CN Investing $20 Million in New Brunswick
MONCTON, New Brunswick, July 06, 2020 (GLOBE NEWSWIRE) — CN (TSX: CNR) (NYSE: CNI) announced today that it plans to invest approximately $20 million (CAD) across New Brunswick in 2020. The program will focus on rebuilding and strengthening bridges, the replacement of rail and ties, rebuilding road crossing surfaces as well as maintenance work on culverts, signal systems and other track infrastructure.
“We take our essential role in the North American economy seriously and these investments in New Brunswick are a key part of our strategy to support growth. The Company remains committed to help enable supply chains that fuel New Brunswick’s growth as we are a critical part of getting everyday goods to markets and consumers. Safety is a core value at CN and by investing in the maintenance and expansion of our track and capacity, we are providing customers with a safe and reliable solution at a time when fluid supply chains are more critical than ever.”
- Derek Taylor, Vice-President, Eastern Region at CN“Remaining committed to supporting Canadian businesses, our government continues to invest in Canada’s economy to encourage economic growth. We are pleased to see companies such as CN do their share by investing in improving safety, growing its capacity and enabling trade through a safe and reliable rail network. CN’s investments in maintaining and upgrading its existing network will have a direct beneficial impact on the movement of goods across New Brunswick and into the Eastern Canadian trade gateway, supporting the economy and jobs.”
- The Honourable Marc Garneau, Minister of Transport, Government of Canada“I am encouraged by CN’s planned capital investments to enhance its rail network in New Brunswick. With the modernization of the Saint John port and the expansion and diversification work going on at the Port of Belledune, it is even more critical to have a supporting rail system to fully optimize our transportation infrastructure.”
- The Honourable Bill Oliver, Minister of Transportation and Infrastructure, Government of New BrunswickThe Company’s investments will create greater capacity, which supports reductions in its customer’s transportation supply chain GHG emissions, by encouraging the use of rail for long haul needs. This reduces emissions, traffic congestion, accidents and burdens on public transportation infrastructure as one freight train can replace over 300 trucks from roads. Moving freight by rail instead of truck reduces GHG emissions by 75%. The Company will continue to deploy important safety enhancing technologies such as the Autonomous Track Inspection Program, and Automated Inspection Portals.Maintenance program highlights include:
Replacement of 8 miles of railInstallation of approximately 10,000 new railroad tiesRebuilds of 5 road crossing surfacesMaintenance work on bridges, culverts, signal systems, and other track infrastructureNew Brunswick in numbers:Capital investments: approximately $140 million in the last five yearsEmployees: approximately 320Railroad route miles operated: 596Community partnerships: $279,000 in 2019Local spending: $59 million in 2019Cash taxes paid: $17 million in 2019Forest products make up a significant part of the traffic originating or terminating in the province of New Brunswick. CN also handles consumer goods and other intermodal traffic through its terminal in Moncton. Other CN facilities in Moncton include a major rail classification yard as well as an automotive distribution centre and a CargoFlo bulk handling facility. CN’s network extends to the ports of Belledune and Saint John, where the Company has another CargoFlo bulk handling facility.Forward-looking statements
Certain statements included in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and under Canadian securities laws. By their nature, forward-looking statements involve risks, uncertainties and assumptions. The Company cautions that its assumptions may not materialize and that current economic conditions render such assumptions, although reasonable at the time they were made, subject to greater uncertainty. Forward-looking statements may be identified by the use of terminology such as “believes,” “expects,” “anticipates,” “assumes,” “outlook,” “plans,” “targets,” or other similar words. Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and other factors, which may cause the actual results or performance of the Company to be materially different from the outlook or any future results or performance implied by such statements. Reference should be made to Management’s Discussion and Analysis in CN’s annual and interim reports, Annual Information Form and Form 40-F, filed with Canadian and U.S. securities regulators and available on CN’s website, for a description of major risk factors.CN is a true backbone of the economy, transporting more than C$250 billion worth of goods annually for a wide range of business sectors, ranging from resource products to manufactured products to consumer goods, across a rail network of approximately 20,000 route-miles spanning Canada and mid-America. CN – Canadian National Railway Company, along with its operating railway subsidiaries – serves the cities and ports of Vancouver, Prince Rupert, B.C., Montreal, Halifax, New Orleans, and Mobile, Ala., and the metropolitan areas of Toronto, Edmonton, Winnipeg, Calgary, Chicago, Memphis, Detroit, Duluth, Minn./Superior, Wis., and Jackson, Miss., with connections to all points in North America. For more information about CN, visit the Company’s website at www.cn.ca.