Railroad News

Union Pacific Railroad today reported second-quarter net income jumped 29 percent to $1.51 billion, or $1.98 per share, from $1.2 billion, or $1.45 per share, in the same quarter a year ago.

Operating income for the quarter rose 5 percent to $2.1 billion and operating revenue climbed 8 percent to $5.7 billion compared with second-quarter 2017, according to a UP press release.

U.S. Rep. Will Hurd (R-Texas) late last week toured Union Pacific Railroad's Clarks Park Yard U.S. Customs and Border Protection Facility in Eagle Pass, Texas.

Organized by the National Railroad Construction and Maintenance Association (NRC), the tour "highlighted the importance of border security and international trade" for UP and the rail industry, NRC officials said in a press release.

Union Pacific Railroad yesterday released its ninth annual sustainability report, which details the company's progress on social, economic and environmental initiatives during 2017.

UP applies the Global Reporting Initiative's reporting standards to report the company's social responsibility issues, including economic impact, operating safely, strengthening communities, engaging employees and preserving the environment.

Union Pacific Railroad is partnering with two California air management districts to repower 10 low-horsepower diesel-electric locomotives into new Tier 4 switchers for its yard-switching locomotive fleet starting in fall.

The new switchers will reduce particulate matter and oxides of nitrogen emissions by more than 90 percent during operations when compared to older locomotives, UP officials said in a press release.

Union Pacific Railroad announced last week it has established a $3 million partnership with the National Park Foundation (NPF) to help encourage younger generations to explore the national parks via the Find Your Park/Encuentra Tu Parque movement.

"Union Pacific transported early park-goers to adventures out west," said Scott Moore, UP's senior vice president of corporate relations and chief administrative officer, in a press release. "Today, we deliver the goods Americans use every day to our nation's busiest cities and quietest towns, passing through rugged, beautiful landscapes. We traverse America's backyard, and we want the next generation to explore it."

Today, Union Pacific Corp. announced its first-quarter net income totaled $1.3 billion — or a Q1 record $1.68 per diluted share — compared with $1.1 billion and $1.32 per diluted share, respectively, in first-quarter 2017. Diluted earnings per share jumped 27 percent year over year.

The Class I's other financial results for the quarter show operating revenue rose 7 percent to $5.5 billion, operating income climbed 8 percent to $1.9 billion and the operating ratio improved 0.6 points to 64.6, although higher fuel prices negatively impacted the ratio by about 0.2 points, UP officials said in a press release.

Union Pacific Railroad plans to spend more than $8 million this year to bolster infrastructure in Minnesota and Montana.

The Class I has budgeted $6 million to improve infrastructure in Minnesota, including $3.4 million to maintain track and $1.8 million to maintain bridges.

Union Pacific Railroad this year will invest $24 million in its infrastructure in Colorado.

The Class I has set aside $17.3 million to maintain track and $4.8 million to maintain bridges in the state. Key projects will include $3.4 million to replace more than 26,000 ties between Denver and Fort Lupton, and $3.3 million to replace more than 19,000 ties between Lazear and Somerset.

Union Pacific Railroad this year will invest nearly $60 million in its infrastructure in Arizona and Washington.

In Arizona, the Class I has budgeted $26.5 million to improve rail infrastructure. That sum includes $14.5 million to maintain track and $3.2 million to maintain bridges in the state.

Union Pacific Railroad has slated $38 million this year for capital expenditures in New Mexico.

The Class I's capital expenditure plans for the state include $15 million to replace 135,775 ties and install 92,220 tons of ballast between Tucumcari and Vaughn, and $4.8 million to replace 43,974 ties and install 22,440 tons of ballast between Vaughn and Corona.

Union Pacific Railroad on Monday announced plans to invest $45 million in its infrastructure in Oklahoma this year.

Key investments include $24 million to replace 50 miles of rail between the Kansas-Oklahoma line and Pryor, Oklahoma. The Class I also will invest $3.6 million to replace 26,250 ties and install 18,548 tons of ballast between Gore and Wagoner.

Union Pacific Railroad has announced a $65 million capital expenditure program for Nebraska and a $63.3 million capex program for Oregon this year.

The Class I's plans for Nebraska include $54.9 million to maintain track and $3 million to maintain bridges.