BNSF announces 2016 Capital Plan

Jan 26, 2016

FORT WORTH, TEXAS – BNSF Railway Company (BNSF) today announced its 2016 capital expenditure plan is expected to be $4.3 billion. The plan will focus on helping to ensure the company continues to operate a safe and reliable network this year and beyond. This year’s capital program reflects BNSF’s success in adding capacity to support customer demand while bringing investment more in line with current volumes.

“Our railroad is in the best shape it has ever been,” said Carl Ice, BNSF president and chief executive officer. “Each year, our capital plan works to balance our near term need to regularly maintain a vast network that is always in motion with the longer term demand outlook of our customers. While our customers’ demand outlook has softened in a number of sectors, regular maintenance of our network continues to drive the majority of our annual investments and helps ensure we continuously operate a safe and reliable network."

The largest component of this year’s plan is approximately $2.8 billion to replace and maintain BNSF’s core network and related assets to keep its railroad infrastructure in top condition. These projects will go toward replacing and upgrading rail, rail ties and ballast, which are the main components for the tracks on which BNSF trains operate. Keeping the railroad well maintained helps ensure trains can run safely and helps limit the need for unscheduled service outages that can slow down the rail network and reduce capacity.

While this year’s overall plan is $1.5 billion less than was spent in 2015 it includes more than $300 million for continued implementation of positive train control and more than $600 million for locomotives, freight cars and other equipment acquisitions. Approximately $500 million of this year’s capital plan is for expansion, including a continuation of projects that were started in 2015, such as installing a new bridge and second track to cross the Pecos River and double track near Fort Sumner, N.M. This year’s projects also reflect various other double track work and additional Centralized Traffic Control signaling that will add capacity and improve efficiency in constrained parts of the network.

Projects presented are the BNSF capital projects as of this date; changes may be made to the projects throughout the year. BNSF undertakes no obligation to update these planned expenses in the future.

About BNSF
BNSF Railway is one of North America’s leading freight transportation companies operating on 32,500 route miles of track in 28 states, and also operates in three Canadian provinces. BNSF is one of the top transporters of consumer goods, grain and agricultural products, low-sulfur coal, and industrial goods such as petroleum, chemicals, housing materials, food and beverages. BNSF’s shipments help feed, clothe, supply, and power American homes and businesses every day. BNSF and its employees have developed one of the most technologically advanced, and efficient railroads in the industry. We work continuously to improve the value of the safety, service, energy, and environmental benefits we provide to our customers and the communities we serve. You can learn more about BNSF at