Genesee & Wyoming still looking to buy

[ShortlinesUSA]

Funny, with the rail industry mostly still in rough shape, I figured Genesee & Wyoming would be in "maintain" mode right now. Not according to them, from today's Progressive Railroading news:

"During the quarter, GWI — which owns and operates 62 regionals and short lines in the United States, Canada, Australia and Netherlands — completed the sale of its Mexican and Bolivian rail interests, which generated total gains of $2.6 million.

“We remain active in evaluating investment opportunities in both North America and Australia,” said Hellmann. “Given the strength of our balance sheet, we are well positioned to execute quickly on the right transactions."

[JRMDC]

Funny, with the rail industry mostly still in rough shape, I figured Genesee & Wyoming would be in "maintain" mode right now. Not according to them, from today's Progressive Railroading news:

Sounds like bottom feeding. When industries are depressed asset values are low, so they can be good buys, if you have the cash and if their future looks better than their present and if you can be patient. G&W may be in that position.

Such is one way that depressed economies get going again, prices fall so much that capital gets reallocated and things get cranking again.

[lock4244]

Too bad Warren Buffet beat them to the BNSF ;)

[jnohallman]

Oh, goodie . . . more G&W black and orange repaints . . . :roll:

Jon