(The following story by David Hendricks appeared on the San Antonio Express-News website on March 11, 2009.)
SAN ANTONIO, Texas — Even as Union Pacific Corp. Chairman and Chief Executive Jim Young dedicated a new rail terminal in Bexar County that promises long-term economic gains for San Antonio, he also said he sees no signs the U.S. economy is turning around in the short-term.
Because the nation’s railroads carry raw materials used to make products, such as steel, iron ore, chemicals, lumber and components, Young said he could not say that present shipment levels do not indicate an upturn.
U.P. normally moves 200,000 carloads a week, but that level has been reduced to between 140,000 to 150,000 carloads.
“The good news is that the sharp falloff we have seen since last September and October has stabilized,” Young said after the ceremony dedicating U.P.’s new rail terminal in Von Ormy, which cost more than $100 million.
“Our customers have done a good job of managing their inventories,” Young said. “I am confident that when there is an increase in demand, production can respond quickly.”