VR in brief Annual net turnover EUR 1,139.9 million Personnel 14,400 Total freight carryings 49 million tonnes Passenger journeys 73 million Track construction and maintenance EUR 231.8 million

The incorporation of VR 1st of July, 1995 Fundamental question: the separation of infrastructure management and operative business dealings Lessons learned: the model works!

Business environment

VR Group

Personnel vs. transport volumes

Market shares in passenger services

Market shares in public transport

Market shares in freight services

The Finnish rail network Length of rail network 5,850 kilometres For passenger and freight transport 3,976 kilometres For freight transport 1,873 kilometres Electrified line 2,400 kilometres Remote-controlled line 2,200 kilometres Rail transport operations in 371 locations

VR’s development goals In passenger service Reduce long-distance journey times Broaden commuter services in greater Helsinki Purchase rapid electric train units and new commuter trains In freight service Strengthen role as main freight carrier for Finnish industry Strengthen role as carrier to the East Develop total logistical solutions

VR Passenger Services Safe, environmentally responsible public transport carrier Approx. 60 % of Finland’s public transport (journeys more than 75 km long) 260 long-distance and 850 commuter train services daily

VALI 2012 – National Passenger Transport System

VR Cargo’s international transportation Approx. 42,6 % of total freight carried Only EU country to share same track width as Russia and CIS countries Long experience of working with Russian railways and authorities

Volumes of freight (million tonnes)

Consolidated Profit and Loss Account

EU Railway Rules (I) Former railways separated into infrastructure management and transport business Allows marginal pricing on networks Therefore optimised network output (higher volumes) but subject to budget money and political network decisions Opening up the network for competition now freight, but passenger services?

EU Railway Rules (II) Finland has a different track gauge and an isolated geographical position to other EU countries well-operated railway link to the CIS Network In the EU policy the benefits of technical harmonisation are limited and the Finnish rail transport market is an enclave