Union Pacific acquires Railex LLC assets
Written by Kyra Senese, Managing Editor
Railex
Union Pacific (UP) has announced its acquisition of Railex LLC, a refrigerated rail service and third-party logistics leader.
The acquisition includes the company’s refrigerated and cold storage distribution assets in Delano, Calif.; Wallula, Wash.; and Rotterdam, N.Y. Railex will continue to manage facilities throughout the transition phase and during the integration of its operations with UP. The deal does not include an acquisition of Railex Wine Services LLC.
UP says Railex is key to the Class 1’s transportation of produce including fruits, vegetables and other temperature-sensitive cargo throughout the country.
“The Railex team developed a fantastic business, changing how fresh food arrives on America’s tables, and offering food shippers fast, reliable door-to-door rail based transportation solutions,” said Brad Thrasher, vice president and general manager – Agricultural Products. “The integration of their highly efficient cross dock facilities and logistics capabilities into Union Pacific’s broader Food Network allows us to offer our customers increased access to a wider range of capacity and service solutions in a rail-centric cold chain.”
Representatives say UP currently serves Railex’s Delano and Wallula facilities directly, which are centered in major agricultural production areas. The food train network aims to offer fast, reliable service from such regions to the Midwest consumer base through Chicago and further into the Northeast region by CSX.
