The 219-mile Heart of Georgia Railroad Inc. (HOG, informally known as “The Hog’) will be part of Genesee & Wyoming Inc. by the second quarter of 2017, pending Surface Transportation Board approval.
GWI has agreed to acquire the shares of Atlantic Western Transportation, Inc., parent company of HOG. Terms of the acquisition were not disclosed. Following the acquisition, HOG will be managed as one of GWI’s Coastal Region railroads, led by Senior Vice President Andy Chunko.
HOG was founded in 1999 and operates across the state of Georgia on track leased from the Georgia Department of Transportation. It connects with two GWI railroads: Georgia Southwestern Railroad at Americus, Ga., and Georgia Central Railway at Vidalia, Ga. HOG serves an inland intermodal terminal at Cordele, Ga., providing five-day-per-week direct rail service via the Georgia Central to the Port of Savannah for automotive, agricultural products and other merchandise customers. It has Class I railroad connections with CSX at Cordele and Norfolk Southern at Americus and Helena, Ga. HOG transports approximately 10,000 annual carloads of agricultural products, feed, fertilizer and lumber and forest products, of which approximately 2,000 carloads are interchanged with the Georgia Central.
“The Heart of Georgia is an excellent bolt-on acquisition that we expect will enhance economic development by providing an efficient lane across southern Georgia,” Chunko said. “Its proximity to other [GWI] railroads unlocks operational efficiencies, while enhancing the railroads’ abilities to serve customers and generate new commercial opportunities across the region. We look forward to the 15 HOG employees joining those at our connecting railroads and working with our Class I partners to expand HOG’s recent success in driving more traffic onto rail in Georgia and Florida. We also look forward to broadening our already strong relationship with the Georgia Department of Transportation and Georgia Ports Authority, in a state where we have established a significant long-term presence, operating 11 railroads over more than 600 track-miles.”