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Capital Projects Overview January 8, 2020 America’S Only Private High-Speed Passenger Rail Initiative

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Capital Projects Overview January 8, 2020 America’S Only Private High-Speed Passenger Rail Initiative Michael Cegelis, EVP, Rail Infrastructure Capital Projects Overview January 8, 2020 America’s Only Private High-Speed Passenger Rail Initiative • Focus on first-class customer experience for Florida residents and visitors • Two systems currently underway • Opportunities to expand nationwide, connecting other strategic city pairs Too close to fly, too far to drive Our Florida System(1) Our California Expansion Jacksonville Reno St. Augustine Sacramento San Francisco Daytona Beach San Jose Orlando Cocoa Melbourne Las Vegas Disney Vero Stuart Barstow Jupiter West Palm Beach Boca Raton Victorville Current Virgin Trains USA Station Fort Lauderdale Union Station Future Virgin Trains USA Station Planned Virgin Trains USA Station Aventura Current Virgin Trains USA Route Miami Planned Virgin Trains USA Route International Miami Airport Orlando Extension Route PortMiami Future Virgin Trains USA Route San Diego 1. We currently operate between Miami and West Palm Beach. We commenced operations from West Palm Beach to Fort Lauderdale in January 2018 and from West Palm Beach to Miami in May 2018. We will be commencing service to Aventura, Boca Raton, and PortMiami in the next 9-12 months. We have commenced construction of the expansion of our Florida passenger rail system to Orlando, and we intend to further expand our rail service to Disney. 2 More Than Just A Ride, It’s a One of a Kind Guest Experience 3 Virgin Trains Florida System 4 Economic Basis for our Florida System Massive travel market with 400 million trips taken annually Corridor adjacent to 70% of 21 million residents state’s 20 million residents 1 − 3rd largest state in the U.S. and one of the fastest growing 125 million annual visitors 2 − Orlando #1 travel destination in the U.S. Population per sq. mile <10 Home to top 3 largest cruise ports in the world 10…25 25…50 3 50…100 − PortMiami, Port Everglades, Port Canaveral 100…250 250…500 500…1,000 1,000…2,500 2,500…5,000 >5,000 Gateway to Latin America 4 − 11mm international arrivals into Miami annually 5 Our Current South Florida System • Started construction in late 2014, completed late 2017, $4B+ total investment • Commenced operations in January 2018, opened Miami station in May 2018 • Executed a trademark and licensing agreement with Virgin Group and currently rebranding to Virgin Trains USA • Operating hourly service along 67 mile corridor with stops in Miami, Fort Lauderdale and West Palm Beach Carried more than 1.6 million riders since opening operations State-Of-The-Art Train Sets MiamiCentral Station MiamiCentral Departure Lounge 6 Most Innovative Train in America – Miami Central Station 7 Most Innovative Train in America – Miami Central Station 8 Most Innovative Train in America – Miami Central Station 9 Most Innovative Train in America – Miami Central Station 10 Projects within our Florida System • Phase 1 - We currently operate in Florida with stations in Miami, Ft. Lauderdale and West Palm Beach • New Stations are planned for Aventura, Boca Raton, and Port Miami Orlando • PTC implementation is underway in MIA-WPB • Additional track improvements are underway to Tampa improve freight fluidity • Intrusion prevention improvements are also West Palm Beach Boca Raton underway Fort Lauderdale Current Station • Phase 2 - Orlando extension is under construction Current Route Orlando Extension Route Miami Airport Miami Future Route • Phase 3 – Tampa/Disney extension is in active planning 11 12 Tampa Expansion – Preferred Alternative 13 Virgin Trains Florida System Phase 2 – West Palm Beach to Orlando 14 Extending Virgin Trains USA from WPB to Orlando • $2.5B investment • 168 miles total • 129 miles in existing rail corridor (Zone 4) • Double track • Bridges replaced • Signal system replaced • 155 grade crossings reconstructed • 35 miles from Cocoa Curve to Orlando Airport (Zone 3) • 4 miles through GOAA main corridor (Zone 2) • VMF and Orlando Station Tenant Improvements (Zone 1) • 62 acre site • 138,000 SF building • 6 miles of track • Orlando Airport Station tenant fitout 15 Extending Virgin Trains USA from WPB to Orlando (cont.) • 55 structures • 48 bridges • 3 trenches • 4 underpasses • 1.4M SF of walls • 6M CY of embankment • 225m lbs. steel • 155 grade crossings • 106 pcs special track 16 Orlando Extension Project Delivery Model • VT leads the 40 person PM Team • HNTB support • Design Engineering • TY Lin/Pennino Group for VMF • HNTB for rail alignment from Orlando to Cocoa • TranSystems for rail alignment from Cocoa to IR/St. Lucie County Line • AECOM for St. Lucie/IR County Line to WPB • Bergmann for fixed bridges in N-S • TranSystems for Loxahatchee movable bridge rehabilitation design • Rolling Stock • Siemens 17 Orlando Extension Project Delivery Model (cont.) • Environmental • Wood • Biotech • Systems & Comm • MIA-WPB: Alstom E-ATC • WPB north: Wabtec I-ETMS • Construction – current active prime contracts (fixed price, evaluated bid with ATC) • Zone 1 VMF site: Hubbard Construction Co. ($8M) • Zone 1 VMF Building: Wharton-Smith Inc. ($55M) • Zone 2 GOAA alignment: The Middlesex Co. ($85M) • Zone 3 GOAA curve-Cocoa curve: Granite Construction Co. ($500M) • Zone 4 rail alignment Cocoa-WPB: HSR Constructors (Herzog, Stacy & Witbeck, Railworks) ($700M) • Zone 4 Loxahatchee Bascule Bridge reconstruction: Scott Bridge Co. ($33M) 18 Orlando Extension Project Delivery Model (cont.) • Railroad Materials are direct purchased ($250M) • Rail (SDI), Ballast (Vulcan), Concrete Ties (Rocla), Special Track (Nortrak) • Transportation (Norfolk Southern, FECR, CSX) • Other direct purchases • Train wash • Wheel truing machine • Drop table • 30 ton overhead crane 19 Orlando Extension Project Delivery Model (cont.) • Land • FECR Easement • FDOT Lease • CFX Easement • GOAA Easement • Direct purchase properties • Mitigation land purchases and credits • Borrow pits 20 Orlando Extension Project Delivery Model (cont.) • Other stakeholders • FRA • USACE • USCG • SFWMD • SJRWMD • Orange County EPD • Counties & cities • FDEP • Florida Fish & Wildlife • OUC 21 Zone 1 Vehicle Maintenance Facility Site Development 22 Zone 1 Vehicle Maintenance Facility Site Development 23 Zone 1 Vehicle Maintenance Facility Rendering 24 Zone 1 Orlando Airport Station Tenant Improvements 25 Zone 1 Orlando Airport Station Tenant Improvements 26 Zone 2 Orlando International Airport Corridor 27 28 Zone 3 Orlando Airport-Cocoa 29 Zone 4 Cocoa-WPB (tortoise trapping & relocation) 30 Zone 4 Cocoa-WPB (Loxahatchee fiber bore) 31 Zone 4 Cocoa-WPB (fiber plow) 32 Zone 4 Cocoa-WPB (grade crossing upgrades & replacements) 33 Crane Creek Bridge, Melbourne, FL 34 Zone 4 Cocoa-WPB (rail grading) 35 Owner Supplied Materials 36 Ties manufactured by Rocla in purpose built plant, Ft. Pierce, FL 37 Rail – Steel Dynamics Inc., Ft. Wayne, IN 38 Timber Tie Pre-plating – Gonzalez & Sons, Miami 39 Wired Signal Houses - Alstom 40 Special Track - Nortrak 41 Ballast & Delivery • Ballast • Vulcan Materials • Conrad Yelvington • Rail • FECR • CSX • Car leasing • Wells Fargo • Herzog • GATX • Vulcan 42 Virgin Trains Florida System Future Projects 43 Florida System Future Prime Contracts • Zone 1 Orlando Station Tenant Improvements ($7M) • Freight fluidity – Frontenac Double Track ($8M) • Aventura Station Civil/Track/Wayside systems ($20M) • Boca Raton Station Civil/Track/Wayside systems ($5M) • PortMiami Civil/Track/Wayside systems ($5M) • St. Lucie movable bridge ($15M) • Intrusion protection improvements ($3M) • Tampa extension ($1.5B) 44 Virgin Trains Las Vegas/Southern California System 45 Our First Expansion – Los Angeles to Las Vegas 46 Our Southern California and Las Vegas System Travel from Southern California to Las Vegas in 90 minutes for less than the cost of driving or flying • Rights to DesertXpress purchased Reno • Planning, NEPA entitlement, site acquisition work is Sacramento San Francisco underway San Jose Bakersfield • Engineering design by HNTB (California) and Jacobs Barstow Santa Barbara Palmdale Victorville Las Vegas (Nevada) Ventura Santa Clarita Downtown San Bernardino L.A. Barstow • CMGC: Victorville to Vegas Constructors (Skanska Palmdale San Diego Victorville Balfour JV w/ Las Vegas Paving) Union Station • The first leg would travel from Las Vegas to Planned Virgin Trains USA Station San Diego Victorville, CA Planned Virgin Trains USA Route Future Virgin Trains USA Route • Future expansion would take the system into downtown Los Angeles 47 Thank You 48.
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