Norfolk Southern Corp.
) unveiled its Thoroughbred Bulk Transfer terminal in Knoxville.
The $5.9 million facility is adjoining to Interstate-275 and
within two miles of Interstate 40 and Interstate-75 at Tennessee
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Located near Norfolk Southern's rail yard, the terminal has the
capacity to manage dry and liquid bulk commodities such as flour,
corn starch, and corn syrup, as well as aggregates including sand
and cement. It is equipped with 48 car spots, specialized truck
scale and is well-lit, paved and fenced.
This designed terminal - that will be controlled by RSI Leasing
Inc. - has amenities that enable customers to transfer a large
collection of commodities between rail cars and trucks. People
without rail sidings will also receive the advantages of rail
economics and high service quality.
The Knoxville TBT is not only well connected with all the local
markets, but also extends services to business hubs in Kingsport,
Loudon, and Morristown in East Tennessee plus Western North
Carolina and Southwest Virginia.
With 31 Thoroughbred Bulk Transfer facilities in 17 states that
are operated by independent contractors, Norfolk Southern has a
strong network assisting in safe and easy goods transfer and
We believe that the company is favorably poised to gain from the
constructive industry trends, including growth prospects in the
intermodal and general merchandise businesses. Other supporting
factors for the company include accelerated investments in new
projects and cost-saving initiatives.
However, several headwinds such as regulatory issues and
competitive pressures from other players such as
Canadian Pacific Railway Limited
Kansas City Southern
) along with the downturn in coal and crop markets will likely
limit the upside potential over the near term.
Norfolk Southern carries a Zacks Rank #3, implying a Hold rating.