JACKSONVILLE, Fla. — CSX Transportation will acquire regional Pan Am Railways in a deal that will redraw the railroad map in New England.

PAR, Pan Am Railways freight action; Lead unit 350, GP40; Pan Am Southern train EDPL departs Springfield, Massachusetts, on Amtrak’s Springfield Line, en route to Plainfield, Connecticut.  Taken 25 September 2019, by Scott A. Hartley, and filed in Short Lines/Regionals folder. vertical / cover

CSX, already the dominant freight railroad in the region, will extend its reach into Vermont, New Hampshire, and Maine, as well as to Saint John, New Brunswick, via Pan Am’s haulage rights agreement with Irving-owned short lines.

“In Pan Am, CSX gains a strong regional rail network in one of the most densely populated markets in the U.S., creating new efficiencies and market opportunities for customers as we continue to grow,” CSX CEO Jim Foote said today in a statement announcing the deal. “We intend to bring CSX’s customer-centric focus and industry-leading operating model to shippers and industries served by Pan Am. We look forward to integrating Pan Am into CSX, with substantial benefits to the rail-served industries of the Northeast, and to working in partnership with connecting railroads to provide exceptional supply chain solutions to New England and beyond.”

Pan Am, a privately held company owned by 78-year-old Tim Mellon and other investors, went on the market earlier this year. CSX’s bid beat two other suitors who were interested in acquiring the largest regional railroad in North America

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