UP stored locos returned to service

no wonder my stock is going up

 

BNSF must be doing the same thing.  I saw a BN SD60MAc white-face yesterday a War Bonnet red and silver SD7? today.

 

ChipR

BNSF did it a few months ago. Every unit they could possibly get their hands on was returned to service and then borrow and lease anything else they can get. Based on volume a couple weeks ago, BNSF was over 800 engines SHORT of having what they need to run all the trains system wide.

This is all fine, creating jobs for rehab craftsmen, but this does not resolve the lack of trackage. Over the years, freight backlogs have been commonplace. The car delivery issue that has been in the news, and on this forum is  one example. Railroads can have all the rolling stock and locomotion, but without sufficient trackage it is moot.

Don

That explains some of the foreign road diesels I occasionally see running out of San Berdoo. You see/get any on your runs up to Barstow?

I believe BNSF is spending approx. 5 billion on capital improvements and maintenance this year. And it was about 4 billion last year, if I remember correctly.  I don't follow UP, but I think their spending on improvements and maint. is up there as well. And as the OP posted, adding to their motive power as well. 

 

I also read somewhere (probably Trains) the entire production of one of the GE plants making ES44's has gone to BNSF so far this year (possibly some from their other plant also?). I think UP has 60 ordered this year, UP may have more SD70's on order?  I don't know how many SD70's BNSF or UP has ordered, but I think BNSF favors the ES44's?  

 

Anyway, that's quite a lot of investment on part of both rail roads, That's got to be good for our (USA) workers as those are skilled, good paying jobs. Except, I believe some (maybe all?) of the SD70's are made in Mexico. The ES44's are made in the USA.

Does anyone have any idea approximately how many locomotives UP had stored/still has stored?

One thing I don't get with the economy flat or shrinking a little(according to the so called experts).  Why is there a surge in traffic?

Oil.....

 

 

And and a bumper grain crop.

So is mine with Norfolk Southern. 

This traffic surge goes beyond oil and grain.  Intermodal, automobiles and chemicals are all up this year too.

 

Freight doesn't lie gentlemen.  Despite what the pundits have been saying, freight volumes (both rail and truck) would seem to indicate the economy is stronger than many believe it to be.

 

Curt

With used equipment in excellent condition most any company eliminates  capital investment and finance expense related to new.  My guess is all that reconditioned equipment moves product down the rails at 30% less.   Also consider that new requires state of the art emission control.   There should be enough bean counters sitting behind computers to verify this business plan.  It wouldn't happen if it didn't work.  IMO

 

What about the UP 4141?  (You know, the George Bush one).  Its been in storage for several years now.  I don't understand how they can justify not using a SD70ace since that's a current model and must have been very expensive.

 

Why bring an sd60 out of storage if you have a more modern compliant one like the 4141?

Matt, the only foreign power I handled was UP stuff, from Barstow back to West Colton. In Barstow, you can see every roadname under the sun. CSX, NS, N de M, KCS, Conrail, etc etc.

I got off the road job, went back to the yard in Sanber as the daylight Independent Herder. Tired of workin nights and sleepin in the roach motel. Nice change of pace for awhile.

And and a bumper grain crop.

 

The rr's are catching all kinds of flak for not moving that grain from last years harvest let alone gearing up for this years...they'd rather be moving oil.

 

http://www.columbian.com/news/...-used-to-ship-grain/

i can't see the photos in the original post.  can anyone else?

No - they don't show up for me, either.

Well that is great news.

Question:  I can understand a railroad having a surge fleet.  But, even if in "normal" times did the railroads buy new power when they had so many locomotives laid up?  Was the older power that expensive to run?

You must be correct. Thought I read that UP had ordered 60 SD70's this year and they were coming from Mexico. I don't follow UP very closely though. Anyway just tried to find that info again and all I found was the plant in Mexico is for 'the maintenance, rebuild, and overhaul of traction motors and other electrical equipment'. So maybe they don't make them there at all, just maintain them?

That is a lot of locomotives.  If I did the math right, that means UP has about 5000 locomotives active right now!

From UP DECEMBER 9 2013,and July 2014, Dan

 

December  9, 2013 | 02:11 p.m. CST

"State of the Business" provides an overview of the network's current status and outlook drivers.

Severe winter weather has impacted operations on all regions. Thanks to the efforts and dedication of many employees systemwide, significant recovery progress is being made.

Current Status

• The seven-day carloading rate is 176,146, which is about 2 percent above the average in December of last year.
• A total of 339 TE&Y employees are furloughed; 21,000 freight cars are in storage; and 517 locomotives are in long-term storage.

 

July 21, 2014 | 03:00 p.m. CDT

"State of the Business" provides an overview of the network's current status and outlook drivers.

Current Status

• The seven-day carloading rate is 190,777, which is about 11 percent above the same week in 2013.
• No TE&Y employees are furloughed, and no locomotives are in long-term storage. There are 13,000 freight cars in storage.

I can remember decades when new locomotive purchases could keep up with increased demand and little, if any, power was laid up in good condition.  The business has changed and so has the size of the rosters on the big railroads, so it looks pretty much like a surge fleet will be a component of modern railroading for some time.  Railroads get favorable tax treatment when they drain and shroud locomotives.  One thing that has not changed is the valuation tax on the locomotives a railroad owns, and it goes down when they are stored.

Well, this is big UP and BNSF country down here in the Dallas/Ft. Worth area, so all this recycled hardware should make for some interesting railfanning for awhile.

 

Not too many years ago I think I remember that during another power shortage the UP even put the Centennial and their E-9s in active freight service for a period.

too bad 3985 is laid up.  could be used in revenue service.  

BNSF has taken delivery of many of the new ES44's already and they make it in to San Bernardino quite often. Had 8108 and 8109 in and back out today, all shiny and clean still. I've seen many pairs and 3 unit consists come in together, in numerical order right out of the shops. Very rare to see the ACEs out here, but once in awhile they appear briefly in Barstow.

Yah.

They're probably putting a rush on that Big Boy now.

While at the Doctor's office today, I had a room which overlooked the CSX main in Cumberland, MD. Before he came in, I watched a long train of empty ethanol tankers

being hauled west by three BNSF locomotives. Later, while leaving town, a manifest with one CSX unit and two leasers came east with a manifest.

 

Biddness is good!

 

PS. I thought about the 3985 too, Forrest. Hope she runs again someday.

 

Ed

Biddness is goood.  A red and silver SD75(??) just went north on an empty tank car train

 

ChipR

 

Are you sure it's not going for export? We have much less refining than we had in 2007. Grain is going to ethanol plants and export. Intermodal is consumption. Chemicals, both ways, so half production.

 

I think it simply means that railroad traffic is up because of the obvious. It's cost effective to transport goods by rail.

 

Figures don't lie, but liars can figure. Interpret the activity to suit your needs.

Regardless, freight is up.

 

Someone had to drill that oil, mine that ore, grow that grain, synthesize that chemical. More production means more people producing whether it's for domestic consumption or export.

I saw the Centennial the late summer early fall of 1997 in San Antonio.  Sadly the person driving the car I was in refused to stop so I could get a photo.  I was not happy.

Moonman:

I'm not sure I catch your point.  Anything produced, manufactured or processed in this country would benefit our economy even if it were being exported.

Curt

 

Well, maybe except for jobs.