SHORT LINE RAILROAD
Kaw River Railroad (Watco)
Kaw River Railroad: Kansas City’s Shortline Powerhouse Moves 15,000 Carloads Annually, Connecting Major Class I Railroads in the Midwest
Company Overview
Kaw River Railroad, a Watco company, operates one of North America's most strategically connected shortline freight rail networks, linking businesses across Kansas and Missouri with safe, efficient, and environmentally responsible transportation solutions. The railroad manages nearly 29 miles of track on the KAW line and 26 miles on the Kansas City Terminal Line, primarily serving the Kansas City metropolitan area.
FOUNDING HISTORY & ORGANIZATIONAL STRUCTURE
Founded in June 2004 by Watco Companies, the Kaw River Railroad began with a 12-mile line serving Kansas City Southern customers and historic Union Station. The railroad expanded rapidly, adding new lines and industrial tracks through 2007, and now serves more than 30 customers in the region..
HEADQUARTERS & OPERATIONAL BASES
The headquarters and operations office for Kaw River Railroad is located at 1128 S Mill St, Kansas City, KS 66105. This facility houses both operations and customer service teams, supporting daily rail activities and customer needs..
LEADERSHIP & EMPLOYEES
Our People Drive Excellence
Key Leadership
Brandon Craddock serves as General Manager of Kaw River Railroad, overseeing day-to-day operations and customer relationships. Shellee Currier leads sales efforts, while Watco Companies’ executive leadership, including CEO Dan Smith, provides strategic direction and support for all Watco railroads.
Employee Demographics
Kaw River Railroad employs approximately 40 people, with the majority being skilled craftspeople, maintenance workers, and service teams dedicated to safe and reliable rail operations. The workforce reflects Watco’s broader commitment to diversity and operational excellence.
FACILITIES & OPERATIONS
Strategic Regional Operations
Major Operating Facilities
Major facilities include the main operations and customer service center in Kansas City, Kansas, the Bedford Yard, and the Birmingham, Missouri interchange. The railroad also operates industrial development sites such as the Wilson Road facility on the Kansas City Terminal Line, and a transload site for dry bulk products and other carload traffic.
Site Certifications
Kaw River Railroad adheres to all Federal Railroad Administration safety and compliance standards and benefits from Watco’s company-wide ISO certifications and environmental awards. Watco has been recognized as a Most Loved Workplace by Newsweek and the Best Practice Institute.
EQUIPMENT & INFRASTRUCTURE
Regional Equipment & Technology
Container Types & Equipment
The railroad handles a variety of railcar types, including boxcars, tank cars, and covered hoppers, with a track capacity of up to 286,000 pounds per car. Its transload site supports dry bulk and other specialized shipments.
Technology Platforms
Technology platforms include Watco’s customer portal for shipment tracking, pricing, and documentation, as well as RMI-based information exchange for real-time data sharing with connecting railroads. Automated dispatch and customer service systems enhance operational efficiency.
Network Coverage & Market Position
Geographic Scope
Kaw River Railroad serves Kansas and Missouri, operating nearly 55 miles of track across both states. Key corridors include connections to major Class I railroads at Kansas City, Missouri and Kansas City, Kansas, as well as Birmingham, Missouri.
Strategic Partnerships
Strategic partnerships include interchanges with BNSF, CPKC, Norfolk Southern, and Union Pacific, enabling seamless freight movement across North America. The railroad also collaborates with local industrial customers and regional logistics providers.
Carrier Partners & Regional Networks
- Carrier CollaborationsCarrier collaborations extend to vessel carriers and trucking partners through interline agreements, supporting multimodal shipments and efficient last-mile delivery.
- Freight Network MembershipsKaw River Railroad is a member of industry associations such as the American Short Line and Regional Railroad Association and participates in regional freight networks and trade organizations to promote best practices and industry standards.
FINANCIAL METRICS & STABILITY
Regional Focus & Operational Efficiency
Annual Revenue
In 2022, Watco Companies, the parent of Kaw River Railroad, reported a pre-tax profit of $1.6 billion on revenues of $1.6 billion. The company’s operating ratio improved to 82 percent, reflecting enhanced operational efficiency.
Investments & Acquisitions
Recent investments include Watco’s $600 million capital infusion in 2025 for long-term strategic growth, supporting infrastructure upgrades and technology enhancements across its railroads, including Kaw River Railroad.
SERVICE PORTFOLIO
Comprehensive Regional Transportation
Core Logistics Services
Kaw River Railroad 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 for bulk and industrial products.
Digital Offerings
The railroad has launched a new customer portal to enhance self-service capabilities and streamline day-to-day activities for clients. An API Center is available to facilitate seamless integration with customer systems for shipment tracking and documentation.
INDUSTRY REPUTATION & NEWS
Regional Transportation Leadership
Recent Developments
Recent developments include ongoing infrastructure upgrades, expanded transload capabilities, and the implementation of advanced safety and automation technologies to improve operational efficiency and service quality.
Awards & Certifications
Kaw River Railroad’s Site Certification Program identifies optimal rail-served sites and conducts in-depth reviews to ensure readiness for development, minimizing risks for customers and enhancing supply chain efficiency.
ANALYSIS & FUTURE OUTLOOK
Regional market position and growth strategies
Strengths
- Strong interchanges with major Class I railroads in Kansas City and Birmingham
- Flexible transload and industrial development sites supporting diverse customer needs
- Commitment to safety, compliance, and customer service excellence
Challenges
- Limited geographic coverage compared to larger regional or Class I railroads
- Reliance on industrial customers in a concentrated market area
Opportunities
- Expansion of transload and industrial development sites to attract new business
- Leveraging Watco’s capital investments for infrastructure and technology upgrades
Risks
- Economic downturns affecting regional freight volumes
- Potential operational disruptions from labor disputes or regulatory changes