Kansas City Southern is a railroad holding company incorporated in Delaware and operating from a headquarters in Kansas City, Missouri. As a railroad, Kansas City Southern is the smallest of the largest seven Class I railroads in North America. It is primarily a north-south operating railroad while its peers operating mostly east-west routes. Kansas City Southern and its subsidiaries employed 7,040 people as of December 2019 and hauled freight between the Midwest, and the Gulf of Mexico, major industrial centers in Mexico, and the Pacific Ocean.
Kansas City Southern subsidiaries
According to the company’s annual report filed with the Securities and Exchange Commission, Kansas City Southern is the holding company responsible for several railroads and railroad companies, including The Kansas City Southern Railway Company; Kansas City Southern de México, S.A. de C.V.; and Mexrail, parent company of The Texas Mexican Railway Company. Kansas City Southern also owns, or partly owns, Panama Canal Railway Company;, KCSM Servicios, S.A. de C.V.; Meridian Speedway, LLC; TFCM, S. de R.L. de C.V., a bulk liquid terminal operator in Mexico; and Ferrocarril y Terminal del Valle de México, S.A. de C.V., a Mexico City-area service provider.
Kansas City Southern history
Kansas City Southern Railway Company dates to 1887 and, according to its SEC filing, serves a 10-state area in the United States including Missouri, Alabama, Louisiana, Mississippi, and Texas. Kansas City Southern de México operates a 50-year rail concession from the Mexican government from the Pacific Ocean port of Lazaro Cardenas, northeast to Texas and the United States. The two subsidiary railroads are connected by 157-mile Texas Mexican Railway Company, known as Tex-Mex. Together the railroads form an approximately 6,700-mile network.
Kansas City Southern industrial mix
In 2019, Kansas City Southern told the SEC, its railroads say Chemical & Petroleum products represent 26% of its railroad traffic followed by Industrial & Consumer Products, 21%; Agriculture & Minerals, 17%; Intermodal, 13%; Automotive, 9%; Energy, 9%; Other commodities, 5%.
•Patrick J. Ottensmeyer — President and Chief Executive Officer — age 62
•Warren K. Erdman — Executive Vice President, Administration and Corporate Affairs — age 61
•Brian D. Hancock — Executive Vice President and Chief Innovation Officer — age 54
•Jeffrey M. Songer — Executive Vice President and Chief Operating Officer — age 50
•Michael W. Upchurch — Executive Vice President and Chief Financial Officer — age 59
•José Guillermo Zozaya Delano — President and Executive Representative — KCSM — age 67
•Lora S. Cheatum — Senior Vice President, Human Resources — age 63
•Michael J. Naatz — Executive Vice President and Chief Marketing Officer — age 54
•Suzanne M. Grafton — Vice President and Chief Accounting Officer — age 44
•Adam J. Godderz — General Counsel and Corporate Secretary — age 45
Kansas City Southern selected 2019 financial details (totals may not balance due to rounding)
Total assets: $9.8 billion
Total liabilities: $5 billion
Total shareholders’ equity: $4.7 billion
Total revenues: $2.9 billion
Total operating expenses: $2 billion
Total operating income: $886 million
Total net income: $541 million
Kansas City Southern selected rolling stock details
Total route miles: about 6,700
Locomotives: 750 freight (road) engines; 199 switching engines
Hoppers (covered and open top): 6,071
Flatcars and intermodal cars: 2,196
Automotive cars: 3,851
Tank cars: 477
The average age of freight locomotives was 15.5 years. The average age of switching locomotives was 45.8 years.