UNION PACIFIC CORPUNP

UNION PACIFIC CORP PP&E Disclosure

10-KFiled Feb 6, 20262 min read
The following tables list the major categories of property and equipment as well as the weighted-average estimated useful life for each category (in years):
Millions, except estimated useful lifeCostAccumulated
depreciation		Net book
value		Estimated
useful life
As of December 31, 2025
Land$5,471  N/A $5,471 N/A
Road:
Rail and other track material19,747 $7,936 11,811 45
Ties12,779 4,305 8,474 34
Ballast6,646 2,309 4,337 34
Other roadway [a]24,610 6,080 18,530 47
Total road63,782 20,630 43,152 N/A
Equipment:
Locomotives9,926 3,813 6,113 18
Freight cars3,080 1,107 1,973 23
Work equipment and other1,318 540 778 17
Total equipment14,324 5,460 8,864 N/A
Technology and other1,414 669 745 12
Construction in progress1,413 - 1,413 N/A
Total$86,404 $26,759 $59,645 N/A
[a]Other roadway includes grading, bridges and tunnels, signals, buildings, and other road assets.
Millions, except estimated useful lifeCostAccumulated
depreciation		Net book
value		Estimated
useful life
As of December 31, 2024
Land$5,441 N/A $5,441 N/A
Road:
Rail and other track material19,283 $7,642 11,641 46
Ties12,358 4,109 8,249 34
Ballast6,495 2,182 4,313 34
Other roadway [a]23,913 5,681 18,232 47
Total road62,049 19,614 42,435 N/A
Equipment:
Locomotives9,517 3,724 5,793 18
Freight cars3,011 1,037 1,974 22
Work equipment and other [b]1,222 482 740 17
Total equipment13,750 5,243 8,507 N/A
Technology and other1,431 640 791 12
Construction in progress1,169 - 1,169 N/A
Total$83,840 $25,497 $58,343 N/A
[a]Other roadway includes grading, bridges and tunnels, signals, buildings, and other road assets.
[b]For retirements of depreciable railroad properties that do not occur in the normal course of business, a gain or loss may be recognized if the retirement meets each of the following three conditions: (a) is unusual, (b) is material in amount to the asset class, and (c) varies significantly from the retirement profile identified through our depreciation studies. In the second quarter of 2024, we sold a large portion of an intermodal equipment asset class resulting in a $46 million gain recognized in other expense in our Consolidated Statements of Income.

About PP&E Disclosures

The PP&E disclosure details a company's physical asset base — land, buildings, machinery, and equipment — along with the depreciation methods and useful life assumptions that determine how these costs flow through the income statement. Capitalization policy thresholds reveal management's judgment on the boundary between expense and asset, directly affecting both reported earnings and asset values.

Key signals: changes in estimated useful lives or depreciation methods can materially shift reported earnings without any operational change. Compare capital expenditures against depreciation expense — when capex consistently trails depreciation, the asset base may be aging and underinvested. Watch for large asset impairments or write-downs that signal overvalued carrying amounts. Asset retirement obligations reveal future environmental or decommissioning costs that are often underappreciated. Compare PP&E intensity (PP&E-to-revenue) against industry peers to assess capital efficiency and competitive positioning.

Other Available Disclosures

Income TaxesRevenueEarnings Per ShareLeasesDebtCommitmentsStock CompensationNew StandardsPay vs Performance