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Go Back   Railway Forum > General Railway Discussion > Freight Operations and Observations

SBB Cargo in possible trouble?

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  #1  
Old 16th September 2006, 05:00
Soo6617 Soo6617 is offline
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SBB Cargo in possible trouble?

Politicians in Switzerland are questioning SBB Cargo's decision to expand into Germany and Italy. Minister Leunenberger was quoted as saying SBB Cargo doesn't have the resources to stay the course. This does not look good.
The Union leader suggests rapproachment with the DB, but he would, the EU and the customers would be angry if that happens. And would that really solve anything? Unless SBB Cargo badly priced their services I would expect the long distance services to generate profits, while their domestic carload business would continue to lose money.


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Old 18th September 2006, 21:09
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dario dario is offline  
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I cannot comment on SBB Cargo in particular, but I would say that most European National Railway Freight Operators are in bad shape, except RAILION (German) perhaps.
France of course simply does not allow competition.
In Italy, private competitors easily succeed where the State fails, in the railway or any other business.
In fact the State would expect a bid for the railway business.
And, strange as it may seem, the Italian State Railways are having a healthy return from TX LOGISTICS in Germany (they own the majority of stocks).
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