Rail

Amtrak to Mortgage Penn Station

Posted on June 8, 2001

To ease some of its $3 billion debt, Amtrak received permission from the U.S. Department of Transportation to use a large part of its Pennsylvania Station as collateral for a $300 million loan. This is the first time it has sought a loan to cover operating expenses. Amtrak received $521 million from Congress for both operations and capital expenses for this fiscal year and needs the additional $300 million to bring it to October 1, when the next fiscal year begins. A "facilitator," a bank or group of banks, is arranging a consortium of lenders to provide the loan, according to the Washington Post. After that, the White House and DOT would have to make a final decision on whether to release a federal lien on the property to enable Amtrak to secure the loan. The mortgage would be limited to concourses A and B, Amtrak's areas in the station, according to Amtrak. Track and platform areas would not be affected. Neither would areas used by the Long Island Rail Road and New Jersey Transit. While Amtrak's revenue grew 7% in the first six months of the fiscal year to $1.05 billion, its expenses rose 8% to $1.32 billion, reported the Post. Amtrak estimates it needs a minimum of $1.5 billion a year for capital expenses alone, nearly three times its current appropriations.

View comments or post a comment on this story. (0 Comments)

More News

Feds extend deadline for Honolulu rail recovery plan

In a letter, the FTA denied the City of Honolulu’s request to extend the deadline for the so-called recovery plan until the end of June.

FTA releases WMATA traction power report, issues safety directive

The special directive is based on 22 findings from an FTA investigation report into the condition and safety performance of the Metrorail TPE system, which was also released on Friday.

NJ TRANSIT hearing focuses on PTC

Some lawmakers expressed concern as to whether NJ Transit would be able to implement positive train control by the federally mandated deadline of Dec. 31, 2018.

Alstom to supply 14 metro cars to RATP, STIF

Due to circulate on line 4, the MP14 trains will help to increase the capacity and quality of transport on the line, with a targeted global service equivalent to that of line 1.

Development of iconic perfume threatened by high-speed rail plan

Chanel says it will leave Grasse, dubbed the perfume capital of the world, unless plans are dropped to drive a TGV line through the fields of flowers required to make the world’s most famous scent

See More News

Post a Comment

Post Comment

Comments (0)

More From The World's Largest Fleet Publisher

Automotive Fleet

The Car and truck fleet and leasing management magazine

Business Fleet

managing 10-50 company vehicles

Fleet Financials

Executive vehicle management

Government Fleet

managing public sector vehicles & equipment

TruckingInfo.com

THE COMMERCIAL TRUCK INDUSTRY’S MOST IN-DEPTH INFORMATION SOURCE

Work Truck Magazine

The number 1 resource for vocational truck fleets

Schoolbus Fleet

Serving school transportation professionals in the U.S. and Canada

LCT Magazine

Global Resource For Limousine and Bus Transportation

Please sign in or register to .    Close