Old 08-03-2008, 04:23 AM   #1
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Default Ohio Central Bought Out!

Hello,

As of yesterday, August 1 2008, the Ohio Central System, formed in 1988 and owned by my friend and fellow Akron RR Club member, Jerry Jacobson, was bought out by the Genessee & Wyoming Railroad. It is unsure at this time whether the units of the OHCR will be painted orange, black and yellow or if they will retain their current maroon, grey and yellow livery.

Another concern brought by the acquisition of the OHCR, is if the completion of NKP Berkshire 763 will occur. It is very feared that the G&W may not wish to complete this task, and may send the Berk to the scrap peep. It is also fretted that the G&W will discontinue service with the currently operational OHCR 1293 and LS&I 33.

Unfortunately, it is too late for the Ohio Central to be saved now. The railroad was officially bought as of 8/1/08 and is now under complete control of the G&W. I am not sure if traffic, schedules and motive power is to change. But lets hope for the best. This issue has been confirmed by three employees - John Surdyk, William Dick and Ryan Fitzpatrick.

So, to conclude this: RIP OHIO CENTRAL SYSTEM ( 1988-2008 )

Enjoy!

Last edited by alstom; 08-03-2008 at 05:23 AM.
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Old 08-03-2008, 04:43 AM   #2
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I thought Jerry himself owned the locomotives and the though of them being scrapped HAHAHAHHAHA yeah im suuuuure that would happen.
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Old 08-03-2008, 04:53 AM   #3
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Quote:
Originally Posted by alstom
It is also fretted that the G&W will discontinue service with the currently operational OHCR 1293 and LS&I 33.
Putting aside the fact that Walter brought up about the locomotives not actually belonging to the Ohio Central but to Mr. Jacobsen himself, why is it 'fretted' they'd discontinue service? Do you have any proof that this is the mentality of the company they have about the use of steam locomotives on their lines? Or on lines that they have no say in such as the Cuyahoga Valley or Byesville Scenic? Did you take into account that the G&W has actually been a steam friendly company for some time dating back to the steam trips run up the Buffalo & Pittsburgh in the 1980s up to the recent trips run by SP 4449 over the Portland & Western lines in Oregon.

Until an official release is made public with details. I'd try to keep the rumors about locomotives going to scrap to a limit.
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Old 08-03-2008, 05:02 AM   #4
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I stopped by the morgan run shops this evening only to find this. It is such a shame that this is happening but I guess all things cant last forever.

Ohio Central 1293
End of the line

The Ohio Central passengar car fleet or what left of it.

Resurrection Barry Island
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Old 08-03-2008, 05:06 AM   #5
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I am just going based on what I've heard. No need to insult me. And besides, if Jerry owns the steam engines, and if the G&W wants those engines out of the maintenance shop area, then where will they go? Onto Jerry's front lawn?

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Old 08-03-2008, 05:53 AM   #6
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The rumor has made it to Yahoo Finance message boards

http://messages.finance.yahoo.com/St...76&tof=1&off=1

GW has an earnings call scheduled for 11am Monday, looks like it could be standard timing for such a call (scheduled weeks ago)

http://biz.yahoo.com/cc/6/94946.html

No news on Yahoo Finance itself (no press releases)
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Old 08-03-2008, 05:58 AM   #7
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Quote:
Originally Posted by alstom
I am just going based on what I've heard. No need to insult me. And besides, if Jerry owns the steam engines, and if the G&W wants those engines out of the maintenance shop area, then where will they go? Onto Jerry's front lawn?
I'm sure if you're selling your railroad to another person/company you'd work these details out and not let them tell you to get the 'heck' off their property.
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Old 08-03-2008, 05:58 AM   #8
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Quote:
Originally Posted by alstom
and if the G&W wants those engines out of the maintenance shop area, then where will they go? Onto Jerry's front lawn?

That is a possiblity, if cars can be on cinder blocks on peoples front lawns why cant steam engines? j/k man
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Old 08-03-2008, 06:12 AM   #9
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I am worried about the Akron RR Club excursion behind 1293 in September.
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Old 08-03-2008, 05:52 PM   #10
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Nothing really to do with any of the above posts, but I believe Ohio Central has a few cars that have been freshly painted and operational as private and or excursion cars on the end of some Amtrak trains, anyone know about anything like that?
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Old 08-03-2008, 06:56 PM   #11
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Default Gentlemen, hold your horses.

Quote:
Originally Posted by alstom
Hello,

As of yesterday, August 1 2008, the Ohio Central System, formed in 1988 and owned by my friend and fellow Akron RR Club member, Jerry Jacobson, was bought out by the Genessee & Wyoming Railroad.

Another concern brought by the acquisition of the OHCR, is if the completion of NKP Berkshire 763 will occur. It is very feared that the G&W may not wish to complete this task, and may send the Berk to the scrap peep. It is also fretted that the G&W will discontinue service with the currently operational OHCR 1293 and LS&I 33.

Unfortunately, it is too late for the Ohio Central to be saved now. The railroad was officially bought as of 8/1/08 and is now under complete control of the G&W. I am not sure if traffic, schedules and motive power is to change. But lets hope for the best. This issue has been confirmed by three employees - J
Firstly, a lot of people all too easily call Jerry their friend -- the man knows a lot of people, and a lot of people claim to know him. Any thoughts or fears that the steam locomotives would find themselves trundled to the scrapper are ridiculous and baseless.

Quote:
Originally Posted by Andrew Blaszczyk (2)
I'm sure if you're selling your railroad to another person/company you'd work these details out and not let them tell you to get the 'heck' off their property.
Right. The news of this sale is not some sudden take over or surprise to some. Any contract with the new owner surely includes a caveat that aims to preserve the steam department in some fashion. Means to relocate and preserve the steam department and give it a home with its own roundhouse and servicing facility on the line have also been in the works for several years.

Quote:
Originally Posted by alstom
And besides, if Jerry owns the steam engines, and if the G&W wants those engines out of the maintenance shop area, then where will they go? Onto Jerry's front lawn?
You are not that far off.

The man didn't purchase a turntable to let it sit on a flat car. Check the line between Sugarcreek and Baltic and let me know if you spy any new turnouts.
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Old 08-03-2008, 07:09 PM   #12
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Once people hear of a railroad (esp. with a steam department) being bought they automatically assume the worst instead of thinking of the positives. Sure, not all railroads care about the communities they run through or affect but some do and having steam is a great PR tool. I know for a fact that some towns along the Ohio Central have been asking for excursions for the holiday seasons but have been denied the privilege due to high insurance cost. This is understandable since these expenses would be paid out of pocket by the railroad's owner and with that being one person it is just not logical. Now with a parent company to cover the costs I would not doubt seeing more excursions and the towns along the line being supportive since these trips bring thousands of dollars into the towns.
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Old 08-04-2008, 04:41 AM   #13
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I had heard they had just bought some passenger equipment from Great Smoky in the past couple weeks (I believe the Panama Limited and a couple other cars). That would tell me that they aren't closing up shop if what I heard was correct. Of course that came from a friend of a friend so we all know how that goes.
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Old 08-04-2008, 05:15 AM   #14
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Alright, let me start by saying, that I found it rude for it to be assumed I am not friends with Jerry Jacobson. I am not bragging about it, I am just stating a fact. He attends an Akron RR Club meeting on occasion, and usually attends the ARRC Annual Banquet. I am not saying he is absolutely my best pal, but I know him enough to joke around with him and talk with him though. Although he can be very moody at times.

I was on the line between Sugarcreek and Baltic today. I didn't really notice anything different. I do believe I saw some new-looking ballast in some areas. The line looks as though it has gone through a couple of changes lately. Nothing too spectacular has happened though.

Andrew - first of all, I wish you would actually give me some benefit of the doubt. You seem to be ignoring the fact that the Ohio Central has been (or is in the process of being) acquired by Genessee & Wyoming. I only heard today that the official buy may not yet have happened. Now, talking to some RRE members who seem to be relatively close to OHCR management (I know you guys will disregard this, because they are not actually OHCR employees, be that way then) say that the steam units may still be completed due to some contracts that involve operating the units. Such as the ARRC excursion in September, I believe the operation with 765 when 763 is completed, and a couple other passenger trips on the Cuyahoga Valley Scenic RR.

I don't think, after some review of the motive power, that the G&W will make too many changes to the diesel roster. It is just a fact that G&W does not seem to operate GE units, let alone ALCO, MLW, FM and all of those other oldies, but goodies that OHCR owns. I believe the only GE units that have a good chance of staying operational on the OHCR would be the Super 7 units, but I AM NOT saying or declaring that the G&W will get rid of the other GE units. I am simply stating that if they were to get rid of the GE units, the ones most likely to stay probably would be the Super 7's. That is ALL! You guys are taking what I am saying out of context, and jumping to the conclusion that I am making accusations, when in reality, I am just making educated assumptions.

So all I am saying, to make a long story short, is that the G&W has (or is) purchased/purchasing the OHCR, and may possibly make some changes to the locomotive roster. What is above are just my assumptions. I am not saying that these are 100% definite roster changes, which you guys act like I am saying they are. Just my assumptions.

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Old 08-04-2008, 10:58 AM   #15
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Alstom was banned last night? What did I miss?
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Old 08-04-2008, 02:20 PM   #16
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I think it all started when he got on his soap box in a few threads as of late. Or was it the last what is wrong with the rejects post?
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Old 08-04-2008, 02:56 PM   #17
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Aw, geez, even a simple discussion like this has to result in arguments and a ban.

Not that I care either way--I just came to this forum to see if there was any talk about the G&W's buyout of OHCR--a move rumored last week (alstom was exactly right) and confirmed through many media reports today.

http://forums.railpictures.net/newre...uote=1&p=68393

GREENWICH, Conn. -

Genesee & Wyoming Inc., a short-line and regional freight railroad operator, said Monday it will acquire nine short-line railroads for $219 million in cash.

As part of Genesse's purchase of the railroads, known as the Ohio Central Railroad System, Genesee will pay $25 million once certain conditions are satisfied.

The final purchase price will be adjusted for working capital at the time of closing, Genesee said.

The purchase is subject to customary closing conditions and must receive approval from the state of Ohio for the transfer of an operating agreement for one of the railroads.

The acquisition is expected to close in the fourth quarter.

---

I'd say it's too early to assume much of anything ... but everything I've read seems to indicate that the Ohio Central will continue to operate as its own business unit. And that would make sense, since it's a short-line railroad that needs to be close to its local customers.

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Old 08-04-2008, 03:59 PM   #18
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Guys, the ban did not stem from this thread but for something that happened outside of the forums.
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Old 08-04-2008, 04:03 PM   #19
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Quote:
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Guys, the ban did not stem from this thread but for something that happened outside of the forums.
Okay. But anyway, back to the buyout of OHCR!
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Old 08-04-2008, 04:13 PM   #20
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$219 million...that is pretty sweet after 20 years of hard work, persistance, and probably some fun! No mention of the steam locomotive or program so I figure it was a private agreement between the two parties. How many people are planning trips to see the equipment before it is painted/sold/leased?!
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Old 08-04-2008, 04:29 PM   #21
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Our local paper printed a short story about this, and I was glad to see a mention of the railroad's impact on local business--especially since the local line would probably have been ripped out if OHCR hadn't taken over.

http://www.mountvernonnews.com/local...purchased.html

...
Phil Pearce, branch manager with the Central Ohio Farmers Co-op, said that his organization is dependent on the railroad line and also noted that rail service helps the local economy. Typically, the Farmers Co-op loads trains three times per week, and last year loaded and shipped 550 rail cars, according to Pearce.

Pearce emphasized that 550 rail cars equaled approximately 2,000 semitrailer loads, and that by shipping by rail, the Farmers Co-op had kept a large number of trucks off of the roads.

“We want to keep the railroad going,” said Pearce, noting that the Weyerhaeuser company is also dependent on railroad service.
...
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Old 08-04-2008, 06:08 PM   #22
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Quote:
Originally Posted by Andrew Blaszczyk (2)
$219 million...that is pretty sweet after 20 years of hard work, persistance, and probably some fun! No mention of the steam locomotive or program so I figure it was a private agreement between the two parties. How many people are planning trips to see the equipment before it is painted/sold/leased?!

Hmm you can also use that money to buy a few more steamers and restore them! : )
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