(The Associated Press circulated the following on June 21.)
NEW YORK — Canadian National Railway Co. on Thursday said it will acquire a total of 65 new fuel-efficient, high-horsepower locomotives in an effort to cut fuel costs.
Canadian National said it ordered 40 locomotives from a unit of General Electric Co., and 25 locomotives from Electro-Motive Diesel Inc. The GE units will be delivered between December 2007 and February 2008. The Electro-Motive locomotives should arrive in August 2008, Canadian National said.
The orders are in addition to 65 locomotives already on order for delivery this year.
“The new units are about 15 percent more fuel efficient than the locomotives they will replace, and will comply fully with the latest regulatory requirements for reduced locomotive emissions,” said President and Chief Executive E. Hunter Harrison in a statement. “The latest locomotive orders announced today will permit Canadian National to retire 145 older locomotives.”
The company said it spent almost 900 million Canadian dollars ($845.9 million), on fuel in 2006.
U.S.-listed shares of Canadian National added 29 cents to $51.90 in morning trading.