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BNSF, CSX launch new US coast-to-coast linking to boost freight services By Sabrina Valle and Nathan Gomes (Reuters) -CSX and Berkshire Hathaway-owned BNSF on Friday announced new coast-to-coast services aimed at boosting freight connectivity in the United States. The announcement stems from ongoing commercial agreements between rail operators and predates last month’s surprise $85 billion merger proposal between Union Pacific (NYSE:UNP) and Norfolk Southern (NYSE:NSC), according to a person familiar with the matter. If granted regulatory approval, the UP-Norfolk merger would create the first coast-to-coast freight rail operator in the United States. The proposal has also fueled speculation that CSX (NASDAQ:CSX) and BNSF—America’s other two major freight railroads—might explore a merger of their own. "We view the announcement today as confirmation that BNSF and CSX will wait to see how the Union Pacific/Norfolk Southern regulatory path unfolds from here," said Evercore Transport analyst Jonathan Chappell. Shares of CSX fell 3% after the announcement, but are up about 7% so far this year. The new routes will link Southern California with Charlotte, North Carolina, and Jacksonville, Florida. Commercial agreements between freight rail operators are common in the industry, allowing companies to expand service offerings without undergoing structural changes. On July 21, CSX and Canadian Pacific (NYSE:CP) Kansas City launched the Southeast Mexico Express, a new east-west Class 1 corridor that connects shippers across Mexico, Texas, and the southeastern United States. Union Pacific launched a similar domestic intermodal service earlier this month, connecting Southern California’s Inland Empire with the Chicago area. 3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads. CSX is also under activist pressure from Ancora, which is pushing for a merger or leadership change, and Toms Capital Investment Management’s request to meet with the railroad operator’s board. Better intermodal volumes helped CSX top analyst estimates for second-quarter profit in July. Railroad operators have always eyed linking the U.S. Atlantic and Pacific Coasts by rail and this is especially true now, when the industry is struggling with labor constraints and higher operational expenses. Any merger, however, would require approval from the Surface Transportation Board, which reviews deals for potential impacts on pricing power and industry consolidation. Don't miss out on the next big opportunity! Stay ahead of the curve with ProPicks AI – 6 model portfolios fueled by AI stock picks with a stellar performance this year... In 2024 alone, ProPicks AI identified 2 stocks that surged over 150%, 4 additional stocks that leaped over 30%, and 3 more that climbed over 25%. That's an impressive track record. With portfolios tailored for Dow stocks, S&P stocks, Tech Stocks, and Mid Cap stocks, you can explore various wealth-building strategies. So if CSX is on your watchlist, it could be very wise to know whether or not it made the ProPicks AI lists.

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Our expert drivers are out on the road this summer, delivering all kinds of cargo to keep businesses of all sizes moving forward.

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Since 1951, Peninsula has exceeded expectations while providing reliable transportation services with peace of mind.

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Peninsula Truck Lines is a third-generation family-owned business and maintain the same unwavering commitment we’ve had since the beginning.
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Today we opened a new terminal in beautiful #Redding, #California, extending our best-in-class service to northern California.

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