2011 Rail Trends www.railcan.ca Member Companies December 2010 6970184 Canada Ltd Agence métropolitaine de transport Alberta Prairie Railway Excursions Amtrak ArcelorMittal Mines Canada Arnaud Railway Company Barrie-Collingwood Railway BNSF Railway Company Burlington Northern (Manitoba) Ltd. Canadian Pacific Cape Breton & Central Nova Scotia Railway Capital Railway Carlton Trail Railway Central Manitoba Railway Inc. Charlevoix Railway Company Inc. CN CSX Transportation Inc. Eastern Maine Railway Company Essex Terminal Railway Company Goderich-Exeter Railway Company Limited Great Canadian Railtour Company Ltd. Great Sandhills Railway Ltd. Great Western Railway Ltd. Hudson Bay Railway Huron Central Railway Inc. Kelowna Pacific Railway Ltd. Kettle Falls International Railway, LLC www.railcan.ca Metrolinx Montréal, Maine & Atlantic Railway, Ltd. New Brunswick Southern Railway Company Limited Nipissing Central Railway Company Norfolk Southern Railway Ontario Northland Transportation Commission Ontario Southland Railway Inc. Ottawa Valley Railway Québec Gatineau Railway Inc. Québec North Shore and Labrador Railway Company Inc. Roberval and Saguenay Railway Company, The Romaine River Railway Company Société du chemin de fer de la Gaspésie South Simcoe Railway Southern Ontario Railway Southern Railway of British Columbia Ltd. St. Lawrence & Atlantic Railroad (Québec) Inc. Steam Train HCW Sydney Coal Railway Toronto Terminals Railway Company Limited, The Trillium Railway Co. Ltd. Tshiuetin Rail Transportation Inc. VIA Rail Canada Inc. Wabush Lake Railway Company, Limited West Coast Express Ltd. Associate Members December 2010 4 Refuel Canada LP Absopulse Electronics Ltd Accuworx Inc. Administration portuaire de Montréal AECOM Alexander Holburn Beaudin & Lang LLP AllTrain – Training Solutions Amsted Rail BMT Fleet Technology Limited Bombardier Inc. Canac Railway Services Inc. Canadian Heartland Training Railway Canadian Rail Collision and Refurbishing Inc. Consolidated Logistic Inc. Davanac Inc. Dessau Ecopower Hybrid Systems Inc. Entretien Ferroviaire JMSR inc. Envirotec Services Incorporated Fairplast Industries (9151 9405 Québec Inc) GATX Rail Canada Corporation HDR Engineering Hewitt Equipment Ltd. IBI Group Itech Environmental Remediation Kenneth R. Peel, Barrister & Solicitor MD-UN Inc. Mecfor Inc. MMM Group Ltd NARSTCO Neptec Design Group Ltd. Newalta Industrial Services Inc. Ozark Mountain Railcar Peck & Hale L.L.C. PNR Railworks Inc. Quantum Murray LP Rail Cantech Raildecks (2009) Inc. Railway 101 Consulting Services RDG2 Technologies Inc. Red Giant Oil Company RTC Rail Solutions Ltd Sandy Cooke Consulting Inc. Siemens Canada Limited SNC-Lavalin O&M Soulanges Railway Services Inc. Stantec Inc. Stäubli Corporation Tessco Technologies Inc. Transportation Certification Services VIdal Street Industrial Park Inc. Whiting Equipment Canada The Railway Association of Canada 99 Bank Street, Suite 901 • Ottawa, ON K1P 6B9 Telephone: (613) 567-8591 • Fax: (613) 567-6726 Email: rac@railcan.ca ISBN 978-0-9809464-4-4 Table of Contents 1 Overview 13 Highlights Statistical Highlights 14 Ten-year comparison 15 Freight revenue per ton-mile (tonne-kilometre) 16 Track operated, by provinces and territories Rail Operations in Canada 17 Plant – track operated and equipment in service 18 Freight transportation 22 Fuel consumed 23 Train statistics 24 Intercity passenger transportation 26 Rail commuter 27 Additions to property 28 Employment 29 Productivity Financial Highlights 30 Operating income 31 Operating expenses 32 Taxes by category 33 Taxes by jurisdiction Glossary Overview 2011 T his is the Railway Association of Canada’s 19th edition of Rail Trends, an annual report on the performance of Canada’s freight and passenger railway sector. The publication contains a rolling 10year review of financial and statistical results, reflecting all aspects of rail performance. The RAC represents effectively all rail companies operating in Canada - the large Class 1s, the regional railways and short lines, inter-city passenger, commuter rail and tourist train operators. For most of Canadian history, rail was composed of two Class 1 railways, CN and CP, and a few regional railways. Then in the late 1980’s a small number of short line railways began operations. The number of short line railways continued to grow then expanded quickly between 1996 and 2000 with the enactment of the Canada Transportation Act of 1996 and the subsequent rationalization of operations by CN and CP. Between 1996 and 1999 more than 5,400 miles (8,690 km) of track were transferred to short line operators from CN and CP. Since 2000, the rate of transfers and discontinuances has slowed considerably and, in recent years, some of this light-density track has been reacquired by its original owner. In 1988, the first year that the RAC began collecting industry statistics, the RAC’s membership totaled 18. It has nearly tripled with 52 members today. Short lines have been fulfilling a vital role in the rail sector during the past 25 years. They have been instrumental in retaining rail infrastructure and rail freight service in areas where it may have otherwise disappeared. Short lines provide a direct link to North American rail networks for customers located on branch lines. The traffic is collected by the short lines and is generally interchanged with the short lines’ Class 1 partners. Today, Canada’s railways, the customers, and the communities they serve, all benefit from the results of the industry’s ongoing restructuring. Overall, the rail sector fared particularly well during 2010 following the 2009 recession of the North American economy and the general contraction of the global economy. During 2009, rail operators tackled the problem of having to adapt to reduced business demand, whereas in 2010 the industry had to quickly adapt to a completely different but welcomed problem – a remarkable turnaround in growth. 1 2011 Overview 2 The Economy: Railways are leading the way For railways, 2010 was a year of renewal. Increased performance in terms of workload, performance and innovation have insured that railways have played an important part in the post recession performance of the Canadian economy. Understanding the strong post-recession rebound of rail requires the understanding of a revenue ton-mile (or RTM). An RTM is the most widely used measurement of workload in the railway industry. A revenue ton-mile is the movement of one revenue-producing ton of freight the distance of one mile. While the overall Canadian economy saw several noteworthy developments in 2010 in terms of employment and Gross Domestic Product (GDP), railways outperformed most other economic sectors. Canada’s economy expanded 3.1 per cent during 2010 after shrinking 2.5 per cent in 2009, confirming that the business cycle had progressed from the recovery to the expansion phase. In the meantime, railways workload totalled 239.2 billion RTM compared to 210.9 billion RTM a year earlier, a 13.4 per cent improvement. The strong performance of rail is mainly due to its increasing ability to connect shippers to markets both domestic and abroad and connect passengers to destinations whether they are travelling between cities or commuting to work. This ability resulted in an increase of operating revenue of 12.2 percent between 2009 and 2010 to 10.8 Billion dollars. This represents the second best operating revenue on record (the record of $11.2 billion was set in 2008). It should be noted that even though railways increased their revenues, they did so offering some of the lowest freight rates in the world. Canadian rail freight rates have been a full 2 cents per tonne-mile below the G7 average over the last 5 years. In order to better understand the strong performance of Canadian railways, we can breakdown operating revenue further. There are three components to operating revenue: freight, passenger and other revenue. Other revenue is largely composed of revenue for services provided to rail passenger and rail commuter companies, as well as switching, demurrage and miscellaneous rentals. Freight revenue of $9.6 billion in 2010 exceeded 2009’s freight revenue by $1.1 billion or 13.3 per cent. Passenger revenue, representing revenue generated by intercity, rail commuter and tourist trains, totalled $673 million in 2010, $46 million or 7.3 per cent better than a year earlier and established a new record high. Other revenue amounted to $544 million and was $5 million or 0.9 per cent higher than 2009. Freight companies produced 96 per cent of this component of revenue. Compared to a decade ago, 2010 freight revenue was $2.3 billion or 32.6 per cent higher, passenger revenue almost doubled and other revenue was $41 million or 8.2 per cent more than 2001. In the meantime, the industry’s operating expenses totalled $9.2 billion in 2010, an increase of $0.8 billion or 9.8 per cent over the prior year and somewhat less than the $1.2 billion or 12.2 per cent improvement in overall revenues for the same period. Rail’s 2010 rebound can also be appreciated using another measurement of industry workload: originated freight carloads by the industry. 2010 saw a 14.7% increase of originated carloads to 3.9 million carloads from 2009. This should not however obscure the fact that railways had to adapt to the restructuring of the Canadian economy over the last decade. To wit, the industry experienced a decrease of 2.5 per cent or 0.1 million carloads compared to 2001 when it originated 4.0 million carloads. On a tonnage originated basis, this industry workload grew 16.1 per cent year-over-year but tonnage shrank 2.8 per cent when compared to 2001. The restructuring of the Canadian railways also had some very positive effects. Looking at the decade, Intermodal was the fastest growing commodity grouping with an increase of 201 thousand carloads from 2001 to 2010. Intermodal also set a new record in 2010 for the highest number of Intermodal carloads since the RAC began tracking this statistic in 1996. Minerals recorded the second best improvement during the past decade with an increase of 98 thousand carloads. Forest products, with a decrease of 193 thousand carloads, experienced the greatest reduction of all commodity groupings from 2001 to 2010, resulting from soft market demand for lumber. Given the importance of global supply chains for Canadian long term prosperity, railways have been active participants in updating the regulatory framework. On the public policy front, the rail industry has been a partner with governments of Canada, Ontario and Quebec to see the realization of the Ontario-Quebec Continental Gateway and Trade Corridor. Any undertaking by government to improve trade flows and the competitiveness of Canada’s multi-modal transportation sector will be welcomed. One notable initiative emanating from cooperation between industry and government has been the Beyond the Border Working Group. This group was organised by the Government of 2011 Overview 3 2011 Overview 4 Canada to assist it as it pursues an agreement with the Unites States on Perimeter Security and Economic Competitiveness. The consultations and negotiations have resulted in an initial agreement that will see a one year pilot project for inbound containers at Prince Rupert, B.C. The support of the Canadian rail industry to the strengthening of the Canadian regulatory framework has also led them to participate over the past number of years with the Government of Canada and other stakeholders to see the successful completion of the Rail Freight Service Review. Recognizing the importance of a commercial based process to address the needs of all players in the supply chain system, the Government of Canada recently announced the appointment of a facilitator to work with railways and their customers to develop service agreement template that will meet the requirements of the railways and their customers. The railways will continue to work constructively with the Government of Canada and its appointed facilitator to achieve a commercial based approach that will optimize service and benefit customers and all participants in the rail freight supply chain. The streamlining of cross-border regulatory obligations is fundamental to the development of new opportunities for Canadian shippers and to the future performance of rail. Exports to the U.S. grew 9.5 per cent, led by higher exports of industrial goods and materials. Imports increased 10.6 per cent as volumes rose in all sectors. The U.S. share of Canada’s trade (exports and imports combined) continued to fall in 2010, although it remained Canada’s largest trading partner. The U.S. represented 62.5 per cent of total merchandise trade in 2010, down from 76.3 per cent in 2001. During the same period, Canada’s trade with China more than tripled. Although Canada’s rail sector conducts its business and reports its earnings in Canadian dollars, some portion of revenues and expenses are denominated in U.S. dollars and are affected by exchange-rate fluctuations. U.S. dollar-denominated revenues and expenses decrease when the Canadian dollar strengthens in relation to the U.S. dollar. The Canadian dollar closed 2009 at $0.951 USD, then climbed to $1.005 USD in April 2010 but declined to a low of $0.922 USD in May. As commodity prices appreciated, the Canadian dollar escalated to reach a high of $1.007 USD at the end of 2010. The average value of the Canadian dollar against the U.S. dollar in 2010 rose 10.9 per cent to $0.971 USD after falling 6.7 per cent in 2009. Total revenue from passenger transportation services represents combined intercity, tourist train and rail commuter services. These services totalled $673 million in revenue for 2010 compared to $627 million in 2009, a $46 million or 7.3 per cent betterment yearover-year. 2010 passenger revenue also established a new record high by outpacing the previous high of $661 million set in 2008. Compared to a decade ago, revenue from passenger transportation services almost doubled itself. However, these results are somewhat skewed by the fact that 2010 includes companies which were not RAC members in 2001. Removing those companies which did not report revenue for both years, results in 2010 revenue of $353 million compared to 2001 revenue of $324 million, a difference of $29 million or 9.0 per cent. Revenue for intercity passenger services rose from $268 million in 2009 to $278 million in 2010, an increase of $10 million or 3.7 per cent. The number of passengers carried during 2010 totalled 4.5 million, virtually unchanged from the year prior. Compared to 2001, the 2010 passenger count was 8.9 per cent greater. VIA represents the majority of Canada’s intercity passenger services, carrying 93 per cent of all intercity passengers in 2010. VIA operates up to 497 trains weekly over 7,665 miles (12,336 kilometres) of track, connecting over 450 Canadian communities. VIA managed to increase total revenues in 2010 over 2009 despite a drop in ridership and continued volatility in the marketplace. VIA’s 2010 operating revenues grew 3.1 per cent while passenger miles declined 1.3 per cent. As a result, VIA’s yield, defined as the revenue generated per passenger mile, improved 4.5 per cent year-over-year. 2011 Overview 5 Overview Infrastructure Investment and Productivity 2011 In order to maintain their position of leaders in the Canadian economy, railways have always had to invest to maintain and develop their infrastructure. 2010 was in that sense no different for Canadian railways. The industry term for infrastructure maintenance and development is “additions to property”. The major components of additions to property include replacing rail, ties, and other track materials, improving bridges as well as rolling stock purchases and re-builds. The latter contributes to the productivity and overall fuel efficiency of the fleet while also meeting customer requirements. Other examples include expenditures on facilities to capture business opportunities and investment in information technology systems to better services and operating efficiencies. The industry invested $1.7 billion on additions to property in 2010, up $181 million or 11.9 per cent over the year prior. Compared to 2001 when the industry spent $1.1 billion in its plant, 2010 expenditures were $630 million or 58.6 per cent greater and represented the highest capital spending of the past decade. In order to insure that Canadian railway performance is everincreasing, railways are expanding their network and making sure their existing network is well maintained. That is why track and roadway expenditures totaled $804 million in 2010, almost half of the annual total additions to property. Compared to a year earlier, 2010 track and 6 roadway expenditures were $98 million or 13.8 per cent higher and 2.5 times larger than 2001 expenditures of $331 million. The rolling stock category recorded the second highest expenditures in 2010 with investment totaling $427 million, $110 million or 34.7 per cent higher than 2009 and $112 million or 35.6 per cent more than a decade earlier. Optimal performance over a network spanning thousands of miles requires efficient allocation of resources. The performance of railways can be analyzed through various metrics. One of them is revenue per RTM. As previously mentioned, 2010 freight revenue of $9.6 billion was $1.1 billion or 13.3 per cent better than 2009. Responsible for this increase were the combined effects of a 13.4 per cent increase in the RTM (RTK) workload and a flat change in the revenue per unit of workload – revenue per RTM (RTK). Revenue per RTM (RTK) remained virtually unchanged from 2009 at 3.99 cents per RTM (2.74 cents per RTK). Revenue per RTM measures yield and represents the revenue earned on the movement of a ton of freight over the distance of one mile. A look at the 10-year variation in freight revenue shows a very different result. Freight revenue was $2.3 billion or 32.6 per cent higher than 2001 due to the combined effects of an 8.5 per cent larger RTM (RTK) workload and a 22.0 per cent increase in revenue per RTM (RTK). Revenue per ton-mile (tonne-kilometre) grew from 3.27 cents per RTM (2.23 cents per RTK) in 2001 to 3.99 cents per RTM (2.74 cents per RTK) in 2010. To better understand the industry’s results, it is necessary to more closely examine the operating expenses of the freight railways in isolation. The operating expenses of the freight railways amounted to $8.1 billion in 2010 compared to $7.3 billion in 2009, an increase of $0.8 billion or 11.0 per cent. This year-over-year rise in operating expenses was the direct result of the 13.4 per cent larger RTM (RTK) workload combined with a 3.2 per cent lower expense per unit of workload or expense per RTM (RTK). Expense per RTM (RTK) dropped from 3.48 cents per RTM (2.39 cents per RTK) in 2009 to 3.37 cents per RTM (2.31 cents per RTK) in 2010. When considering the 10.5 per cent jump in the cost per gallon (litre) for diesel fuel in 2010, the industry fared remarkably well, lowering the year-over-year cost per RTM (RTK). Since fuel surcharges are recorded to revenue, these recovered costs are not reflected in the expenses per RTM (RTK) reported here. Supplemental proof of the ability of railways to allocate their resources more efficiently is the evolution of productivity. The key 2011 Overview 7 2011 Overview 8 measurement of employee productivity in the railway industry is RTM (RTK) per employee. Each year from 2001 to 2007, the industry consistently achieved gains in this productivity measurement. The gains were temporarily suspended in 2008 and 2009 as the industry struggled to adapt to lower workload volumes. However, in 2010, the industry not only recovered but established a new record high in employee productivity with 8.3 million RTM (12.1 million RTK) per employee. This success is made possible with the right combination of people, more advanced technology and improvements in infrastructure. RTM (RTK) per employee grew 11.9 per cent in 2010 relative to 2009. Responsible for this gain was a 13.4 per cent expansion of the RTM (RTK) workload that was partially offset by a much smaller 1.3 per cent expansion of the freight railways’ workforce. During the past decade, RTM (RTK) per employee leaped an impressive 34.4 per cent, the result of 19.2 per cent fewer employees handling an 8.5 per cent larger workload than in 2001. Another productivity measurement is road miles (kilometres) per employee and is calculated by dividing total first main track operated by all freight railways by the number of their employees. This particular productivity measurement yielded a 2.0 per cent contraction between 2009 and 2010 but its 10-year performance was much better with a noteworthy 18.5 per cent gain. Operating revenue per employee also measures employee pro­ ductivity. The industry achieved a healthy 10.8 per cent increase yearover-year and a remarkable 61.4 per cent improvement in its 10-year productivity ratio. Better trained, higher paid and more flexible employees working with new, more productive processes and technology played an integral role in the industry’s success to achieve and build on these productivity gains. The industry did well in terms of the cost associated with these overall long-term gains in employee productivity. The average annual wage per employee increased 5.2 per cent from 2009 to 2010 and only 26.6 per cent over the 10-year period from 2001 to 2010. The strong gains of railways in terms of innovation however require better understanding by government of the challenges it places on them. While Canada’s economy continues to recover from the world economic recession, Canada’s governments have been slow to address inequities within the field of taxation. As governments move to address burgeoning deficits and debts, inequities within the tax system continue to put Canada’s railways at a disadvantage to their neighbours to the south. More needs to be done with respect to fuel, excise, property, capital and income taxes in order to have a true level playing field with U.S. rail. The industry’s drive to innovate will require continued infrastructure investment by government, especially in Ontario where proposals are in front of both the federal government and the Ontario government totalling $9 million. VIA has been especially busy in recent years renovating its infrastructure and equipment. The Government of Canada announced a five-year $516 million investment in 2007 to improve and expand the capacity of passenger rail services. An additional $407 million was made available for capital projects in 2009, through Canada’s Economic Action Plan, the Government’s economic stimulus funding program. VIA’s capital investment program made solid progress in 2010. Rebuilt and modernized locomotives and passenger cars returned to service during the year. New station projects were begun across the country and major construction projects to upgrade and expand track capacity are on target for completion. On-time performance is one of the most critical factors affecting customer satisfaction. Work on infrastructure projects created significant challenges for VIA, affecting the on-time performance of some of its trains. However, coordinated efforts brought on-time improvements to specific services, especially for Montreal-Ottawa-Toronto trains. As well, performance in Eastern Canada improved dramatically during 2010. On the whole, VIA managed to keep overall on-time performance in line with 2009, while progressing forward with the major track upgrades and construction projects. VIA has allocated $488.5 million to expand and improve the infrastructure in the busy Ontario-Quebec corridor, particularly in the Montreal-Ottawa-Toronto triangle where demand for passenger rail service is highest. In the past, VIA’s ability to meet growing demand has been limited by the capacity of the track itself, which is shared by both passenger and freight trains. To increase capacity, VIA is upgrading existing tracks to higher standards to allow passenger trains to operate at higher speeds, it is building new sidings to eliminate bottlenecks and it is adding a third line of track along major parts of the MontrealToronto line to significantly reduce congestion between passenger and freight traffic at specific points along that route. Increased performance 2011 Overview 9 Overview metrics bode well for future rail performance but some of the most positive achievements by Canadian rail in 2010 are not due to economic performance; they are due to the concern of railways with safety. Safety The performance of Canadian railways in terms of safety has steadily increased over the last decade. The data collected in order to analyze the performance of rail comes from the Canadian Transportation Safety Board and the RAC. The Canadian Transportation Safety Board maintains a database of safety performance statistics on federally-regulated railways and the RAC collects similar statistics on provincially-regulated operations. Overall, rail continued to deliver consistent improvements in its safety performance in 2010, both freight and passenger railways. During 2010, there were 1,170 freight railway-related accidents in Canada, 45 more than in 2009. However, the number of accidents based on the industry’s workload, or the rate per billion gross ton-miles, actually decreased from 2.8 in 2009 to 2.6 in 2010. As depicted in the chart below, this statistic has continued to decline steadily every year since 2005 when 3.6 accidents per billion gross ton-miles were recorded, representing a 27.8 per cent improvement over the past five years. 2011 Rail Accidents and Accident Rate 1,800 4.5 1,600 3.4 1,400 2.3 1,200 1.1 10 1,000 2005 2006 Freight train accidents 2007 2008 2009 2010 Freight train accidents per billion gross ton-miles 0 Overview Environment Rail is the green mode of transportation. It moves a tonne of freight 180 kilometres on 1 litre of fuel. In order to maintain this title, railways have been investing in new technologies and have been looking for better ways to manage their infrastructure. EPA tier level locomotives now comprise 42.1 percent of the total Canadian fleet. Environmental achievements by rail require an increase in fuel consumption efficiency. Fuel consumption productivity remains in the spotlight today due to the higher cost of diesel fuel in recent years. RTM (RTK) per gallon (litre) of fuel consumed grew 3.1 per cent in 2010 compared to 2009 and improved 7.7 per cent since 2001. These gains are achieved by employing fuel-efficiency initiatives such as scheduling trains based on capacity to minimize congestion, better matching of horsepower to tonnage, improved train handling techniques and the use of fuel-saving devices on locomotives. The most effective fuel saving initiative continues to be locomotive fleet renewals as older less fuel-efficient locomotives are replaced by higher horsepower, more fuel-efficient locomotives. Evidence that these fuel-efficiency initiatives are effective is readily available when we examine the industry’s expanding workloads over the last ten years. During this period, total fuel consumed by the industry 2011 Actually, we can go back to 2002 safety performance statistics, when the RAC began collecting provincial data, and conclude that this success stretches from 2002 to 2010. Through this period, the accident rate per billion gross ton-miles fell from 4.3 to 2.6, a remarkable 39.5 per cent improvement in safety performance by the freight railways. Passenger railways registered 62 train accidents in 2010, five fewer accidents than 2009. The accident rate for passenger railways is determined by calculating the number of accidents per million intercity passengers and rail commuters. The accident rate dropped to 0.85 in 2010 from 0.95 in 2009, a 10.5 per cent decrease. Also noteworthy is the five-year 36.6 per cent reduction in the accident rate from 1.34 in 2005 to 0.85 in 2010. Finally, the rail industry has worked closely with the Government of Canada on updating the Railway Safety Act. Bill S-4 is working its way through parliament. While the industry supports the legislation in principle, it believes the bill could be improved considerably through a few simple amendments that would address safety in addition to administrative issues. 11 2011 Overview 12 increased only 1.4 per cent. At the same time, freight workload grew 8.5 percent, the number of intercity passengers expanded 8.9 per cent and commuter trains transported 42.9 per cent more commuters. Asset utilization is one more measurement of productivity. As noted above, freight, passenger and rail commuter workloads all increased during the 10-year period from 2001 to 2010. Also during the past decade, the industry reduced its locomotive fleet 6.0 per cent, down-sized its freight car inventory 30.1 per cent and lowered miles (kilometres) of road operated 4.5 per cent. However, improving asset reallocation is not just about doing more with less. It also includes improving the remaining plant with upgrades to infrastructure and renewal programs for locomotives, freight cars and passenger cars. While it is correct to remember that railways have increased their fuel efficiency, they have also been affected by the rise in energy prices. Compared to 2009, fuel expenses soared $252 million or 20.8 per cent in 2010. This was due to a 10.5 per cent escalation in the cost per gallon (litre) of diesel fuel combined with a 13.4 per cent larger freight workload. The fuel expense increase could have been more severe if not for improved efficiencies from ongoing fuel-conservation programs, the operation of longer trains by CN and CP and fuel hedging programs. Overview Highlights • If 2009 is to be remembered as the year of the recession in North America and the general contraction of the global economy, then 2010 will be regarded as the year of recovery. Freight workload, as measured in revenue ton-miles (tonne-kilometres), expanded 13.4 per cent in 2010 after shrinking 11.1 per cent in 2009. The 2010 intercity passenger workload, or passengers carried, decreased 1.3 per cent compared to a drop of 7.4 per cent in 2009. Rail commuter workload improved 3.9 per cent in 2010 after a 1.6 per cent reduction in 2009. • It was a notable year for total industry operating revenue. Total revenue improved a substantial 12.2 per cent over 2009 and grew 33.7 per cent since 2001. It was also the second highest revenue on record. Freight revenue, the largest component of industry revenue, experienced similar gains and established the same second place record for the decade. Passenger revenue in 2010 was 7.3 per cent higher year-over-year and almost doubled 2001 revenue. Passenger revenue enjoyed its best year ever. • Total industry operating income of $1.6 billion in 2010 surpassed 2009 by 28.0 per cent and beat 2001 by 11.3 per cent. 2011 I hope that you find “Rail Trends” informative, and our comments and insights useful. We welcome your feedback. Sincerely, 13 J.C. (Cliff) Mackay President and Chief Executive Officer The Railway Association of Canada Statistical Highlights Ten-year comparison 2001 2009 2010 Revenue ton-miles (billions) Revenue tonne-kilometres (billions) Miles of road operated (1) Kilometres of road operated (1) Locomotives Freight cars (000) Gallons of fuel (millions) Litres of fuel (millions) Employees Annual wage per employee ($) 220.4 321.7 28,951 46,591 3,142 103 444 2,019 39,511 62,675 210.9 307.9 28,162 45,322 2,742 76 412 1,871 32,337 75,415 239.2 349.1 27,652 44,501 2,954 72 451 2,049 32,565 79,373 Percentage change 2010 versus: 2001 2009 8.5 8.5 -4.5 -4.5 -6.0 -30.1 1.5 1.5 -17.6 26.6 13.4 13.4 -1.8 -1.8 7.7 -5.3 9.5 9.5 0.7 5.2 1. Miles (kilometres) of road operated include road over which a railway has operating rights. Freight revenue ($) per ton (tonne) 2011 Freight revenue per ton (tonne) is calculated by dividing freight revenue by total tons (tonnes) originated. 14 Revenue per ton tonne 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 22.43 22.89 22.53 23.47 25.60 27.78 28.16 31.24 31.34 30.59 24.73 25.23 24.83 25.87 28.22 30.63 31.04 34.44 34.55 33.71 Index 2001 = 100 Consumer Price Index 100.0 102.1 100.4 104.6 114.1 123.9 125.5 139.3 139.7 136.4 100.0 102.2 105.1 107.1 109.4 111.6 114.0 116.7 117.1 119.1 Statistical Highlights Freight revenue (cents) per ton-mile (tonne-kilometre) Revenue per ton-mile tonne-kilometre 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 3.27 3.44 3.32 3.37 3.64 3.87 3.84 4.20 4.00 3.99 2.23 2.35 2.28 2.31 2.49 2.65 2.63 2.87 2.74 2.74 Index 2001 = 100 100.0 105.2 101.5 103.1 111.3 118.3 117.4 128.4 122.3 122.0 Freight revenue (cents) per ton-mile4.00 2011 4.50 4.20 15 3.90 3.60 3.30 3.00 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Statistical Highlights Track operated, by provinces and territories (2) 2009 2010 Miles Kilometres Miles Kilometres 4,234 4,158 2,764 286 721 406 6,851 3,844 4,823 75 6,814 6,692 4,448 459 1,160 655 11,026 6,186 7,762 121 4,199 4,144 2,724 244 724 409 6,549 3,695 4,889 75 6,758 6,669 4,384 393 1,166 657 10,540 5,947 7,868 121 Total 28,162 Intercity passenger trains 7,824 Commuter and tourist trains 2,116 Segments terminating in the U.S. 154 45,323 12,592 3,405 248 27,652 7,820 1,961 152 44,501 12,585 3,155 245 Grand total 61,568 37,585 60,486 Alberta British Columbia Manitoba Newfoundland & Labrador New Brunswick Nova Scotia Ontario Quebec Saskatchewan Northwest Territories 38,256 2.First main track only. Excludes second and other main track, passing tracks and crossovers, industrial tracks, spurs and yard tracks. 2011 Freight Transportation Intermodal traffic originated (3) 16 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Trailers (000) Containers (000) Total (000) 192 214 217 149 112 106 102 101 83 81 1,636 1,820 1,937 2,010 2,134 2,251 2,334 2,396 2,033 2,361 1,828 2,034 2,154 2,159 2,246 2,357 2,436 2,497 2,116 2,442 3.Reflects both Canadian and U.S. operations of Canadian Class 1 railways. Intermodal units are actual counts of trailers and containers, regardless of size, and are not “twenty-foot equivalent units (TEUs)” Rail Operations in Canada Plant - track operated (4) Equipment in service Miles Kilometres 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 28,951 29,087 29,138 30,551 30,380 29,978 29,713 29,366 28,162 27,652 46,591 46,811 46,893 49,167 48,893 48,243 47,816 47,258 45,323 44,501 Index 2001 = 100 100.0 100.5 100.6 105.5 104.9 103.5 102.6 101.4 97.3 95.5 Freight cars Locomotives in service in service 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 102,790 98,001 97,039 99,141 101,606 99,946 92,373 83,984 75,836 71,788 3,142 3,129 3,170 3,234 3,253 3,271 3,165 3,046 2,742 2,954 4. First main track only. Excludes second and other main track, passing tracks and crossovers, industrial tracks, spurs and yard tracks. Excludes intercity passenger trains, commuter & tourist trains and segments terminating in the U.S. MILES of track operated 30,400 2011 31,200 29,600 17 28,800 28,000 27,200 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Rail Operations in Canada Freight Transportation Carload traffic Carloads originated (000) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 4,017 3,992 4,092 4,212 4,290 4,260 4,196 3,984 3,367 3,871 Tons originated (000) Tonnes originated (000) 321,127 317,432 327,126 337,923 343,464 339,394 337,989 318,688 269,028 312,240 291,326 287,974 296,768 306,563 311,590 307,897 306,623 289,114 244,062 283,279 Tons per carload 80 80 80 80 80 80 81 80 80 81 5. Tons (tonnes) per carload: Tons (tonnes) originated divided by carloads originated. CARLOADS ORIGINATED (000) 2011 4,500 18 4,000 3,500 3,000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 (5) Tonnes per carload (5) 73 73 73 73 73 73 73 73 73 73 Rail Operations in Canada Freight transportation 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Freight train miles (000) Freight train kilometres (000) 70,704 72,194 72,873 74,284 76,400 76,451 74,100 71,712 59,576 64,976 113,784 116,185 117,278 119,548 122,953 123,035 119,253 115,409 95,877 104,568 Revenue ton-miles (millions) Revenue tonne-kilometres (millions) 220,374 211,500 221,653 235,114 241,745 243,744 247,709 237,323 210,898 239,158 321,714 308,759 323,581 343,232 352,912 355,831 361,619 346,457 307,880 349,135 REVENUE TON-MILES (millions) 250,000 2011 19 225,000 200,000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Rail Operations in Canada 2011 Freight Transportation Carloads originated by commodity grouping (6, 7) 20 Agriculture Coal Minerals Forest Products Metals 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 452,423 364,754 345,025 412,099 416,473 453,151 454,034 430,292 474,980 462,445 349,992 342,432 327,182 337,592 353,197 321,266 349,983 324,931 277,048 327,419 605,693 741,277 773,079 798,143 783,834 778,283 786,882 764,224 519,945 703,270 398,430 403,908 430,662 442,689 433,138 388,035 317,158 253,279 182,395 205,120 Fuels & Chemicals Paper Products Food Manufactured & Products Miscellaneous Intermodal 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 425,976 469,514 474,342 485,197 469,655 470,833 470,876 443,125 401,141 419,905 237,380 274,219 302,994 333,061 333,830 274,092 252,150 228,072 175,693 170,823 38,322 30,391 32,652 40,587 44,169 41,454 41,822 42,365 42,232 52,240 56,269 55,624 51,652 63,890 65,629 66,333 65,923 75,160 79,445 92,949 139,538 149,346 138,927 167,641 168,598 184,540 182,522 179,896 122,486 160,895 646,692 691,417 712,377 722,412 769,936 819,552 832,663 847,647 741,807 847,832 Machinery & Automotive 247,438 277,288 270,411 253,003 235,480 244,395 234,830 195,308 148,123 185,962 Total 3,598,153 3,800,170 3,859,303 4,056,314 4,073,939 4,041,934 3,988,843 3,784,299 3,165,295 3,628,860 6. Not all member companies record carloads originated by commodity grouping. The Intermodal counts represent an average load factor that determined the number of carloads reported. 7. A regional railway requested a reclassification of its historical counts of originated carloads of Metals to Minerals. Industry totals for Metals and Minerals have been restated accordingly. Rail Operations in Canada Freight Transportation Revenue from carloads originated by commodity grouping ($millions) (8, 9) 2002 2003 2004 2005 2006 2007 2008 2009 2010 732 761 875 948 1,125 1,157 1,161 1,259 1,221 Fuels & Chemicals 2002 2003 2004 2005 2006 2007 2008 2009 2010 416 405 513 738 676 709 706 502 598 Paper Products 777 739 771 804 836 837 902 818 853 502 518 595 642 582 541 531 423 437 Forest Products Metals 686 711 834 868 844 899 911 525 772 619 615 798 969 928 780 646 478 500 Machinery & Automotive 301 294 333 372 409 396 453 317 381 Food Manufactured & Products Miscellaneous Intermodal 55 58 70 74 81 81 89 94 128 92 96 93 112 114 116 126 113 130 1,679 1,760 1,885 2,152 2,377 2,452 2,702 2,273 2,592 477 460 397 414 433 445 443 337 394 Total 6,336 6,417 7,164 8,093 8,405 8,413 8,672 7,139 8,006 8. Not all member companies record revenue by commodity grouping. 9.A regional railway requested a reclassification of its historical counts of originated carloads of Metals to Minerals. Industry totals for Metals and Minerals have been restated accordingly. Carloads originated by commodity grouping Intermodal 23% 13% Agriculture Manufactured & Miscellaneous 3% 9% Coal Food Products 1% 19% Minerals Paper Products 5% 6% Forest Products Fuel & Chemicals 12% Machinery & Automotive 5% 4% Metals 2011 Agriculture Coal Minerals 21 Rail Operations in Canada Fuel Consumed Total fuel consumed gallons (000) litres (000) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 444,245 451,100 458,023 480,499 485,915 486,218 492,125 480,661 411,612 450,684 2011 Gross ton-miles (millions) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Revenue ton-miles Revenue tonne-km per gallon of per litre of fuel consumed fuel consumed 2,019,436 2,050,729 2,082,207 2,184,384 2,209,007 2,210,384 2,237,237 2,185,120 1,871,221 2,048,841 522 495 510 513 523 527 529 520 545 562 Gross tonne-km Cost of diesel fuel (millions) per gallon ($) per litre (cents) 399,457 398,681 415,290 441,467 457,950 459,633 463,356 449,922 397,293 447,052 583,149 582,016 606,263 644,478 668,540 670,997 676,433 656,821 579,990 652,631 1.82 1.65 1.73 1.81 2.38 2.81 3.07 4.23 2.94 3.25 22 FUEL CONSUMED IN GALLONS (000) 500,000 450,000 400,000 2001 2002 2003 168 159 164 165 168 169 170 167 175 182 2004 2005 2006 2007 2008 2009 2010 40.1 36.2 38.0 39.8 52.5 61.8 67.6 93.0 64.8 71.4 Rail Operations in Canada Train Statistics Average: Length of haul/Cars per train Miles (kilometres) hauled by transcontinental railways (CN and CPR) Miles Kilometres 789 795 794 787 789 803 807 818 830 850 1,270 1,279 1,278 1,267 1,270 1,292 1,299 1,316 1,336 1,368 Average cars per freight train Miles Kilometres Cars 162 150 151 161 149 159 151 146 159 138 73 74 74 78 79 79 81 82 87 92 261 241 243 259 240 256 243 235 256 222 AVERAGE CARS PER FREIGHT TRAIN 2011 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Miles (kilometres) hauled by regional/short line railways 100 23 90 80 70 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Rail Operations in Canada Passenger Transportation Intercity passenger transportation Passenger cars in service 2011 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Number of Passenger passengers miles kilometres (000) (millions) (millions) 421 473 505 465 538 537 538 540 559 545 4,112 4,223 4,024 4,181 4,322 4,320 4,478 4,899 4,538 4,477 965 992 931 894 919 906 912 986 894 877 NUMBER OF PASSENGERS (000) 5,000 24 4,500 4,000 3,500 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 1,553 1,597 1,498 1,439 1,479 1,458 1,468 1,588 1,439 1,412 Rail Operations in Canada Intercity passenger transportation Passenger train Passenger car miles kilometres miles kilometres (000) (000) (000) (000) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 7,338 7,406 7,252 7,214 7,415 7,381 7,330 7,414 7,334 7,331 11,809 11,919 11,671 11,611 11,933 11,879 11,796 11,932 11,803 11,799 Average intercity passengers per train 132 134 128 124 124 123 124 133 122 120 Average passenger load factor (%) 57 57 53 53 55 54 55 59 57 57 47,991 50,035 50,087 49,707 49,966 49,400 48,708 49,140 47,290 46,275 77,232 80,523 80,607 79,995 80,412 79,501 78,388 79,083 76,106 74,472 Average length of journey miles kilometres 238 238 226 219 217 214 209 206 203 204 383 383 364 352 349 344 336 332 327 328 On-time performance (%) 85 84 73 70 81 84 77 75 83 82 2011 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 25 Rail Operations in Canada Passenger Transportation Rail commuter Commuter train Commuter car miles kilometres miles kilometres (000) (000) (000) (000) 2002 2003 2004 2005 2006 2007 2008 2009 2010 199,957 204,198 214,089 224,833 237,781 247,066 256,123 245,942 256,134 2011 321,801 328,626 344,544 361,834 382,672 397,615 412,190 395,806 412,209 Average rail commuters per train 2,592 2,724 2,749 2,820 2,730 2,808 2,832 2,876 3,008 Rail commuters (000) in British Columbia, Ontario and Quebec 2001 2002 284 2003 260 2004 287 2005 283 2006 300 2007 339 2008 340 2009 301 2010 310 47,968 50,132 52,688 54,905 58,235 60,634 63,393 67,052 65,962 68,562 26 RAIL COMMUTERS (000) 70,000 60,000 50,000 40,000 2001 2002 2003 2004 2005 2006 4,171 4,384 4,425 4,539 4,394 4,518 4,558 4,628 4,841 2007 2008 2009 2010 Rail Operations in Canada Track & roadway 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Buildings & related machinery & equipment. Signals, communications & power Terminals & fuel stations 236 310 202 188 189 212 255 189 257 231 64 42 47 38 95 74 44 79 72 109 44 17 24 11 27 37 43 26 24 16 331 374 333 364 582 613 618 688 706 804 Work equipment Rolling Intermodal & roadway stock equipment machines 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 315 208 313 337 416 352 350 290 317 427 56 16 25 30 39 48 30 29 34 15 13 34 41 36 31 44 41 68 42 49 Other equipment Total additions 16 14 21 39 15 28 18 22 72 55 1,075 1,015 1,006 1,043 1,394 1,408 1,399 1,391 1,524 1,705 2011 Additions to Property Additions to property ($millions) 27 Rail Operations in Canada Employment Employment Total compensation ($millions) (10) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2,474 2,392 2,412 2,387 2,548 2,535 2,566 2,633 2,439 2,585 Average number of employees Average annual wage per employee ($) 39,511 37,296 36,599 35,736 35,389 34,558 34,938 35,208 32,337 32,565 62,675 64,229 65,901 66,804 71,994 73,356 73,440 74,790 75,415 79,373 2011 10.Compensation includes salaries and compensation paid and excludes company paid benefits such as Canada/ Quebec Pension Plan, Unemployment Insurance and health taxes. AVERAGE NUMBER OF EMPLOYEES 50,000 28 40,000 30,000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Rail Operations in Canada Productivity Revenue ton-miles per employee 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Revenue Revenue ton-miles per tonne-kilometres per employee (000) employee (000) 6,167 6,319 6,764 7,352 7,679 7,963 8,045 7,625 7,404 8,287 9,003 9,225 9,874 10,733 11,210 11,625 11,745 11,132 10,809 12,098 Road miles per employee Road kilometres per employee 0.81 0.87 0.89 0.93 0.96 0.98 0.96 0.94 0.98 0.96 1.30 1.40 1.43 1.50 1.54 1.58 1.54 1.51 1.58 1.54 REVENUE TON-MILES PER EMPLOYEE (000) 2011 8,500 29 7,500 6,500 5,500 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Financial Highlights Operating Income Operating revenue ($millions) Freight Passenger 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 7,203 7,266 7,369 7,931 8,794 9,430 9,516 9,957 8,433 9,551 346 389 364 386 576 622 624 661 627 673 (11) Other 503 487 484 506 570 561 564 579 539 544 Total 8,052 8,142 8,217 8,823 9,940 10,613 10,704 11,197 9,599 10,768 11. Federal, provincial and municipal funding of $419 million in 2010 for Intercity passenger and commuter services is excluded. 2011 Operating income ($millions) 30 Income 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 1,434 1,428 1,484 1,704 2,164 2,402 2,209 2,030 1,247 1,596 Financial Highlights Operating expenses Operating expenses ($millions) (12) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Maintenance of equipment 1,997 2,037 2,086 2,180 2,241 2,224 2,337 2,376 2,065 2,195 798 734 781 862 1,159 1,367 1,513 2,032 1,212 1,464 1,476 1,300 1,280 1,290 1,382 1,575 1,634 1,564 1,555 1,453 Maintenance-of-way and structures General and administrative Total operating expense 1,227 1,374 1,421 1,421 1,493 1,408 1,549 1,718 1,612 1,766 1,120 1,269 1,165 1,366 1,501 1,637 1,462 1,477 1,908 2,294 6,618 6,714 6,733 7,119 7,776 8,211 8,495 9,167 8,352 9,172 12. Charges for restructuring, relocation and write-down of assets are excluded. 2011 Transportation Fuel 31 Financial Highlights Taxes by category ($millions) Total 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Locomotive fuel & Property excise tax tax 654 654 742 698 716 1,084 989 930 853 787 164 168 173 174 180 188 188 187 177 195 Other sales tax 139 143 139 141 155 155 154 152 152 150 104 118 101 90 98 102 97 99 97 96 Capital tax & customs Income duties tax 58 42 64 25 31 21 15 14 14 14 36 27 110 118 101 471 381 323 265 185 Payroll taxes 153 156 155 150 151 147 154 155 148 147 Payroll taxes ($millions) 2011 32 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Canada/Quebec Pension Plan Unemployment Insurance Health Taxes Total 65 68 73 71 72 72 75 77 74 73 47 45 42 37 36 32 33 33 30 31 41 43 40 42 43 43 46 45 44 43 153 156 155 150 151 147 154 155 148 147 Financial Highlights Taxes by jurisdiction ($000) Alberta British Columbia Manitoba Nfld. & Labrador New Brunswick Nova Scotia Ontario Quebec Saskatchewan Northwest Territories Federal Total Locomotive fuel & excise tax 2009 2010 4,066 26,230 9,376 0 1,138 0 24,301 4,984 38,732 0 68,569 Fuel tax per litre (cents) 2010 4,535 38,949 9,765 0 1,559 0 24,127 4,852 35,158 0 76,453 1.5 3.0 6.3 0.0 4.3 0.0 4.5 3.0 15.0 11.4 4.0 177,396 195,397 Other sales tax 2009 2010 Property tax 2009 2010 12,778 37,771 13,588 65 1,500 2,518 37,517 32,843 13,649 96 0 12,616 39,520 13,505 53 1,660 2,760 34,784 31,012 14,040 75 0 152,325 150,025 Capital tax & customs duties 2009 2010 Income tax 2009 2010 Alberta British Columbia Manitoba Nfld. & Labrador New Brunswick Nova Scotia Ontario Quebec Saskatchewan Northwest Territories Federal 0 21,659 10,402 0 0 0 30,441 10,733 6,035 0 17,598 44 11,507 11,810 0 0 0 17,084 12,892 7,672 0 35,218 0 2 2,926 0 0 286 5,594 4,894 -179 0 420 0 2 2,486 0 0 200 7,747 2,900 0 0 270 15,029 11,586 353 229 0 0 0 0 1,740 1,617 413 290 29,059 44,763 14,093 6,412 0 36 0 0 204,793 119,732 Total 96,868 96,227 13,943 13,605 265,480 184,665 2011 33 Glossary Average length of haul: Calculated by dividing revenue ton-miles by revenue tons. Average cars per freight train: Calculated by dividing loaded and empty car miles by train miles. Container: A large, weatherproof box designed for shipping and/or transferring freight between rail, truck or marine modes. Specialized containers are equipped with heating and cooling capabilities for perishable products. 2011 Gross ton-miles (Gross tonne-kilometres): The sum of ton-miles handled, calculated using the total weight of the trailing tonnage (both loaded and empty cars) of the trains moved. It excludes the weight of the locomotives pulling the trains. 34 Intermodal service: The movement of trailers or containers by rail and at least one other mode of transportation. Import and export containers generally are shipped via marine and rail. Domestic intermodal service usually involves truck and rail. Scheduled railroad: A railroad that handles individual car movements according to a specific plan where possible and manages expectations to meet agreed upon customer commitments. Track operated: First main track only. Excludes second and other main track, passing tracks and crossovers, industrial tracks, spurs and yard tracks. Trip plan: A detailed chain of train handling events describing car handling from shipper’s door to consignee’s door. Trip plans are expressed in hours and are tailored for each specific customer location. Unit train: A train with a fixed, coupled consist of cars operated continuously in shuttle service under load from origin and delivered intact at destination and returning usually for reloading at the same origin. CONVERSION FACTORS miles to kilometres 1.6093 On-time performance: The ability to meet customer requirements as to pick-up and delivery schedules. tons (short) to metric tonnes 0.9072 gallons to litres 4.5461 Reload centre: A transfer facility enabling the railway to expand market share through truck-to-rail service. revenue ton-miles to revenue tonne-kilometres 1.4599 kilometres to miles 0.6214 Revenue ton-miles (Revenue tonnekilometres): The sum of ton-miles handled, calculated using the total weight of the commodities in the cars of the trains moved. It excludes the ton-miles involved in the movement of railway materials or any other non-revenue movement. metric tonnes to tons (short) 1.1023 litres to gallons 0.2200 revenue tonne-kilometres to revenue ton-miles 0.6850