Freight & Logistics Council December 2012

Since 1 May 2012, CBH & Watco have moved 3 million tonnes…

Our rail fleet All 574 wagons are on the track 20 locomotives are on the track Last 2 locomotives to arrive this month Wagon fleet having weighing units installed currently

Our locomotives 3300 & 2700 horsepowerFaster journeys and turnaround times Distributed powerMore efficient and productive Dynamic brakingBetter fuel efficiency Tier 2 US standardMeets the highest environmental standards 17 narrow gauge 5 standard gauge

Our wagons Lightweight aluminium bodyMaximum loading capacity Pneumatic doorsSafer loading and discharge function Side mounted handbrakeStandard loading protocols Consistent wagon designEfficient maintenance, scheduling and inventory management 446 narrow gauge 128 standard gauge

Our new technology GrainTrack: system that manages the process of loading & discharging Touchpad: displays info about scanned wagons Scanner: reads info from the tag on the wagon Message boards: displays info about wagons passing the scanner IONX: weighs the wagon & sends information to touchpad WiTronix: tracks the location and details of each CBH train

Watco WA Rail

Watco WA Rail is headquartered in the CBH West Perth office Set up regional offices in Avon, Merredin, Geraldton, Wagin & Albany All management staff employed Most of the driver group employed We are committed to putting growers first Building our business

Transition was challenging given delay in asset delivery, overlap with existing provider and biggest harvest on record to move We did however start 6 weeks early Through the thick of it now Focus on delivering tonnes for shipping demand Interest from other potential customers is strong Through transition and out the other side

How are we performing? Currently moving 15, ,000 tonnes on rail per day Aim to move 25, ,000 tonnes per day CBH has shipped a record 12.7 million tonnes from Western Australia in the year to 31 October Shipping records have been broken for five individual months

Road vs rail 2009 = 64% rail 2010 = 73% rail 2011 = 64% rail 2012 = 57% rail 2013 onwards = 70%+ rail 71% in Nov 2012

What have we achieved…in the last 12 months? 22 locomotives built 22 locomotives transported across US inland & shipped to WA 574 wagons built, delivered & fully commissioned Introduced touchpad, scanner & GrainTrack system Trained over 300 country staff Watco WA Rail built team of over 130 staff, comprising of management, drivers & maintenance crews

What have we achieved? Moved over 3 million tonnes since new contract started Made 28 changes to the technology to enhance usability More tonnes to port with each train Reduced rail freight rates by an average of 7% this year