Future Looks Good! How About the Present?
"It's getting busy out here!"
Question is, does Railroad Management understand what such growth means? Moreover, do the bankers and major investors understand as well? How will all of them grasp the interface of the intense Capital Expenditure required to simply maintain the railroad with the major Capital for expansion that will be needed?
Frankly, I don't think the message is understood by these folks. If it was, properties like Matt Rose's BNSF would not have cut Capital Expenditures for '08. Now that Mr. Rose is spearheading the case for the money needed to increase rail capacity so that rail gridlock can be avoided, let's see if he can be as effective in convincing the beancounters to spend some money now rather than tomorrow. I can guarantee that the total expenditure is going to be less.