1. Copyright © 2011 Railinc Corp. All Rights Reserved. 2012 Industry Projects and the RPSWC Process 1

2. Copyright © 2011 Railinc Corp. All Rights Reserved. Agenda 2012 Industry Projects –Car Hire Data Exchange Edits –2012 Industry Studies Railinc Project Support Working Committee (RPSWC) –What is it? –How does it work? Questions? 2

3. 2012 INDUSTRY PROJECTS 3

4. Copyright © 2011 Railinc Corp. All Rights Reserved. 2012 Industry Projects 7 projects were identified in April as potential 2012 projects in Asset Utilization & Compensation –Car Hire Data Exchange Edits –Car Accounting Self Service Enhancements –Car Hire Liability File Expansion –Deprescription Electronic Marketplace –Elimination of Reclaims for Empty Cars under Revenue Billing (Rule 4) –Locomotive HPH and Fuel Equalization Data Exchange –Rejected Cars Visibility 4

5. Copyright © 2011 Railinc Corp. All Rights Reserved. 2012 Industry Projects Railinc developed associated business cases (identified costs and benefits) for 4 projects –Car Hire Data Exchange Edits –Car Accounting Self Service (CASS) Enhancements –Car Hire Liability File (CHLF) Expansion –Deprescription Electronic Marketplace The 4 projects progressed to the business case stage were selected in June by the Railinc Project Support Working Committee (RPSWC) based on: –High level themes –Qualitative benefits 5

6. Copyright © 2011 Railinc Corp. All Rights Reserved. 2012 Industry Projects 1 project was approved in August for 2012 development: Car Hire Data Exchange (CHDX) Edits –Relatively small project –Envisioning – late 1Q12 –Development/ implementation – 2Q12 (as currently envisioned) 6 Why? Quality Data “In” Quality Data “Out” Reduced Claims Fewer Exception Handlings Improved industry efficiency and lower costs

7. Copyright © 2011 Railinc Corp. All Rights Reserved. Car Hire Data Exchange Edits Builds on development work from the 2011 CHDX Platform Upgrade Project –Alex Pritchett will speak on Thursday at 2pm about this effort Two primary themes under development: –Identification of specific CHDX elements (“critical edits”) which would cause a file to be rejected Further identification of soft edits for informational purposes –Web-based resubmission for specific fields for companies that don’t want to resubmit entire file 7

8. Copyright © 2011 Railinc Corp. All Rights Reserved. Car Hire Data Exchange Edits The Information & Data Quality Task Force will make recommendations for the critical edits to the Equipment Assets Committee They will also solicit feedback from submitters on the CHDX timetable to ensure that rejected files can be corrected and resubmitted in time. 8

9. Copyright © 2011 Railinc Corp. All Rights Reserved. Car Hire Data Exchange Edits Edits to Consider Mark Look-up Detail/Summary Code Account Type Code Transaction Set Purpose Code The edit creation process might span several years and that the industry could identify new edits over time for inclusion as “rejectable.” 9

10. Copyright © 2011 Railinc Corp. All Rights Reserved. 2012 Industry Studies 2 studies were discussed as 2012 initiatives: –Mileage Comparison Compare Railinc Accumulated Mileage Process and resulting files with CHDX Mileage records –Deprescription Business Process Identify scope of work involved in supporting Bid & Offer process to understand development needs for enhanced Railinc solution 10

11. RAILINC PROJECT SUPPORT WORKING COMMITTEE (RPSWC) 11

12. Copyright © 2011 Railinc Corp. All Rights Reserved. Railinc Project Support Working Committee (RPSWC) Mission: Maximize Business Process Understanding and the Communication Link between the Industry Business Stakeholders and Railinc Established in 2010 Includes senior executives from Class 1 railroads and AMTRAK 12

13. Copyright © 2011 Railinc Corp. All Rights Reserved. Railinc Project Support Working Committee (RPSWC) Three primary roles: 1.Act as Ultimate Sponsors for Industry Initiatives, Interfacing with SOMC and Home Road Decision Makers 2.Prioritize Railinc’s Industry (AAR) Product Investment and Ensure that Industry Needs are Supported 3.Commit to Home Road Finance and Resource Support for Approved Projects 13

14. Copyright © 2011 Railinc Corp. All Rights Reserved. Railinc Project Support Working Committee (RPSWC) Great industry work is identified and supported, as measured by a positive ROI and qualitative benefits : Safety and environmental mandates Cost reductions Operational efficiencies Customer service criteria 14

15. Copyright © 2011 Railinc Corp. All Rights Reserved. EAC Meeting RPSWC Project Selection Timeline June January Establish 2012 plan and schedule April Preliminary Pipeline Review Selection and prioritization of 2013 project opportunities August Final selection of 2013 Project Opportunities 15 October Budgeting Review Identify potential 2013 projects at relevant industry committees and Railinc Define 2013 project opportunities Evaluate qualitative benefits and initial quantitative benefits (theme level only) Further develop 2013 business case Identify project costs and industry benefits Define 2013 project estimates; secure formal commitment from RPSWC representatives Planning for 2014 projects EAC Meeting TODAY Planning for 2013 projects

16. QUESTIONS? 16