CN Investing $50 Million in Mississippi
HOMEWOOD, Ill., July 27, 2020 (GLOBE NEWSWIRE) — CN (TSX: CNR) (NYSE: CNI) announced today that, as part of its strategic investments to support growing demand and enable supply chains, it plans to invest approximately $50 million (USD) across Mississippi in 2020. The investments will focus on continued investment in Positive Train Control, the replacement of rail and ties, as well as maintenance of bridges, level crossings, culverts, signal systems and other track infrastructure.
“We take our essential role in the North American economy seriously and these investments in Mississippi are a key part of our strategy to support growth. The Company remains committed to help enable supply chains that fuel Mississippi’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“Sustained, long term investment in infrastructure is the key to keeping Mississippi poised for a rapid economic recovery. With this announcement, CN will have contributed more than $350 million to its rail network in our state in the last five years. Their commitment is unmatched and greatly appreciated!”
– Tom King, Southern District Transportation Commissioner at the Mississippi Department of Transportation.The 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 across its network, such as the Autonomous Track Inspection Program, Distributed Air Cars and Automated Inspection Portals.Maintenance program highlights include:
Replacement of 12 miles of railInstallation of over 125,000 new railroad ties
Rebuilds of 31 road crossing surfacesMaintenance work on bridges, level crossings, culverts, signal systems and other track infrastructureMississippi in numbers:Capital investments: More than $365 million in the last five yearsEmployees: approximately 459Railroad route miles operated: 575Community partnerships: $115,000 in 2019Local spending: $78 million in 2019Cash taxes paid: $15 million in 2019CN’s network criss-crosses Mississippi, with a rail yard in Jackson serving as a hub for petroleum headed to the western part of the Magnolia State, coal moving east to Alabama, grain shipping south to the Gulf Coast for export, and chemical products headed north to the Midwest. Intermodal products destined throughout North America are handled through the intermodal terminal in Jackson. CN also has an automotive distribution facility serving the Nissan assembly plant in Canton.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.