Even in "normal" times rail service for merchandise carload traffic has lacked the shipment reliability needed by a large segment of shippers, many of whom have shifted their business to trucks.  Carload business has also been a concern for the railroads, and over the last two or three years that concern has generated substantial debate about its future.  Some in the industry argue that carload service is not now providing sufficient contribution to overhead and profit to sustain it in the long run, and that over time railroads should withdraw from this market.  Others maintain that carload service could be made profitable with adoption of scheduled operations. More
specifically, some argue that scheduled carload service can reduce cost, and improve quality, to the point that it would be self-sustaining.

The Federal Railroad Administration is interested in this issue because of the possible consequences if carload service proves not to be viable in the longer run.  Therefore, FRA's Office of Policy and Program Development commissioned a consulting study of the question.

Click here for document