1. Car Service Rules – 1 thru 6 ACACSO Spring Meeting May, 2008 Chicago, IL

2. Car Service Rules: The basic reason for the rules is to provide the railroad marked car owner with protection of its freight car assets and provide a framework for maximizing freight car utilization in North America.

3. Car Service Rules:

4. The Rules do not prevent subscribers from entering into other agreements which may differ from the rules. Bi-lateral agreements supersede the rules.

5. Rule 1: Loading of Empty Foreign Cars Purpose: Unless Covered by a Special Car order or Car Service directive, allows for loading or reloading box cars, gondolas and flat cars, to any destination, without the need to contact the car owner.

6. Car Service Rules: Rules, Directives, Orders Special Car Orders Car Service Directives Car Service Rules

7. Rule 2: Empty Foreign Cars Not Needed for Loading Purpose: Promotes expedient return of empty freight cars to car owners without the need to gain permission from other railroads to accept empty cars moving to home rails

8. Rule 2: Empty Foreign Cars Not Needed for Loading OPTIONS - DIRECT CONNECTIONS Deliver to the car owner at any junction. Deliver to a direct connection of the car owner at the junction where car was received as a loaded shipment Cannot reverse the car to a road that is not a direct connection. Must deliver owner’s car when at a junction with the car owner.

9. Rule 2: Empty Foreign Cars Not Needed for Loading OPTIONS - INDIRECT CONNECTIONS Reverse route to the junction where received. OPTIONS - SWITCH SERVICE Reverse route to the trunk line unless at a junction with the car owner.

10. Rule 4: Car Flow Balancing PURPOSE: Allows for central voluntary administration by AAR for flowing empty freight cars owned by the participants under a predetermined formula to balance car supply.

11. Rule 5: Boxcars Moving Under 49 CFR 1039.14 PURPOSE: Unless a railroad has it’s own tariff for handling empty freight cars it may choose to charge the U.S. dollar amount specified in the rule ($.62 per mile) for cars moving out of their car service route

12. Rule 6: Demand for the Return of Empty Cars to Original Junction PURPOSE: Allows a railroad to plan for return of freight cars at a specified junction. Cannot be invoked for bad order cars returning home for repairs.