rate of return to persuade investors to provide capital to the freight-rail industry. It is an annual calculation used a variety […]

Changes to NS Tariffs for Car Storage and Improperly Loaded Cars

The NS announced that they are making to their Demurrage, Accessorial and Switching Tariffs effective October 1.  Here is a summary of the changes: NS’ Demurrage and Storage Rules and Charges Tariff, NS 6004-D:  A gradual reduction in Empty Private Car Storage credits from five credits to two over the course of the next 10 months. […]