Campbell continually tried to sell the public that we still OWN the railway lines, Falcon tells the same story, and why shouldn't the Finance Minister preach the same story..... they are both, through and through, BC Liberals.
There is the question of money, the amount of money involved when the BC Liberals finally decided to go ahead and put BC Rail on the Auction Block. It's almost like the BC Liberals, under Finance Minister Gary Collins, back then, basically picked a number out of thin air, and said..... a Billion Dollars will Do.
Of course there's the 9% Indemnity Clause that was included in the deal , adequately covered by RossK and Norman Farrell, they have that one nailed to a wall..... which is now getting closer to the Billion Dollar mark owed back, if CN Rail doesn't use the tax loophole.
Bill Bennett picked a larger number for the sale of BC Rail, ........ One and a Quarter Billion....... and we're talking in 1984 Dollars!
It was floated as an idea during a time when Bill Bennett, the Premier, said that "BC isn't for Sale!!!!"
This is what old Bill endorsed:
As at December 30, 1983 and giving effect to certain transactions occurring thereafter, the net book value of the fixed and current assets of the Railway would be $1.25 billion as disclosed in the "Pro Forma Balance Sheet of BC Rail Ltd."
Twenty years later, its the BC Liberals turn to put a price tag on the Promise not to sell BC Rail, a Cool $1,000,000,000 with only one hiccup..... a raid on the BC Legislature in regards to the BC Rail sale....... .
Wondering what kind of trinkets that was for sale in 1984 for One point Two Five Billion Dollars would cost in 2012 dollars $2.759 Billion! Eight years earlier..... 2004.... $2 Billion...and El Gordo sold out for half, not even batting an eye at how the rate of inflation would have an effect on the going price twenty years later.
The Railway includes 1,775 miles of track of which 1,390 miles are main lines and the remainder are railway yards and sidings . The map on page 3 illustrates the Railway 's main lines. The Railway inter-connects with the North American railway system through interchanges with Canadian National Railway (' 'CNR' ') at Prince George, Dawson Creek and North Vancouver. By means of barge transportation , connection can be made through ocean ports at Squamish and North Vancouver to the Canadian Pacific, Burlington Northern and Union Pacific Railways.
The Railway operates 128 locomotives, of which seven are leased, and approximately 10,000 freight cars, of which 3,000 are leased.
The principal maintenance facilities for the Railway are at Squamish and Prince George. A locomotive repair shop, a car repair shop and stores facilities are at Squamish. A car repair shop, additional stores facilities, a work equipment shop, a yard office and a locomotive servicing facility are at Prince George. Administrative offices are at North Vancouver in a new building opened in 1983. Additional facilities are located at the various communities served by the Railway.
The Railway includes a separate 23-mile rail line connecting transcontinental rail carriers to Roberts Bank, the port facility for coal mines in Alberta and southeastern British Columbia. The Railway also includes a telecommunications system which provides services to BC Rail and others and a trucking fleet operated in conjunction with its piggyback service
Carloads stats for 1983 / 1982 / 1981
Hmmmm... the original sale did include the Spur line to Roberts Bank, is that why the 1984 BC Rail line was worth more than in 2003/2004 with the Roberts Bank line being "sold" off separately......
Is that what El Gordo and Gary Collins did? They hived off the Roberts Bank portion of the 1983 number AND didn't get either appraised, for the value of the rail in 2003?
And here's a teaser for you. In 1984 one of the Directors was .....Glenn W. McPherson!
Does the name ring a bell? We thought it sounded familiar.
We did a search in Google using these keywords: offering memorandum "BC Rail" 1984
Sixth result down
board member of the BC Rail Corporation. Working closely ... Biographical Information Series- CVs, handwritten memorandums, newspaper clippings .... 2-1 Scrapbook Series- “1971-1984 Vancouver Port Authority; Canada Port. Corporation ...
"Snip...... He became a lawyer in 1935 but only practiced for two years before moving into the public sector as legal counsel to the Custodian of Enemy Property. In 1937, this position involved redistributing property confiscated during World War One, but by 1939 he was advising the Custodian on issues related to the Second World War. As war broke out, McPherson was also recruited into William Stephenson’s (the British-Canadian spy code-named Intrepid) “Security Organization.” As part of this dual role, McPherson was responsible for deciding whether Japanese-Canadians should be interned in 1942. For the next 2 years he administered the confiscated property of the internees. As the war ended, McPherson played a central role in organizing the two Quebec Conference meetings between Roosevelt, Churchill and Mackenzie-King.
After the war, McPherson moved to the private sector as president of a series of firms in the expanding helicopter industry. While president of the BC-based Okanagan Helicopters, McPherson played a significant role in the establishment of both helicopter and lift skiing on Whistler Mountain. In the mid-1960s, he travelled to Moscow as part of a delegation investigating Soviet helicopter technology......Snip