How Tomorrow Moves: CSX and the Port of Virginia Challenge: Significant Freight Growth Projected

Virginia Commonwealth Population In millions

9.8 MILLION 8.0 7.1 MORE x 40 TONS 108 TONS Annual freight demand = per person Annual commonwealth freight demand increase from 2010- 2030

2000 2010 2030

Pollution Road & Rail Congestion Logistics Cost

Figures according to the Federal Railroad Administration and the US Census Bureau.

222222 Challenge: Shifts in Global Trade are Driving Intermodal Flow to the East Coast

Hampton Roads

Suez Panama Canal Canal

333333 Challenge: Virginia, Mid-Atlantic Locked Out of CSX Double-Stack Freight Network

 Double-stacked trains can deliver more freight with fewer trains, dramatically increasing NW Boston efficiency while reducing rail Chicago Chambersburg line and highway congestion New York

Baltimore  CSX intermodal traffic to and St. Louis Hampton Roads from Hampton Roads largely limited to single-stack trains Charlotte due to clearance restrictions Memphis Wilmington

Current CSX Double Stack Routes New Orleans Florida

444444 National Gateway: Meeting the Challenges

 61 clearance projects and 6 new and enhanced terminals, utilizing the latest technology, in NW Ohio (planned) Boston 6 states and DC Chicago Chambersburg New York  Connects Virginia and the Port to markets in the Midwest and St. Louis Columbus Southeast, opening new (planned) Baltimore Hampton Roads (planned) demand centers Charlotte (planned Memphis expansion) Wilmington

New Orleans Florida

555555 Northwest Ohio Creates ‘Hub & Spoke’ Network Market(s) Benefits Near Term Service increase from 3 Cincinnati to 5 times weekly; reduction in transit time Boston Columbus Service increase from 3 Detroit to 5 times weekly NW Ohio Chambersburg New York Toledo New service Chicago Baltimore Evansville Enhanced service

Long Term St. Louis Hampton Roads Greater connectivity to Charlotte western railroads West Coast destinations resulting in reduced Wilmington Memphis transit times of 24 to 48 hours Atlanta Charlotte Indianapolis Louisville New service New Orleans Memphis Tampa Nashville Pittsburgh

666666 Post-TIGER National Gateway Project Status

Northwest Ohio Boston Terminal Buffalo

Chicago New York Phase I : Northwest OH Chambersburg to Chambersburg, PA Baltimore Phase 2 : Chambersburg, PA to St Louis Baltimore, MD Charlotte

Phase 3 : Baltimore, MD Memphis Wilmington to Hampton Roads, VA and Wilmington, NC Funded and underway Not funded Not all clearance projects Projects funded jointly by CSX and states of Virginia shown and

777777 The Next Phase: Complete the National Gateway

 CSX committing an additional $160 million to double-stack and double- track the and complete the National Gateway

 Outgrowth of successful partnership between CSX and Commonwealth of Virginia, our largest state funding partner

 Represents CSX’s commitment to and investment in Virginia’s port strategy — Expanding rail access to and from Hampton Roads — Linking Virginia to CSX double- stacked network

888888 The National Gateway: A True-Public Private Partnership

VA Federal  $98 Million

States  $184 Million (VA  $42 Million)

CSX  $595 Million

$1 of public funds invested = Federal State CSX $35 in public benefits

999999 National Gateway: Major Benefits for Virginia

billion Total public benefit from National 2.3 billion $10 Gateway over the next 30 years Trucks miles avoided on Virginia highways $950 million $70 million Saved in highway maintenance costs in Virginia

3 million

Tons of CO 2 emissions reduced in Virginia

1,976 Jobs created in Virginia and Metro Washington Total public benefit for the Commonwealth of Virginia

Figures according to 2009 TIGER grant application and tax/wage information.

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