Coal Network Update for Friday, January 6, 2023

Jan 6, 2023

BNSF operating teams remain focused on restoring network fluidity following a series of significant winter weather-related service challenges across much of our Northern Corridor. As we have reported, frequent winter storms and freezing temperatures during the past few weeks have negatively impacted service performance in many areas, from the Pacific Northwest to the Upper Midwest, which resulted in higher-than-normal levels of trains holding and delays. In response to the harsh conditions, BNSF activated 24-hour command centers in multiple operating divisions across the North. We shifted personnel and equipment to critical locations. We also deployed additional resources to address the various service challenges, from the Mechanical teams who worked to service our locomotive fleet to Engineering teams responding to track issues around the clock. This week's additional snow accumulation in the Northern Plains and strong winds created significant snow drifts, requiring ongoing snow clearing and removal from our main lines. Service in these areas continues to improve as our recovery efforts remain ongoing and our operating teams build on the positive momentum going into next week.

Plowing on the Marshall Subdivision - Minnesota

Last week, heavy rain in Washington caused a flood-related track outage on our Lakeside Subdivision in Washington between Pasco and Spokane. The main track was out of service for approximately 24 hours as crews removed debris and repaired the affected track as the waters receded.

Flooding on the Lakeside Subdivision - Washington

Overall velocity improved versus the week between the Christmas and New Year's holidays and was slightly higher than the average for December. The average terminal dwell also decreased versus the prior week but remained steady with last month. Our local service compliance improved and currently exceeds 94 percent.

During the upcoming week, a storm tracking across the West will bring another round of heavy rainfall, strong winds and high-elevation snow to parts of California, Oregon, and Washington. Flood watches, wind advisories and winter storm warnings are in effect for this region through early next week. BNSF operations teams are monitoring water levels in flood-prone areas and are ready to quickly respond to any service disruptions. Across much of the BNSF network, seasonable operating conditions are expected throughout the upcoming week.

As always, we thank you for your business and appreciate the opportunity to serve as your transportation service provider. We welcome your feedback and questions.