CN Brampton Import Storage 9 February 2006 (revised 31 March 2006)

Off-site storage options Rail 101 Agenda Backgound Import storage policy Off-site storage options Rail 101 - 1 -

Background The rapid growth in international trade is placing a strain on all components of the supply chain - 2 -

Background 26% 27% 35% 17% 30% - 3 -

Background 140% Growth - 4 -

Background CN is positioning itself, and thereby positioning its customers, to capitalize on this growth Expansion of operating hours Provision of reserved capacity Terminal expansion CN’s Brampton storage policy is designed to create the capacity for CN’s customers to continue growing Brampton is a cross-dock facility Storage is offerred where land is not required for primary operations Customers are better served by ensuring their costs are related to the infrastructure they consume - 5 -

Import storage – one free day, thereafter $200/day or part thereof Import Storage Policy Import storage – one free day, thereafter $200/day or part thereof Day of availability Day after availability 07:00 the next day Day 0 Day 1 Day 2 Day 3 07:00 07:00 Import Available Day of Availability Free Day $200 $400 - 6 -

Day of Availability plus Two Days for $125 Off-Site Storage Options CN provides lower cost off-site storage options for customers unable to pick up their imports upon arrival $125 for up to 2 days of storage Day of availability, next two days, up to 07:00 the next day $75 for each additional 24 hours or part thereof Excludes Dangerous Goods, running reefers, containers not released by Canada Customs Containers without a pick up appointment at the time of grounding will be moved to off-site storage Alternatively importers may select from a variety of service providers who will remove an import form CN Brampton within the free time and store it until the importer is ready to receive it Day 0 Day 1 Day 2 Day 3 07:00 07:00 Import Available Brampton Day of Availability Free Day $200 $400 Misc Day of Availability Day of Availability plus Two Days for $125 $125 + $75 - 7 -

TD Vancouver Waterfront Appointment system opens for Friday Rail 101 Import trains: Halifax – daily departure 20:05 Atlantic, arrival 02:30 day 2 (30h transit), pad 03:45 Montreal – daily departure 07:15 Eastern, arrival 17:35 (10h transit), pad 02:30 day 1 Deltaport – daily departure 03:00 Pacific, arrival 03:20 day 4 (93h transit), variable pad Vancouver waterfront – daily dearture 20:00 Pacific, arrival 09:30 day 5 (106h transit), pad 16:00 day 5 Port loading patterns, ETA availability Booking appointments Import must have a published availability Loaded vs moving Appointment system must be open Import Available Brampton TD Vancouver Waterfront TA Brampton Sunday Monday Tuesday Wednesday Thursday Friday Appointment system opens for Friday TD Halifax TA Brampton Import Available Brampton - 8 -

Rail 101 Pad Availability To assist the importer with planning their pick up CN will update its systems with an anticipated “pad availability” by noon the day before scheduled placement This will enable an importer to arrange/comfirm their pick up with the importer - 9 -

Intermodal Shipment Status Rail 101 Intermodal Shipment Status - 10 -

Rail 101 Points to Note: Scheduled placement is generally conservative Designed to ensure availability by listed time If no appointment is made prior to grounding the import will be moved off-site To ensure import remains at Brampton do not wait until day of placement to make appointment Appointment may be made when import dispays ETA Reconfirm after pad availability is displayed An alert will be sent to the registered email address if pad availability precludes appointment from being fulfilled Certain circumstances may prevent an import being available immediately at scheduled pad placement. To prevent a dead run: Monitor actual pad availability when scheduling tight Plan pick up for the free day - 11 -

Rail 101 Considerations: If CN has not provided a scheduled pad availability by noon the day before, the import will continue to have two free days Storage clock will begin with the later of scheduled pad availability or actual availability If an appointment cannot be fulfilled due to rescheduling/late pad placement the import will continue to have two free days - 12 -

Rail 101 Storage: Any party that will guarantee storage should be set up to do so on line At the present time, storage may only be guaranteed once the container grounds - 13 -