The Alaska Railroad: contributing to communities' economics: from Seward to Fairbanks and everywhere in between, the Alaska Railroad has a presence far and wide and provides economic benefit to the communities it serves.

• Author: Orr, Venessa
• Position: Statistical Data Included - Company Profile

The Alaska Railroad winds through more than 500 miles of the Last Frontier, carrying tourists, hauling freight and transporting goods from one point to another.

In 2001, the railroad earned $107.3 million, netting $6.6 million. Freight revenue accounted for roughly 80 percent of its revenues; passenger services and real estate revenue contributed about 10 percent each. While ridership was sown roughly 1 percent from 2000, shipments of coal and gravel held steady, while shipments of pipe and other oilfield supplies increased 2001 was a record year for the transport of fuel as well; the railroad shipped more than 700 million gallons, despite the economic slowdown following Sept. 11.

PASSENGER SERVICES ENCOURAGE LOCAL PARTNERSHIPS

In 2001, the Alaska Railroad carried 470,000 passengers, comprised of both tourists and residents. Despite the fact that ridership was down, tourist revenues were up slightly.

"It's a pretty impressive accomplishment, considering that it was a sluggish year in tourism all around," said Patrick Flynn, Alaska Railroad public affairs officer. "We feel fairly fortunate, because there were certainly a lot of other operators worse of than us."

Because Sept. 15 is the end of the railroad's passenger season, it was not. greatly affected by the Sept. 11 attacks, though it did cancel one northbound train on that day. "It wasn't clear whether we had authorization to travel through Fort Richardson and Elmendorf Air Force Base," explained Flynn. "We decided that it was better to be safe than sorry."

With tourists comes money, which in turn attracts businesses and services to the towns that they visit. In places like Talkeetna and Denali, tourism companies have begun building lodges and amenities for visitors to enjoy. "Talkeetna is a big stop for us, and it's growing, in part because tour operators there have decided to invest in the infrastructure," said Flynn, who added that they have seen a steady increase in passenger volume to that area. "Denali, of course, is huge, and we are in the process of upgrading our facility there to provide a better passenger experience."

The Alaska Railroad often enters into partnerships with local companies to create mutually beneficial situations. "We offer a winter getaway special in partnership with the Talkeetna Lodge, and we also partner with Princess' McKinley Lodge," said Flynn. "We have dozens of partnerships like this--for operators, it's a nice way to keep people in groups and to get...