Ties Weekly Update #29

4 November, 2004

LAST TWO TIE PROJECTS STARTED!!

As of November 4^th, 2004, we have installed nearly 235,000 of the 245,000 ties now scheduled to be installed by November 24^th 2004. The last two tie projects for 2004 were started this past week with Wes Risseeuw’s crew installing ties on the PRC sub of the DM&E and the LA Colo crew installing ties on the Kansas City sub of the IC&E

¨ Steve Koser’s crew finished their tie installation projects for the year with the completion of a 10,000 tie project near Muscatine. They will now install curve rail for the remainder of the year.

¨ The LA Colo crew began installing over 10,00 ties on the double track of the Kansas City sub earlier this week and will complete that project late next week.

¨ As of November 4 all 245,000 ties have been delivered to our properties and are either installed or on the ground in preparation for installation.

¨ Taking all things into consideration, the siding additions, the siding extensions, the Florence connection and the additional projects, we now expect to install over 245,000 ties this production season.

¨ Jim Nemec’s west tie gang will be installing the last 2000 ties of their production year over the next couple weeks near Wasta SD

¨ Wes Risseeuw’s tie crew will install nearly 7000 ties near Midland between now and Thanksgiving