Union Pacific Corp.'s Senior Unsecured Notes Due 2020 And 2025 Assigned 'A' Issue-Level Ratings

NEW YORK (Standard&Poor's) June 16, 2015--Standard&Poor's Ratings Services today assigned its 'A' issue-level ratings to Omaha, Neb.-based Union Pacific Corp.'s senior unsecured notes due 2020 and 2025. The notes will be issued from the company's existing shelf registration. Union Pacific will use the proceeds from these issuances for general corporate purposes, including repurchasing its common stock. 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

...NEW YORK (Standard & Poor's) June 16, 2015--Standard & Poor's Ratings Services today assigned its 'A' issue-level ratings to Omaha, Neb.-based Union Pacific Corp.'s senior unsecured notes due 2020 and 2025. The notes will be issued from the company's existing shelf registration. Union Pacific will use the proceeds from these issuances for general corporate purposes, including repurchasing its common stock. 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 as "modest," and its liquidity as "strong," based on our criteria. Moderate price increases, strong...

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