Union Pacific Delivers Record Amounts of Coal to Nation's Utilities

Operational Improvements Help Keep Coal Deliveries On Track

Coal Operations

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Omaha, Neb., September 13, 2007 – During the annual meeting and general conference of the National Coal Transportation Association (NCTA) this week in Denver, Union Pacific credited operational improvements for moving a monthly record of 17.2 million tons of coal – 1,118 trainloads – from Wyoming’s Southern Powder River Basin (SPRB) in August.

"According to reports from the U.S. Department of Energy Information Administration, coal stockpiles are at the highest level in four years, up 38 percent over last year’s levels," said Doug Glass, vice president and general manager – energy. "We are pleased with the progress and contributions we have made to help restore coal stockpiles to normal."

In addition to Union Pacific’s strong capital investment of $3.2 billion, the company is also utilizing innovative operational advancements:

  • A new Combilift multi-purpose forklift enables employees to change out steel railroad wheels while the rail car remains in the train, reducing the repair-to-back-in-service time from days to a matter of minutes.
  • Union Pacific is extending automated, dispatcher-controlled signaling technology called Centralized Traffic Control across its coal corridor on the east-west mainline from eastern Nebraska through Iowa.
  • Leveraged new engineering advances including a new process for replacing bolts and clips on concrete ties and a new undercutter process to quickly repair mud spots affecting track stability.
  • Auto racing pit-crew principles to help employees in North Platte, Neb., more efficiently refuel, inspect and maintain trains moving through Bailey Yard.

At Union Pacific’s Bailey Yard – the world’s largest railroad classification yard – workers typically handle 70 to 80 run-through coal trains a day. "On average, we see more than 150 trains pass through Bailey Yard each day; at least half of which are coal trains serving our nation’s utilities," said Cameron Scott, general superintendent-transportation services in North Platte, Neb. "Maintaining North Platte’s fluidity is critical to coal operations and the entire rail network."

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 and serves the fastest-growing U.S. population centers. Union Pacific’s diversified business mix includes Agricultural Products, Automotive, Chemicals, Energy, Industrial Products and Intermodal. The railroad offers competitive long-haul 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, making it North America’s premier rail franchise.

For further information, contact James Barnes at (402) 544-3560.

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.