RailAmerica to buy three Alabama short lines
RailAmerica Inc. said Monday it has signed an agreement to acquire the assets of three short line freight railroads in the state of Alabama for $12.7 million.
The three railroads — the Three Notch Railroad, Wiregrass Central Railroad, and the Conecuh Valley Railroad — are owned by affiliates of Gulf and Ohio Railways Inc. The transaction is expected to close in the second quarter and is subject to customary closing conditions including regulatory approvals.
The Three Notch Railroad includes 35 miles of track connecting Georgiana and Andalusia, Ala.; the Wiregrass Central Railroad is a 20-mile railroad that runs between Waterford and Enterprise, Ala.; and the Conecuh Valley Railroad is a 15-mile railroad linking Troy and Goshen, Ala.
Each of the three lines interchange with CSX Transportation and serves customers shipping primarily agricultural and manufactured products. Collectively, the three lines hauled about 6,000 carloads of freight during the fiscal year ended 2010.
RailAmerica Inc. owns and operates a portfolio of 40 short line and regional freight railroads in North America.
RailAmerica to buy three Alabama short lines
