OMAHA,
Neb., Sept. 12, 2022 /PRNewswire/ -- Union
Pacific Corporation (NYSE: UNP) issued a $600 million green bond offering to fund
investments aimed at decarbonizing the company's footprint and
achieving set emissions reduction targets. The bond transaction was
finalized Friday, Sept. 9.
The bonds underscore Union Pacific's commitment to achieving its
climate-action goals: reducing absolute Scope 1 and 2 GHG emissions
and Scope 3 GHG emissions on a well-to-wheel basis from locomotive
operations 26% by 2030 from a 2018 baseline, and net zero by
2050.
"Today's announcement emphasizes the importance of our
commitment to building a sustainable future for generations to
come," said Lance Fritz, chairman,
president and CEO. "When it comes to finding ways to decarbonize
our footprint, every idea is on the table. We are acting now on our
most promising avenues to make progress toward reducing greenhouse
gas emissions and investing in technology to support future
initiatives."
While Union Pacific works to further reduce its environmental
footprint, it is important to note railroads already are one of the
most fuel-efficient means of transportation. Moving freight by rail
instead of truck reduces GHG emissions by up to 75%. On average,
Union Pacific moves a ton of freight 463 miles on a single gallon
of diesel fuel.
"Union Pacific helped shape our nation's history and we're
excited to be a leader on the path to a more sustainable future,"
said Beth Whited, Executive Vice
President – Sustainability and Strategy.
As outlined in the company's Green Financing Framework,
expenditures to be funded with proceeds from the green bond
offerings may include, but are not limited to:
- New battery-electric locomotives,
- Locomotive modernizations that reduce GHG emissions and
increase fuel efficiency,
- Expansion of intermodal facilities, which can promote modal
shift of freight to lower-carbon alternatives such as rail,
- New sidings and siding extensions, which increase train length
and reduce dwell time,
- Investment in and/or development of onsite or offsite
generation and distribution of renewable energy from solar or wind
sources.
Infrastructure and rolling stock for railway lines dedicated to
the transportation of fossil fuels do not qualify for proceeds from
the green bonds.
This press release includes statements and information
regarding future expectations, outcomes or results of the company
that are not historical facts. These statements and information are
forward looking as defined by federal securities laws.
Forward-looking statements and information should not be read as a
guarantee of future performance or results and will not necessarily
be accurate indications of the times that, or by which, such
performance, targets, goals, or results will be achieved.
Forward-looking statements and information are subject to risks and
uncertainties that could cause actual performance or results to
differ materially from those expressed in the statements. Factors
that could cause results or outcomes to differ, including the risk
factors in Item 1A of the company's Annual Form 10-K, filed
February 4, 2022, also could affect
our future results and could cause those results or other outcomes
to differ materially from those expressed or implied in the
forward-looking statements and information. This report should be
read in consideration of these risk factors.
ABOUT UNION PACIFIC
Union Pacific (NYSE: UNP) delivers the goods families and
businesses use every day with safe, reliable and efficient service.
Operating in 23 western states, the company connects its customers
and communities to the global economy. Trains are the most
environmentally responsible way to move freight, helping Union
Pacific protect future generations. More information about Union
Pacific is available at www.up.com.
www.up.com
www.facebook.com/unionpacific
www.twitter.com/unionpacific
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SOURCE Union Pacific Corporation