Many regionals and short lines have struggled through 2009 amid a weak economy and soft traffic demand. During the year’s first 49 weeks ending Dec. 12, 336 small railroads handled 4.2 million carloads, down 25.7 percent compared with volume from the same 2008 period, according to RMI’s latest RailConnect Index of Short Line Traffic.

But don’t count the Reading, Blue Mountain and Northern Railroad Co. (RBMN) among the traffic-declining crowd. The 300-mile short line has grown its business significantly this year in eastern Pennsylvania — so much so, it hired additional employees, purchased more than 100 new rail cars and two locomotives, and spent millions of dollars to upgrade infrastructure.

“Our customers have shown their confidence in us by continuing to expand their facilities on our railroad,” said RBMN owner and Chief Executive Officer Andrew Muller Jr. in a prepared statement.

To reward its full-time employees for a banner year, the short line will provide them an extra week of vacation, as well as an all-expense paid cruise or vacation to Disney World in Orlando, Fla.; Branson, Mo.; Williamsburg, Va.; or London, England. RBMN employs more than 150 people.

“This is our way of saying thank you for a job well done,” said Muller. “I am proud that in the worst economy since the Great Depression we did not layoff any employees, [and] had no furloughs or reductions in hours.”

After bucking the recession in 2009, RBMN is “poised for a fantastic 2010” in part because of new traffic that’ll be generated by natural gas production from the Marcellus Shale, said Muller.

It’s good to hear from a railroad that isn’t slogging through 2009 and is jazzed about the coming year. To learn about the short-line industry’s more reserved 2010 outlook, follow this link to read an article (“Short lines eye soft economy, ‘regulatory tsunami’”) that appears in our December issue. And for a review of Class Is’ somewhat conservative take on next year, follow this link to another December issue story (“Of recovery and regulation”).

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