Tex Mex, BNSF reach interline pact (February 1999)


Burlington Northern Santa Fe and the Texas Mexican Railway recently entered into a five-year interline divisional pact for traffic moving between Robstown (Corpus Christi), Texas, and Mexico via the Laredo, Texas, gateway.

The deal covers carload and intermodal traffic interchanged between BNSF and Tex Mex at Robstown, and between the Tex Mex and Transportacion Ferroviaria Mexicana S.A. de C.V. (TFM) at Laredo.

Tex Mex is a subsidiary of Kansas City Southern Industries Inc. and Transportation Maritime Mexicana S.A. de C.V., which also owns TFM. 

"The investments in infrastructure made by both Tex Mex and TFM will ... [position] us as a true competitor in cross-border transportation," said Peter Rickershauser, BNSF vice president of business development, in a prepared statement. 

The Tex Mex also expects to generate more traffic from the pact, Tex Mex President Larry Fields said.

The agreement was revealed two weeks after the Surface Transportation Board announced it wouldn't reopen the Union Pacific Railroad-Southern Pacific merger.

Source: The February 1999 issue of Progressive Railroading