More Traffic. More Reach. More Opportunity.

88,000

New county-to-county lanes eligible for single-line service — 41,000 within Watershed markets

105K

Carloads of merchandise traffic are projected to convert from road to rail in Watershed markets — Oliver Wyman

500M

Tons of goods originate or terminate within 250 miles of
the East-West gateways — currently underserved by rail

Short lines are the first mile and the last mile of the network. They connect farms, factories, grain elevators and small manufacturers to the national rail system and through it, to markets across the country and around the world.

For decades, that connection has been limited by a structural break in the network. Freight moving across the country has been forced to change hands between eastern and western carriers at major gateways. Every handoff adds cost and complexity that short lines and their customers absorb.

This combination removes that barrier.

One network. One partner. A simpler move.

Short lines will benefit from simplified interchange and expanded network access, allowing them to serve their customers more effectively.

Instead of managing multiple interchange points or reconciling different service plans, short lines will work with a single, integrated partner that can move freight across the country with consistency and accountability.

That shift matters. It will simplify how freight is planned, priced and executed. It will also make it easier for short lines to compete for business that today moves by truck.

New routes bring new volume

As new single-line routes open and service becomes more competitive, short lines are positioned to capture new traffic flowing directly onto their rails.

Every new carload represents more than just volume. It brings investment and job creation into the communities short lines serve, strengthening local economies tied to rail access.

This is how growth shows up in practice: more shipments originating and terminating on short lines, driven by a network that works end to end.

Built to grow with short line partners

Short lines are central to the combined railroad’s network.

The operating plan maintains existing connections with current short line partners. Targeted improvements in Chicago and St. Louis are designed to reduce operational complexity and expand capacity, while all other relationships will stay remain in place.

At the same time, the combined company will be focused on strengthening those connections and identifying opportunities to build more efficient links and attract new business to rail.

Short lines extend the reach of the national network into communities that depend on them.

They serve as the connection point for farmers, manufacturers and small businesses, making rail accessible at the regional level. They build the relationships that keep freight moving and ensure rail remains competitive and responsive in regional markets.

A faster, more seamless network strengthens that role. It will give short lines the ability to deliver better service and connect their customers to more markets without the delays and barriers that exist today.

Growth that lifts the network around it

The growth created by a connected rail network does not stay in one place.

It expands outward, opening new opportunities for short lines to reach national and global markets, supporting industrial development and strengthening the communities tied to rail.

That is how short lines grow, and this network will be built to support it.

"We believe this merger will deliver meaningful benefits - not only for Mount Hood Railroad, but for the thousands of local businesses and communities who depend on the broader rail network."

- Mount Hood Railroad

FAQ

Will the proposed combination change existing short line connections or operations?

No — with one important exception that works in short lines’ favor. The combined railroad’s operating plan does not include any changes to existing short line connections. Changes in Chicago and St. Louis are specifically designed to reduce operational complexity and create additional interchange capacity, which benefits short line partners in those markets.

Will a larger combined railroad prioritize its own network at the expense of short lines?

No. Strong short line partnerships are vital in achieving the goal of growth. Short lines originate and terminate a significant share of rail traffic, and that role becomes more important as the network expands. The combined company has every incentive to strengthen those connections to capture new business and move more freight.

Could this merger reduce routing options or limit access for short lines?

No. By eliminating interchange barriers between East and West, the combined network will create more seamless, single-line routes. That will expand the number of markets short lines can reach and compete in, with fewer delays and less complexity.

Will short lines lose leverage when dealing with a larger Class I railroad?

Short lines succeed when they deliver growth, and this combination is built to grow. More traffic, more lanes and more competitive service with trucking all increase the value short lines bring to the table. That strengthens commercial partnerships rather than weakening them.

Frequently Asked Questions

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Make Your Voice Heard

More than 2,000 businesses, unions, farmers and community leaders have already told the Surface Transportation Board why this combination matters — the largest show of support in STB history. Tell your representatives in Congress why America needs a transcontinental railroad.

Benefits described are intended and proposed, subject to STB review and approval.

Please review Union Pacific’s cautionary note regarding forward-looking statements.