Linking America Together The partners: Highlights Union Missouri western Pacific Pacific Pacific Total mileage 9,577 11,464 1,719 Car fleet 69,274 55,178 6,117 Locomotives 1,589 1,303 146 Employes 29,163 21,700 3,000 Miles of average haul 711 425 502 The new system: Highlights Total mileage 22,800 Total car fleet 130,569 Total locomotives 3,038 New jobs 237 Gallons of diesel fuel saved per year 10,000,000 States served AR, CA, CO, IA, ID, IL, KS, LA, MO, MS, MT, NE, NM, NV, OK, OR, TN, TX, UT, WA, WY Countries served United States, Canada, Mexico Invested in Western Pacific track $90,000,000 Increased car availability through more efficient use of equipment 3,368 A new era New links for railroads for America Most of us recall the Golden Union Pacific, Missouri Pacific Lakes to Southern California; Age of Railroading in terms of and Western Pacific, three his- from the Mississippi River to the giant steam locomotives, the toric railroads, will join their major seaports of the West Coast. excitement of meeting the daily human and material assets, their With combined trackage long train, the adventure of pioneering experience and know-how, enough to reach nearly around the American West. in a single new system. the world, it will link vital trade Now another exciting era of They have applied to the In- centers and market areas rail transportation is at hand — terstate Commerce Commission which never before were accessi- an era of new railroad systems, for approval of a consolidation ble to each other on a single with strengths combined to creating a single system nearly rail system. heighten competition, serve rail 23,000 miles long, linking 21 It will be a truly transconti- users better with improved oper- states of the western two-thirds nental railroad, with connections ations and new efficiencies, and of America. to both Canada and Mexico. meet changing national needs. This cohesive network will This is the story of three stretch from the Pacific North- railroads leading the way into the west to the Gulf of Mexico and to new age of transportation, joining Mexico itself; from the Great their resources to link America together. "Reduced transit time to important gateways and seaports." Competition, opportunity, strength Consolidation of Union Pacific, It will strengthen and expand Missouri Pacific and Western the beneficial role the railroads Pacific will provide faster, more play in the communities efficient service and expanded they serve. business opportunities for shippers, improving their access "Strengthening to markets, to seaports and to America's hand in important "gateway" points, world trade." and in many cases significantly reducing the transit time of It will make important their shipments. contributions to the solution It will assure healthier competi- of America's energy problems, tion among strong railroads, to the vital task of re-invigorating and between railroads and other the nation's systems of produc- modes of transportation. tion, distribution and con- sumption, and to strengthening "Increased competitive America's hand in world trade. opportunities." And the consolidation will provide a strong central core to It will bring increased the nation's rail network, adding competitive opportunities to a stabilizing, unifying force in transportation users, giving them our transportation system. attractive new alternatives for the movement of their goods. "New career opportunities." It will create new career oppor- tunities and strengthen employment security for employes of the three railroads, and add new jobs. The partners: Western Pacific Union Pacific Missouri Pacific Railroad Railroad Railroad Western Pacific is an innovative Union Pacific is known as one Missouri Pacific has attained and aggressive railroad in a of the best-managed railroads one of the fastest growth rates of highly competitive market. in America. Financially, it's one of any major American corpora- Its principal freight is pro- the healthiest railroads. tion. Its return on investment cessed food products from the UP serves 13 western states on a has been one of the highest of rich agricultural areas of Nor- system 9,577 miles long. It's any railroad. thern California. Other important growing rapidly in import-export Missouri Pacific serves 12 cargos on its 1,719-mile system traffic, intermodal, grain and states of the Midwest, Middle are products involved in coal transport. UP serves Pacific South and Southwest on 11,464 foreign trade. ports in Southern California miles of track. It is a major Western Pacific's terminal at and the Northwest. rail link to Mexico and Canada. Oakland, California, serves one of Its freight revenues are Rapid growth of the Sun Belt the nation's main doorways to distributed evenly over five com- has aided its profitability. Its overseas markets. modity areas: farm products, lines run through the heart of soda ash and chemicals, forest the petroleum and petrochemical products, food products and coal. industries in Oklahoma, Texas Over the past 10 years, and Louisiana. UP has invested $3.6 billion in Chemicals top the list of com- modernization and expansion. modities MoPac moves. Grain It is one of the most highly com- ranks second. Other important puterized railroads in the world. shipments on MoPac are coal, automobiles and auto parts. The time is right This consolidation comes at "Most railroad facilities were a time when national transporta- constructed in an earlier, "An effective tion needs, and the means expansionary era with very little pro-competitive impact." by which they are met, are under- competition from other modes. Consolidation of Union Pacific, going a critical assessment. There are now too many miles of Missouri Pacific and Western Today's railroad system is still track and other facilities of based largely on complicated, Pacific meets these challenges the wrong kind or at the wrong squarely. interconnected roads that dupli- location to survive the new com- Because the combined system cate services, pursue different petitive climate. The railroad pools the resources and expertise priorities and compete against industry must make substantial of three railroads, it provides national truck systems and changes in its economic and opportunities for new efficiencies other forms of transportation. physical structure." And: in operations, equipment utilization, administration and "The railroad industry "Since no single company can management which none of the must make substantial control a shipment from begin- three could realize individually. ning to end, service reliability is changes in its economic Because it will operate as unsatisfactory. Time delays and physical structure." a single coordinated system, the result from poorly coordinated new railroad combination will The U.S. Department of Trans- operations in handling inter- eliminate the time delays and lack portation has said: change traffic, especially when of central control which char- three or more railroad companies are involved." acterize a fragmented system. The U.S. Department of Justice has said: "Compete strongly in the "It is clear today that new climate of govern- vigorous intermodal competition ment deregulation." has eliminated any continuing And because the consolidated need for elaborate regulation of the rail industry. Moreover, railroads will operate with unity of purpose under more effi- it is clear that the rigid regulation cient, streamlined procedures, of the railroads has largely crippled them as competitive they will be better equipped forces and, in many cases, has to compete strongly in the new resulted in actual or threatened climate of government deregula- financial ruin." tion, free of many of the competitive disadvantages of the past. 131ue Mountoin, of eastern Oregon Ozark Mountain area of southern Missouri. Western Pacific train in California's Feather River Canyon. "Faster hauls over longer distances with central control." A competitive single system Together the Union Pacific, This combination will fill the • Time gained and costs saved Missouri Pacific and Western unmet needs of shippers by in reducing freight interchanges Pacific form an end-to-end providing single-system service among different railroads. system, a logical combination for the first time among some • More reliable transportation, with central control over an lengthening and extending areas of the most important transpor- of service, rather than dupli- tation centers and richest entire haul. cating or paralleling them. producing regions in America. • Healthier competition among Why is a single system so all kinds of freight carriers. important? Here are some of its Union Pacific advantages: Missouri Pacific SEATTLE • Faster hauls over longer dis- EASTPORT tances, making the most of the railroads' fuel efficiency. Western Pacific NORTH PLATTE OMAHA SACRAMENTO SAN FRANCISCO OAKLAND LOS ANGELES NEW ORLEANS GALVESTON SAN ANTONIO CORPUS CHRISTI BROWNSVILLE Export grain in California. Paper in Arkansas. Coal in Wyoming. "Single-system benefits for a wide variety of shippers." Wider market horizons The UP-MoPac-WP single have single-system access to service will mean significantly system will broaden and extend Gulf and Pacific ports, an impor- faster freight movements the market reach of its users, tant factor in boosting exports on long hauls. creating new business opportuni- to Asia and Western Europe. For example, the combined ties and benefiting consumers • Utilities and industry in the railroads can cut transit time be- by introducing new competitive South and Southwest will have tween Los Angeles and the alternatives in transportation. a direct competitive rail link Mississippi River by as much as to Western coal supplies. 20 hours; between New Orleans "New business • Food producers in the Pacific and the Pacific Northwest opportunities." Northwest and Intermountain by almost a day; between Seattle- area will have single-system rail Portland and St. Louis by as Here are some of the advan- links to transportation gateways much as 17 hours for important tages this new single system will along the Mississippi River.