Exhibit 99.1

FOR IMMEDIATE RELEASE

RailAmerica, Inc. Reports Results for the Third Quarter of 2009

Third Quarter Highlights

	•		Operating income of $25.6 million and an operating ratio of 76.7%
	•		Adjusted EBITDA1 of $37.6 million and net cash provided by operating activities of $48.5 million
	•		Completed initial public offering in October

JACKSONVILLE, FL, November 11, 2009 — RailAmerica, Inc. (NYSE: RA) today reported third quarter 2009 earnings from continuing operations of $3.5 million or $0.08 per diluted share, compared to $2.0 million or $0.05 per diluted share, for the third quarter of 2008. Net income, which includes discontinued operations, for the third quarter of 2009 was $3.5 million, compared to $2.9 million for the third quarter of 2008. Net income for the third quarter of 2009 includes a tax benefit of $5.4 million.

John Giles, RailAmerica’s President and Chief Executive Officer, said “In the third quarter, we posted solid financial results generating Adjusted EBITDA of $37.6 million, down 4% compared to the record third quarter of 2008 and up 7% compared to the second quarter of 2009. Also, for the third quarter our operating ratio improved to 76.7% compared to 81.5% in the third quarter of 2008 as we continued to strengthen operating efficiencies. With the completion of the initial public offering in October, we have a strong balance sheet with approximately $130 million of cash² and are well positioned to make strategic investments that will complement the opportunities we have to grow organically through freight and non-freight revenue growth and further productivity gains.”

Third quarter 2009 revenue decreased $23.3 million, or 17%, to $110.1 million from $133.4 million in the third quarter of 2008. Freight revenue declined $27.9 million, or 24%, primarily due a 23% decline in carloads. Non-freight revenue increased $4.6 million, or 26%, to $22.1 million from $17.5 million in the third quarter of 2008.

Third quarter 2009 operating income increased 4% to $25.6 million from $24.7 million in the third quarter of 2008 as lower operating expenses more than offset lower revenue. Lower fuel expense, reduced maintenance expense as a result of a Track Maintenance Agreement executed in 2009, and productivity improvements drove the operating expense decrease. Third quarter 2008 results include a $1.7 million impairment charge, $0.4 million gain on sale and $2.9 million in expenses for headquarters relocation compared to third quarter 2009 results, which include $0.2 million gain on sale and $0.4 million in expenses for headquarters relocation.

Third quarter 2009 net cash provided by operating activities increased $10.5 million, or 28%, to $48.5 million from $38.0 million in the third quarter of 2008. Second quarter 2009 cash used by operating activities was $37.0 million, primarily due to a $55.8 million cash payment made for the termination of the interest rate swap in conjunction with the repayment of the bridge credit facility.

As previously announced, RailAmerica, Inc. will present its third quarter earnings on Thursday, November 12, 2009 at 8:30 a.m. Eastern Time via live teleconference and webcast. Those interested in participating via teleconference may dial (877) 756-2088. Callers outside the U.S. may dial (574) 941-1456. The conference ID number is 38929092. Participants should dial in no later than 10 minutes prior to the call. Presentation materials and access to the live webcast will be available in the Investors section of RailAmerica’s website (www.railamerica.com). Following the earnings call, a webcast replay will be archived on the Company’s website. A telephone replay will be available through November 26, 2009 beginning approximately two hours after the call. The recording can be accessed by dialing (800) 642-1687 or (706) 645-9291. The conference ID number is 38929092.

RailAmerica, Inc. is the largest owner and operator of short line and regional freight railroads in North America, measured in terms of total track-miles, operating a portfolio of 40 individual railroads with approximately 7,500 miles of track in 27 U.S. states and three Canadian provinces.

Cautionary Note Regarding Forward-Looking Statements
Certain items in this press release and other information we provide from time to time may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including, but not necessarily limited to, statements relating to future events and financial performance. Words such as “anticipates,” “expects,” “intends,” “plans,” “projects,” “believes,” “may,” “will,” “would,” “could,” “should,” “seeks,” “estimates” and variations on these words and similar expressions are intended to identify such forward-looking statements. These statements are based on management’s current expectations and beliefs and are subject to a number of factors that could lead to actual results materially different from those described in the forward-looking statements. RailAmerica, Inc. can give no assurance that its expectations will be attained. Accordingly, you should not place undue reliance on any forward-looking statements contained in this press release. Factors that could have a material adverse effect on our operations and future prospects or that could cause actual results to differ materially from RailAmerica, Inc.’s expectations include, but are not limited to, prolonged capital markets disruption and volatility, general economic conditions and business conditions, our relationships with Class I railroads and other connecting carriers, our ability to obtain railcars and locomotives from other providers on which we are currently dependent, legislative and regulatory developments including rulings by the Surface Transportation Board or the Railroad Retirement Board, strikes or work stoppages by our employees, our transportation of hazardous materials by rail, rising fuel costs, acquisition risks, competitive pressures within the industry, risks related to the geographic markets in which we operate; and other risks detailed in RailAmerica, Inc.’s filings with the Securities and Exchange Commission, including our prospectus filed with the Commission on October 13, 2009. In addition, new risks and uncertainties emerge from time to time, and it is not possible for RailAmerica, Inc. to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Such forward-looking statements speak only as of the date of this press release. RailAmerica, Inc. expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in its expectations with regard thereto or change in events, conditions or circumstances on which any statement is based.

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INVESTOR CONTACT
Ira Berger
Office: 904.538.6332

MEDIA CONTACT
Karen Burdette
Office: 904.645.6200
Cell: 904.210.3559

RAILAMERICA, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)

		For the Three Months Ended								For the Nine Months Ended
		September 30,								September 30,
		2009				2008				2009				2008
		(In thousands,
		except per share data)
Operating revenue		$	110,137			$	133,400			$	316,620			$	388,640
Operating expenses:
Transportation			47,524				70,364				138,974				214,728
Selling, general and administrative			26,799				27,085				74,943				77,190
Net loss (gain) on sale of assets			(159	)			(434	)			855				(532	)
Impairment of assets			—				1,731				—				1,731
Depreciation and amortization			10,365				9,959				30,931				29,558
Total operating expenses			84,529				108,705				245,703				322,675
Operating income			25,608				24,695				70,917				65,965
Interest expense, including amortization costs (including amortization of swap termination costs of $9,054, $0, $10,026 and $0, respectively)			(27,507	)			(17,288	)			(62,770	)			(41,622	)
Other income (loss)			24				(2,170	)			(1,396	)			(3,510	)
Income (loss) from continuing operations before income taxes			(1,875	)			5,237				6,751				20,833
Provision for (benefit from) income taxes			(5,378	)			3,203				(3,028	)			13,728
Income from continuing operations			3,503				2,034				9,779				7,105
Discontinued operations:
Gain (loss) on disposal of discontinued business (net of income taxes (benefit) of $(11), $60, $311, and $213, respectively)			(20	)			842				12,931				545
Net income		$	3,483			$	2,876			$	22,710			$	7,650
Dividends declared and paid per common share		$	—			$	—			$	0.46			$	—
Basic earnings (loss) per common share:
Continuing operations		$	0.08			$	0.05			$	0.23			$	0.16
Discontinued operations			0.00				0.02				0.30				0.02
Net Income		$	0.08			$	0.07			$	0.53			$	0.18
Diluted earnings (loss) per common share:
Continuing operations		$	0.08			$	0.05			$	0.23			$	0.16
Discontinued operations			0.00				0.02				0.30				0.02
Net Income		$	0.08			$	0.07			$	0.53			$	0.18
Weighted Average common shares outstanding:
Basic			43,721				43,565				43,688				43,413
Diluted			43,721				43,565				43,688				43,413

RAILAMERICA, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS
(Unaudited)

		September 30,				December 31,
		2009				2008
		(In thousands, except share data)
ASSETS
Current assets:
Cash and cash equivalents		$	62,208			$	26,951
Accounts and notes receivable, net of allowance of $4,301 and $3,338, respectively			75,473				76,384
Other current assets			17,713				18,480
Current deferred tax assets			5,854				5,854
Total current assets			161,248				127,669
Property, plant and equipment, net			956,554				953,604
Intangible assets			176,353				172,859
Goodwill			200,635				199,754
Other assets			22,105				16,561
Total assets		$	1,516,895			$	1,470,447
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Current maturities of long-term debt		$	695			$	899
Accounts payable			56,219				56,058
Accrued expenses			49,541				51,349
Total current liabilities			106,455				108,306
Long-term debt, less current maturities			3,208				628,681
Senior secured notes			710,550				—
Deferred income taxes			157,993				144,748
Other liabilities			33,133				117,192
Total liabilities			1,011,339				998,927
Commitments and contingencies
Stockholders’ equity:
Common stock, $0.01 par value, 46,800,000 shares authorized; 43,720,263 shares issued and outstanding at September 30, 2009; and 43,531,272 shares issued and outstanding at December 31, 2008			437				435
Additional paid in capital and other			470,510				470,578
Retained earnings			53,254				50,029
Accumulated other comprehensive loss			(18,645	)			(49,522	)
Total stockholders’ equity			505,556				471,520
Total liabilities and stockholders’ equity		$	1,516,895			$	1,470,447

RAILAMERICA, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)

		For the Nine Months Ended
		September 30,
		2009				2008
		(In thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income		$	22,710			$	7,650
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization, including amortization of debt issuance costs classified in interest expense			39,858				35,108
Amortization of swap termination costs			10,026				—
Net (gain) loss on sale or disposal of properties			(12,448	)			868
Foreign exchange (gain) loss on debt			(1,160	)			2,762
Swap termination costs			(55,750	)			—
Write-off of deferred financing costs			2,593				—
Equity compensation costs			3,146				2,418
Deferred income taxes			(5,340	)			13,515
Changes in operating assets and liabilities, net of acquisitions and dispositions:
Accounts receivable			1,906				10,378
Other current assets			1,315				2,017
Accounts payable			(544	)			(3,801	)
Accrued expenses			(1,841	)			4,904
Other assets and liabilities			657				898
Net cash provided by operating activities			5,128				76,717
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property, plant and equipment			(34,451	)			(47,546	)
Proceeds from sale of assets			20,071				14,427
Deferred acquisition/disposition costs and other			(355	)			—
Net cash used in investing activities			(14,735	)			(33,119	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of long-term debt			709,830				—
Principal payments on long-term debt			(625,677	)			(6,877	)
Dividends paid to common stockholders			(19,485	)			—
Sale of common stock			—				635
Deferred financing costs paid			(20,018	)			(16,657	)
Net cash provided by (used in) financing activities			44,650				(22,899	)
Effect of exchange rates on cash			214				(301	)
Net (decrease) increase in cash			35,257				20,398
Cash, beginning of period			26,951				15,387
Cash, end of period		$	62,208			$	35,785

RAILAMERICA, INC. AND SUBSIDIARIES

SELECTED FINANCIAL INFORMATION
(amounts in thousands)
(unaudited)

		Three Months Ended September 30,
		2009								2008
Operating revenue		$	110,137				100.0	%		$	133,400				100.0	%
Operating expenses:
Labor and benefits			35,755				32.4	%			37,114				27.8	%
Equipment rents			8,900				8.1	%			10,423				7.8	%
Purchased services			7,534				6.8	%			10,751				8.1	%
Diesel fuel			8,373				7.6	%			18,692				14.0	%
Casualties and insurance			4,593				4.2	%			5,262				3.9	%
Materials			2,977				2.7	%			2,727				2.0	%
Joint facilities			2,497				2.3	%			3,291				2.5	%
Other expenses			3,694				3.3	%			9,189				6.9	%
Net gain on sale of assets			(159	)			(0.1	)%			(434	)			(0.3	)%
Impairment of assets			—				0.0	%			1,731				1.3	%
Depreciation and amortization			10,365				9.4	%			9,959				7.5	%
Total operating expenses			84,529				76.7	%			108,705				81.5	%
Operating income		$	25,608				23.3	%		$	24,695				18.5	%

		Nine Months Ended September 30,
		2009								2008
Operating revenue		$	316,620				100.0	%		$	388,640				100.0	%
Operating expenses:
Labor and benefits			101,216				32.0	%			110,720				28.5	%
Equipment rents			27,327				8.6	%			34,011				8.7	%
Purchased services			23,417				7.4	%			28,914				7.4	%
Diesel fuel			23,285				7.3	%			58,274				15.0	%
Casualties and insurance			13,965				4.4	%			15,099				3.9	%
Materials			8,138				2.6	%			7,683				2.0	%
Joint facilities			4,822				1.5	%			9,963				2.6	%
Other expenses			11,747				3.7	%			27,254				7.0	%
Net loss (gain) on sale of assets			855				0.3	%			(532	)			(0.1	)%
Impairment of assets			—				0.0	%			1,731				0.4	%
Depreciation and amortization			30,931				9.8	%			29,558				7.6	%
Total operating expenses			245,703				77.6	%			322,675				83.0	%
Operating income		$	70,917				22.4	%		$	65,965				17.0	%

RAILAMERICA, INC. AND SUBSIDIARIES
Railroad Freight Revenue, Carloads and Average Freight Revenue
Per Carload
Comparison by Commodity Group
(unaudited)

		Three Months Ended												Three Months Ended
		September 30, 2009												September 30, 2008
										Average Freight												Average Freight
		Freight								Revenue per				Freight								Revenue per
		Revenue				Carloads				Carload				Revenue				Carloads				Carload
		(Dollars in thousands, except carloads and average freight revenue per carload)
Agricultural Products		$	15,370				31,405			$	489			$	17,378				37,081			$	469
Chemicals			12,112				20,946				578				15,388				26,456				582
Coal			9,381				46,806				200				9,516				44,110				216
Non-Metallic Minerals and Products			8,562				20,081				426				10,020				24,339				412
Pulp, Paper and Allied Products			8,162				16,267				502				11,679				20,917				558
Forest Products			6,748				12,078				559				10,933				18,431				593
Food or Kindred Products			6,061				13,042				465				7,464				14,013				533
Metallic Ores and Metals			6,049				10,382				583				12,542				24,439				513
Waste and Scrap Materials			5,468				14,350				381				7,191				21,609				333
Petroleum			4,648				9,909				469				5,180				10,541				491
Other			3,957				8,958				442				7,373				24,648				299
Motor Vehicles			1,483				4,047				366				1,194				3,925				304
Total		$	88,001				208,271			$	423			$	115,858				270,509			$	428

		Nine Months Ended												Nine Months Ended
		September 30, 2009												September 30, 2008
										Average Freight												Average Freight
		Freight								Revenue per				Freight								Revenue per
		Revenue				Carloads				Carload				Revenue				Carloads				Carload
		(Dollars in thousands, except carloads and average freight revenue per carload)
Agricultural Products		$	39,916				88,484			$	451			$	46,337				109,069			$	425
Chemicals			35,135				60,977				576				46,927				83,365				563
Coal			28,339				136,341				208				29,229				136,530				214
Non-Metallic Minerals and Products			24,620				58,870				418				29,987				74,151				404
Pulp, Paper and Allied Products			24,105				47,177				511				31,877				61,076				522
Forest Products			20,559				36,004				571				30,922				56,468				548
Food or Kindred Products			19,219				39,196				490				19,905				40,763				488
Metallic Ores and Metals			16,854				29,919				563				41,656				77,346				539
Other			15,527				43,179				360				22,188				75,672				293
Waste and Scrap Materials			14,791				39,762				372				22,245				63,281				352
Petroleum			14,388				31,260				460				15,305				33,372				459
Motor Vehicles			4,154				11,405				364				4,416				16,105				274
Total		$	257,607				622,574			$	414			$	340,994				827,198			$	412

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES TO GAAP MEASURES

     Adjusted EBITDA, is a supplemental measure of liquidity that is not calculated or presented in accordance with U.S. generally accepted accounting principles (“GAAP”). We use non-GAAP financial measures as a supplement to our GAAP results in order to provide a more complete understanding of the factors and trends affecting our business. However, Adjusted EBITDA has limitations as an analytical tool. It is not a measurement of our cash flows from operating activities under GAAP and should not be considered as an alternative to cash flow from operating activities as a measure of liquidity.

     Adjusted EBITDA assists us in monitoring our ability to undertake key investing and financing functions such as making investments, transferring property, paying dividends, and incurring additional indebtedness, which are generally prohibited by the covenants under our senior secured notes unless we met certain financial ratios and tests. Adjusted EBITDA represents EBITDA before impairment of assets, equity compensation costs, gain (loss) on foreign currency exchange and non-recurring headquarter relocation costs. EBITDA, also a non-GAAP financial measure, is defined as net income (loss) before interest expense, provision for (benefit from) income taxes and depreciation and amortization.

     The following tables set forth the reconciliation of Adjusted EBITDA from our cash flow from operating activities (in thousands):

														Nine months ended
		Q1 2009				Q2 2009				Q3 2009				September 30, 2009
Cash flows from operating activities to Adjusted EBITDA Reconciliation:
Net cash provided by (used in) operating activities		$	(6,335	)		$	(37,023	)		$	48,486			$	5,128
Changes in working capital accounts			25,308				2,430				(29,231	)			(1,493	)
Depreciation and amortization, including amortization of debt issuance costs classified in interest expense			(15,432	)			(12,718	)			(11,708	)			(39,858	)
Amortization of swap termination costs			—				(972	)			(9,054	)			(10,026	)
Net gain (loss) on sale or disposal of properties			728				11,530				190				12,448
Foreign exchange gain (loss) on debt			(1,164	)			2,324				—				1,160
Swap termination costs			—				55,750				—				55,750
Write-off of deferred financing costs			—				(2,593	)			—				(2,593	)
Equity compensation costs			(790	)			(1,152	)			(1,204	)			(3,146	)
Deferred income taxes			(1,322	)			658				6,004				5,340
Net income			993				18,234				3,483				22,710
Add: Discontinued operations (gain) loss			(184	)			(12,767	)			20				(12,931	)
Income from continuing operations			809				5,467				3,503				9,779
Add:
Provision for (benefit from) income taxes			1,232				1,118				(5,378	)			(3,028	)
Interest expense, including amortization costs			18,590				16,673				27,507				62,770
Depreciation and amortization			10,319				10,247				10,365				30,931
EBITDA			30,950				33,505				35,997				100,452
Add:
Equity compensation costs			790				1,152				1,204				3,146
Foreign exchange (gain) loss on debt			1,164				(2,324	)			—				(1,160	)
Write-off of deferred financing costs			—				2,593				—				2,593
Non-recurring headquarter relocation costs			509				127				408				1,044
Adjusted EBITDA		$	33,413			$	35,053			$	37,609			$	106,075

														Nine months ended
		Q1 2008				Q2 2008				Q3 2008				September 30, 2008
Cash flows from operating activities to Adjusted EBITDA Reconciliation:
Net cash provided by operating activities		$	8,186			$	30,568			$	37,963			$	76,717
Changes in working capital accounts			8,602				(7,134	)			(15,864	)			(14,396	)
Depreciation and amortization, including amortization of debt issuance costs classified in interest expense			(10,506	)			(11,182	)			(13,420	)			(35,108	)
Net gain (loss) on sale or disposal of properties			(209	)			(144	)			(515	)			(868	)
Foreign exchange gain (loss) on debt			(1,735	)			395				(1,422	)			(2,762	)
Equity compensation costs			(1,043	)			(652	)			(723	)			(2,418	)
Deferred income taxes			(5,113	)			(5,259	)			(3,143	)			(13,515	)
Net income			(1,818	)			6,592				2,876				7,650
Add: Discontinued operations gain			149				148				(842	)			(545	)
Income from continuing operations			(1,669	)			6,740				2,034				7,105
Add:
Provision for (benefit from) income taxes			5,189				5,336				3,203				13,728
Interest expense, including amortization costs			12,143				12,191				17,288				41,622
Depreciation and amortization			9,786				9,813				9,959				29,558
EBITDA			25,449				34,080				32,484				92,013
Add:
Impairment of assets			—				—				1,731				1,731
Equity compensation costs			1,043				652				723				2,418
Foreign exchange (gain) loss on debt			1,735				(395	)			1,422				2,762
Non-recurring headquarter relocation costs			222				1,152				2,864				4,238
Adjusted EBITDA		$	28,449			$	35,489			$	39,224			$	103,162