PORT CLINTON, Pa. — Reflecting the railroad’s 60% increase in coal business over the last two years, the Reading & Northern Railroad announced it has made changes to its management structure to better deal with that growth.
Eric Peters, currently vice president, transportation, will also manage the railroad’s coal fleet. The 2,000 cars, including aluminum and steel open-toop hoppers, aluminum rapid-discharge hoppers, and covered hoppers, will handle more than 12,000 carloads this year. He will also manage the car shop and related facilities. “With his experience at Norfolk Southern and his recent experience overseeing the day-to-day transportation network … Eric is the perfect choice for this assignment,” railroad president Wayne Michel said in a press release. As executive vice president, transportation and fleet management, Peters will report to Michel on fleet management and to executive vice president Tyler Glass on network management.
Glass will continue to oversee all operations, including freight, passenger, and work-train movements, as well as the locomotive shop and the communications and signals department.
In marketing, Jim Cerulli has been added as vice president, coal business development, joining Bill Clark, senior vice president, coal marketing, and Mike Sharadin, vice president, coal sourcing. Sharadin focuses on supply side by working with producers to ensure they have needed infrastructure and equipment resources; Cerulli and Clark will focus on the demand side, including establishing service to new and expanding steel miles by developing direct rail service and transload centers.
“With Eric and Jim joining the existing coal team we are confident we have the management in place to continue expanding our coal business,” said owner and CEO Andy Muller Jr. “Last year we moved one million tons for the first time in our history. We hope to eclipse 1.5 million tons in the next three years and perhaps 2 million tons by the end of this decade! To do this will require additional RBMN investment in equipment and people and I am committed to providing us with the resources to continue our growth.”
Glad to see the coal business is actually growing somewhere on the U.S. freight rail network (!).
What markets (steel industry/electricity generation/cement plants/etc.) does the Reading & Northern serve and what’s the ‘secret sauce’ to their success in this business (other than the obvious “customer Service” focus of the Reading and Northern)?
And per Mr. Williams’ remark above, yes, turning coal hoppers for loads only six-times per year is really poor car utilization. I s this really the situation there?
What amazes me is on average each coal car is only loaded 6 times per year!