CANADIAN National Railway plans to invest C$1.75 billion (US$1.763 billion) this year, in a bid to “maintain and upgrade” its railway network, support growth and productivity initiatives, according to a statement.

“CN is taking its business model to the next level with its focus on operational and service excellence. We are making major strides in improving all customer service touch points, delivering innovative products and achieving end-to-end supply chain collaboration while continually improving productivity. CN’s capital spending is critical to running a safe, fluid and productive network and to attaining our growth and service objectives.”

More than C$1 billion of its capital investment programme for this year will be spent on track infrastructure to maintain safe railway operations and to enhance the productivity and fluidity of the rail network. This includes replacement of rail, ties and other track materials and bridge improvements.

It also includes funds for initiatives such as railway line and yard improvements on the Chicago-area Elgin, Joliet and Eastern Railway Company that the company acquired in 2009; extending sidings along its Edmonton-Prince Rupert, British Colombia, corridor; and lengthening passing tracks in north Ontario.

Equipment spending, which is intended to improve the quality of the fleet and meet customer requirements, will include the acquisition of new freight cars and locomotive upgrading and is expected to cost C$150 million this year.

The railway said it also expects to spend C$500 million on various projects to “take advantage of growth opportunities and to acquire information technology to support operational and service excellence and other opportunities that enhance productivity.”

Related posts:

1. Chongqing-Xinjiang-Europe rail service to extend to Antwerp in 2012
2. INTTRA ocean freight carrier alliance network grows to 70 members
3. CN offers more supply chain options with new Wisconsin intermodal terminal
4. Shanghai customs trade value Rises 18.6pc to US$812.3 billion in 2012
5. US highways act seeks US$260 billion, ‘biggest bill since 1956 Interstate’