News Release

BNSF Improves Business Processes to Prepare for 2004 Grain Harvest

FORT WORTH, Texas, May 4, 2004:

To better serve its customers during the 2004 grain harvest, The Burlington Northern and Santa Fe Railway Company (BNSF) today announced it has invested in additional grain carrying capacity, reduced certain charges, simplified car ordering and appointed an ombudsman to work directly with grain shippers.

Due to concerns expressed by small shippers, BNSF has shifted capacity from guaranteed programs such as Certificates of Transportation (COTS) and SWAPS to increase tariff car availability by 11,000 cars during the grain harvest months of June-December.

To better match grain market logistics, these cars will be ordered for placement within 10-day placement periods and the cancellation penalties will be waived if BNSF fails to apply cars within that period. In addition, to make guaranteed capacity programs more attractive, BNSF has reduced customer prepayments. BNSF has also reduced the penalties it pays for late delivery.

This year, BNSF will also add more locomotives, crews and large-capacity covered hopper railcars (5161 cubic feet) to help ensure the 2004 grain harvest runs smoothly. These investments are worth more than $250 million. BNSF will take delivery of 1,500 new covered hopper cars by this fall, and another 1,500 covered hoppers early in 2005.

"We are confident that these investments and changes will help us to meet our customers’ expectations during this year’s harvest by providing the equipment capacity they need, when they need it," says Kevin Kaufman, group vice president, Agricultural Products.

Kaufman adds, "Last year’s demand was bigger and came earlier than anticipated, which caused equipment capacity to be sold out in record levels. We immediately began making plans to address the issue. We are confident that our customers will receive their cars within their 10-day order periods during this year’s harvest."

Building on BNSF’s commitment to proactively listen and respond to customers’ needs, BNSF announced the appointment of Jonathan Long to Ombudsman for the states of North Dakota, Montana and South Dakota effective June 1. Long is based in Fargo, N.D.

With a mission to better understand customer needs by building trust and strong relationships, Long will investigate customer concerns and mediate differences. Long will report to both Bryce Leigh, general director, Grain Operations, and Kaufman.

"In conversations with shippers and state and local officials, it became apparent that we needed a single-point-of-contact to address customer concerns, explain policies and procedures and provide feedback on BNSF programs and services," Kaufman says. "Jon’s extensive railroad experience in customer service, grain operations and marketing as well as his personal ties to the Northern Plains, make him a perfect fit for this important position."

Long began his 25-year railroad career with the BNSF in 1979 in his hometown of St. Cloud, Minn. as a material handler for the former Burlington Northern. For eight years, Long worked in customer service in both Northtown, Minn. and Lincoln, Neb. handling customer concerns, service issues and equipment delays for the states of Iowa, Minnesota, Missouri, Nebraska, North Dakota, South Dakota and Wisconsin. Long became trainmaster in Sioux City, Iowa, in 1994. He moved to Fort Worth, Texas, in 1997 to work in grain operations and then later in grain marketing.

A subsidiary of Burlington Northern Santa Fe Corporation (NYSE:BNI), BNSF operates one of the largest railroad networks in North America, with about 32,500 route miles covering 28 states and two Canadian provinces. The railway is among the world's top transporters of intermodal traffic, moves more grain than any other American railroad, transports the components of many of the products we depend on daily, and hauls enough coal to generate about ten percent of the electricity produced in the United States. BNSF is an industry leader in Web-enabling a variety of customer transactions at www.bnsf.com.

BNSF Headquarters
BNSF Railway Company
2650 Lou Menk Dr. 2nd Floor
P.O. Box 961057
Fort Worth, TX 76161-0057
Phone: (817) 352-1000