Southern Pacific Santa Fe Railroad
Encyclopedia
In the 1980s, the Atchison, Topeka and Santa Fe Railway
(SF) and Southern Pacific Transportation Company (SP) attempted a merger. It began with the merger of holding companies Santa Fe Industries
and Southern Pacific Company on December 23, 1983 to form the Santa Fe Southern Pacific Corporation (SFSP), which held the SP shares in a voting trust
. After the Interstate Commerce Commission
denied the merger, SFSP sold the SP to Rio Grande Industries
on October 13, 1988, and was renamed Santa Fe Pacific Corporation
on April 25, 1989.
The holding company controlled all the rail and non-rail assets of the former Santa Fe Industries and Southern Pacific Company, and it was intended that the two railroads would be merged. They were confident enough that this would be approved that they began repainting locomotives into a new unified paint scheme, including the letters SP or SF and an adjacent empty space for the other two (as SPSF, the reverse order of the holding company).
The merger was opposed by the Justice Department
in 1985 and denied in a 4–1 vote by the Interstate Commerce Commission
(ICC) on July 24, 1986, who ruled that such a merger included too many duplicate routes and was therefore monopolistic. The Commission denied SFSP's appeal (again in a 4–1 vote) on June 30, 1987.
The holding company, ordered to operate the Southern Pacific at arm's length until it sold it, disposed of it on October 13, 1988 to Rio Grande Industries for $1.02 billion and the assumption of SP's debt, which consolidated the SP with its Denver and Rio Grande Western railroad under the Southern Pacific name. The holding company retained all the non-rail interests of both predecessors and shortened its name to Santa Fe Pacific Corporation
(though all of the California real estate holdings were consolidated in a new company, Catellus Development Corporation
, becoming the State's largest private land owner. Catellus subsequently purchased the Union Pacific Railroad
's interest in the Los Angeles Union Passenger Terminal).
In 1995, the Santa Fe railroad merged with the Burlington Northern Railroad
to form the Burlington Northern and Santa Fe Railway (BNSF), and the SP merged with the Union Pacific Railroad
the following year.
This paint scheme, combining yellow, red and black, has come to be called the Kodachrome paint scheme due to the colors' resemblance to those on the boxes that Kodak used to package its Kodachrome
slide film (which was heavily used by railfans of the time). After the ICC's denial, railfan
s joked that SPSF really stood for "Shouldn't Paint So Fast".
At the time of merger denial, approximately 306 ATSF locomotive
s, 4 ATSF caboose
s, 10 ATSF slugs
, 96 SP locomotives, and 1 SP caboose had been painted in this fashion. The two railroads made an effort to repaint locomotives in their standard paint schemes after the merger was denied. Santa Fe repainted all Kodachromes still on roster by 1990, though some engines were sold in this scheme. Southern Pacific's less numerous Kodachromes were repainted much more slowly; some remained active on the Union Pacific after the SP buyout; a few Kodachrome-painted locomotives still operate in lease service today. One GP9 locomotive is operated by the Western Pacific Railroad Museum in Portola, CA. Another Kodachrome that exists is an SD40R still in service with the Trona Railway
.
Atchison, Topeka and Santa Fe Railway
The Atchison, Topeka and Santa Fe Railway , often abbreviated as Santa Fe, was one of the larger railroads in the United States. The company was first chartered in February 1859...
(SF) and Southern Pacific Transportation Company (SP) attempted a merger. It began with the merger of holding companies Santa Fe Industries
Santa Fe Industries
Santa Fe Industries was the diversified parent company, headquartered in Chicago, of the Atchison, Topeka and Santa Fe Railway. Formed in 1968, its non-railroad operations included construction, real estate, and energy units. In the early 1980s, after longtime head John Shedd Reed had been...
and Southern Pacific Company on December 23, 1983 to form the Santa Fe Southern Pacific Corporation (SFSP), which held the SP shares in a voting trust
Voting trust
A voting trust is a trust whereby the shares in a company of one or more shareholders and the voting rights attached thereto are legally transferred to a trustee, usually for a specified period of time . In some voting trusts, the trustee may also be granted additional powers...
. After the Interstate Commerce Commission
Interstate Commerce Commission
The Interstate Commerce Commission was a regulatory body in the United States created by the Interstate Commerce Act of 1887. The agency's original purpose was to regulate railroads to ensure fair rates, to eliminate rate discrimination, and to regulate other aspects of common carriers, including...
denied the merger, SFSP sold the SP to Rio Grande Industries
Rio Grande Industries
Rio Grande Industries was the diversified parent company, headquartered in Denver, of the Denver and Rio Grande Western Railroad. Formed in 1968, its non-railroad operations included construction, real estate, and energy units...
on October 13, 1988, and was renamed Santa Fe Pacific Corporation
Santa Fe Pacific Corporation
The Santa Fe Pacific Corporation was formed as the Santa Fe Southern Pacific Corporation in 1984 by the merger of Santa Fe Industries, which owned the Atchison, Topeka and Santa Fe Railway, with the Southern Pacific Company, which owned the Southern Pacific Railroad...
on April 25, 1989.
The holding company controlled all the rail and non-rail assets of the former Santa Fe Industries and Southern Pacific Company, and it was intended that the two railroads would be merged. They were confident enough that this would be approved that they began repainting locomotives into a new unified paint scheme, including the letters SP or SF and an adjacent empty space for the other two (as SPSF, the reverse order of the holding company).
The merger was opposed by the Justice Department
United States Department of Justice
The United States Department of Justice , is the United States federal executive department responsible for the enforcement of the law and administration of justice, equivalent to the justice or interior ministries of other countries.The Department is led by the Attorney General, who is nominated...
in 1985 and denied in a 4–1 vote by the Interstate Commerce Commission
Interstate Commerce Commission
The Interstate Commerce Commission was a regulatory body in the United States created by the Interstate Commerce Act of 1887. The agency's original purpose was to regulate railroads to ensure fair rates, to eliminate rate discrimination, and to regulate other aspects of common carriers, including...
(ICC) on July 24, 1986, who ruled that such a merger included too many duplicate routes and was therefore monopolistic. The Commission denied SFSP's appeal (again in a 4–1 vote) on June 30, 1987.
The holding company, ordered to operate the Southern Pacific at arm's length until it sold it, disposed of it on October 13, 1988 to Rio Grande Industries for $1.02 billion and the assumption of SP's debt, which consolidated the SP with its Denver and Rio Grande Western railroad under the Southern Pacific name. The holding company retained all the non-rail interests of both predecessors and shortened its name to Santa Fe Pacific Corporation
Santa Fe Pacific Corporation
The Santa Fe Pacific Corporation was formed as the Santa Fe Southern Pacific Corporation in 1984 by the merger of Santa Fe Industries, which owned the Atchison, Topeka and Santa Fe Railway, with the Southern Pacific Company, which owned the Southern Pacific Railroad...
(though all of the California real estate holdings were consolidated in a new company, Catellus Development Corporation
Catellus Development Corporation
Catellus Development Corporation is a real estate landowner that was spun off from the real estate holdings of the Santa Fe Pacific Corporation. They were one of the largest landowners in California, having owned the Los Angeles Union Station...
, becoming the State's largest private land owner. Catellus subsequently purchased the Union Pacific Railroad
Union Pacific Railroad
The Union Pacific Railroad , headquartered in Omaha, Nebraska, is the largest railroad network in the United States. James R. Young is president, CEO and Chairman....
's interest in the Los Angeles Union Passenger Terminal).
In 1995, the Santa Fe railroad merged with the Burlington Northern Railroad
Burlington Northern Railroad
The Burlington Northern Railroad was a United States-based railroad company formed from a merger of four major U.S. railroads. Burlington Northern operated between 1970 and 1996....
to form the Burlington Northern and Santa Fe Railway (BNSF), and the SP merged with the Union Pacific Railroad
Union Pacific Railroad
The Union Pacific Railroad , headquartered in Omaha, Nebraska, is the largest railroad network in the United States. James R. Young is president, CEO and Chairman....
the following year.
"Kodachrome" paint scheme
The locomotive livery featured the Santa Fe's Yellowbonnet with a red stripe on the locomotive's nose; the remainder of the locomotive body was painted in Southern Pacific's scarlet red (from their Bloody Nose scheme) with a black roof and black extending down to the lower part of the locomotive's radiator grills. The numberboards were red with white numbers. In large block letters within the red portion of the sides was either "SP" (for Southern Pacific-owned locomotives) or "SF" (for Santa Fe-owned locomotives). The lettering was positioned on the locomotive sides so that the other half of the lettering could be added after the merger became official. One locomotive was painted with the full SPSF lettering to show what the unified paint scheme would look like after the merger was complete. One Santa Fe caboose was in a similar situation: photoThis paint scheme, combining yellow, red and black, has come to be called the Kodachrome paint scheme due to the colors' resemblance to those on the boxes that Kodak used to package its Kodachrome
Kodachrome
Kodachrome is the trademarked brand name of a type of color reversal film that was manufactured by Eastman Kodak from 1935 to 2009.-Background:...
slide film (which was heavily used by railfans of the time). After the ICC's denial, railfan
Railfan
A railfan or rail buff , railway enthusiast or railway buff , or trainspotter , is a person interested in a recreational capacity in rail transport...
s joked that SPSF really stood for "Shouldn't Paint So Fast".
At the time of merger denial, approximately 306 ATSF locomotive
Locomotive
A locomotive is a railway vehicle that provides the motive power for a train. The word originates from the Latin loco – "from a place", ablative of locus, "place" + Medieval Latin motivus, "causing motion", and is a shortened form of the term locomotive engine, first used in the early 19th...
s, 4 ATSF caboose
Caboose
A caboose is a manned North American rail transport vehicle coupled at the end of a freight train. Although cabooses were once used on nearly every freight train, their use has declined and they are seldom seen on trains, except on locals and smaller railroads.-Function:The caboose provided the...
s, 10 ATSF slugs
Slug (railroad)
A railroad slug is an accessory to a diesel-electric locomotive. It has trucks with traction motors but is unable to move about under its own power, as it does not contain a prime mover to produce electricity...
, 96 SP locomotives, and 1 SP caboose had been painted in this fashion. The two railroads made an effort to repaint locomotives in their standard paint schemes after the merger was denied. Santa Fe repainted all Kodachromes still on roster by 1990, though some engines were sold in this scheme. Southern Pacific's less numerous Kodachromes were repainted much more slowly; some remained active on the Union Pacific after the SP buyout; a few Kodachrome-painted locomotives still operate in lease service today. One GP9 locomotive is operated by the Western Pacific Railroad Museum in Portola, CA. Another Kodachrome that exists is an SD40R still in service with the Trona Railway
Trona Railway
The Trona Railway is a shortline railroad owned by Searles Valley Minerals.The TRC interchanges with the Union Pacific Railroad at Searles, California....
.