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1/23/2004



Rail News: Rail Industry Trends

UP increases spending with minority-, women-owned suppliers



Union Pacific Railroad is conducting more business with minority- and women-owned suppliers. In 2003, the railroad increased supplier diversity program spending $44 million to $207 million — a 27 percent increase compared with 2002's $163 million.

In 1982, UP began the program, under which the Class I purchases a variety of supplies and services — ranging from diesel fuel to maintenance services — from disadvantaged firms. Program spending has tripled during the past six years.

"We have full support from top management and continue to investigate new ways of engaging minority- and women-owned businesses across our supply chain," said UP Director of Supplier Diversity Bob Morgan in a prepared statement. "We are also now asking our other suppliers to tell us how they are including minority- and women-owned businesses in their supply chains."

UP is the only railroad represented on the National Minority Supplier Development Council.


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