Friday, January 22, 2010

BNSF commits $2.4 billion to 2010 capital program

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BNSF Railway has unveiled its planned 2010 capital commitment program of $2.4 billion, which it says is approximately $240 million lower than 2009. BNSF attributes the reduction of roughly 9% primarily to fewer expected locomotive acquisitions in 2010.

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BNSF currently expects to spend about $2.1 billion for track, signal systems, structures, and freight cars, and to upgrade technologies, including the unfunded mandate for Positive Train Control approved by Congress in late 2008. BNSF anticipates also acquiring approximately 170 locomotives at a cost of about $320 million.

“For 2010, BNSF currently expects to invest approximately $2.4 billion to ensure our infrastructure remains strong and to improve the efficiency of our operations,” said BNSF Chairman, President, and Chief Executive Officer Matt Rose (pictured at left).

“Similar to 2009, we remain committed to making the necessary investments to protect and grow the value of our franchise despite an uncertain economic environment,” Rose said.