CSX Corp. announced an agreement Nov. 30 to acquire Pan Am Railways Inc., a Massachusetts-based company that operates a regional rail network in the Northeast.
Pan Am operates a 1,200-mile rail network and a partial interest in another 600-mile system.
Jacksonville-based CSX, which operates rail networks through most of the eastern U.S., said the deal will expand its reach in Connecticut, New York and Massachusetts and add Vermont, New Hampshire and Maine to its network.
“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 Chief Executive James Foote said in a news release.
“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,” he said.
Terms of the deal were not disclosed.
The New England railroad is related to the iconic Pan American World Airways, which shut down its major operations in 1991.
The railroad company then known as Guilford Transportation Industries bought Pan Am from the bankruptcy court in 1998 and rebranded its railway under the Pan Am name.
The company did operate a smaller airline under the Pan Am name but stopped flying in 2008.
