Carload Express

PROJECT DESCRIPTION

Finance rail transload facility

 

BACKGROUND

Owner of Carload Express Inc., Russell Peterson, needed to finance his fast-growing family of railroads and related transportation companies.Carload Express was stressing cash flow in an effort to self-fund multiple growth projects.

 

SRF APPROACH

Strategic Rail Finance clarified Carload Express’ cash flow, attracted new lenders, reinvigorated existing bank relations, and coordinated new financing through a reengineering of debt, credit lines, and collateral assignments.

 

RESULTS

  • Demonstrated equity value to bank lenders of previous track and locomotive upgrade investments
  • Secured $500,000 five-year financing at prime interest rate
  • Reduced monthly debt service including new financing
  • Obtained release of property, cash, inventory, and receivables from collateral assignments
  • Secured preapproval of international investment bank for future acquisitions