The STB divides railroads into three classes based on their annual operating revenues:
- Class I – $447,621,226 or more
- Class II – $35,809,698.01 to $447,621,225.99
- Class III – $35,809,698 or less
Regulations
AAR Railroad Classifications
- Class I Railroad:
- Any railroad classified by the STB as Class I (2017 operating revenues > $447.6 million)
- Regional Railroad:
- Must be non-Class I line-haul railroad
- Annual revenues of at least $40 million
- Or, annual revenues of at least $20 million and operating at least 350 miles of road
- Local Railroad:
- Neither a Class I nor a Regional Railroad
- Engaged primarily in line-haul service.
- Switching & Terminal Railroad:
- A non-Class I railroad engaged primarily in switching and/or terminal services for other railroads.