Red Cross Summit August 20, 2015 Overview of CSX Montreal Freight transportation company, providing rail-based and intermodal services Chicago New York Dating back more than 180 years to the B&O Railroad, the nation’s first common carrier Operating in 23 states, the District St Louis of Columbia and two Canadian provinces, with access to 70 ports Memphis Charleston Jacksonville (Company HQ) New Orleans Miami 2 Based in Jacksonville, Florida 32,000 people 21,000 miles of railroad 1,300 trains per day Two-pronged approach to event-based risks Transport Respond Inspection and maintenance of infrastructure assets Use of proactive detection technology and processes Procedures to safely handle cargo Comprehensive emergency response plan, including engagement of community partners Robust claims management process to minimize exposure 99.999% of hazardous material shipments reach destination without incident 3 Track inspection and maintenance are paramount Transport CSX has 525 track inspectors who visually inspect approximately 3 million miles of track each year Track inspection vehicles inspect 140,000 miles annually 4 — Track Geometry Cars — Ultrasonic Rail Test Cars — Machine Vision Inspection Vehicles Vehicle Track Interaction (VTI) providing real-time track health information — 26 CSX locomotives equipped — Traveling ~ 800,000 miles annually Supplementing technology with best practices Transport Network Operations Workstation (NOW) Paperwork identifies a train carrying hazmat as a “key train” Rail traffic routing model used to identify safest route Operated at a reduced speed — Crude oil trains are not left unattended outside of a yard — 5 Further reduced for crude oil trains operating through High Threat Urban Areas Operator removes the “reverser” when leaving the train Training for first responders Respond 6 Response guide to hazmat unit train emergencies Rail Education and Development Institute (R.E.D.I.) in Atlanta, GA Emergency Response Training Center in Pueblo, CO Computer-based training Face to face training — 228 classes — 1,279 hours — 6,270 attendees First responder training for crude oil routes Respond Utilizes the CSX Safety Train 18 city tour — 4 tank cars — Classes for first responders — Valve configuration car — 2 to 4 days per location — 2 classroom cars — Over 2,100 first responders trained with 389 agencies — Caboose 7 CSX Crisis Response Priorities: Our mission is to quickly respond to the needs of Our employees The community The environment Railroad operations Working diligently to build a unique and dedicated “Standard of Care” protocol to ensure the impact is addressed promptly and professionally with safety and community welfare as our top priorities. 88 CSX and the industry are focused on crisis response CSX Standard of care focused on meeting the needs of residents Industry workshops to exchange lessons learned and best practices Coordination with first responders, NTSB, FRA and local authorities Mutual industry resource sharing Prompt accumulation of on-the-ground details (Crisis Alert Response System) Risk management field personnel positioned for fast response Establish outreach centers quickly Capitalize on established relationships with specialized service providers 9 Rail Industry Focus on jointly owned affiliates Crisis response – ensure adequate level of support (owners, vendors) Preparation – enhance emergency plans and review operations Industry meeting mid-year with Red Cross to develop shared protocols for major rail crises CSX leads the industry in crisis response Respond “I offer my sincerest thanks to the emergency responders who kept our residents safe, and I am grateful to everyone who helped get information and resources to those impacted (CSX).” - U.S. Senator Shelley Moore (West Virginia) “I also want to thank you, CSX as a whole, who have been here almost instantly working with area fire departments, first responders, cleanup crews, DEP, etc. . . . . , but I wanted to tell you how great of a job you all are doing, because I see firsthand.” - Denise Fernatt, Mount Carbon, WV Resident “Willard is an example of how you do it right, from the first responders to the people that have been on the ground managing it (CSX)” - Ohio Governor John R. Kasich "CSX is making arrangements for those people who cannot get back into their homes to be put up in hotels and provided for," Tomblin said. "So everyone will have a warm place to stay and food and drink for the duration.“ - Earl Ray Tomblin, West Virginia Governor 10
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