PAS is independently operated by the Berkshire and Eastern Railroad, a subsidiary of Genesee & Wyoming.

[9] CSX and NS reached an agreement to have Pan Am Southern be operated by a new Genesee & Wyoming subsidiary named the Berkshire and Eastern Railroad (B&E), which the Surface Transportation Board (STB) approved.

The United States Department of Justice had recommended that the STB require CSX to sell its stake in PAS as a condition of the merger to prevent a reduction in competition.

[10] Railroads in New England, including Vermont Rail System and Canadian Pacific Railway, had also objected to the plan for G&W to operate PAS, as it would give G&W an even more extensive network in the region than it currently has.

[9] Canadian Pacific in particular asserted in a filing to the STB that the purchase would give CSX control of both of the primary east to west rail lines in New England and leave other companies at a competitive disadvantage.