Toll Free 800.831.3587

The Exchange

Offering the latest news and leading insight.
Investment Outlook Conference Summary :: Bob Turner

Delta Trust & Bank hosted the 10th Annual Investment Outlook Conference on February 23rd. We were honored to have Charles McVean with McVean Trading & Investments LLC and Bob Turner with Union Pacific join us as this year’s speakers. Chad Carlson, Vice President and Financial Advisor of Delta Trust Investments, attended this years conference and provided the following summary of Mr. Turner’s presentation. To watch Mr. Turner’s full presentation, click here.

 

We were pleased to have Mr. Bob Turner of Union Pacific Corporation join us for Delta Trust’s 2012 Investment Outlook Conference. Bob is the senior vice president of corporate relations, with company-wide responsibility for all communications, corporate advertising and brand management, public affairs, media relations, community and government affairs and corporate philanthropy. Mr. Jim Young, the company’s chairman, president and CEO had been the scheduled speaker.

For many of us, our primary encounter with the railroad may only be an occasional delay at a train crossing, but it’s worth noting that our railroads are a key contributor to keeping our economy moving (pun intended). Railroads haul 850 million tons of coal each year, move the majority of import and export vehicles, transport raw materials for our roads and homes, refridgerated food and everyday products to store shelves, and are considered the safest options for chemical transportation. And in today’s economic climate with worries over energy prices, Mr. Turner noted that rail transportation is three times cleaner than trucks on a ton-mile basis and four-times more fuel efficient and that U.S. rail rates are the most efficient, cost-effective land transportation system in the world. He shared that trains can move one ton of freight 480 miles on a single gallon of fuel.

Of particular interest to conference attendees was Union Pacific’s contributions to Arkansas. The company runs over 1300 miles of track across our state, employs of over 2600 Arkansans, contributes in excess of $200 million in payroll, and invested over $100 million in capital spending and provided  almost $350,000 in community support last year.

For the year ending 2011, the company reported a record $1.9 billion in free cash flow while processing $1.4 billion in share repurchases.  At the same time, Union Pacific increased its dividend over 58% (in-line with its well-covered target dividend payout ratio of 30%). And over the last 5 years while the annual return of the S&P 500 averaged under 1%, Union Pacific posted an average annual return assuming reinvested dividends of 19.9%. On March 1, 2011, the common stock closed at $111.53, paying a dividend of $2.40 / share or 2.15%. The company lists on the New York Stock Exchange under the symbol UNP.

The day following our conference, Union Pacific Corporation officially announced that Mr. Young will take a medical leave of absence from his responsibilities as president and chief executive officer while he is being treated for recently diagnosed pancreatic cancer. He will remain chairman of the board during his treatment. We join with the employees and staff of Union Pacific in sending our best wishes and prayers for Jim and his family.

Chad Carlson, CFP®
Vice President & Financial Advisor
Delta Trust Investments, Inc.

Meet With Us

We are ready to discuss your financial needs. Scheduling a time to meet with us is simple, just click here.

©2014 Delta Trust & Bank | Privacy & Security

This blog does not necessarily reflect the opinion of Delta Trust & Bank or any subsidiaries. They are the opinion of the author.

For bank products or bank specific posts:

By operation of federal law, beginning January 1, 2013, funds deposited in a noninterest-bearing transaction account (including an Interest on Lawyer Trust Account) no longer will receive unlimited deposit insurance coverage by the Federal Deposit Insurance Corporation (FDIC). Beginning January 1, 2013, all of a depositor's accounts at an insured depository institution, including all noninterest-bearing transaction accounts, will be insured by the FDIC up to the standard maximum deposit insurance amount ($250,000), for each deposit insurance ownership category

For any posts or products related to Delta Trust Investments, Inc., Delta Trust Insurance or the trust department:

Not Insured by FDIC or any Federal Government Agency. May Lose Value. Not a Deposit of or Guaranteed by a Bank or any Bank Affiliate.

Any customer who should happen to be dissatisfied with the service provided by Delta Trust Investments, Inc., is invited to write to:

James Alger, President, Delta Trust Investments, Inc. | P.O. Box 17607 | Little Rock, AR 72222 | 501-907-2297 or 1-877-349-9333, or Email James Alger.

Delta Trust Investments Inc. is a member of FINRA* and SIPC*

*By clicking on 3rd party links you will be leaving the Delta Trust Investments Inc website.

Equal Housing Lender Member FDIC

You are leaving delta-trust.com.

Close

You are leaving the Delta Trust Website. Do you wish to continue?

Meet With Us

We are ready to discuss your financial needs. Fill out the form below and someone will be in touch with you.

NOTE: Please do not include sensitive information such as your social security number or account number in your message.

×

Contact Us

We are ready to discuss your financial needs. Fill out the form below and someone will be in touch with you.

NOTE: Please do not include sensitive information such as your social security number or account number in your message.

×