Company Overview

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RDC is a Pittsburgh based railway investment and management company, unique in its focus on emerging railroad markets. Its focus has expanded from railways to transportation corridors, extending the reach and value of its franchises through the incorporation of port facilities, transload facilities, fiber optics development and other related businesses.

RDC's competitive advantage stems from its ability to structure joint ventures on a case-by-case basis in complex and volatile markets, while minimizing transaction costs and the time necessary for implementation.

RDC's current affiliates include:

bullet the Iowa Interstate Railroad ("IAIS"), a 592-mile (954 km) (standard gauge) regional carrier consisting of former Rock Island routes between Chicago, Illinois, and Omaha, Nebraska, in the United States.

bullet in conjunction with Peruvian investors, Ferrocarril Central Andino ("FCCA"), a 332-mile (535 km) (standard gauge) railroad connecting Huancayo and Cerro de Pasco with Lima and the Pacific port of Callao.

bullet in conjunction with German and British investors, Hamburg-Köln-Express ("HKX"), a 280-mile (450 km) intercity passenger rail service between Cologne and Hamburg, Germany.

bullet in conjunction with Colombian, Swiss and Belgian investors, Ferrocarril del Pacífico ("FDP"), a 122-mile (196 km) (narrow gauge) Pacific coast railroad between the port of Buenaventura and Palmira, just north of Cali, Colombia. 

bullet in conjunction with a Belgian investor, RégioRail, a management and investment company for rail freight operations and related businesses in western Europe, beginning with France.

RDC's former affiliations were:

bullet in conjunction with Estonian and international investors, the Estonian freight railway -- Eesti Raudtee ("EVR") from August 2001 to January 2007.  This 431-mile route (693 km) (five-foot gauge) links Russia's railway system with the ice-free ports of Estonia.

bullet in conjunction with Mozambican and international investors, the Nacala Corridor, which integrates the Corredor de Desenvolvimento do Norte ("CDN") (the North Development Corridor) in Mozambique and Central East African Railways ("CEAR") in Malawi.
CDN represents the Port of Nacala and the Northern Railway in Mozambique and consists of 542 miles (873 km) of trackage between the Indian Ocean at Nacala and the border with Malawi, and serves as Malawi’s exclusive rail access. CEAR represents the railway system of Malawi and consists of 495 miles (797 km) connecting the major cities of Blantyre and Lilongwe with Mozambique’s Northern railway.

bullet in conjunction with Guatemalan investors, Ferrovías Guatemala ("FVG") from October 1997 to December 2013. This 200-mile (322 km) (narrow gauge) railroad connected Guatemala City with the Atlantic Ocean. Additional closed corridors to Mexico and El Salvador, as well as ports on both the Atlantic and Pacific coasts, were included in the concession.

bullet in conjunction with América Latina Logística, ALL Central from August 1993 to June 2013. This 3,535-mile (5,690 km) (broad gauge) railroad operates on the San Martín line in six provinces of Argentina along an east-west route between Buenos Aires and Mendoza.

bullet in conjunction with América Latina Logística, ALL Mesopotámica from October 1993 to June 2013. This 1,680-mile (2,704 km) (standard gauge) railroad operates on the Urquiza line in four provinces of Argentina on a route network linking Buenos Aires to interchanges with railroads in Uruguay, Brazil, and Paraguay.


Investment Overview

The following table presents a summary of the scope of RDC's investments:


Investment
Length
in
Km.
Length in
Miles

Locos.

Wagons
Average
Tons (in
millions)
IAIS 954 592 40 649 14
FCCA 535 332 28 732 1.8
HKX 450 280 N/A N/A N/A
FDP 196 122 10 150 --

Investments sold Sep. 2008:

CEAR 797 495 19 403 0.2
(YE 2008)
CDN 873 542 6 166 0.2 Rail
0.9 Port
(YE 2008)

Re-nationalized Jan. 2007:

EVR 693 431 102 3,318 44.4
(YE 2006)

Re-nationalized Jun. 2013:

ALL Central 5,690 3,535 110 5,156 2.5
(YE 2008)
ALL Meso 2,704 1,680 48 2,223 1.0
(YE 2008)

Re-nationalized Dec. 2013:

FVG 322 200 6 130 N/A*

*Service suspended Sep. 2007

 

Investment Philosophy

  • RDC acts as an investor, with management and institutional investors as partners. 

  • Partners must be willing to co-invest in initial capitalization, and at a level which represents a significant commitment.
      

  • Prefers negotiated transactions, as opposed to auctions.
     

  • Prefers properties with annual revenue in excess of US$10 million.

  • Emphasis on financial discipline, quality of management, integrity, speed.  

  • Willingness to take on time-sensitive, complex transactions.

 



(click on photo to enlarge)

IAIS train entering Blue Island, Illinois, via trackage rights over METRA.


(click on photo to enlarge)

ALL Central truck/rail transloading operation at Palmira.





 


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