Status of the Railroad - A Message from Kenny Rocker, EVP, Marketing & Sales

Announcement Number: CN2023-68
Categories: General Announcements
Posted Date: December 21, 2023

To Our Customers,

As the end of the year draws to a close, I’d like to take a moment to say thank you for your business and your loyalty throughout 2023. Looking back, I am proud of the strides we’ve made to improve our service product, develop new product offerings and enhance your customer experience.

In terms of resources, we will finish this year ahead of our hiring plan for crews. Year to date, we have graduated 1,920 crew employees and have 550 employees in our training pipeline. For locomotives, our improved network fluidity continues to increase our locomotive productivity and we continue to have adequate supply to meet customer demand. We will continue to closely monitor our resources to make sure we have the right number at the right time to serve you.

Our Metrics
Following are our latest weekly metrics reported to the Surface Transportation Board (STB) on December 15. These metrics are compared to performance in mid-April 2022, and are based on the STB definitions for industry reporting:

  • Car Velocity: Improved 26% to 223 miles per day.
  • First Mile, Last Mile: Improved 3 points to 93%.
  • Trip Plan Compliance (TPC):
    • TPC Bulk (unit train): Improved 24 points to 90%.
    • TPC Manifest: Improved 25 points to 84%.
    • TPC Intermodal: Improved 20 points to 93%.

Update on Border Closures at Eagle Pass and El Paso
Union Pacific is actively engaged to reopen the Eagle Pass and El Paso border crossings that were closed by U.S. Customs and Border Protection (CBP) on Monday, December 18. We have spoken to congressional leaders, regulators, leaders at CBP and other agencies along with state and local officials. Every day that the border is closed, Union Pacific is forced to embargo customers’ goods on more than 60 trains, or nearly 4,500 rail cars, with an equivalent of goods being held in Mexico. We are doing everything possible to stage trains and work with customers to prevent congestion at the border.

I appreciate those customers who have already contacted their elected officials to reopen the border crossings. I encourage any customer to share their concerns regarding the CBP Agency closure of train traffic with Congressional offices and Executive Branch Agencies and request a timeline for reopening. Thank you for working with us to help restore the critical trade routes between the U.S. and Mexico. For further information about the border closures, please visit the AAR website here.

Looking Forward to 2024
As we head into the New Year, I’m excited about the opportunities that are in front of us. Our service product is at the best levels that we’ve seen all year – our resources are in a solid place – and the team is ready to help you grow and win in the marketplace.

On behalf of the team, we wish all of you a safe and happy holiday season with your family and friends!

Sincerely,

Small | Kenny Rocker Signature

Kenny Rocker
Executive Vice President, Marketing & Sales