1. 1 NACo Presentation Naperville, IL April 27, 2011 Joe Bateman, VP Public Affairs

2. 2 Dir. Public Affairs TX/OK Clint Schelbitzki Dir. Public Affairs AR/LA Drew Tessier Dir. Public Affairs Northern CA/NV Liisa Stark Dir. Public Affairs OR/WA Brock Nelson Dir. Public Affairs AZ/NM Zoe Richmond Dir. Public Affairs UT/ID Dan Harbeke Dir. Corp. Rel. & Media Aaron Hunt Dir. Port Affairs Andy Perez Dir. Community Affairs Southern CA Lupe Valdez Public Affairs Organization Sr. VP Corporate Relations Bob Turner VP Public Affairs Scott Moore VP Public Affairs Joe Bateman VP Public Affairs Joe Adams Dir. Policy & Partnerships Joe Arbona Dir. Public Affairs IL/WI/MN Mike Payette Dir. Public Affairs IL/Metra Wes Lujan Dir. Public Affairs KS/MO Ben Jones Dir. Public Affairs NE/IA Brenda Mainwaring Dir. Corp. Rel. & Media Mark Davis Dir. Public Affairs WY/CO Dick Hartman Dir. Corp. Rel. & Media Raquel Espinoza Dir. Community Affairs Border/San Antonio Ivan Jaime AVP Public Affairs Houston Juan Carreon

3. 3 Odell Dwight Pontiac Chenoa Ballard Normal SPCSL Track 2A ARRA HSIPR Track 2A Project : Awarded Woodland Jct. Chicago St. Louis Springfield Ridgely Bloomington Joliet Villa Grove Findlay Jct. E. St. Louis De Soto Salem Mt. Vernon Benton Jct. Metropolis Gorham/Chap Dexter Jct. Chester Springfield Sub Joliet Sub BNSF Galesburg Nelson Peoria Rochelle MP 126.4 Joliet Chicago Bloomington MP 36.7 Mazonia Hitt Wilmington Joliet Intermodal Facility CP Justice CP Canal Brighton Park St. Louis Ridgely Springfield Bloomington MP 126.4 McLean Athol Lincoln Elkhart Auburn Girard Carlinville Shipman Wann WR Tower MP 283 Godfrey Alton ProjectDescription 1) Track Renewal Train (TRT) Dwight (NS Xing) to St. Louis (Q Tower) - 208 ML mi Concrete Ties & Premium Rail - 13 Sidings - 740K ties, 1.4M TF new Rail, 19K CL ballast 2) Construct 2 nd Main Line New Const = 23.7 mi Total 2MT = 32.8 mi Godfrey - Connect Godfrey & Shipman Sidings (15.8 mi) Girard - Extend Girard Sdg E/W to new CP’s (8.5 mi) Elkhart - Extend Elkhart Sdg E to new CP (8.5 mi) 3) PTC & Grade Crossings Dwight to Q Tower – including road modifications for crossings 4) Stations / Platforms Re-construct several station platforms 5) Passenger Equipment Purchase new passenger equipment MP 249.32 Start TRT Completed 4.2 Miles in 2008 MP 72.8 MP 187.65 MP 183.39 MP 168.42 2010 TRT Work Godfrey to Elkhart – 76.64 Mi. March 5, 2011 New 2 nd Main Line 2010 TRT Work 2011 TRT Work TRT Work beyond 2011 Project Goals – 2011 – Complete Main Line TRT work north of Springfield – July 2012 – 1 st Segment 110 MPH track in Service – 2014 – Complete Project 2A 2011 TRT Work Elkhart to Dwight – 95.62 Mi.

4. 4 Contracted Work Contractors to be determined: –Track Construction –Bridge / Culvert Work –Fencing –Grading Bid Packages dependent on Design Process General Contractors selected through contract specific pre-qualification process Construction Management – utilized for tracking ARRA requirements

5. 5 HOW TO DO BUSINESS WITH UP All suppliers must first register their business in UP’s database by visiting www.up.com and clicking on the “Suppliers” tab www.up.com Supplier Application Apply to Become a Supplier Terms and Conditions Supplier Diversity Contacts Supply Group by Commodity/Service Supply Group by Function Select Link Complete and submit application Application is submitted to the supply category manager that handles the material/service type that is selected in the application Category manager will contact you to further discuss your organization’s capabilities and opportunities available at Union Pacific

6. 6 M / W Numbers Boost Class I Employment Continuing a slow, steady rise, employment on U.S. Class I railroads reached 155,842 in mid-March, up 0.87% from February and a 4.42% improvement over March 2010. Train crew employment (transportation, train and engine) increased to 62,627, up 0.78% from February and up 7.47% from March 2010 The only employment group that was down from February was transportation (other than train and engine), which declined 0.41% from February to 6,608, though its numbers were up 2.56% from March 2010. A seasonal boost sent maintenance of the way employment to 34,994 in March, up 2.03% and up 3.23 % from March 2010.

11. 11 NACo Presentation Naperville, IL April 27, 2011 Joe Bateman, VP Public Affairs