SPECIALTY RAILROAD
Alton and Southern Railway
Alton & Southern Railway: Moving over 3,500 railcars daily, this St. Louis terminal railroad is a critical link connecting shippers to every major Class 1 railroad in the region.
Company Overview
Alton & Southern Railway operates one of North America's most active specialty switching rail networks, connecting businesses across Illinois and Missouri with safe, efficient, and environmentally responsible transportation solutions. The network consists of approximately 30 miles of mainline track in the Greater St.
FOUNDING HISTORY & ORGANIZATIONAL STRUCTURE
Founded in 1910 by the Aluminum Ore Company, a subsidiary of Alcoa, Alton & Southern was originally built to serve the bauxite-to-alumina refinery at Alorton, Illinois. The railroad expanded through mergers with the Denverside Connecting Railway and the original Alton and Southern Railway in 1913, and later became jointly owned by major railroads before becoming a wholly owned subsidiary of Union Pacific in 1996..
HEADQUARTERS & OPERATIONAL BASES
The headquarters of Alton & Southern Railway is located at 2000 Missouri Avenue, East St. Louis, Illinois.
LEADERSHIP & EMPLOYEES
Our People Drive Excellence
Key Leadership
Michael A. McCarthy serves as President of Alton & Southern Railway, bringing decades of experience in terminal operations and Class 1 railroad management. The executive team includes a Vice President of Operations, a Chief Financial Officer, and a Director of Safety and Compliance, each with backgrounds in rail logistics, finance, and regulatory affairs, ensuring the company’s continued operational excellence and safety leadership.
Employee Demographics
Alton & Southern Railway employs approximately 250 people, with about 180 serving as skilled craftspeople, maintenance workers, and service teams responsible for 24/7 yard and terminal operations. The workforce reflects a strong commitment to safety and operational diversity, with ongoing training programs to support both technical and leadership development.
FACILITIES & OPERATIONS
Strategic Regional Operations
Major Operating Facilities
Major facilities include the Gateway Yard in East St. Louis, Illinois, which is one of the largest classification yards in the region, handling up to 48 trains and over 3,500 cars daily. Additional key locations include the Lenox Tower interchange in Mitchell, Illinois, the Alorton engine facility, and connections to Granite City Steel Plant, as well as interchange points with all major Class 1 railroads in the St. Louis terminal area.
Site Certifications
Alton & Southern Railway maintains compliance with all Federal Railroad Administration safety regulations and has received multiple safety awards for its operational record. The company adheres to ISO 9001 quality management standards and participates in environmental stewardship programs to minimize its ecological footprint.
EQUIPMENT & INFRASTRUCTURE
Regional Equipment & Technology
Container Types & Equipment
The railroad handles a wide variety of container types, including intermodal containers, boxcars, tank cars, and covered hoppers. Intermodal containers range from 20 to 53 feet in length, with capacities up to 30 tons, while tank cars are used for chemicals and petroleum products, and boxcars serve general freight and industrial goods.
Technology Platforms
Alton & Southern utilizes advanced technology platforms for real-time car tracking, automated yard management, and electronic data interchange with customers and partner railroads. The company offers a secure customer portal for shipment visibility, electronic billing, and service requests, as well as APIs for seamless integration with customer logistics systems.
Network Coverage & Market Position
Geographic Scope
The geographic scope of Alton & Southern Railway covers the Greater St. Louis metropolitan area, primarily in Illinois, with approximately 30 route miles. The railroad’s key corridors connect directly to all major Class 1 railroads, providing shippers with access to national and international markets.
Strategic Partnerships
Strategic partnerships include close working relationships with Union Pacific, BNSF Railway, Norfolk Southern, CSX, and Canadian National, as well as major shipping lines and logistics providers serving the St. Louis region. These partnerships enable efficient interchange and seamless freight movement across North America.
Carrier Partners & Regional Networks
- Carrier CollaborationsCarrier collaborations extend to vessel carriers at the Mississippi River ports, regional trucking companies for last-mile delivery, and interline agreements with connecting shortline and regional railroads to maximize network reach and service flexibility.
- Freight Network MembershipsAlton & Southern is an active member of the Association of American Railroads, the American Short Line and Regional Railroad Association, and local economic development organizations, supporting industry best practices and advocacy.
FINANCIAL METRICS & STABILITY
Regional Focus & Operational Efficiency
Annual Revenue
In 2024, Alton & Southern Railway reported a pre-tax profit of $18 million on revenues of $110 million. The company’s operating ratio improved to 72 percent, reflecting enhanced operational efficiency and cost control.
Investments & Acquisitions
Recent capital investments include a $12 million upgrade to the Gateway Yard’s hump and classification systems in 2023, as well as the acquisition of new locomotives and yard automation technology. No major acquisitions have been reported in the past five years.
SERVICE PORTFOLIO
Comprehensive Regional Transportation
Core Logistics Services
Alton & Southern Railway offers a range of logistics services, including full container load and less than container load shipments. Additional services include customs brokerage, trade compliance consulting, cargo insurance, and transloading, supporting customers with tailored supply chain solutions.
Digital Offerings
The company has launched a new customer portal to enhance self-service capabilities and improve day-to-day activities for its clients. Additionally, Alton & Southern offers an API Center to facilitate seamless integration with customer systems, providing real-time shipment tracking and electronic document exchange.
INDUSTRY REPUTATION & NEWS
Regional Transportation Leadership
Recent Developments
Alton & Southern Railway is actively working to enhance operational efficiency and service quality. The company has implemented automated obstacle scanners at its hubs and loading parks to improve safety and efficiency in handling intermodal containers. Recent initiatives also include expanded crew training and investments in environmentally friendly locomotive technology.
Awards & Certifications
Alton & Southern’s Site Certification Program has identified optimal rail-served sites and conducts in-depth reviews to ensure readiness for development. This program aims to minimize development risks for customers and enhance supply chain efficiency, earning recognition from regional economic development agencies.
ANALYSIS & FUTURE OUTLOOK
Regional market position and growth strategies
Strengths
- • Extensive rail network spans the St
- Louis terminal area with direct connections to all major Class 1 railroads • Strong partnerships with major ocean and motor carriers • Commitment to technological advancements and operational efficiency
Challenges
- Challenges in achieving higher profitability margins compared to competitors
- Ongoing efforts to enhance service quality and operational efficiency
Opportunities
- Continued investment in infrastructure and technology to support growth
- Expansion of services hubs and intermodal facilities to enhance service offerings
Risks
- Economic downturns are affecting freight volumes
- Operational disruptions due to external factors such as labor disputes or regulatory changes