CSX Customer News Midwest Conditions Affecting Rail Service Dear Customer: Union Pacific's announcement today that it is issuing an embargo on all traffic (excluding coal) to, from, and via Chicago, due to flooding and wash-outs across Iowa, compounded by extensive flooding across the Midwest, creates a condition of force majeure, which adversely affects CSX Transportation's ability to provide service via Chicago. While CSX Transportation will use commercially reasonable efforts to accommodate your transportation needs until this condition of force majeure ends, we will be unable to provide some or all services contemplated in contract(s) and/or our customary business relationships. Please bear with us as we await the reinstitution of service on the directly-affected UP lines, and as our -- and other carriers' -- operations recover from the congestion and other network disruption caused by these severe weather-related conditions. At this time, we do not have an assessment of the likely duration of the UP embargo, nor can we yet assess how long it will take to re-establish normal operations after the embargo is lifted. To view up-to-date specific details about the embargoed areas, please refer to the Union Pacific's web site at UP: Customer Communications. CSXT also suggests that you visit the web sites of all railroads that affect your shipments for the most up-to-date service bulletins, as all are experiencing changing operational capability under these extreme conditions. Under the Union Pacific embargo, CSXT will not be able to accept Union Pacific traffic billed via the Chicago gateway and destined to Washington, Oregon, California, Nevada, Idaho, Wyoming, Utah, Iowa, Arizona, New Mexico, Colorado, Nebraska and Kansas. If CSXT receives billing for cars destined to the states listed above, via the Chicago interchange, the Union Pacific embargo process will reject this billing. Our Customer Service department will contact you to assist in establishing new billing. Union Pacific has established an Embargo Permit application process to offer limited operations, where possible, for shipments within the embargo area. We regret any inconvenience this may cause you. For more information and updates as they become available, please call CSXT Customer Service at 1-877-ShipCSX (1-877-744-7279) or visit http://www.csx.com > Customers. Sincerely, Shelley Cooper Vice President Customer Service CSX Transportation
