Union Pacific stock climbs with COO announcement

Jim Vena, a 40-year veteran of Canadian National, is joining the U.S. railroad on Monday.
   Shares of Union Pacific reportedly increased 8 percent in early trading Tuesday after the news spread that Jim Vena, a 40-year veteran of Canadian National, would become the U.S. railroad’s chief operating officer next Monday.
   Bloomberg’s headline read: “Union Pacific Soars Most Since 2009 as COO Hiring Dazzles Street.” U.S. News & World Report called Vena a “turnaround expert.”
   Vena, who had served as CN’s executive vice president and chief operating officer, retired in June 2016. Union Pacific’s announcement Monday included Vena’s age: 60.
   Union Pacific said Vena will lead all aspects of its operations, including implementation of Unified Plan 2020, which the company launched in October. He will report to Lance Fritz, Union Pacific chairman, president and chief executive officer.
   “Unified Plan 2020 combines precision scheduled railroading principles with our own UP Way tools and best practices,” Fritz said. “We have been making excellent strides rolling out Unified Plan 2020, and Jim’s vast knowledge of the precision scheduled railroading model brings significant experience and expertise that will enhance the work already under way.”
   Vena worked for the late Hunter Harrison, who pioneered precision scheduled railroading and used the strategy while at the helm of CN.
   Union Pacific said that during Vena’s tenure as executive vice president and COO, CN generated the North American rail industry’s best operating ratio and achieved the best safety incident ratio in the company’s history. 
   Vena started his railroad career as a brakeman and held progressively increasing responsibilities in CN’s operations as well as marketing and sales groups. He was promoted to executive vice president and COO in 2013. He retired as part of a management reorganization following the resignation of Claude Mongeau as president and CEO.
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Kim Link Wills

Senior Editor Kim Link-Wills has written about everything from agriculture as a reporter for Illinois Agri-News to zoology as editor of the Georgia Tech Alumni Magazine. Her work has garnered awards from the Council for the Advancement and Support of Education, the Georgia Institute of Technology and the Magazine Association of the Southeast. Prior to serving as managing editor of American Shipper, Kim spent more than four years with XPO Logistics.