METRO Magazine Logo
MenuMENU
SearchSEARCH

Report: Amtrak Loses $32 Per Passenger

Subsidyscope calculated profits and losses per passenger to determine which routes cost Amtrak the most to operate. Its analysis was based on a 2005 GAO critique of Amtrak's accounting methods, which says the railroad should consider depreciation when calculating profitability.

October 28, 2009
2 min to read


Forty-one of Amtrak's 44 routes lost money in 2008 with losses ranging from nearly $5 to $462 per passenger depending upon the line, according to analysis by Pew's Subsidyscope.

The line with the highest per passenger subsidy - the Sunset Limited, which runs from New Orleans to Los Angeles - carried almost 72,000 passengers last year. The California Zephyr, which runs from Chicago to San Francisco, had the second-highest per passenger subsidy of $193 and carried nearly 353,000 passengers in 2008. Pew's analysis indicates that the average loss per passenger on all 44 of Amtrak's lines was $32, about four times what the loss would be using Amtrak's figures, only $8 per passenger, since it uses a different method for calculating route performance.

Ad Loading...

The Northeast Corridor has the highest passenger volume of any Amtrak route, carrying nearly 10.9 million people in 2008. The corridor's high-speed Acela Express made a profit of about $41 per passenger. But the more heavily utilized Northeast Regional, with more than twice as many riders as the Acela, lost almost $5 per passenger.

Subsidyscope calculated profits and losses per passenger to determine which routes cost Amtrak the most to operate. Its analysis was based on a 2005 Government Accountability Office (GAO) critique of Amtrak's accounting methods, which says the railroad should consider depreciation when calculating profitability. Other capital intensive industries, such as commercial airlines, include depreciation and overhead when looking at route performance.

In October 2008, Congress passed legislation reauthorizing Amtrak for an average of $1.5 billion a year for five years. The Passenger Rail Investment and Improvement Act requires that the railroad provide metrics for measuring all long-distance routes and find ways to improve the financial performance of those routes. Amtrak officials say they are considering options to make the Sunset Limited less costly.

Amtrak lost $1.1 billion last year, but says that only $236 million of this should be attributed to its core business lines, such as the Northeast Corridor. The remainder, it asserts, should be associated with ancillary businesses, depreciation and other direct costs, such as fuel and power, locomotive maintenance and call centers.

Amtrak's ancillary businesses include contracted operator services to commuter trains around the country, such as the MARC in Maryland and Caltrain in California, many of which are buttressed through state and local funding sources. The ancillary businesses are actually a source of profit for Amtrak, bringing in $93.7 million in 2008.

More Rail

A photo of an Amtrak train with a logo
Managementby Alex RomanJuly 24, 2026

Biz Briefs: STV teams with Amtrak, Motorcoach Operators Boost Fleet and Land Contracts, and More

From manufacturers and suppliers to transit agencies and motorcoach operators, these updates offer a snapshot of the projects, partnerships and business moves driving the industry forward.

Read More →
Metra Electric Line Vehicles
Railby Staff and News ReportsJuly 24, 2026

Metra Celebrates 100 Years of Electric Rail, Looks to the Future

The event was also a celebration of recent reforms to public transportation in the Chicago area, changes that could be as transformative in the future as the major civic achievement a century ago, said officials.

Read More →
LA Metro at State of the Agency event.
Managementby Alex RomanJuly 23, 2026

LA Metro Marks Banner Year, Sets Ambitious Goals for New Fiscal Year

Incoming LA Metro Board Chair and Los Angeles Mayor Karen Bass joined outgoing Board Chair Fernando Dutra and LA Metro CEO Stephanie Wiggins to review accomplishments from fiscal year 2026, which included the opening of new rail extensions, advancement of major transit projects, expanded safety programs, and new rider amenities.

Read More →
Ad Loading...
Nathaniel P. Ford Sr., named President/CEO at DART
Managementby Alex RomanJuly 22, 2026

DART Taps Nathaniel P. Ford Sr. as Next President/CEO

Since 2012, Ford has served as the CEO of the Jacksonville Transportation Authority

Read More →
California High Speed Rail in High Desert Corridor
Railby Alex RomanJuly 21, 2026

California High-Speed Rail Authority Signs MOU to Advance High Desert Corridor

The agreement deepens collaboration between the California High-Speed Rail Authority and the High Desert Corridor Joint Powers Agency, supporting design integration, cost savings, and faster delivery of a key Southern California rail link.

Read More →
TechnologyJuly 20, 2026

Building the Next Generation of Transit Technology

In this edition of METROspectives, Luminator CEO Magnus Friberg discusses the company's transformation, the growing role of AI and software, and what's next for transit technology.

Read More →
Ad Loading...
What Transit Agencies Get Wrong About Data METROspectives episode with strada360's Steve Lassey
Sponsoredby Alex RomanJuly 20, 2026

How Data, Strategy, and Community Engagement Are Reshaping Transit

In this edition of METROspectives, strada360 CEO Steve Lassey discusses how transit agencies can better align planning with operations, leverage data to improve decision-making, and build public trust as they prepare for the future of mobility.

Read More →
TTC streetcar on tracks

TTC Launches Camera Pilot to Curb Illegal Passing of Streetcars

During the pilot, the cameras will measure how often illegal streetcar passing occurs and test the technology's reliability for future automated enforcement.

Read More →
An NJ TRANSIT River Line light rail vehicle.
Managementby Staff and News ReportsJuly 17, 2026

NJ TRANSIT Secures Capital Funding, Adopts FY2027 Budget

The budgets continue investments in infrastructure and equipment to maintain the system in a state of good repair and enhance the overall customer experience.

Read More →
Ad Loading...
A rider validating a tap payment on a Masabi validator.
Technologyby Staff and News ReportsJuly 17, 2026

Biz Briefs: Masabi Teams with St. Louis Metro and More

In METRO's latest installment, we take a look at recent news from Transdev, Hitachi, and more partnerships making headlines across the transportation sector.

Read More →