CN says it plans to invest more than US$300m in rail infrastructure projects in the United States this year to maintain safety and improve the productivity and fluidity of its network.
CN's capital spending in its Southern Region is targeted at replacement of rail, ties and other track materials, and bridge improvements. The company will also complete the multi-year$100m upgrade of Johnston Yard in Memphis in 2008, and will invest in other terminals and new and extended sidings to permit more efficient operations.
CN's Southern Region capital program is part of a plan to invest approximately US$1.5bn company-wide in 2008, of which more than $1.1bn will be focused on track infrastructure. Equipment spending, targeted to reach approximately $140m in 2008, will include the acquisition of new fuel-efficient locomotives, as well as improvements to the existing fleet. CN also expects to spend approximately $250m on facilities to grow the business, including transloads and distribution centers, information technology to improve service and operating efficiency, and other projects to increase productivity.
