Industrial Products Network Update for Friday, January 17, 2025

OPERATIONAL PERFORMANCE
BNSF operating teams have generated some improved service performance following a challenging operating environment across the core of our network in the past two weeks. Last week, Winter Storm Cora arrived shortly after Winter Storm Blair, bringing additional snow and ice to the Midwest. This weather stretched from the Texas Panhandle across Arkansas and Tennessee, affecting the eastern part of the Southern Transcon, with Memphis experiencing its largest one-day snowfall in 40 years. These conditions prolonged recovery efforts from the initial winter weather in the region, particularly in the broader Memphis and Kansas City areas.

Low visibility and snowy conditions on the Emporia Subdivision, which runs from Kansas City to Wellington in eastern Kansas - January 2025

Regarding key service metrics, car velocity was slightly down versus the prior week, while average terminal dwell showed modest improvement. Our local service compliance measure decreased slightly from last week and the average for December. Total volume increased over eight percent from the prior week.

REMINDER: Traffic Delays in the Kansas City Region Due to the Levee Project
Trains traveling through the Emporia Subdivision, which stretches from Kansas City to Wellington in eastern Kansas, may experience intermittent delays until Tuesday as BNSF completes the last of two scheduled work windows this month at our Argentine Yard near Kansas City. These delays result from ongoing work related to the U.S. Army Corps of Engineers and the Kansas City Levees Project, a multi-year and multi-phased initiative designed to enhance the reliability and resilience of the levee and floodwall system. The goal of this project is to reduce the risk of flooding from the Kansas and Missouri Rivers. During this work window, BNSF will make every effort to reroute traffic to minimize disruptions.

SERVICE EXPECTATIONS FOR THE WEEK AHEAD
Challenging operating conditions are anticipated across a large portion of the network this weekend. Arctic temperatures will affect numerous locations along the Northern Corridor and Southern Transcon this weekend, stretching from Montana and the Dakotas to Minnesota, down through the Plains into New Mexico and Texas. In the South, temperatures are expected to drop by 20 to 30 degrees by Sunday, while single-digit and sub-zero temperatures will persist in the North throughout the weekend and into the next week.

To address these conditions, train length restrictions have been implemented in the affected areas. These measures, along with the use of distributed locomotive power, significantly enhance train braking performance in cold weather. These restrictions will remain in effect until midweek, when conditions are expected to improve.

In the North, gusty winds and bouts of minor snowfall may accompany the freezing temperatures. BNSF teams are monitoring conditions and are ready to respond to any service disruptions.

We thank you for your business and appreciate the opportunity to serve as your transportation service provider. We welcome your feedback and questions.