OMAHA, Neb. — Union Pacific plans to spend $3.4 billion on capital projects in 2024, the railroad announced Wednesday, with more than half of that going to basic infrastructure upgrades and replacement, such as rail, ties, and ballast.
The $1.9 billion for infrastructure represents approximately 56% of the capital plan. Another $600 million is budgeted toward locomotive upgrades and freight car acquisitions.
“We invest to keep our railroad and employees safe, and we will never compromise on that,” CEO Jim Vena said in a press release. “We also spend capital dollars to provide a quality service product, and strong service, creating a winning environment for our customers.”
The $3.4 billion figure represents a decrease of about 8% from 2023, when the railroad spent about $3.7 billion, according to its filing for fiscal 2023 with the Securities & Exchange Commission.
The railroad said it would expand its intermodal footprint to support business development in targeted, high-growth areas such as Southern California, Phoenix, and Kansas City. It will also invest in capacity projects such as siding extension, as well as technology projects. It did not provide specifics.
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