Crab Orchard and Egyptian Railway

Crab Orchard and Egyptian Railway, commonly identified by the reporting mark COER, is a privately operated Class III shortline common carrier in Southern Illinois. Its present network covers approximately 13.5 miles of track in and around Marion and Herrin, two industrial centers in Williamson County. The railroad is organized into the Marion District, with roughly 8.5 miles of line, and the Herrin District, with approximately five miles. Although compact, the system connects local industrial customers with the national rail network through interchange points with Union Pacific and BNSF Railway. The company began in 1971 under the name American Rail Heritage Ltd. and initially pursued a heritage-oriented tourist railroad operation over trackage associated with Illinois Central Gulf. Its first tourist revenue service ran in May 1973, using a small 2-4-2T steam locomotive, No. 5, and former Illinois Central passenger cars. A second, larger steam locomotive, former Roberval and Saguenay 2-8-0 No. 17, was acquired in the middle of the decade and underwent an extensive restoration. A major fire at the former Illinois Central depot in June 1977 destroyed the railroad's offices and two passenger cars. The incident contributed to the indefinite discontinuation of the tourist operation in 1978, but the business soon changed direction. After Illinois Central Gulf discontinued freight service over the route, it sold the trackage and related property to the company. Crab Orchard and Egyptian began common-carrier freight operations in October 1977, initially using steam power. Piggyback service was added in late 1978, although that business later declined as industry practices and deregulation changed the economics of shortline intermodal traffic. The railroad became nationally notable because it continued using steam locomotives in regular revenue freight service after most American railroads had dieselized. No. 17 became the company's principal locomotive after its 1979 return to service and was widely recognized as the last steam locomotive used in regular common-carrier freight operations in the United States. This distinction ended in September 1986, when a boiler dry-pipe failure removed No. 17 from service. The railroad had already begun leasing diesel switchers, and it subsequently adopted diesel power permanently. No. 17 was sold in 1987 and eventually placed on static display by the Boone and Scenic Valley Railroad in Iowa. The company's physical network expanded in 1987 when it acquired approximately five miles of former Illinois Central Gulf trackage in Herrin. This created the Herrin District and provided access to manufacturing and other industrial customers. Over time, the railroad's traffic base included coal, lumber, petroleum products, grain, steel, paper, chemicals, manufactured goods, mining supplies, and freight-car repair movements. Customer names associated with the system have included industrial, manufacturing, wholesale, mining, railcar-repair, and government-contracting businesses, though several prominent facilities later closed. In late 2012, American Rail Heritage Ltd. sold the railroad to Progressive Rail Incorporated. The former operator's last day of operations was reported as December 19, 2012, after which the property continued as a Progressive Rail division under the Crab Orchard and Egyptian Railway name. The modern railroad operates with diesel switchers and remains focused on local freight distribution and interchange rather than passenger service. Its historical identity nevertheless continues to be closely linked to the final years of American revenue steam operation.

Crab Orchard and Egyptian Railway traces its origins to July 2, 1971, when American Rail Heritage Ltd. was incorporated. The enterprise initially developed a tourist railroad using former Illinois Central Gulf-associated trackage in the Marion area. Its first revenue excursion ran on May 29, 1973, with 2-4-2T locomotive No. 5 hauling former Illinois Central passenger cars from the former Market Street station in downtown Marion toward the Crab Orchard Refuge area and back. No. 5 was rebuilt after its first season, receiving a tender in place of its original saddle tank and coal bunker. In 1975, the company acquired former Roberval and Saguenay 2-8-0 No. 17, a larger Canadian-built locomotive that required a lengthy overhaul. The tourist business suffered a severe setback on June 13, 1977, when a fire destroyed much of the former Illinois Central depot. The blaze eliminated the company's offices and two of its six passenger cars. Tourist operations were suspended indefinitely by October 1978. The railroad's commercial role expanded in 1977. After Illinois Central Gulf ended freight service on the route, it sold the trackage and property to American Rail Heritage. The first common-carrier freight train operated on October 18, 1977, behind No. 5. Piggyback service followed in December 1978, supported by new flatcars and highway trailers. No. 17 completed its overhaul and made a test run on May 10, 1979; by July it had become the principal locomotive for freight work. During the early 1980s, the company acquired additional freight equipment, including coal and covered hoppers and former Ahnapee & Western boxcars. Piggyback traffic declined and was eventually discontinued as deregulation and privately owned freight-car fleets changed the shortline business. In April 1985, No. 5 was sold for use on tourist trains by the St. Louis, Iron Mountain and Southern Railway. Dieselization began in 1986 with the lease of two former Missouri Pacific EMD SW1200 switchers. On September 8 of that year, No. 17 suffered a dry-pipe failure while switching coal hoppers. Because the locomotive also faced a major federally required boiler overhaul, it was not returned to service. The event ended CO&E's steam era and is historically regarded as the close of regular steam common-carrier freight operation in the United States. No. 17 was sold in February 1987 and later placed on static display in Boone, Iowa. A third SW1200 joined the fleet in 1987. The system expanded again on September 11, 1987, when the company purchased approximately five miles of former Illinois Central Gulf line in Herrin. The new Herrin District served manufacturing and industrial customers, while the Marion District remained the railroad's principal operating division. The company's small Davenport 35-ton switcher, known as Rosi-Clare, was retired in 1995 and donated to the American Fluorite Museum. It was replaced by an EMD SW1 known as The Six, later named William Bill E. Schreiber. In the twenty-first century, the railroad's traffic included petroleum products, treated lumber, grain, steel, paper and packaging products, chemicals, mining-related goods, manufactured products, and railcar repair movements. Several customers and facilities later closed, including the Whirlpool-Maytag plant in December 2006 and a DJM Oil facility destroyed by fire in 2007. In late 2012, American Rail Heritage Ltd. sold the operation to Progressive Rail Incorporated. The railroad now operates as a Progressive Rail division, using diesel switchers to provide local freight service over the Marion and Herrin districts and to connect customers with Union Pacific and BNSF Railway.

1. 2012Ownership changes to Progressive Rail

   Progressive Rail Incorporated acquired the railroad from American Rail Heritage Ltd. in late 2012.

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2. 1987Herrin District is added

   The railroad purchased approximately five miles of former Illinois Central Gulf trackage in Herrin, expanding its industrial service territory.

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3. 1986Regular steam freight operation ends

   No. 17 suffered a boiler-related failure on September 8, ending the railroad's use of steam locomotives in regular revenue freight service.

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4. 1979Locomotive No. 17 enters regular service

   After a four-year overhaul, the 2-8-0 completed a test run in May and became the railroad's principal steam freight locomotive during the summer.

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5. 1977Depot fire and entry into freight service

   A June depot fire damaged the tourist operation. Later that year, after acquiring former Illinois Central Gulf property, the railroad began common-carrier freight service.

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6. 1973First tourist train operates

   The first revenue excursion ran on May 29 from Marion using steam locomotive No. 5 and former Illinois Central passenger cars.

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7. 1971American Rail Heritage is incorporated

   The enterprise that became Crab Orchard and Egyptian Railway was incorporated on July 2 under the name American Rail Heritage Ltd.

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A locally focused Southern Illinois shortline connecting industrial shippers with Class I railroads, with a distinctive heritage rooted in its former steam-powered freight operations.

• Marion District freight serviceShortline rail freight1977

  The approximately 8.5-mile Marion District is the railroad's principal operating division. It handles local industrial carloads and connects customers in the Marion area with Union Pacific and BNSF interchange routes. Traffic has included petroleum products, treated lumber, grain, mining equipment, manufactured goods, ammunition-related industrial movements, and railcar repair traffic.

• Herrin District freight serviceShortline rail freight1987

  The approximately five-mile Herrin District was acquired in 1987 from Illinois Central Gulf. It serves industrial customers in Herrin and has historically handled appliances, packaging materials, fuels, lubricants, wholesale goods, and other manufacturing-related traffic.

• Industrial switching and interchangeRail logistics1977

  CO&E provides shortline switching, carload handling, and interchange access for local shippers. Its system has three interchange points with Union Pacific and BNSF Railway, allowing traffic to move beyond the railroad's compact Southern Illinois network.

• Railcar repair serviceRail maintenance services

  Railcar repair movements form part of the railroad's industrial traffic base, including service associated with Southern Illinois Railcar. The railroad's role is primarily transportation and switching access for repair-related freight-car activity.

• 2012Sale to Progressive RailM&A

  American Rail Heritage Ltd. had operated the railroad since its formation and early transition into freight service.

  What changed. The railroad was sold to Progressive Rail Incorporated, with the ownership transition completed in late 2012.

  Aftermath. The operation continued under the Crab Orchard and Egyptian Railway name as a Progressive Rail division.

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• 1987Expansion into HerrinStrategy

  The company sought to extend its industrial freight base beyond the Marion area.

  What changed. It purchased approximately five miles of former Illinois Central Gulf line in Herrin.

  Aftermath. The purchase created the Herrin District and added access to manufacturing customers.

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• 1986Dieselization after locomotive No. 17 failureGeneration change

  The railroad had begun leasing diesel switchers, and its principal steam locomotive suffered a dry-pipe failure while switching coal cars.

  What changed. The company ended regular steam freight operations and moved to a diesel-based locomotive fleet.

  Aftermath. No. 17 was sold in 1987 and the railroad continued with diesel switchers.

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• 1977Shift from tourist operations to common-carrier freightStrategy

  A depot fire damaged the tourist operation while Illinois Central Gulf was withdrawing freight service from the route.

  What changed. The company acquired the available trackage and property and established regular freight service.

  Aftermath. Freight became the railroad's core business, while tourist operations were discontinued indefinitely.

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• 2012American Rail Heritage sells railroad to Progressive Rail

  American Rail Heritage Ltd. transferred ownership of the railroad to Progressive Rail Incorporated, which continued operating it as a division.

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• 1986Steam freight era ends after locomotive failure

  A dry-pipe failure aboard locomotive No. 17 ended the railroad's regular steam-powered revenue freight service and accelerated its transition to diesel operation.

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• 1977Depot fire destroys railroad offices and passenger cars

  A fire gutted the former Illinois Central depot used by the railroad, destroying its offices and two passenger cars from the tourist operation.

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• 1977Common-carrier freight service begins

  Following the acquisition of former Illinois Central Gulf trackage and property, the railroad began regular common-carrier freight operations.

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1. Crab Orchard and Egyptian Railway
2. Progressive Rail Incorporated