CONSOLIDATED RAIL CORPORATION: PHOENIX OR ALBATROSS

The Regional Rail Reorganization Act of 1973 is the Federal government's response to the continued inability of the nation's largest railroad, Penn Central, to accomplish a reorganization within the framework of the law. The alternative of liquidation for PC was unacceptable. The author proposes an essentially private enterprise solution to the PC problem. After identifying weak management, excessive size and below-cost freight rates as the sources of the trouble, it is suggested that PC property be divided and sold to new private managements organized in Rail Development Corporations. The two to four RDCs would require some assistance in financing equipment acquisitions and would need limited ratemaking freedom.

  • Corporate Authors:

    Association of Interstate Commerce Com Practitners

    1112 ICC Building, 12th Street & Constitution Avenue, NW
    Washington, DC  USA  20423
  • Authors:
    • Rice, C M
  • Publication Date: 1975-5

Media Info

Subject/Index Terms

Filing Info

  • Accession Number: 00096578
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Jul 24 1975 12:00AM