Twin Cities & Western Railroad Company Your Gateway to the World Association of Car Accounting and Car Service Officers Minneapolis, MN May 10, 2017

America’s Short Line and Regional Railroads Approximately 550 in North America Operate 50,000 miles of track or nearly 40 percent of the national railroad network Source: American Short Line and Regional Railroad Association

America’s Short Line and Regional Railroads In five states short lines operate 100 percent of the state’s total rail network In 15 states short lines operate more than 50 percent of the railroad network Source: American Short Line and Regional Railroad Association

America’s Short Line and Regional Railroads Handle in origination or destination one out of every four rail cars moving on the national system Source: American Short Line and Regional Railroad Association

National Railroad Map

Railroads -> 22 Miles -> 4,444 Minnesota Rail Stats Railroads -> 22 Miles -> 4,444

Twin Cities & Western Railroad Operations commenced July 27, 1991 over what was formerly known as the “Ortonville Line” operated by the Soo Line (now Canadian Pacific Railway) between Minneapolis/St. Paul, MN and Milbank, SD. Prior to TC&W and Soo Line operation of this line, it was part of the Milwaukee Road’s Main line to the Pacific Northwest. This main line was originally built in the 1870’s by the Hastings & Dakota Railway.

Twin Cities & Western Railroad Operates over 229 miles of track from the Twin Cities to Milbank, SD With subsidiaries (Minnesota Prairie Line and Sisseton Milbank Railroad Company) operate 360 miles of track

Minnesota Prairie Line A subsidiary of TC&W, operations commenced in 2002 Rail line is owned by 5 counties it operates in Operates over 94 miles of track from Norwood Young America to Hanley Falls, MN

Sisseton Milbank Railroad Company Purchased by TC&W in July 2012 SMRR operates as a subsidiary of TC&W Operates over 37 miles of track from Milbank to Sisseton, SD

Our customers can connect to the North American Rail Network through Four Class 1 Railroads:

TC&W, MPL & SMRR Shuttles Commodities handled include: grains, fertilizers, ethanol, DDG’s, sugar, beet pulp pellets, lumber, canned and frozen vegetables, butter, salt, coal, crushed rock, chemicals and tallows Additional services include: car storage, transloading and railcar repair

TC&W, MPL & SMRR Operates a fleet of approximately 650 railcars Fleet consists of primarily covered hoppers and boxcars

Twin Cities & Western Railroad TCW has approximately 85 employees. Our accounting department has 6 employees – Lori Koelln is our Director Car Accounting & Utilization- Katie Masog is our Director of Accounting

Twin Cities & Western Railroad Our Headquarters are located in Glencoe, MN

Operation Lifesaver We have been involved in Operation Lifesaver since 1993 International organization that educates citizens about rail safety Works in conjunction with federal, state and local governments agencies, highway safety organizations, and railroads

Twin Cities & Western Railroad In a 2013 study, a survey of 20 of our largest customers showed: -almost $1.5 billion of our customers products were shipped via TC&W annually -they have an estimated 2,660 employees with combined annual wages of over $111 million as well as $9.5 million in health care benefits

TC&W, MPL and SMRR customers have shipped products to or from 40 US States 6 Canadian Provinces 4 States in Mexico Oversea export markets

Twin Cities & Western Railroad Company Questions? www.tcwr.net