Rail Monthly Update

26, March 2008

FIVE MAJOR RAIL PROJECTS SCHEDULED FOR THE 2008 PRODUCTION SEASON!! OVER 50 MILES OF CWR TO BE INSTALLED THIS YEAR!!

Five major projects will headline the 2008 production year.

¨ The first project to be started in 2008 will be one of nearly 20 miles between Verdi, Minnesota and Aurora, South Dakota.

¨ A small project of nearly five miles will be the next one completed in the Iroquois, SD area of the Huron sub

¨ The third project area is one of seven miles between Judson, Minnesota and Mankato on the Tracy sub.

¨ The fourth and last project for the DM&E’s portion of the 2008 CWR schedule is one of nearly 8 miles west of Owatonna, Minnesota.

¨ The final major CWR project of the year is on the IC&E and will involve nearly 15 miles of used CWR for the west end of the Mason City sub between Hobarton and Emmetsburg.

¨ The last of the actual CWR projects is the annual curve project which this year will involve nearly 9 miles of premium rail for curve replacement on the KC, River, Chicago, Marquette and Mason City subs.

¨ Over 40 turnouts will be installed in conjunction with these CWR projects as well as other project needs. Turnouts will be supplied by Progress Rail and Nortrak.

¨ All CWR will be supplied by LB Foster and Progress Rail Services.

¨ CWR will be installed by the RJ Corman group starting in mid May with a scheduled completion in August.