The western trains ALL cover their variable and direct fixed costs of operations handily, but fail only to cover Amtrak’s allocations of system fixed costs which exist irrespective of the fact or volume of long distance train operations. It is still the case also that Amtrak deliberately misallocates substantial shares of NEC fixed costs to long distance trains, including long distance trains in the west that never use the NEC. The purported “success” or “profitability” of the NEC is a BIG LIE because to make that claim (and to hide the NEC’s staggering and growing annual losses), Amtrak routinely mischaracterizes its infrastructure costs as “capital” items, as if that changes the fact that these costs are caused by and indispensible for the operation of trains in the NEC.

April 8, 2013 Part 1  April 8, 2013 Part 2  April 8, 2013 Part 3

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