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Amtrak CEO Bill Flynn’s Message on Empire Builder Train Derailment in Montana

We are in mourning today for the people who lost their lives due to the derailment of the Empire Builder train Saturday, near Joplin, Montana, on the BNSF Railway, as well as the many others who were injured. We have no words that can adequately express our sorrow for those who lost a loved one or who were hurt in this horrible event. They are in our thoughts and prayers.

We are fully cooperating with the investigation, working closely with National Transportation Safety Board, the Federal Railroad Administration, local law enforcement and response agencies. We share the sense of urgency to understand why the accident happened; however, until the investigation is complete, we will not comment further on the accident itself. The NTSB will identify the cause or causes of this accident, and Amtrak commits to taking appropriate actions to prevent a similar accident in the future.

Amtrak’s immediate and sustained focus is on doing everything we can to help our passengers and crew, especially the families of those who were injured or died, at this painful and difficult time. Our Incident Response Team has been initiated. We have sent emergency personnel and Amtrak leadership to the scene to help support our passengers, our employees and their families with their needs. Individuals with questions about their family and friends aboard this train should call 800-523-9101. We have also established a Family Assistance Center in Great Falls, Montana, and we will have family assistance liaisons at that site to reach out to those injured and their families to make sure they get what they need. We have dispatched nurse case managers to support those hospitalized. As soon as Amtrak has permission, we will access the accident site to retrieve the personal effects of our passengers and crew.

We want to extend our deep gratitude and sincere appreciation to the Joplin and greater Liberty County communities and other Montana counties and their selfless first responders, hospital staff and law enforcement for their immediate and ongoing help to support of all those aboard the Empire Builder for responding with such urgency, compassion and patience.

Amtrak-Led Coalition Wins Another Southwest Chief Grant

$11.5 million will stabilize and improve Colorado – New Mexico segment

WASHINGTON – Amtrak, committed to the national network of long-distance, interregional trains, is thanking the Federal Railroad Administration for a $5.6 million Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant to stabilize and rehabilitate the route of the Amtrak Southwest Chief in Colorado and New MexicoCombined with $4.9 million in Amtrak federal funds set aside for this service and $1 million from the New Mexico Department of Transportation (NMDOT), a total of $11.5 million will be invested from Trinidad, Colo., to south of Lamy, N.M.

This is the fifth federal grant for the route segment in these two states and Kansas. There is still a significant need for component renewal and restoration of the line to bring it to a more robust condition. When these improvements and others are complete, it will remain a productive route for decades to come.

Between 2016 and 2020, Amtrak has committed $15.8 million in direct funding for the route of the Southwest Chief, and an additional $12.8 million in matching funds to previously awarded federal grants. Amtrak has also invested between $4 and $8 million annually in this segment, outside of any grant programs, including selective installation of ties, replacing bolted rail in curves, and bridge or culvert repair.

“Starting in 2014, a team of elected and private officials formed a coalition with Amtrak that has been successful as shown by matching funds from the states and Amtrak, the political backing for the train by the region’s Congressional delegation, and the continued support by the cities, counties, and communities alongside the railway,” said Bill Flynn, Amtrak President & Chief Executive Officer. “Our past and current investments, from Kansas through Colorado and New Mexico, demonstrate our commitment to the Chief route and also preserve this segment for eventual inclusion in a north-south connection along the Front Range between Denver and Albuquerque, via Colorado Springs and Pueblo.”

Most of the trackage is owned by Burlington Northern Santa Fe Railway, which has been moving its traffic to less mountainous routes. The arid weather conditions and low freight tonnage since 2008 have allowed the right-of-way to remain in stable condition despite its advancing age. Amtrak, NMDOT and BNSF have identified critical areas where investment in the route infrastructure will improve its condition and enhance safety such that more efficient and productive maintenance dollars can be applied to it annually. Additional federal grant applications are expected to be sought.

Project engineering and construction under this CRISI grant will be carried out by the BNSF Railway Engineering Department and the Rio Metro Regional Transportation District, the latter which manages the NMDOT infrastructure. Work is expected to begin in 2021 and carry into 2022.

New ties will be installed on a 31-mile section south of Raton Pass and another six-mile segment in New Mexico, more than 12 miles of bolted rail will be converted to welded rail between Lamy and where Rio Metro’s Rail Runner commuter traffic diverges to Santa Fe, and the decks of two bridges will be rebuilt, along with three grade crossings.

BNSF commissioned a geotechnical assessment to provide recommendations for the reduction of rockfall hazards at Raton Pass, Glorieta Pass and Shoemaker Canyon. The grant will fund additional stabilization and protection measures. BNSF’s 3.3 percent Raton Pass grade is only used by Amtrak trains and is the steepest rail route in regular U.S. use. It is has been a National Historic Landmark since 1960 and is at an elevation of 7,834 feet.

The Southwest Chief (Trains 3 & 4) operates 2,265 miles between Chicago and Los Angeles, via Kansas City and Albuquerque, and also provides access to the Philmont Scout Ranch (northeast New Mexico’s largest employer), the Grand Canyon and Las Vegas.

Amtrak Customers Celebrate 90 Years of Empire Builder Service

Commemorative merchandise now available

CHICAGO – Amtrak today marked the 90th anniversary of the Empire Builder, which travels across the country’s northern tier, allowing customers to experience the grandeur of the Mississippi River Valley, Great Plains, Rockies and the Cascade Range. Daily service between Chicago and the Pacific Northwest provides a vital intercity travel option connecting more than 40 communities in eight states.

Sleeping car customers received wooden train whistles from Amtrak Guest Rewards and all customers departing Chicago received commemorative certificates signed by Amtrak President & CEO Richard Anderson. Prints of a new Empire Builder painting by railroad artist J. Craig Thorpe are available in the Amtrak store and, for a limited time, other items to recognize the anniversary of the service are also available from Amtrak.

Inaugurated by the Great Northern Railway (GN), the first westbound Empire Builder departed Chicago on the evening of June 10, 1929, but it was christened the next day in St. Paul, Minnesota, where the GN had its headquarters and where its mainline to Seattle began. The premier service was named for James J. Hill–the “Empire Builder,” who in the late 19th century founded what became the GN.

The GN and three railroads merged in 1970 to form the Burlington Northern, which continued to operate the Empire Builder until May 1, 1971, when newly-formed Amtrak took it over and changed the route to include Milwaukee by using what is now the Canadian Pacific Railway between Chicago and St. Paul. In October 1979, it became the first overnight train to be assigned bi-level Superliner® railcars, setting a higher travel standard that continues today.

Last year, 428,854 customers rode the Amtrak Empire Builder, Trains 7/27 & 8/28.

Union Pacific Profit Beats Estimates

(Reuters) – Union Pacific Corp (UNP.N), one of the biggest U.S. railroads, on Thursday reported higher-than-expected quarterly profit and said efficiency gains will bolster profits in 2019.

Shares in the company, which connects 23 states in the western two-thirds of the United States by rail, rose 3.3 percent to $159.37.

Its operating ratio – a measure of operating expenses as a percentage of revenue and a key metric for Wall Street – improved 1.1 points to 61.6 percent in the fourth quarter from the same period last year, the company said.

A lower ratio means more efficiency and higher profitability.

“We expect (2019) operating margins will increase as a result of solid core pricing gains and significant productivity benefits,” Chief Executive Lance Fritz said in a statement.

The Omaha, Nebraska-based company this month hired former Canadian National Railway Co (CNR.TO) executive and turnaround expert Jim Vena as its chief operating officer and said its operating ratio would fall below 60 percent by 2020.

Vena worked with Hunter Harrison, who led the revival of two Canadian railroads and died in 2017 after a short stint as CEO of CSX Corp (CSX.O), which recently set a 2019 target for a sub-60 percent operating ratio.

Union Pacific is cutting jobs, consolidating businesses and selling a corporate retreat to drive costs lower.

On a conference call on Thursday, Vena said “everything is on the table” as Union Pacific looks for further efficiency gains.

“I know the railroad has a vision in place to get to a 55 operating ratio already, and we’ll be working aggressively towards that goal,” Vena said.

Net income fell to $1.55 billion, or $2.12 per share in the fourth quarter, from $7.28 billion, or $9.25 per share, a year earlier when the company received a boost from changes in U.S. tax laws.

Freight revenue in the quarter rose 6 percent, lifting total operating revenue to $5.76 billion from $5.45 billion. Net core pricing was up 2.5 percent from the year-ago quarter.

Analysts, on average, expected a profit of $2.06 per share and revenue of $5.74 billion, according to IBES data from Refinitiv.

Terminal dwell, the amount of time rail cars sit idle in a terminal, was 26.7 hours for the quarter, an 18 percent improvement versus a year ago.

Union Pacific and Berkshire Hathaway-owned (BRKa.N) BNSF are the largest U.S. freight rail operators with annual revenue of more than $20 billion each.

(Reporting by Lisa Baertlein in Los Angeles and Rama Venkat in Bengaluru; Editing by Shailesh Kuber, Steve Orlofsky and Will Dunham)

Image from http://www.up.com