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Conrail Jon wrote:D'oh, I pulled a Don Simon!

Don Simon = "Epic Fail" . But Don Simon is still more worthy of #24

I'm not sure what's going on, first I heard Greg Udolph was the new director, now I'm hearing him and some other people are gone. TJ Gaffney posted this on the SRI Facebook page. TJ's a nice guy and shouldn't have to put up with this crap! Like I said I wish I knew the whole story but searching for any kind of "Save SRI" group comes up with nothing, perhaps it was deleted. I for one hope they can get everything sorted out over there. Someone needs to come in hear and explain what really went down, or the speculation and rumors are gonna start to fly.

"It has come to my attention that the "Save SRI" facebook site, which was NOT condoned by myself or anyone other staff member at SRI, made some derogatory comments towards some of our staff members, namely Kim Lazar and Greg Udolph. The accusations made there were derogatory in nature, and should not have been posted at...... all, at any time. Those who DID post the negative comments should be ashamed of themselves. I would state that my colleagues are upstanding individuals who did their best to further the professionalism of SRI while they were here. Their loss to the organization is a sad one for me and everyone else here."

HERE IS THE LATEST PRESS RELEASE...

http://www.argus-press.com/articles/201 ... /news2.txt

the facebook page is no longer around Jon the owner was asked to take it down.

CSX_CO wrote:

Mr. Tops wrote:

AARR wrote:From e-mail off TRAINS Magazine news wire:
"Train Festival's income and expenses were very close to each other."

That means they may not have drawn enough of a profit from Train Festival to fully aid 1225's rebuild...

Worse than that, it makes it sound like they didn't draw much of ANY profit out of it, let alone enough to pay for a rebuild.

Practice Safe CSX

Beyond that - were this year's Polar express trips a total flop? What went so horribly wrong this year that they can't even meet their own basic operating expenses? (i.e. laid off virtually the entire staff!) Read between the lines and it sounds like far deeper troubles than just not making enough off of Train Festival...

...and for that matter, they'll lose ALL credibility as an organization if they don't provide an accounting for their finances. Annecdotally it sounded like they did make money off the Festival and should still be making money from DVD sales, etc. Were there some large, unanticipated (and unknown to outsiders) expenses that blew away their profits? I don't care so much who f'd up as what went wrong and why.

It's a very sad and dissappointing situation.

Some thoughts... perhaps the cost for having 4449 insurance wise turned out to have much higher costs than originally estimated, and their contract with SRI didn't specify a solid $$$ amount to recoop back to 4449's group, so the majority of the ticket sale proceeds were spent. Amazing if that $2 million figure for revenue from last year was truely spent on actual costs for the year. That's a hard fact to swallow. I'm sure MDH is in my boat, and would love to take a gander at their balance sheet for the year. Maybe there were some tremendous debts they've been accumlating over the years, and even with this latest help, they still don't have enough to repay. And the speculation continues, which I don't mind, as long as we don't slander people over it.

Oh, and as mentioned, the Save SRI group on facebook was a private group which it appears the owner did delete.

Have to agree with the last few posts...A transparent report of income and expenses must be forth coming quickly to limit the PR fiasco that is rapidly approaching.

Also if 1225 (or a similar replacement) does not emerge in time for the 2010 Christmas Trains then there are going to big huge problems. Folks who purchased tickets for 2009 were disappointed that the trains were mostly pulled by diesels and will further mar this established market too.

The SRI is treading on some very rough PR waters...do not make it worse by withholding information.

believe it or not we only had a few complaints this year.. people were a little disappointed but they understood that stuff happens. The trips are more for family's than say for foamers, the family's don't care because there going to the "North Pole" and spending time together as a family and having fun.

GLC 392 wrote:believe it or not we only had a few complaints this year.. people were a little disappointed but they understood that stuff happens. The trips are more for family's than say for foamers, the family's don't care because there going to the "North Pole" and spending time together as a family and having fun.

I can easily believe that - but it really just further begs the question of what went wrong this year? As Zack suggested (and given that I'm an accountant) I'd love to take a look at their books and see where it went. Somebody's got some explaining to do and if that doesn't happen it'll endanger their ability to attract grants & donations...

wish i had a answer for you but i have no idea where it all went beside the general cost's.

GLC 392 wrote:believe it or not we only had a few complaints this year.. people were a little disappointed but they understood that stuff happens. The trips are more for family's than say for foamers, the family's don't care because there going to the "North Pole" and spending time together as a family and having fun.

Well that is good. A smart foamer would not ride the train if they wanted to see the locomotive. Family's probably dont care all that much about the engine.

Anyway, this is a very VERY sad situation. Let me say this though, I am VERY glad that I saw, possibly, the last time that 1225 ran. I saw her on her one and only NPE trip in 2009. Best of luck to all of SRI and it's volunteers!

Also, like someone said before... getting a new "cheaper" steam engine may not be the best option right now. Going through a entire rebuild could cost much more than what the inspection is for 1225.

Sadly, I think we are seeing the end of 1225. I mean something to me smells a little fishy, and sure SRI had a few problems with her this year, the leaky tubes, and the bearing issue during Hamburg's Railroad Days. But I again hate to see her end her career way before her service life is up. They spent a lot just to get her out of MSU, to run for a few years and then... what? Are they just going to stay closed all year? Thats not going to make ANY money.

Is SRI qualified for any State Grants, or Federal Grants?

TrainWatcher wrote:But I again hate to see her end her career way before her service life is up.

Her service life was up when C&O retired it in 1951...It is now, and has been since 1957, an attraction -- be it static or under steam. We're lucky 1225 is still around today as it very easily could've stayed in New Buffalo or even East Lansing and remained cold...

TrainWatcher wrote:Sadly, I think we are seeing the end of 1225. I mean something to me smells a little fishy, and sure SRI had a few problems with her this year, the leaky tubes, and the bearing issue during Hamburg's Railroad Days. But I again hate to see her end her career way before her service life is up. They spent a lot just to get her out of MSU, to run for a few years and then... what? Are they just going to stay closed all year? Thats not going to make ANY money.

Is SRI qualified for any State Grants, or Federal Grants?

The Argus article says they are applying for an MDOT grant for the rebuild. It's my understanding they did get an Enhancement grant to rebuild the turntable but I'm pretty sure the locomotive won't qualify. http://www.michigan.gov/documents/instr ... 7182_7.pdf (See page 10) Indiana and Ohio have more liberal regulations than Michigan.

As someone who has been involved with 2 passenger operations during my railroad "career", I have to say the financial situation doesn't surprise me. Let me state I have no information on the SRI finances. But I couldn't see how Trainfest was going to generate the significant sums for the rebuild. Don't get me wrong. It was well done, I enjoyed the experience but full size railroading is expensive. They would have had to net $10 from every visitor to net $360,000. A net of $360,000 on $2 million is gross revenues is a net profit of 18%. That's pretty ambitious IMHO.

As for staying closed and not making any money, I did manage an operation that after the year was all done, we would have made money if we never opened. There's nothing more depressing than realizing you have worked as hard as you could and the net revenue equaled the non-operating revenue (land leases). We would have had the same result on our most popular theme train if we passed out quarters to the same number of folks that rode the trains.

Don't even ask me about my thoughts on a volunteer operation

Having a full staff being paid for 260 days/year while only having 60 (est.) revenue
days is hard to overcome. That is the equivalent of having 22 overhead positions
on revenue days but only 5 working.
The 1225 Club (they hated being called that) of the '90s was all volunteer and didn't
even pay rent. Different environment. That may be the only way they can survive. At
least out-of-season.
I understand Jodi has had some serious health problems since being laid-off. I wish
her well.

Shepherd

Look to the East and you'll find a big old building that's in just as much trouble as SRI. Or so I hear.

jukeman45 wrote:Look to the East and you'll find a big old building that's in just as much trouble as SRI. Or so I hear.

East of... you mean Detroit? No, they're in worse trouble.

Look to the East and you'll find a big old building that's in just as much trouble as SRI. Or so I hear.

DO YOU ACTUALLY MEAN SOUTHEAST ???
THAT WOULD BE THE DIRECTION TO DUUUUUUUUUUUUURAN.
THERE IS A BIG OLD BLDG. THERE.

bnsfben wrote:

GLC 392 wrote:believe it or not we only had a few complaints this year.. people were a little disappointed but they understood that stuff happens. The trips are more for family's than say for foamers, the family's don't care because there going to the "North Pole" and spending time together as a family and having fun.

Well that is good. A smart foamer would not ride the train if they wanted to see the locomotive. Family's probably dont care all that much about the engine.

Anyway, this is a very VERY sad situation. Let me say this though, I am VERY glad that I saw, possibly, the last time that 1225 ran. I saw her on her one and only NPE trip in 2009. Best of luck to all of SRI and it's volunteers!

Also, like someone said before... getting a new "cheaper" steam engine may not be the best option right now. Going through a entire rebuild could cost much more than what the inspection is for 1225.

As much as I have a dislike of SRI and some people there, Ben this is where you are wrong. a Smart "foamer"(hare that term) would ride the train as much as possible. or atleast make a large donation. If no one rides the train, the engine doesn't move

LOL, Yea SE