3PL News

$300 million private investment in America’s infrastructure

Omaha, Neb., September 20, 2011 – Union Pacific Railroad is investing nearly $300 million over the next several years on its central corridor between Fremont, Neb., and Missouri Valley, Iowa, which provides vital support for the nation's economic growth and a primary shipping lane for the products American families and businesses use every day.

"When complete, this multi-year double-track project will help us operate more efficiently, increase train velocity and support our ability to add capacity as our customers' freight transportation needs grow," said Randy Blackburn, Union Pacific regional vice president - North.

Union Pacific plans to invest approximately $3.3 billion in capital during 2011, which supports America's current and future freight transportation needs and enhances the safety and efficiency of the railroad's 32,000-mile network.

Union Pacific this year began construction of three miles of second main line and a three-mile passing track west of Missouri Valley, Iowa. The track is scheduled to be completed by mid-2012. These projects are part of a nearly $300 million investment in building 29 miles of second main line track between Fremont, Neb., and Missouri Valley, Iowa.

Trains traveling from the West Coast to Chicago operate over Union Pacific's central corridor. When eastbound trains get to Fremont, Neb., they operate either through Blair, Neb., to Missouri Valley, Iowa, to continue east to Chicago or they go to Omaha, Neb., then north to Missouri Valley to continue east.

The Blair route is 25 miles shorter than the Omaha route. Though shorter, the Blair line is currently single track and train capacity is limited between Missouri Valley and Fremont. When the double-track project is complete, each train that operates over the shorter Blair route will save two to four hours travel time.

According to the Association of American Railroads, America's largest railroads keep pace with the top nine states in terms of highway spending, and they do it with private, not taxpayer, money. In 2010, capital spending by Class I railroads totaled $9.8 billion, and the industry plans to make $12 billion in capital spending during 2011. All told, freight rail companies have invested $480 billion to maintain and modernize the national rail network since 1980.

Improved and additional rail capacity benefits everyone. It allows freight rail service to grow, helping to build a cleaner environment. Union Pacific can move one ton of freight nearly 500 miles on a single gallon of diesel fuel, and, according to the U.S. Environmental Protection Agency, freight trains are nearly four times more fuel efficient than trucks. Motorists also benefit from reduced congestion on highways as a single Union Pacific train can remove up to 300 trucks off our roads.

About Union Pacific

Union Pacific Corporation owns one of America's leading transportation companies. Its principal operating company, Union Pacific Railroad, links 23 states in the western two-thirds of the country. Union Pacific serves many of the fastest-growing U.S. population centers and provides Americans with a fuel-efficient, environmentally friendly and safe mode of freight transportation. Union Pacific's diversified business mix includes Agricultural Products, Automotive, Chemicals, Energy, Industrial Products and Intermodal. The railroad emphasizes excellent customer service and offers competitive routes from all major West Coast and Gulf Coast ports to eastern gateways. Union Pacific connects with Canada's rail systems and is the only railroad serving all six major gateways to Mexico.

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