BURLINGTON NORTHERN RAILROAD PLANNING INTERMODAL FREIGHT CENTER IN DULUTH
BURLINGTON NORTHERN RAILROAD PLANNING
INTERMODAL FREIGHT CENTER IN DULUTH
DULUTH, Minn., Nov. 20 /PRNewswire/ -- Burlington Northern Railroad (BN) today announced it is in final negotiations to locate an intermodal freight center in Duluth. The center would be developed at the Duluth Port Terminal, which already has the necessary train tacks and highway connections.
John Q. Anderson, BN's executive vice president for marketing and sales, said an agreement between the Seaway Port Authority of Duluth and BN is expected shortly with the aim of starting the service during 1992.
Anderson said Burlington Northern had evaluated alternate sites in Duluth-Superior. "Our first choice is the Duluth Port Terminal because of the potential for generating inbound cargoes through the port," he said. "BN will cooperate with the port authority's sales group in canvassing potential customers and developing business opportunities for the port."
Davis (cq) Helberg, executive director of the port authority, said, "This development re-emphasizes Duluth's position as a regional transportation center. Burlington Northern is planning intermodal freight service connecting Duluth with major U.S. markets and this will provide new marketing and sales opportunities for customers using Duluth's port facilities."
The BN facility, commonly called an intermodal hub center, is where trains and trucks meet to exchange loads. If negotiations are successful, the Duluth center would be the 27th one in BN's network. Hub centers are operated separately from other railroad facilities and serve a radius of up to 250 miles.
Most of the center's business would be handled by Burlington Northern's freight container service called BN America, which offers door-to-door transportation.
Anderson said, "We are seeking to provide a premium intermodal service that has already proven to be highly competitive with other over-the-road truck service in other major markets. This is cost- effective transportation that could be ideal for those shippers in northern Minnesota and Wisconsin who are long distances from their markets."
The BN executive said, "We would like to open our Duluth hub center with a small start-up operation and we expect market-driven growth. Several operational issues must be resolved, including improved rail access to the port terminal to handle certain kinds of intermodal cars."
Burlington Northern Railroad, headquartered in Fort Worth, Texas, operates the longest rail system in the United States, with 25,300 miles of track in 25 states and two Canadian provinces. BN's principal sources of revenue are from transporting coal, grain, intermodal containers and trailers, and a variety of industrial, consumer, automotive and forest products.
The Duluth Port Terminal, comprising 120 acres, is the principal general cargo facility for the Lake Superior port of Duluth-Superior. The terminal has a railroad loop, is near major highways, and has various industrial tenants.
/CONTACT: Richard Russack of Burlington Northern Railroad, 817-878-6116/ CO: Burlington Northern Railraod ST: Minnesota IN: TRN SU:
DS -- MN004 -- 5322 11/20/91 10:09 EST