CN to invest $2.5 B in 966 km of new rails, maintenance
- Published: February 9, 2017
CN plans to spend $2.5 billion in 2017 to improve its core infrastructure, which includes replacement of 2.2 million rail ties, installation of more than 966 km (600 miles) of new rail, and work in bridges, branch line upgrades and other general track maintenance.
"We once again are investing with a focus on advancing safety, service and productivity through infrastructure maintenance, strategic growth initiatives and new technology," says Luc Jobin, CN's president and chief executive officer. "We remain committed to investing in our business as we continue to advance our agenda of operational and service excellence."
CN plans to invest approximately $1.6 billion, consistent with last year's investment, on track infrastructure to maintain a safe and efficient network. The planned work includes the replacement of 2.2 million rail ties and installation of more than 600 miles of new rail, plus work on bridges, branch line upgrades and other general track maintenance.
The company plans to invest approximately $400 million in 2017 to advance the implementation of PTC, the safety technology mandated by the United States Congress, along parts of its US network. CN will install the hardware on approximately 3,500 route-miles and plans to invest a total of US $1.2 billion on the entire project by 2020.
Approximately C$500 million is expected to be spent on equipment, expansion projects and information technology initiatives to serve growing business, improve service for customers and advance safety. This includes planned growth investments to capitalize on Canadian west coast port expansions and key customer projects, and safety technology investments such as wayside inspection systems and track testing vehicles.
Jobin adds that CN's "2017 capital program maintains a steady level of investment focused on the maintenance and integrity of our network. This allows us to meet the needs of our customers today and for the long run while pursuing our goal of being the safest railroad in North America."