Rail Monthly Update #2

11 May 2005

CWR PROGRAM OVER 50% COMPLETED!!!

To date, we have installed over 21 of the roughly 38 track miles scheduled to be completed by the end of the production season. The 30 miles scheduled to be laid by RJ Corman will be completed by the end of May. This Corman crew was the same crew that laid over 60 track miles on the DM&E in 2004 and nearly 90 miles of CWR on the Pierre sub in 1996. The IC&E tie/rail crew will complete the 2005 CWR program when they lay the curve patch rail later in the year.

¨ RJ Corman completed the first 15 miles of CWR between Revere and Sanborn on schedule on the 27^th of April.

¨ This Corman crew has just today, the 11^th of May, finished 50% of the Plymouth project on the IC&E. This is a full 7 ½ track miles of rail.

¨ Tim Meyer has been assisting with the supervision of the CWR installation on both properties before moving on to help with switch installation and tie crews.

¨ Darren LeGarre’s switch and crossing crew has already assembled and installed 6 switches at Revere and Sanborn Minnesota. This crew will continue working in the Revere area on crossings and the last two switches for Lamberton. Then they will work on the newly approved Hanska project in New Ulm.

¨ Randy Parmenter’s switch and crossing crew has been assembling switches and will begin installing these switches shortly for the Plymouth project. This crew has also been assisting the CWR crew with crossing installations.