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

To Our Customers,

The holiday season is in full swing and 2025 will be here before we know it. I want to take a moment to express my heartfelt gratitude for your business and partnership. Together, we have accomplished so much and I am truly excited about what we will achieve in the coming year.

Our 2024 performance demonstrates our Safety, Service and Operational Excellence = Growth strategy is working and the entire team is focused on setting the stage for continued success.

Safety is the cornerstone of our strategy. It is our top priority and we are proud to be recognized as a leader in this area.

We have seen significant improvement in our Service, it has been more consistent and reliable across our network. Although there were a few areas that required additional attention throughout the year, we are now delivering the service we sold you.

Union Pacific maintained a strong emphasis on Operational Excellence, which has enabled us to Grow.

• Premium: We experienced an unexpected 33% surge in Q3 International Intermodal volumes. By utilizing our buffer of resources (people, locomotives, rail cars), we efficiently moved the traffic and maintained fluidity in the supply chain.
• Industrial: As the industry leader in the Petrochemicals market, Union Pacific serves 2.5 times more receivers, engages with more packagers and we offer twice the Storage in Transit (SIT) capacity compared to our competitors. We are enthusiastic about ongoing expansion and new production opportunities.
• Bulk: Our fall grain shuttle program was notably successful. With newly secured facilities, we are poised for domestic growth and we are excited about continued growth tied to renewable fuels.

Our Metrics
We are seeing sequential improvement in our metrics, week ending December 6. This improvement is reflective of recovery in the Los Angeles Basin. We appreciate your cooperation as we’ve worked collaboratively to restore operational fluidity in the area.

• Freight Car Velocity – 226 miles per day
• Train Velocity – 20.6 miles per hour
• Terminal Dwell – 20.8 hours

As I sit here, I am excited about the opportunities that lie ahead in 2025. Our commitment to enhancing your experience remains unwavering and we are dedicated to providing you with the service we sold. Thank you for being part of our journey and choosing Union Pacific as your trusted transportation partner. Our new homepage (UP.com) launched this week, be sure to check it out! I will share more info with you on our website update in the coming months.

On behalf of the team, we wish all of you a safe and happy holiday season with your family and friends! We look forward to serving you in 2025.

Sincerely,

Kenny Rocker
Executive Vice President, Marketing & Sales