Watco to buy CN Branch Lines

Short line operator Watco will buy 650 miles of branch line track in Michigan, Wisconsin and Ontario from Canadian National.

Watco will also begin operating the Agawa Canyon Train, which will use 250 miles of track the short line company is buying between Sault Ste. Marie and Oba, Ontario.

It has signed a memorandum of understanding with the Missanabie Cree First Nation regarding forming a partnership to operate the Algoma Central Railway.

The Agawa Canyon Train offers one-day excursions over 114 miles north of Sault St. Marie.

Terms of the transaction were not disclosed. CN had been offering the affected line for sale since last July.

In the United States Watco is purchasing lines now operated by CN affiliate Wisconsin Central.

The acquisitions in the U.S. must be approved by the Surface Transportation Board approval.

Tags: Agawa Canyon Train, Canadian National, CN branch lines, rail line sales, U.S. Surface Transportation Board, Watco Companies