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Freight Railroading
“Growing our Economy”
22
Industry Overview
• Seven Class I Railroads in U.S.
• BNSF, UP, NS, CSX, KCS, CP and CN
• Emphasis on long haul, unit trains and
intermodal
• Ove 560 regional and short line railroads: Class II
and III
• Short haul
• Most truck competitive
• Average length of haul
• Class II or regional: 35 miles
• Class III or short line: 15
33
Watco Quick Facts
• Largest car repair shop service provider in U.S.
• Largest private short line operator in U.S.
• 3rd largest industrial contract switching provider
• 83 terminal locations
• 37 short line railroad companies
• 3,900 Railcars and 400+ Locomotives
• 40 states served
• 5,000 team members
4
Watco System Map
5
Watco’s Texas Short Lines
Austin Western Railroad (LBWR)
Pecos Valley Southern Railway
(PVS)
Lubbock & Western Railway (LBWR)
Texas & New Mexico Railway (TXN)
San Antonio Central Railroad (SAC)
Timber Rock Railroad (TIBR)
Greens Port
―686 Miles
―90,000+ Carloads
―9 Million Tons Annually
―$10M Capex 5 Yr. Spend
6
→ State Programs Opportunities
Wisconsin Louisiana
Kansas West Virginia
Oklahoma Michigan
Washington Texas
Ohio
Pennsylvania
North Carolina
Mississippi (when funded)
→ Federal Discretionary Programs
TIGER
FASTLANE
→ Telling Our Story
Building Relationships
Demonstrating Need
Economic Data
Partnerships – State & Local
7
Wisconsin – A Success Story
Over 800 miles
Serving 200 Wisconsin
Businesses
Diversified Customer Base
Over 50% of traffic is Local
Grain and Aggregate
Portfolio of New Business
 $90M in New Customer
Investments
 700 New Jobs
8
Preservation Projects on WSOR
TRACK & TIES
Fox Lake Subdivision
Plymouth Subdivision
Waukesha Subdivision
Watertown Subdivision
Class II Track Rehab
• 130,000 New Wood Ties
• 8 Miles of CWR
• $15,000,000
• 106 Miles
9
Infrastructure Upgrades: CWR Installation
10
Preservation Bridge Project
Before
After
11
Before After
Dormant ROW Rehab to Serve New Industry
12
Any Questions?
THANK YOU!
Laura A. McNichol
VP, Government and Industry Relations
LAM@watcocompanies.com
703.472.5642

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Freight Railroading: Growing Our Economy

  • 2. 22 Industry Overview • Seven Class I Railroads in U.S. • BNSF, UP, NS, CSX, KCS, CP and CN • Emphasis on long haul, unit trains and intermodal • Ove 560 regional and short line railroads: Class II and III • Short haul • Most truck competitive • Average length of haul • Class II or regional: 35 miles • Class III or short line: 15
  • 3. 33 Watco Quick Facts • Largest car repair shop service provider in U.S. • Largest private short line operator in U.S. • 3rd largest industrial contract switching provider • 83 terminal locations • 37 short line railroad companies • 3,900 Railcars and 400+ Locomotives • 40 states served • 5,000 team members
  • 5. 5 Watco’s Texas Short Lines Austin Western Railroad (LBWR) Pecos Valley Southern Railway (PVS) Lubbock & Western Railway (LBWR) Texas & New Mexico Railway (TXN) San Antonio Central Railroad (SAC) Timber Rock Railroad (TIBR) Greens Port ―686 Miles ―90,000+ Carloads ―9 Million Tons Annually ―$10M Capex 5 Yr. Spend
  • 6. 6 → State Programs Opportunities Wisconsin Louisiana Kansas West Virginia Oklahoma Michigan Washington Texas Ohio Pennsylvania North Carolina Mississippi (when funded) → Federal Discretionary Programs TIGER FASTLANE → Telling Our Story Building Relationships Demonstrating Need Economic Data Partnerships – State & Local
  • 7. 7 Wisconsin – A Success Story Over 800 miles Serving 200 Wisconsin Businesses Diversified Customer Base Over 50% of traffic is Local Grain and Aggregate Portfolio of New Business  $90M in New Customer Investments  700 New Jobs
  • 8. 8 Preservation Projects on WSOR TRACK & TIES Fox Lake Subdivision Plymouth Subdivision Waukesha Subdivision Watertown Subdivision Class II Track Rehab • 130,000 New Wood Ties • 8 Miles of CWR • $15,000,000 • 106 Miles
  • 11. 11 Before After Dormant ROW Rehab to Serve New Industry
  • 12. 12 Any Questions? THANK YOU! Laura A. McNichol VP, Government and Industry Relations LAM@watcocompanies.com 703.472.5642