THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Monday, May 20, 1996 TAG: 9605180200
SECTION: BUSINESS WEEKLY PAGE: 04 EDITION: FINAL
TYPE: TALK OF THE TOWN
LENGTH: Short : 50 lines
Each of the big three eastern railroads has taken a different tack in response to the proposed merger of Union Pacific Corp. and Southern Pacific Rail Corp., two large western railroads.
Norfolk Southern Corp. has taken a wait-and-see approach.
Conrail Inc. has attacked the proposed merger, calling for the sale of thousands of miles of Southern Pacific track to preserve competition in the southwest.
CSX Transportation Inc., the rail unit of Richmond-based CSX Corp., meanwhile, negotiated a settlement with Union Pacific. The two railroads agreed CSX would get a crack at any lines Union Pacific was forced to sell as a condition of the $5.4 billion merger. It also sets up a framework for future cooperation between the two rails.
The Union Pacific/Southern Pacific merger would create a second western rail giant beside the recently created Burlington Northern Santa Fe Corp.
The merger is being considered by the federal Surface Transportation Board.
In a filing last month with the board, Norfolk Southern said ``at this point Norfolk Southern is not advocating a particular condition or set of conditions to address the competitive issues in the Gulf area.
``However, a divestiture to a major eastern carrier would raise different competitive issues. In the event the scope of this proceeding is expanded in the manner request by Conrail and others, Norfolk Southern would be a vigorous contender for the properties in question.''
Pickup truck: Right there on Page 99 of Bloomberg business magazine, alongside a glossy photo of a lipstick orange F-150, writer Noelle Knox wasted no words: Hike up your skirts, ladies, because even if you have racer's legs, Ford Motor Co.'s new F-150 pickup is a long way up. Once you're in, though, you've got yourself a man magnet. Forget dating services....
The folks at Ford's Norfolk assembly plant didn't know they were making magnets last summer when they rolled out the first redesigned F-150. But there you have it.
F-150 sales are good - a 64-day supply was on hand May 1, less than the industry's average - and projected at 700,000 vehicles this year.
Now the company plans to add a third plant next year for manufacturing the F-150 series. by CNB