Page 0 Passenger Rail ‘Next Generation’ Reservation System October 6, 2009

Page 1 Overview National Railroad Passenger Corporation (NRPC) ‘at a Glance’ Travel / Rail Industry ‘Transformations’ ‘New Era’ at Amtrak Summary…….Arrow at the Crossroads Amtrak’s Next Generation Reservation System (RES-NG) Collaboration Initiatives Contact information

Page 2 Amtrak was created by Congress in 1970 serve as the ‘National Provider’ (USA) of intercity passenger rail Rail network serves 527 destinations in 46 states and 3 Canadian provinces, has 21,000 miles of routes, with over 20,000 employees Equipment: ─1457 Amfleet, Superliner, Viewliner and other railroad passenger cars ─341 diesel and electric locomotives ─80 Auto Train vehicle carriers ─20 Acela Train sets FY08: 28.7 million passengers, $2.45 Billion Total Revenue ($1.7B in tickets) Internet Sales (Amtrak.com) represent nearly 50% of ticket sales Services booked: Seats, Sleepers, Auto Transport National Railroad Passenger Corporation (NRPC)

Page 3 The “Passenger Rail Investment and Improvement Act of 2008” (PRIIA) defined a national policy for intercity rail: “…provide efficient and effective intercity passenger rail mobility consisting of high- quality service that is ‘trip-time competitive’ with other intercity travel options.” Amtrak’s focus for implementing corporate objectives: 1.Safety: Operate the safest passenger railroad in America 2.Green: Increase efficiency, reduce emissions, and make better use of resources 3.Health: Improve the condition, durability and wholesomeness of every aspect of the company 4.Customer Service: Improve the quality and attractiveness of our service for passengers 5.Financial Performance: Improve our financial performance 6.National Needs: Be there to help with disaster relief and mobilization efforts, and help advance national policies and plans National Railroad Passenger Corporation (NRPC)

Page 4 Where is Passenger Rail Headed?

Page 5 Trends in the Travel Industry: ─Internet Distribution ─Multi-Dimensional Sales ─Mobile platforms ─Self Service Trends in Rail: ─Multiple ‘New Rail Reservation System’ Initiatives  Europe, Asia, North America ─De-Regulation of Rail in Europe ─Increased Ridership ─Future Growth/Congestion ─High Speed Rail ─Mobile Platforms for Train Ops ─‘Green’ Factors Industry Transformation

Page 6 ‘New Era’ at Amtrak Dramatic Increase in Amtrak Investment ─PRIIA - 5 year total funding authorization - $8.7 Billion ($5.3B Capital, IT ~$562 mil) ─ARRA (Federal Stimulus) Capital Investment $1.3 Billion (IT ~$22 mil) ─$10+ Billion over 5 years IT Organizational Transformation ─CIO reports directly to CEO (previously reported to the CFO) ─Creation of Group Information Officers (GIOs), alignment of IT assets with Business  Marketing and Product Management (M&PM) – External Customer facing applications  Train Operations (Transportation Ops, Mechanical, Engineering)  Enterprise Systems (Finance, HR, etc.) ─Established Enterprise Architecture Planning (EAP) Organization ─Established Program Management Office (PMO) ─Aligning IT with ‘Service Management’ perspective and ‘Best Practices’  E.g. ITIL v3, SOA, etc.

Page 7 Key IT Transformation Programs (5 Years) Strategic Asset Management Program (SAM) ─Complete replacement of Amtrak Financial systems and integration of Human Resources (HR) and Train Operations systems (~$370 million) Next Generation Reservation Program (RES-NG) ─Deliver updated Reservation System including eTicketing (~$127 million) Amtrak Information Modernization Program (AIM) ─Enterprise Data Warehouse, Master Data Management, Identity Management, Application Integration, and Train Communications Enterprise (TCE) (~$97 million) IT Infrastructure Improvement Program (ITII) ─Data Center Relocation, Voice and Data Network re-architecture, and upgraded Desktop Support.

Page 8 Summary……Arrow at the Crossroads ‘Perfect Storm’ …… in progress ─Reservation Platform (Arrow) in need of refresh and extension  Network failures are increasing – critical components and technologies used are significantly out of date and discontinued  Need for extended functionality/capacity growing dramatically -eCommerce (eTicketing, mobile computing, Internet Sales, B2B, etc.) -State partnerships -Increased ridership, routes  Current integration environment is proving inadequate  Critical skills are difficult to find and getting even more difficult ─Support coming from industry, government, internal, etc. ─Funding available and growing Amtrak Objectives ─Transform ‘Passenger Rail and Travel/Transportation Industry’ with RES-NG ─Actively leverage Industry ‘collaboration’ to achieve standardization where possible  Open Travel Alliance (Rail, Reservations)  Industry Content Pack (ICP) development – Rail, Reservation System Focus

Page 9 Reservation Ecosystem Next Generation (RES-NG ) 5 year Capital Investment to ‘refresh’ and ‘refactor’ ARROW into RES-NG Refresh infrastructure to return to a ‘State of Good Repair’ (SOGR) ─Replace SNA with IP Connectivity ─Migrate reservation system ‘core’ from ‘TPF 4.1’ to ‘z/TPF’ ─Amtrak Data Center migrating to multiple new ‘High Availability’ Data Centers Implement/Extend Service Oriented Architecture (SOA) / Web Services Refactor applications/environment from Uni-Processor => Tightly Coupled Modernize / Decouple Arrow applications to provide agility in supporting rapidly changing business environment Upgrade support processes/systems, align with best practices ─Development/Test Environments, toolkits ─Software Configuration Management, Release Management Processes/toolkits ─Incident/Problem/Service Management Processes and toolkits

Page 10  Address the Aging Infrastructure (‘State of Good Repair’)  Improve systems availability, reliability, capacity, extensibility, maintainability, and general ‘agility’  Modernize and Decouple Arrow Applications  Improve the Management of Information  Build upon a Service-Oriented Architecture (SOA)  Integrate, Support and Collaborate with other Major Initiatives Implement Future-State Architecture

Page 11 Functional Decomposition (ARROW) Today

Page 12 Functional Decomposition (RES-NG) Future

Page 13 Targeted End State Architecture Draft Version

Page 14 RES-NG program: FY10 thru FY14 RES-NG Cost Estimates by Year FY10FY11FY12FY13FY14 Total State of Good Repair and Infrastructure$6.6M$4.0M$2.0M$1.0M$1.4M$15.0M Modernize and Decouple Arrow Applications$5.4M$10.0M$12.0M $5.0M$44.4M Program Contingency$0.0M$3.0M $4.0M$5.0M$15.0M TOTAL$12.0M$17.0M $11.4M$74.4M Inter-dependent Strategic Initiatives: eTicketing Railres/STARS NG SAM Enterprise Data Warehouse Transportation Roadmap Initiative Train Communications Enterprise IT Infrastructure Initiative Enterprise CRM/ECM

Page 15 The Track Ahead……. Challenges ─Effectively integrating Multiple ‘sub-projects’ (115+) into RES-NG Program ─Effectively integrating RES-NG Program into other Enterprise Initiatives ─Retooling systems development skills and environments while refactoring Reservation System Applications Next Steps: ─Complete Program Planning ─Acquire skilled staffing for effort (planning, development, test, integration) ─Engage Actively with OTA, ICP Development

Page 16 Contact Information Stephen Mankus – Senior Director: Applications Dee Waddell – Group Information Officer (GIO)