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Thank you so much.
North America's biggest railroad still rolling along Union Pacific saying that increased automotive and chemical shipments.
Help boost its quarterly earnings -- 28% from a year ago.
Jack -- -- is the CEO and president of Union Pacific and he is here right now Jack thank you so much for I've joining us.
Saw -- weak area to speak.
Seemed to be cold but you did sound a note of caution.
About the economic outlook how worried are you about the state of the economy.
-- united -- as we look at it right now.
The state of the economy doesn't look bad to us that says slow growing trajectory housing starts are picking up -- the continuing on that trend.
Automobile sales are doing really really well.
I'm so those -- of cut some of the key fundamentals that really drive the economy and their head in the right direction so.
I think we're seeing kind of like a little saw -- action here -- -- but the overall trend is headed in the right direction.
In terms of uncertain day and it's and it's no word often used what in -- mine and needs to happen to clear up some of that -- -- day.
And you could talk about whatever you -- you talk about Washington you can talk about.
Federal Reserve policy but what are some things that you're watching for hope to Citi.
Well we're hoping that the consumer doesn't talk themselves into an economic downturn because of all the discussion that's going on about.
The fiscal cliff in tax policies and those kinds of things.
And because so much of our business is driven by consumer spending.
We're also kind of watching the Euro -- very carefully and seeing what happens there in the global stability of of the global economy plays heavily into Union Pacific because some -- between thirty to 40% of our business originates or terminates.
In some other country other than the United States I think those are the two biggest concerns that -- that we have right at the moment.
That -- deadly train derailment that happened in the midwest recently it was a Union Pacific.
A Union Pacific train.
Would it wasn't we're definitely related to heat extreme heat temperatures on the tracks and how much more closely are you watching the state of the tracks given the extreme temperatures that we've been saying.
Yeah -- was a tragic incident and in at the initial indication as that was caused by.
What we call a sun king -- thermal misalignment of the rail.
And typically what happens in and what we always do.
As soon as the temperature of the rail gets to a certain level because outside temperatures are so high.
We increase the number of inspections and keep an eye on the track and make sure that we're doing everything we can.
To ensure its safety.
A lot goes into just even laying the rail at the right temperature and all those kinds of things to avoid those circumstances unfortunately in this case -- was a very tragic accident.
Well it's an anniversary for you guys because a 150 years ago on July the first Abraham Lincoln.
-- the Pacific railway act and a -- it well and created the original Union Pacific railroad.
President Obama's recent comments have caught up cause a lot of controversy -- since -- Saying give that the government plays a critical role in creating all businesses and that the crew -- the line was if you got a business you didn't build that somebody else made that happen.
And I am taking that slightly out of context but Jack given the -- of Union Pacific.
How do you feel about the president's comments.
We like it Union Pacific prayer and as a privately funded.
We build our own infrastructure so that the American taxpayers don't have to put money into it and do it for us.
And so we are privately funded we work very hard.
-- to maintain that distinction.
And while we do work with in public private.
Partnerships in places like shift the Chicago create project in things like that we take great pride in the fact that we're building our own railroad with our investors and our shareholders money.
And and setting in place our growth trajectory for the future.
Is the government hurting more than it's helping.
-- that's a tough question.
You know from our perspective to the extent that the government can I remove uncertainty.
And get the economy moving again that would be a big help for us.
-- in the fact that there is so much uncertainty is a concern for us when it comes to the railroads.
I'm we're very cautious about any.
Ability there -- any a movement on part of the government to to be able to cap our ability to earn.
And to generate a return on investment so that we can continue to invest but outside of those two those two situations we're we're very optimistic.
Jack thanks for taking a time and again happy anniversary 150 years pretty incredible is enough.
And I hope to see you Dana thanks so much or you're welcome back before then if all right I'm back --
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