System-Wide Monthly Update #2

11, May 2005

 

The 2005 production season began over a month ago with a fairly large capital investment scheduled for this season.  However, just recently, seven more projects have been added to the 2005 Capital program.  This will more than double the number of ties being installed and add nearly 40% more ballast and another 100 surfacing miles.  Other additions are new switches at Samoa on the IC&E and in New Ulm on the DM&E.

 

¨       Thirty track miles (over 320,000’) of new 136# CWR has already been unloaded on the properties during the winter, 15 track miles on each property.  The DM&E’s Rail project, from Revere, Minnesota to east of Sanborn, Minnesota on the Tracy subdivision was completed on April 26th.  The IC& E’ s Rail’s project will run from Plymouth, Iowa to north of Carpenter, Iowa on the Owatonna sub.  This project was started Wednesday May 4th and is scheduled for completion on May 25th.

¨       The “Curve Patch” program for 2005 will include laying over 75,000 feet of premium rail on over 35 curves between Nora Junction, on the Mason City sub, to Airline Junction on the Kansas City sub.  This rail train is being unloaded this week.

¨       The additional Capital projects that have recently been added to the 2005 capital program mean that major tie projects will now be on the Kansas City, River, Chicago, and Owatonna subs of the IC&E and the Tracy and PRC subs of the DM&E.  There will be lesser projects on the Mason City sub on the IC&E and the Hartland, Waseca, and Black Hills subs on the DM&E.  Nearly 185,000 ties are now projected to be installed in the 2005 season.

¨       The most notable bridge projects of 2005 are the complete rebuild of Bridge 1506 at Fort Pierre, South Dakota and Bridge 434.5 at Sleepy Eye, Minnesota on the DM&E.  Several lesser projects will be completed on both properties.

¨       All materials for all projects seem to be in good supply and will be readily available, although high steel and fuel prices have hampered some deliveries and have raised the prices on many items.

¨       There are now 30 new premium turnouts in the 2005 capital plan with 15 of them being associated with the CWR projects and the rest for various upgrades around the two properties.

¨       Current estimates are for about 220,000 tons of ballast for the 2005 season’s 750 miles of surfacing.