Go ahead, take the business, I’ll bring in a business that fits our network that makes sense. So that’s how I think of competitors, and I could have that discussion about all the other railroads. I want us all to be really good and strong.
David Vernon: So are you seeing a potential volume risk from a diversion standpoint?
Jim Vena: Kenny?
Kenny Rocker: No, we’re going out there. We feel good about the service product. We’re going head on. We’re ready to compete. Again, the North Star, and I said this earlier, it’s over-the-road. So we’re on office and we’re starting off well.
David Vernon: All right. Thank you, guys.
Jim Vena: Thank you.
Operator: Thank you. [Operator Instructions] The next question will be coming from the line of Allison Poliniak with Wells Fargo. Please proceed with your question.
Allison Poliniak: Hi. Good morning. Hi, Kenny, can you expand a little bit on that over-the-road opportunity? Is it something that you’re seeing build a lot more in the pipeline today? I know you had talked about some of your customers wanting to see maybe more reliable service before that sort of conversion happens in terms of those opportunities? But any color on how we should think about progression in terms of today versus the multiyear out? Thanks.
Kenny Rocker: Yes. So again I mentioned roughly mid-teens call it 15% that our estimation that’s moving rail out of there. We see that as the right opportunity to go after that over-the-road products. We’ve got to revise more competitive, faster service product that Eric is delivering on in the high 90 percentile for what we’ve scheduled that too. And we have seen some wins. We have seen some over-the-road wins come early. We’ve added extra products that I talked about going into the Southeast. Remember, we’re moving, Allison, our products seven days a week. That’s in a few days a week and customers like that. And we see it as the right spot to go after and grow.
Allison Poliniak: Great. Thank you.
Operator: Our next question is from the line of Chris Wetherbee with Citigroup. Please proceed with your question.
Christian Wetherbee: Thanks. Good morning. So we noticed that headcount was down sequentially for the first time in a while, and Jim, you noted using attrition here. So maybe thinking about the next couple of quarters, should we expect head count to stay relatively flat, maybe come down a little bit as you use attrition? And then maybe asked a different way, how much volume do you think you can manage with current headcount? So as we hopefully see a recovery in freight as we move forward, is there an opportunity to leverage this existing workforce to drive more productivity without adding heads?
Jim Vena: Chris, nice to hear your voice again. There’s so many pluses and minuses, additions or subtractions. We still haven’t fully implemented the 11 and 4 deal on scheduling with BLET. And we haven’t concluded negotiations with SMART-TD on what that does. So we have to see how that goes. The general way I see it, though, is that we do want to see a more productive workforce in the company as we move ahead. But I would be remiss to tell you without those collective agreements in place of exactly what the time line is. But you know me by now that I always look at what do we need of the railroad and is at the right level to be productive with it. So I’ll do everything I can. But with those outstanding items, we still — there’s — I just can’t give you a black-and-white answer of what the time line is and how fast those changes go to where I want to take it. It might take a little bit longer than when — if we didn’t have those deals in place.
Jennifer Hamann: Yes. But Jim, I do think it’s safe to say, once we have those deals implemented and we’re working to drive the productivity. Our long-term view is that we can grow volumes faster than we grow headcount.
Jim Vena: Absolutely.
Christian Wetherbee: Okay. Thanks for the time. Appreciate it.
Jim Vena: Thanks, Chris.
Operator: The next question is from the line of Brandon Oglenski with Barclays. Please proceed with your question.
Brandon Oglenski: Hey, good morning, and congrats, Jim. So Jim, I guess, I think if we look back over the last number of CEOs at Union Pacific, the disappointment that I think probably all of them would share would be lack of relative volume growth and as I’m looking at my model here, I think RTMs this year are probably going to end up being down more than like 25% from where this company peaks way back in 2006. So as much as we’re talking about service and the ability to grow and the pipeline looks strong, like we’ve heard that before. So what is different looking forward with you as CEO at Union Pacific that you think you can really capture some of that market opportunity?
Jim Vena: Well, I’m going to repeat myself, but it truly is, you have to have the fundamentals, you have to provide the service. You have to see what’s happening. And I think we can grow faster than what the economy gives us. And that’s our goal and that’s where we’re going to drive it judge me in a year, okay? I want the Board to judge me. I want the shareholders to judge me and the team, and I think we’re there. I think we can do that. Do we have some headwinds? Absolutely. You know the industry as well as I do. Coal is always an issue that we have to deal with. But the rest of the products that we have, we’re going to go after it. We’re going to go get it. We’re going to bring it on in the right place. And if we grow not as fast as we want, we’re going to price properly for the service we’re providing. So I think it’s a win-win, and let’s talk next year. I’ll put it on my calendar. You can ask me the question of how we’re doing, okay.
Brandon Oglenski: Will do, Jim. Thanks.
Jim Vena: Thank you.
Operator: Our next question is from the line of Jonathan Chappell with Evercore ISI. Please proceed with your question.
Jonathan Chappell: Thank you. Good morning. Kenny, we’ve talked about a lot of things as it relates to intermodal, new services, best wins, conceptually there should be some share shift back to the West Coast, hopefully, after a couple of years of losses there. But the truckload market on the over-the-road opportunity continues to bounce along this bottom. So how competitive is the pricing dynamic within intermodal, whether it’s your new services relative to other rail options or relative to truck. And how do you manage then the capacity you’re willing to commit to these new kind of growth alternatives when you do have maybe a competitive pricing landscape that’s more difficult at this point of the cycle?
Kenny Rocker: Yes. First of all, it’s great that we put the investments in for our intermodal network. You’ve heard me mention them. I won’t go over them again, but it does start there. Obviously, the service matters. We’ve been deliberate about making sure we can insert optionality on that domestic intermodal product, and we’ve done that. You’ve heard us talk about the strong stable we have as you look at Hub and Schneider and if — and FTG that’s there, our rail product with EMP, UMAX, and we’ve invested in that fleet from a GPS perspective, invested in the ramp. So we’re prepared from that standpoint. You — I think your question is a little bit about how we keep them competitive. And I’ve talked about that in terms of, again, we have mechanisms to make sure that our customers regardless IMCs, private assets are competitive.
