CN aims to spend more than $C 1.2bn on track this year and the budget includes funds for infrastructure enhancements in western and eastern Canada as well as the United States.

Capital expenditure on equipment will be around $C 300m, including 45 new mainline diesel locomotives. CN says that by the end of the year it will have acquired 763 mainline diesel locomotives over a 10-year period, 114 of them with ac traction.

The remaining $C 600m will be spent on facilities, including terminals, distribution centres, and the completion of its Calgary Logistics Park. This part of the budget will also cover investment in IT.

CN says it invested around $C 2bn in 2013.