Last month Veolia's InterConnex long-distance service operated its final trains from Berlin to Leipzig, and Leipzig via Berlin to Rostock and the Baltic Coast. The withdrawal was a sad end for the service, which just a few years before was reporting steadily increasing traffic, and a small profit. InterConnex had found a workable niche in the market by presenting itself as a transport provider below the level of German Rail's (DB) flagship ICE service, but still good quality, and importantly, low-cost. However, since the liberalisation of the German long-distance bus market in January 2013, bus companies have competed directly with rail operators on long-distance routes, making low-margin services like InterConnex extremely vulnerable.
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