New Progress Report Now Available for Dow-Union Pacific Cooperative Agreement to Improve Rail Safety and Security
Omaha, Neb., June 06, 2013
The Dow Chemical Company (NYSE: DOW) and Union Pacific have published a new report on the progress of a cooperative agreement that began in 2007 to improve rail safety and security. The Memorandum of Cooperation (MOC) outlines goals in eight critical areas of the chemical supply chain, with key innovations for event prevention and response planning, railcar designs and tracking. The report provides a detailed update on the progress for each of the eight goals, including an extensive description of the successful Next Generation Rail Tank Car Project.
The Next Generation Rail Tank Car Project is a public-private partnership between Dow, Union Pacific, Union Tank Car, the Federal Railroad Administration, Transport Canada, and the U.S. Transportation Security Administration. The project began with three years of interdisciplinary research among more than 60 experts in design, engineering, corporate R&D, university research, logistics, rail operations and maintenance and emergency response. Once the research and engineering phase was completed in 2009, Dow commissioned Union Tank Car Company to build the first next generation chlorine tank cars. In 2012, 11 next-generation chlorine tank cars were completed and approved for service. Overall, these tank cars offer up to three times better safety and security performance than existing rail cars.
"The Next Generation Rail Tank Car Project is a great example of a successful public-private partnership focused on a common vision," said David Kepler, Dow's chief Sustainability officer. "Through this collaborative effort, a breakthrough approach to rail car design was created that increases safety and security in moving vital chemicals to facilities that produce pharmaceuticals, clean water and many other products that improve every aspect of our lives."
Highlights from the other seven goals in the Dow-UP MOC Progress Update include:
- Expanding the TRANSCAER® Program has brought Hazmat Safety Training to more than 5,500 first responders in 68 cities, and created and delivered anhydrous ammonia safety programs to more than 800 audiences in 37 states.
- Improving Shipment Visibility has led to installation of GPS transceivers and dome open sensors in all of Dow's tank cars that ship highly hazardous materials, and the beginning of a fleet-wide installation of 4th generation GPS units in all of Dow's tank cars that ship highly hazardous materials.
- Improving Supply Chain Design has reduced the tonne-miles of Dow shipments of highly hazardous materials by 47 percent compared to the 2005 baseline – by optimizing producer-user operations such as the successful start-up of a new chlor-alkali plant at Dow's Pittsburg, California site.
- Eliminating Non-Accident Releases has resulted in a number of new measures to reduce non-accident releases (NAR), with 99.98 percent of Dow's hazardous material shipments now reaching their destination without an NAR.
- Deploying Communications-Based Train Control and Anti-Collision Systems has led to Union Pacific's testing of the Interoperable-Electronic Train Management System in the Los Angeles basin before submitting a safety plan to the Federal Railroad Administration for system-wide deployment.
- Reducing Movement of Highly Hazardous Chemicals through High-Threat Urban Areas has used improved tracking and handling practices and allowed Union Pacific to achieve a 98 percent reduction in dwell time in these areas and also minimized the occurrence of unattended highly hazardous cars by identifying secure storage areas.
- Improving Accident Prevention has resulted in multiple initiatives and measures that have improved Union Pacific's overall safety performance by 43 percent since 2006.
These highlights are just a few examples of the many improvements and actions that are increasing rail safety and security in the U.S. through the Dow-Union Pacific MOC agreement.
About Union Pacific
Union Pacific Railroad is the principal operating company of Union Pacific Corporation (NYSE: UNP). One of America's most recognized companies, Union Pacific Railroad links 23 states in the western two-thirds of the country by rail, providing a critical link in the global supply chain. From 2007-2012, Union Pacific invested $18 billion in its network and operations to support America's transportation infrastructure, including a record $3.7 billion in 2012. The railroad's diversified business mix includes Agricultural Products, Automotive, Chemicals, Coal, Industrial Products and Intermodal. Union Pacific serves many of the fastest-growing U.S. population centers, operates from all major West Coast and Gulf Coast ports to eastern gateways, connects with Canada's rail systems and is the only railroad serving all six major Mexico gateways. Union Pacific provides value to its roughly 10,000 customers by delivering products in a safe, reliable, fuel-efficient and environmentally responsible manner.
About The Dow Chemical Company
Dow (NYSE: DOW) combines the power of science and technology to passionately innovate what is essential to human progress. The Company connects chemistry and innovation with the principles of sustainability to help address many of the world's most challenging problems such as the need for clean water, renewable energy generation and conservation, and increasing agricultural productivity. Dow's diversified industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 160 countries and in high growth sectors such as electronics, water, energy, coatings and agriculture. In 2012, Dow had annual sales of approximately $57 billion and employed approximately 54,000 people worldwide. The Company's more than 5,000 products are manufactured at 188 sites in 36 countries across the globe. References to "Dow" or the "Company" mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
About Union Tank Car Company
Union Tank Car Company, a member of The Marmon Group of companies, is the leading designer, builder, and full-service lessor of specialized railcars. Including the cars of its Canadian affiliate, Procor Limited, UTLX owns a fleet of approximately 85,000 railcars. In addition to manufacturing facilities in Alexandria, Louisiana, and Sheldon, Texas, the Chicago-based company operates a North American network of repair shops, lining shops and On-Site® repair locations. UTLX is an active partner in the American Chemistry Council's Responsible Care® Program.
®™Trademark of The Dow Chemical Company ("Dow") or an affiliated company of Dow
®Responsible Care and ®TRANSCAER are registered service marks of the American Chemistry Council
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The Dow Chemical Company
The statements and information contained in the news releases provided by Union Pacific speak only as of the date issued. Such information by its nature may become outdated, and investors should not assume that the statements and information contained in Union Pacific's news releases remain current after the date issued. Union Pacific makes no commitment, and disclaims any duty, to update any of this information.
Dow and Union Pacific Ontrack