Profile: Kansas City Southern (KSU)
30 Jun 2015
Kansas City Southern (KCS), incorporated on January 29, 1962, is a transportation holding company with domestic and international rail operations in North America that are focused on the north/south freight corridor connecting commercial and industrial markets in the central United States with industrial cities in Mexico. The Company controls and owns The Kansas City Southern Railway Company (KCSR), a United States Class I railroad that serves a ten-state region in the midwest and southeast regions of the United States and has the shortest north/south rail route between Kansas City, Missouri and several key ports along the Gulf of Mexico in Alabama, Louisiana, Mississippi and Texas. The Company controls and owns Kansas City Southern de Mexico, S.A. de C.V. (KCSM), which serves Mexico's principal industrial cities and three of its seaports. The Company also wholly owns Mexrail, Inc. (Mexrail), which owns The Texas Mexican Railway Company (Tex-Mex), which connects the operations of KCSR with KCSM. KCSM provides rail access to the Port of Lazaro Cardenas on the Pacific Ocean. The KCS coordinated rail network (KCSR, KCSM and Tex-Mex) consists of approximately 6,500 route miles extending from the midwest and southeast portions of the United States south into Mexico and connects with all other Class I railroads, providing shippers with an alternative to other railroad routes and giving direct access to Mexico and the southeast and southwest United States through alternate interchange hubs.
The Company's other subsidiaries and affiliates include Meridian Speedway, LLC (MSLLC), a 70% owned consolidated affiliate that owns the former KCSR rail line between Meridian, Mississippi and Shreveport, Louisiana, which is the portion of the rail line between Dallas, Texas and Meridian known as the Meridian Speedway, and KCSM Servicios, S.A. de C.V. (KCSM Servicios), a wholly owned consolidated affiliate that provides employee services to KCSM. The Company also operates Panama Canal Railway Company (PCRC), an unconsolidated joint venture company, which is a 47 mile railroad located adjacent to the Panama Canal that provides international container shipping companies with a railway transportation option in lieu of the Panama Canal.
The markets served by the Company include chemical and petroleum, industrial and consumer products, agriculture and minerals, energy, intermodal and automotive. The chemical and petroleum sector includes products such as plastics, other petroleum refined products and miscellaneous chemicals. KCS transports these products to markets in the midwest, southeast and northeast United States and throughout Mexico through interchanges with other rail carriers. KCS also transports steel coils, plates and pipe from the United States-based mini-mills in Mississippi and Alabama to several the United States locations and Mexico for oil drilling, appliance and automotive applications. In the United States, KCS's rail lines receive and originate shipments of grain and grain products for delivery to feed mills, food and industrial consumers in the United States and Mexico. KCS hauls unit trains (trains transporting a single commodity from one source to one destination) of coal for nine electric generating plants in the central United States. KCS transports petroleum coke from refineries in the United States to cement companies in Mexico, as well as to vessels for international distribution through the Pabtex export terminal located in Port Arthur, Texas. Under intermodal product category, KCS serves and supports the United States and Mexican markets, as well as cross border traffic between the United States and Mexico. KCS provides rail transportation to the automotive industry supply chain, including automotive manufacturers, assembly plants and distribution centers throughout North America. In addition, KCS transports finished vehicles imported and exported to and from Asia through a distribution facility at the Port of Lazaro Cardenas.
The Company competes with BNSF Railway Company, Union Pacific Railroad Company, Ferrocarril Mexicano, S.A. de C.V. and Ferrosur, S.A. de C.V.
Kansas City Southern
427 W 12th St
KANSAS CITY MO 64105-1403
Company Web Links
- UPDATE 1-U.S. capital spending seen falling to four-year low in 2015
- UPDATE 1-Kansas City Southern reports decline in 1st-qtr revenue
- Kansas City Southern reports higher 1st-qtr profit
- Grupo Mexico hopes to raise $1.3 billion in rail unit IPO
- Kansas City Southern profit rises, expects solid 2015 growth