The Lionel Type 0-4-0 Locomotive No. 1062 was made with either a 0-4-0 or 2-4-2 wheel arrangement. This locomotive came with a variety of tenders, either a No. 1061T or No. 1062T slope back, or No. 1060T or No. 242T streamlined tender, and was available beginning with the advance catalog of 1963, the consumer catalog of 1964. The slope back tenders were either unlettered, or inscribed "LIONEL LINES," while the streamlined tenders are sometimes found with the somewhat scarce "SOUTHERN PACIFIC" lettering.

This engine was unpainted similar to the No. 1050, No. 1060, and No. 1061, and was originally produced as a Scout Engine No. 1001 in 1948. Has WHITE heat-stamped cab number, and a plastic two-directional motor that is controlled by a fiber lever on top of the boiler. This motor was held in place by a knurled mounting pin. The crosshead for the drive rods was eliminated to reduce the cost. Sometimes this engine is found with a traction tire. This locomotive is lighted and has a headlight lens. There are four variations:

Variation A: With a 0-4-0 wheel arrangement, body has short headlight, contact on front truck of the tender to provide an additional ground.

Variation B: With a 0-4-0 wheel arrangement, body has long headlight, no drive rods or crossheads.

Variation C: With a 2-4-2 wheel arrangement, drive rods without crossheads, issued with No. 1050T slope back tender with additional ground contact on the front truck. Issued uncataloged in Set No. 19500.

Variation D: Identical to Variation A except with no additional ground on the front truck of the tender.

This locomotive was designed to work on O27 Gauge track and it will also run on O Gauge track.