Indianapolis Intermodal Terminal Opening July 1, 2013 1
The Indiana Rail Road Privately-held company, founded in 1986 Corporate headquarters in Indianapolis 500-mile system serving central and southwest Indiana and central Illinois, with major rail gateways at Indianapolis, Chicago, Louisville and Newton, IL Hauls consumer, energy and industrial products Daily service to CN interchange at Newton, IL Serves major customers such as Ameren, Bemis, Duke Energy, General Electric, The Hershey Co., Indianapolis Power & Light Co., Marathon Petroleum, Naval Support Activity Crane, Peabody Energy, PolyOne Corp., Rogers Group 2
Scope and Scale Connecting import and export markets Only railroad with a bypass around Chicago The only rail connection to all three coasts Serving 75% of the U.S. population and 3
The INRD-CN Mindset: We are service companies We define service in an overall supply chain framework We are partners with every link of the chain: We are supply chain enablers We help our customers grow their markets We move the economy, and we do it sustainably We do what we say we will do, and we return phone calls 4
Supply Chain Perspective in Essential Ports & terminals supply chain agreements Scheduled rail service Streamline customs inspections Key performance indicators (KPI) driven Dedicated customer service Labor partnership 5
Redefining Transportation Time Total transportation time: 22-24 days at start-up. As few as 20 days once Indianapolis volume reaches critical mass Fast Ocean Transit Fluid Port Terminals Fast, Reliable Rail Transit Local Truck Delivery
Port of Prince Rupert Closest port to Asia 57 hours sailing time closer than LA/Long Beach; 24 hrs closer than Seattle 750,000 TEU capacity, rising to 1.2M TEU by Q4-2014 365M (1,300') berth, 17 M (55') draft at low tide; 2 more berths in Q4-2014 4 Ultra-Post-Panamax cranes speed vessel turns -- two more in Q4-2014 Single-line CN service to U.S. Midwest and Canadian markets
Port of Vancouver 3.7M TEU handling capacity 4 ocean terminals Deltaport, Vanterm, Centerm, Fraser Surrey Docks On-dock rail service 9 berths ranging from 41 ft to 53 ft 26 dock-side gantry cranes including Post-Panamax and Super-Post-Panamax Long-term labour agreements in place 8
CN s Natural Advantage Lowest grade through the Rockies coupled with Rupert s low sea level elevation Results in the lowest level of fuel consumption and the smallest carbon footprint 9
Our Ocean Carrier Partners 4 major partners at Prince Rupert Prince Rupert 13 major partners at Vancouver Vancouver 10
A Fluid and Safe Border Crossing Transborder Operation Partners fully with both US and Canada Customs agencies C-TPAT, P.I.P., CSA Risk Management and CN Police closely tied with US CBP, CBSA, and law enforcement agencies on border security Transborder Dynamics Manages close to 44 transborder trains per day On average US CBP clears CN train in 30 minutes or less Over 30% of CN s revenues are attributable to cross border traffic with over 6,000 containers/weel 11
Senate Avenue Terminal and Transload Center Located at 1500 S. Senate Avenue, less than a mile south of downtown Indianapolis. Minutes from all Interstate highways On-site truck-to-container transload centers for corn, soybeans, DDGs and lumber products U.S. Customs-bonded Container Yard Capacity to move up to 24,000 containers/year, with room to grow Expansion potential: Nearby privately-owned parcels ripe for light-industrial redevelopment 12
FAQ Q. Where is the ramp located? 1500 South Senate Avenue, Indianapolis IN, 46225 (One-half mile from Interstate 70/West Street exit) Q. How much free storage time is allotted? Loaded import steamship units will have 48 hours free time and empty units 72 hours free time. Q. What are the hours of service? From 0600 to 1800 Monday-Friday, 0800-Noon Saturday, excluding statutory holidays. Q. Will transload facilities be available? Yes, transloading facilities for a variety of products are available on-site or nearby. Q. Will there be a Container Yard available? Yes, with storage capacity for approximately 250 containers on-site. Q. Will this be a bonded facility? Yes, it will be bonded under the auspices of U.S. Customs and Border Patrol. Q. Will there be a chassis pool available? Yes, the facility will be part of the Chicago & Ohio Valley Consolidated pool (COCP). Q. How will operations be handled prior to launch date? CN can handle shipments directly to the door in Indianapolis via its ramp in Chicago. 13
FAQ (cont.) Q. How will the train schedule work? Trains from the West Coast will run to Chicago, then transfer to local service to Effingham then Newton, from where INRD will move directly to Indianapolis. Estimated 8 days transit time from West Coast. Upon start-up, we expect service 3x per week with Mon/Wed/Friday-morning availability, ramping up to daily as volumes warrant. Q. Will there be reefer plugs available? Not available upon start-up. Q. Who will be the M&R facility / vendors? ContainerPort Group will manage M&R. Q. Who will be the terminal operator? ContainerPort Group will manage terminal operations per contract with INRD. Q. When can I start shipping? The terminal will be operational by July 1, 2013, but our goal is to have all work completed and equipment mobilized by June 15. The first export train could depart prior to July 1. Q. Who will provide pricing? Pricing will be done on a through-basis by CN. Customers will receive only 1 line-haul freight bill from CN using a routing of CN-direct. Chargeable services at Indianapolis will be billed by INRD using pricing as per CN 9100 Tariff. 14
In Summary We are creating a new kind of partnership for the customer Listening to customer + entrepreneurial spirit = results Fast ocean transit Fluid port connection Consistent, reliable train service All-rail intermodal service designed specifically for Indianapolis We need your support! 15