State of the Railroad

DM&E

Update: 5/8/2008 1030

· Most DME operations are on schedule but Waseca is still moderately congested due to assisting in the detouring of trains from the ICE operation.

5/5/2008 1030

· Detouring of some trains over the DME to assist the ICE operation is continuing. Most DME operations are proceeding normally except for the Waseca terminal which is congested. Plans are being developed to reduce the backlog as soon as possible.

5/4/2008 0900

· Most operations are proceeding normally. Detouring of some trains to assist the ICE operation is continuing until the track outages are repaired.

5/3/2008 0900

· The Rapid City area is still mostly impassable due to snow accumulations but today and tomorrow’s forecast show much warmer temperatures to occur so we believe we will be back on schedule by Monday or Tuesday in that area. All other operations are proceeding normally.

5/2/2008 1000

· A major winter storm is occurring in the Rapid City area with reports of up to 3 feet of snow in some areas. All operations in the Rapid City area are curtailed. The balance of our operations are proceeding normally.

5/1/2008 1030

· Winter weather conditions currently exist in the Rapid City area with 1-2 feet of snow expected. Latest forecast shows mostly rain across the rest of the DME and we don’t anticipate any significant delays to our traffic at this time.

4/30/2008 1300

· All operations are proceeding normally. Another major winter storm is predicted in the next 24-48 hours to start at the western portion of the DM&E and move across the rest of the system.

4/28/2008 0945

· All operations are proceeding according to plan. Detour movements over the DME are also being handled according to plan.

4/27/2008 0900

· Most operations are back to normal schedules. Some detour arrangements are being made to accommodate track outages on the ICE and keep our traffic moving as expeditiously as possible. We anticipate very little delay to any customers for both loads and empties at this point.

4/26/2008 0900

· 8-10 inches of snow and freezing rain has slowed operations across most of the DME. Warmer temperatures are expected today and tomorrow and we anticipate a quick recovery to normal operations by Monday.

4/25/2008 0900

· A late winter storm is expected to produce 3-6 inches of snow across most of the DME system today. At this time, we do not expect any operational delays to traffic.

.

.