Summary
Union Pacific Corporation (UNP) filed an 8-K on June 10, 2011, to disclose a lawsuit filed against its principal operating subsidiary, Union Pacific Railroad Company (UPRR). The complaint, filed in the U.S. District Court for the District of Columbia, names UPRR and other Class I Railroads as defendants. While some allegations overlap with existing fuel surcharge litigation, the complaint also introduces new claims related to alleged limitations on competition for customer shipments. UPRR vehemently denies all allegations and intends to defend itself vigorously. The Corporation does not currently anticipate a material adverse effect on its financial results, condition, or liquidity. This filing is made concurrently with a pending private debt exchange transaction that is set to expire on June 20, 2011, which is the primary reason for this 8-K filing.
Key Highlights
- 1Union Pacific Railroad Company (UPRR) named as a defendant in a new lawsuit.
- 2The lawsuit was filed in the U.S. District Court for the District of Columbia.
- 3Allegations include claims related to fuel surcharges and new claims about anti-competitive practices.
- 4UPRR denies all allegations and will defend itself vigorously.
- 5The company does not currently believe the lawsuit will have a material adverse effect on its financial performance.
- 6The 8-K filing is also related to an ongoing private debt exchange transaction expiring June 20, 2011.