There's a article on page D1 of today's Wall Street Journal on Amtrak's current financial situation...and it sounds rather bleak. Apparently, if the federal government were to cut off funding today, Amtrak would only have enough working capital fund current operations for "barely a month." I quote:
Without federal subsidies, Amtrak probably could run its current operations for barely a month. Long-distance trains with the blue Amtrak logo would be stopped in their tracks, as Amtrak runs out of money to pay crews, buy fuel and compensate freight railroads for use of their rails. The Acela Express, which runs between Boston, New York and Washington, D.C., would likely be parked.
I find this to be a real tragedy. I just returned from a round trip in the Acela between New York and Washington. The cars were very clean and comfortable. The snack car was well stocked (Bass Ale on tap!). The lavatories were clean. There were outlets along the side....I can go on. It was not cheap (~$350 round trip), but it was a last minute decision to go on this trip. By plane, this would have cost me $600 from La Guardia and $800 from Stewart Newburgh...and that's with checking prices on www.mobissimo.com, which finds some very good fares. And much more relaxing than driving. I polished off a good chunk of Re-Imagine! on this trip.
I mention this because one of my favorite trips is the NYC to Albany trip. If you sit on the Western side of the train, you are treated to some stunning views of the Hudson River and the Western shore. Once my initiatives got underway, I planned on becoming a regular on the Poughkeepsie to Albany route. But, given this news, I may have to revert to my alternative for traveling to Albany...the dreaded Taconic Parkway. Ugh.
Can a private equity firm comes in and capture the NorthEast Corridor assets? Maybe outsource the workers to a new company to cut costs and keep the lines running? Heck, if Bain Capital wants to buy the NHL, why not buy Amtrak NorthEast? Seems like a more reliable source of income to me versus hockey, but then again, I'm not much of a hockey fan to begin with.
Comments