Well I'm sure that their idea is that they won't be getting paid what they think is fair compensation by Amtrak for the passage of the daily trains, much less the tri-weekly in the past, so they're looking to extract as much as they can get from this deal up front.We're still waiting to see them explain their $750 million charge for a one-time schedule change. How exactly is a single extra train a day going to cost UP $750 million? If UP is expecting the American taxpayer to fund 25% of their double-tracking expansion costs in exchange for 1% of the non-negotiable traffic rights, well, that sounds like a bad deal to me. In my view UP is acting like a corporate welfare case that needs to be forcibly weaned from the fraud teat. We've tried the carrot and it doesn't seem to be working. Maybe it's time for using more of the stick instead.
The question is going to be, who blinks first? Amtrak or UP?
If UP blinks, we might have a resolution that could be more to UP's benefit.
If Amtrak blinks one way, then the idea may just go away for a number of years. If Amtrak blinks the other way, UP could find itself on the short end of the STB stick.