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For the fourth-straight year, Norfolk Southern Corp. will spend more on capital improvements. On Friday, the Class I announced a 2006 capital spending budget of $1.15 billion, a 22 percent increase compared with 2005’s $938 million budget. The railroad previously budgeted $810 million in 2004, $798 million in 2003, $705 million in 2002 and $806 million in 2001.

The 2006 budget includes $735 million for roadway projects, $358 million for equipment, and $53 million for small projects and real estate deals.

Projected roadway spending includes $484 million for rail, crosstie, ballast and bridge programs; $37 million for communications, signal and electrical projects; $35 million for maintenance-of-way equipment; $29 million for modifications to a Tucker, Ga., data center; and $15 million for environmental projects and public improvements, such as grade crossing separations and crossing signal upgrades.

Equipment spending includes $305 million to purchase 138 six-axle locomotives and upgrade existing power; certify and rebuild 225 multi-level automobile racks; and add supplemental restraints to the racks. NS also has budgeted $35 million for computer-related and information technology projects.

In addition, the Class I plans to spend $103 million on business development initiatives, such as expanding intermodal capacity, increasing access to coal receivers, and building bulk transfer, and vehicle production and distribution facilities.

“Our 2006 capital program ensures that our network and assets continue to be well maintained, and also provides for increased capacity in terms of infrastructure, locomotives and cars, and new technology,” said NS President and Chief Executive Officer Charles “Wick” Moorman in a prepared statement.