A shortline railroad is a small or mid-sized railroad company that operates over a relatively short distance relative to larger, national railroad networks. The term is used primarily in the United States and Canada. In the former, railroads are categorized by operating revenue, and most shortline railroads fall into the Class III or Class II categorization defined by the Surface Transportation Board.
A locomotive of the Kyle Railroad, a shortline railroad that runs from north-central Kansas into eastern Colorado
Railroad classes are the system by which freight railroads are designated in the United States. Railroads are assigned to Class I, II or III according to annual revenue criteria originally set by the Surface Transportation Board in 1992. With annual adjustments for inflation, the 2019 thresholds were US$504,803,294 for Class I carriers and US$40,384,263 for Class II carriers.
The Norfolk Southern Railway is a typical example of a Class I railroad in the eastern United States.
The Iowa Interstate Railroad is a typical example of a Class II regional railroad in Iowa, Nebraska, and Illinois.
The Buckingham Branch Railroad is a typical example of a Class III shortline in Virginia.