System-Wide Weekly Update #1

16 April 2004

 

This week things kicked into gear with the arrival of the RJ Corman rail crews.  Up to this point, we have been limited to starting some of the bridge work and material delivery.  Tie installation has started, but we have modified the original plan slightly to concentrate on getting the IC&E track south of Owatonna done sooner.  Overall, the first week full week of “Capital Program 2004” went pretty well and we are solidly on schedule and on budget.  The biggest concern today is the need to get more specific schedules/commitments for the remaining siding work.  A few specific observations:

 

¨       All major gangs have started.  Concern is in having a useful & fully trained workforce so we have been concentrating on this training

¨       No major equipment problems to report.

¨       Material is readily available except bridge – so far we have it when we need it but it is getting used as fast as delivered.

¨       Unloaded 2 rail trains on DME this week.  Next rail train expected the 2nd week of May with another following 10 days later.  All rail should be here by June 30th.

¨       10 of 53 newly leased ballast cars are on line.  We have run them thru twice – once on the Waseca sub and once on the Owatonna sub.  They work well.  Concern over ballast car movement and efficiencies remain high. As of today 10 more new ballast cars have arrived in Chicago and will be in New Ulm for loading by Tuesday the 20th. The remaining 33 should be coming at the rate of 6 to 10 per week.

¨       A major shortage of gondolas is causing concern for the removal of scrap and usable material from construction sites.

¨       Birmingham Diamonds are completed and will be delivered the week of May 11.  Expected to be installed while the Ford plant shut down during July 4th week.

¨       Tracy Siding is ahead of expectations. The first switch will be here May 1st with crossover to arrive the week of May 10th.  In service by May 15th.  Received permits for crossing at Sale Barn Road this week.

¨       Brandt truck is working on unloading ties and moving ballast cars.  Working from Pierre to Mankato.

¨       Tie installation is on track thus far.

¨       Rail installation just started this week and seems to be running according to plan – a little early to make a judgment.