Southern's 1981 capital spending matches last year's $310 million





Southern Railway plans to spend $310 million on capital improvements in 1981, equalling the amount spent in 1980 and bringing to more than $1 billion the total of such expenditures in just four years.

"Despite the economic downturn of the past year, we are confident of the future and our record-matching spending for 1981 reflects this confidence," President Harold H. Hall said.

Planned capital expenditures are divided between equipment purchases, totaling $180 million, and fixed plant and facilities, $130 million. Equipment expenditures include $156 million in car and locomotive orders previously announced and scheduled for delivery during 1981.

Major plant improvements planned during the year in- clude construction of new facilities at Hayne Shop near Spartanburg, S. C., at a total cost of $4.4 million; expansion of the intermodal "piggyback" terminal at Jacksonville, Fla., at a cost of $2 million; and expansion of the rail yard at Valdosta, Ga., costing $700,000.

In addition, construction will begin on a new car repair shop at Cincinnati that ultimately will cost $3 million.

Upgrading of Southern's central computer in Atlanta will be completed at a cost of more than $4 million, while another $3 million will be spent to further improve the Terminal Information Processing System (TIPS), Southern's modern car inventory and way billing system.

Major line - of - road improvements include the planned installation of an additional 538 miles of continuous welded "ribbon" rail, including 331 miles of new rail and 207 miles of relay welded rail, as part of a rail - laying program costing $57 million. Line upgrading will include new passing tracks and sidings costing more than $13 million, new tracks for industrial sites costing $3 million, and $6.5 million will be spent on new rail - laying machinery and other maintenance of way equipment.

Other significant expenditures include $7.5 million for continued upgrading and expansion of centralized traffic control, $3 million for improvements to Southern's microwave communications system, $13 million for bridges, trestles and culverts, and more than $900,000 for protecting the environment.