NEW YORK (S&P Global Ratings) Sept. 1, 2016--S&P Global Ratings today assigned its 'A' issue-level rating to Omaha-based Union Pacific Corp.'s proposed senior unsecured notes due 2051. The company has offered to exchange the proposed notes, along with cash, for up to approximately $3.2 billion of its existing debt maturing between 2028 and 2044. Our ratings on Union Pacific reflect the U.S. freight railroad industry's favorable risk characteristics and the company's solid competitive position, moderate financial policies, and strong liquidity. Price competition from other railroads and trucking companies on selected commodities and the company's high capital requirements, which are typical of the industry, somewhat offset these strengths. We characterize the company's business risk profile as strong, its financial risk profile
