Transport Trains

How is Amtrak losing $80 million a year on its terrible food service?

Excerpt from New York Times

Aug 04, 2012 2:01 am

Skift Take

Really? It’s now falling into the hands of a congressional committee to stop the bleeding caused by cash theft, poor inventory tracking, and inflated staff salaries.

— Samantha Shankman

Free Report: The Changing Business of Extended-Stay Hotels

Amtrak lost more than $800 million on its food and beverage services over the last 10 years, largely because of waste, employee theft and lack of proper oversight, government auditors have found.

The railroad’s food and beverage service has never broken even since it was required by Congress to do so in 1981. The losses were the focus of a House Transportation and Infrastructure Committee hearing on Thursday that reflected partisan views over how Amtrak should be run. Republican lawmakers suggested that food services should be privatized. Democrats questioned the need for the hearing, saying the railroad was dealing with the losses.

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