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

Announcement Number: CN2025-4
Categories: General Announcements
Posted Date: February 27, 2025

To Our Customers,

I’m counting down the days until the first day of spring! Despite severe winter weather affecting many areas of our network so far this year, our Operating team has worked tirelessly to meet our customer commitments. I am proud to report that January marked another all-time record for our Manifest Service Performance Index (SPI), which reached 99%, while our Intermodal SPI held steady at 96%.

Our Metrics
Our latest weekly metrics for the week ending February 21, 2025, show consistent performance. The Operating team has successfully managed recent weather challenges including extreme cold, ice and snowfall. While the recovery of the unit train network has been slower in the Midwest due to extreme winter weather conditions last week, our buffer resources enable us to quickly resolve issues allowing us to remain focused on providing the service we’ve sold.

  • Freight Car Velocity – 208 miles per day
  • Train Velocity – 19.1 miles per hour
  • Terminal Dwell – 23.2 hours

Investing in Our Franchise
Union Pacific plans to invest ~$3.4 billion dollars this year, which is in-line with last year’s spending. Our first capital dollars always support safe and productive operations as we invest in our infrastructure and renew older assets. The remaining $1.5 billion will support growth initiatives.

This year, terminal investments on our manifest network will be focused in the Houston and Gulf Coast regions, aiming to improve fluidity and increase capacity. On the Intermodal side, we are continuing to invest for growth in areas like Kansas City, Los Angeles and Northern California, among others.

Kansas City Intermodal Terminal (KCIT)
Construction is underway at our new Kansas City Intermodal Terminal (KCIT), located southwest of downtown Kansas City, adjacent to Union Pacific’s Armourdale Yard. KCIT Is positioned to serve the growing Midwestern markets, offering shippers and receivers a centralized location to meet growing shipping demands.

KCIT will provide shippers convenient and cost-effective access to our 32,000-mile network, with the ability to reach most major markets. This is our fourth new intermodal ramp in recent years, underscoring our commitment to expanding intermodal services and reducing truck traffic and emissions. The new facility will significantly increase capacity and can be expanded as the market grows. KCIT is expected to open mid-2025.

Thank You
Thank you for being a valued customer. At Union Pacific, our commitment to you is at the heart of everything we do. We take great pride in meeting your expectations and delivering the service we’ve sold. We’re thrilled about the opportunity to grow together. Thank you for choosing us.

Sincerely,

Small | Kenny Rocker Signature
Kenny Rocker
Executive Vice President, Marketing & Sales