From my understanding Iowa Pacific owed creditors something in the neighborhood of three million plus dollars. Once those creditors are paid off through the sales of the equipment what happens after that? Does the liquidation continue?

It’s a lot more than $3mil owed. Opinion: I don’t know what the total numbers are but I’ve read that they owe something like $17mil in federal taxes alone. Add to that defaulted loans, contracts, payroll, state taxes, etc. and it’s gotta be a pretty penny. I wouldn’t think that liquidation is gonna come anywhere close to paying off the creditors or IPH and it’s subsidiaries wouldn’t be in bankruptcy.

First - the debt appears to be much more than $3 million. There are dozens of firms who have made claims, and the amounts vary from $4.6 million down to tens of thousands. The total amount has not always been clear, but the estimates have been pretty large.

To answer the question, the firm has been ordered by courts to be liquidated by the receiver. That means they pay off the debts, and then if anything is left, pay the stockholders and others who have invested in the firm. In some cases, there is enough left to reorganize the company, but in most cases people take cents on the dollar and the firm is gone for good. If all bills are paid, then any assets can be held on to (essentially buy it from yourself), but these will probably be the very least desirable.

The Rock Island is a case example of being able to pay off the debt by selling assets, and having enough money left over to restart. In this case, the railroad (new company) was worth far more after the receiver's sale than before. The new firm was in the investment business, leased some rail routes, invested in other businesses, etc.

This is a Chapter 11 bankruptcy, not a Chapter 7, so presumably there is some belief the company can be re-organized.

Normally commercial bankruptcies start out as Chapter 11, to give the owner a chance to do a song-n-dance for the judge about how everything will be peachy after reorganization. If the judge isn't convinced, it is converted to a Chapter 7.

Whatever the debt amount, the story is how much IPH equipment the Reading & Northern is going after. “Game changer” only begins to describe it.

Have they bought anything else since what was previously mentioned?

Last I'd heard, they'd bought:

3 Ex-SOU Heavyweight Commuter Coaches
1 Ex-SOU Observation car
1 Ex-ATSF Super Dome
1 Ex-IC Club Car

Re: Above, I have a new list of cars the RBMN is trying to purchase in addition to what I've already listed.

In addition to the aforementioned cars, the Reading and Northern has made moves to purchase:

SLRG 448 (diner)
SLRG 9115 Baton Rouge (Ex SCL nee SAL) (Pullman 9 DB Sleeper)
SLRG 3305 Mardi Gras (Ex IC) (Obs. Lounge)
SLRG 1062 Cuchera Valley (Coach)

Was Mardi Gras owned by Roanoke NRHS?

Yes. It's likely it'll be wearing red again soon, if RBMN successfully buys it.

Here is the list of cars R&N bought from IOU Pacific's trustee: https://www.facebook.com/RBMNPassenger/ ... 2638322313

"The Reading and Northern has purchased eleven passenger coaches of various types of seating. A passenger coach auction occurred over the first half of 2021 in Colorado. Many of the coaches have an amazing history, previously running on famous trains including the “City of New Orleans”, the “Crescent”, and the “Twentieth Century Limited”. There are several types of seating: coach, dome, parlor, open air, and lounge.

The Reading and Northern has renumbered the majority of the equipment to better fit into the current numbering system of the Passenger Department. Some of these coaches are unlike any the Reading and Northern has ever owned over 36 years in the passenger business.

More information about the equipment moves from Colorado to Pennsylvania will be given on our Facebook pages. Many of these cars will be accessible to the general public for years to come. Passenger ridership records continue to be broken through spring and early summer of 2021. All eleven cars will make a great addition to our expanding operations for years to come.

Over the next few weeks we will be posting more information and pictures of each of our new coaches so stay tuned for those!"

I'm looking to update my Delaware Otsego/NYSW passenger car page and was wondering if there's any confirmed updates on these ex IP ATSF big domes:

Santa Fe Number/IP Name
513, Columbia View
553, Unknown (Anyone got it?)
508, Canyon View
554, Summit View
512, Alpine View
510, Sunset View
509, Cascade View

http://joshuakblay.com/DO%20NYSW%20Pass ... ipment.pdf

Many thanks!

Joshua

508 is currently operating on the Cape Cod Central Railroad’s trains out of Hyannis, MA. It is currently carrying the name “Matanuska”.

Saw three Iowa Pacific passenger cars at the rear of an eastbound UP freight passing through Winfield IL this evening (Winfield is a Chicago suburb just west of Wheaton on the former CNW east-west main line). I didn't get the numbers. All were in IC colors. One was lettered for Iowa Pacific and one was lettered for SLRG. I didn't catch the lettering on the third. I was walking a dog who had more important things to do (or, more accurately, to leave behind).

I've heard that 3 RBMN cars are eastbound at the moment. This is likely what you saw.

Last I heard they were in Conway.