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SAN FRANCISCO MUNICIPAL RAILWAYS: San Francisco cable cars are on the comeback. Despite the recent runaway, they have become so popular with both the tourists and natives - carrying 10 million passengers in a year - that there are plans to build 3 more cars at a cost of $35,000, from blue prints used for the original cars. At one time there were 600 cars, but now only 39 remain. (California Southern Express).

DELAWARE AND HUDSON RAILROAD recently purchased four Alco PA diesel units from the Santa Fe. Here are the old and new numbers: AT&SF 59L now D&H 16; AT&SF 60L now D&H 17; T&SF 62L now D&H 18; and T&SF 66L now D&H 19. To go with the engines the D&H also purchased 12 light weight passenger cars from the Denver and Rio Grande Western. (The Clearance Card).

SANTA FE: Several weeks ago some 800 class Alco freight units were derailed under the Harbor Drive overpass near 8th Avenue....Early in February the 22nd Street freight yard was full of potash. One train was noted with 86 cars of the stuff.......The new "Super C" piggyback and container train, operating on a 40-hour schedule between L.A. and Chicago, went into service on January 17. The new service is in competition with air freight and gives second morning delivery at Chicago or Los Angeles. (The Clearance Card)........Recent additions to its fleet of passenger locomotives include the following units; 350-359, GE U28CG; 100-108, EMD FP-45; 400-405, GE U30CG. The new units, some of which are still on order, are suitable for both freight and passenger service. (California Southern Express)........Santa Fe expects to spend $82 million in capital expenditures in 1968. Included are 1850 new freight cars and 40 high-capacity freight locomotives. Other projects include 389 miles more welded rail and a 712 mile microwave system between Wellington, Kansas and Silsbee, Texas. (Santa Fe Magazine).

MERGERS: The PENN-CENTRAL came into being on February 1. That was the date of the wedding between the Pennsylvania and the New York Central Systems. The bankrupt New Haven was included in the deal........The Norfolk and Western has been ordered to take in the Erie-Lackawanna Railroad. The N&W has also purchased the Ft. Dodge, Des Moines and Southern and the Iowa Central Railroads. MERGERS ARE NOT ONLY FOR RAILROADS. The rail brotherhoods have been fighting the mergers of railroad corporations, but even they, have now decided to start the ball rolling on a merger, among themselves. Talking merger into one union are the Brotherhood of Locomotive Firemen and Engineman, Order of Railway Conductors and Brakemen, Brotherhood of Railroad Trainmen and Switchman's Union of North America.

SAN DIEGO AND ARIZONA EASTERN: After 17 years, the 5100 series, GE 70-tonners are but a memory. Early in January, the last one, number 5106, departed San Diego for Los Angeles. So ends an era.....A second road switcher serving south bay celery packers was operated from January 4 to February 3....A GP-9, number 3686, was used on the 10 a. m. short turn serving Rohr, Salt Works and San Ysidro on February 5.

SOUTHERN PACIFIC in 1967, spent $156 million for 3800 new freight cars, 131 locomotives, 621 highway units and 31 cabooses. Application has been filed with the ICC to discontinue operation of the City of San Francisco between Ogden and Oakland. The train averages a $1300 loss each trip. (Southern Pacific Bulletin)......Diesel switcher 1000, SP's first diesel, has been sold. The unit is now Holley Sugar Company's Number 1, and is used at the El Centro plant. Area railfans probably will remember that this unit was used on the SD&AE at various time in 1960-61. (Pacific News).

MORE ON MERGERS: The Interstate Commerce Commission has cleared the way for the Baltimore and Ohio and Chesapeake & Ohio Railroads to acquire control of the Western Maryland Railway. The ICC also set May 31 as the deadline for inclusion in the Norfolk & Western Railway of the Delaware and Hudson and Boston and Maine Railroads. The N&W takeover of the Erie-Lackawanna Railroad is expected by April 1. (SD Union)