he major segment of the Railroad’s coal business. Industrial Products The company’s extensive network facilitates the movement of various commodities between various origin and destination points throughout North America. The Industrial Products group consists of various categories, including construction products, minerals, consumer goods, metals, lumber, paper, and other miscellaneous products. Commercial, residential and governmental infrastructure investments drive shipments of steel, aggregates (cement components), cement and wood products. Oil and gas drilling generates demand for raw steel, finished pipe, frac sand, stone and drilling fluid commodities. Industrial and light manufacturing plants receive steel, nonferrous materials, minerals and other raw materials. Paper and packaging commodities, as well as appliances, move to major metropolitan areas for consumers. Lumber shipments originate primarily in the Pacific Northwest and western Canada, and move throughout the U.S. for use in new home construction and repair and remodeling. Intermodal The company’s Intermodal business includes two segments, such as International and Domestic. International business consists of import and export container traffic that mainly passes through West Coast ports served by the company’s terminal network. Domestic business includes container and trailer traffic picked up and delivered within North America for intermodal marketing companies (primarily shipper agents and logistics companies), as well as truckload carriers. Less-than-truckload and package carriers with time-sensitive business requirements are also an important part of domestic shipments. Seasonality Some of the commodities that the company carries have peak shipping seasons, reflecting either or both the nature of the commodity and the demand cycle for the commodity (such as certain agricultural and food products that have specific growing and harvesting seasons). In response to an annual request from the Surface Transportation Board (STB) to all of the Class I railroads operating in the U.S., the company submits a publicly available letter during the third quarter (year ended December 2015) detailing the company’s plans for handling traffic during the third and fourth quarters each year and provide other information requested by the STB. Governmental and Environmental Regulation The operations of the Railroad are also subject to the regulatory jurisdiction of the STB. The operations of the Railroad also are subject to the regulations of the Federal Railroad Administration and other federal and state agencies. The primary laws affecting the company’s operations are the Resource Conservation and Recovery Act, regulating the management and disposal of solid and hazardous wastes; the Comprehensive Environmental Response, Compensation, and Liability Act, regulating the cleanup of contaminated properties; the Clean Air Act, regulating air emissions; and the Clean Water Act, regulating waste water discharges. Competition The company’s main railroad competitor is Burlington Northern Santa Fe LLC. History Union Pacific Corporation was founded in 1862. The company was incorporated in Utah in 1969.
union pacific corp
(UNP*:Mexico Stock Exchange)
1400 Douglas Street
Omaha, NE 68179
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