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As of December 1st 2012, there are four daily train between Kunming and Lijiang:
Kunming to Lijiang:
Lijiang to Kunming:
The train provides 4 soft sleeping beds in a private cabin, 6 hard sleeping beds in open area and normal seats. Chinese readers can check website for latest time table. They can buy tickets online and collect ticket at station ticketing counter. At Lijiang station, there are 3 buses going to city center.
http://www.12306.cn/mormhweb/ For English readers, you can get an idea of the facilities on the trains by looking at http://www.seat61.com/China.htm Remember to take along your own snacks, tea or instant coffee, etc. for refreshments along the way.