Annual 2001
Investors’ Report
BURLINGTON NORTHERN SANTA FE CORPORATION
                      INVESTORS' REPORT - UNAUDITED
                             ...
NEWS
Contact:       Richard Russack                              FOR IMMEDIATE RELEASE
               (817) 352-6425

    ...
Freight revenues for the 2001 fourth quarter were $2.27 billion, 2 percent lower on over 3
percent higher ton-miles compar...
Through its subsidiary, The Burlington Northern and Santa Fe Railway Company, BNSF
operates one of the largest railroad ne...
Burlington Northern Santa Fe Corporation
Consolidated Income Information *
(In millions, except per share data)

         ...
Burlington Northern Santa Fe Corporation
Consolidated Income Information *
(In millions, except per share data)

         ...
Burlington Northern Santa Fe Corporation
Consolidated Balance Sheet Information
(In millions, except per share amounts)

 ...
Burlington Northern Santa Fe Corporation
Consolidated Cash Flow Information
(In millions)
                                ...
Burlington Northern Santa Fe Corporation
Consolidated Cash Flow Information
(In millions)
                                ...
Burlington Northern Santa Fe Corporation
Operating Statistics

                                                           ...
Burlington Northern Santa Fe Corporation
Operating Statistics

                                                           ...
Burlington Northern Santa Fe Corporation
Revenue Statistics by Commodity *

                                              ...
Burlington Northern Santa Fe Corporation
Revenue Statistics by Commodity *

                                              ...
Burlington Northern Santa Fe Corporation
Capital Expenditures and Track Maintenance

                                     ...
Burlington Northern Santa Fe Corporation
Capital Expenditures and Track Maintenance

                                     ...
Burlington Northern Santa Fe Corporation
Outstanding Debt



                                                             ...
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bnsf 4Q 2001 Investors Report

  1. 1. Annual 2001 Investors’ Report
  2. 2. BURLINGTON NORTHERN SANTA FE CORPORATION INVESTORS' REPORT - UNAUDITED Annual 2001 INDEX Page Earnings Press Release 1-3 Consolidated Statement of Income 4-5 Consolidated Balance Sheet 6 Consolidated Cash Flow Information 7-8 Operating Statistics 9 - 10 Revenue Statistics by Commodity 11 - 12 Capital Expenditures and Track Maintenance 13 -14 Outstanding Debt 15
  3. 3. NEWS Contact: Richard Russack FOR IMMEDIATE RELEASE (817) 352-6425 Burlington Northern Santa Fe Reports Fourth Quarter/Full Year 2001 Results • Fourth-quarter 2001 earnings of $0.46 per diluted share include an $0.11 per diluted share after-tax charge for workforce reduction related costs. Without the charge, earnings were $0.57 per diluted share, compared with fourth-quarter 2000 earnings of $0.65 per diluted share. • Freight revenues were $2.27 billion for the fourth-quarter 2001 on over 3 percent higher ton-miles, 2 percent lower than fourth-quarter 2000 revenues of $2.32 billion. • Free cash flow for the twelve months ended December 31, 2001 was $443 million, an increase of 3 percent over the prior year. FORT WORTH, Texas, January 22, 2002 - - Burlington Northern Santa Fe Corporation (BNSF) (NYSE: BNI) today reported fourth-quarter 2001 earnings of $0.46 per diluted share, which includes a $42 million after-tax charge for workforce reduction related costs. Without the charge, fourth-quarter earnings per share is $0.57 per diluted share compared with fourth-quarter 2000 earnings of $0.65 per diluted share. “Despite the U.S. recession, BNSF generated $443 million of free cash flow, a 3 percent improvement over last year. Additionally, we operated the railroad at the highest level of fourth- quarter on-time performance since the BNSF merger,” said Matthew K. Rose, President and Chief Executive Officer. “BNSF’s continued focus is on revenue quality, operating expense efficiencies and free cash flow while providing transportation services that consistently meet customers' expectations.” 1
  4. 4. Freight revenues for the 2001 fourth quarter were $2.27 billion, 2 percent lower on over 3 percent higher ton-miles compared with the same 2000 period. Agricultural Products revenues increased $20 million, or 5 percent, to $415 million, primarily due to increases in demand for soybeans, wheat and flour. Coal revenues increased $18 million, or 3 percent, to $546 million on 9 percent higher volumes as a result of increased demand for electricity and new business. Industrial Products revenues fell $13 million or 3 percent, to $492 million because of continued production cutbacks affecting most sectors. Consumer Products revenues decreased $68 million, or 8 percent, to $819 million, primarily reflecting decreases in automotive shipments as well as fewer domestic intermodal shipments resulting from the economic slowdown. However, BNSF had a 9 percent volume gain in its truckload business in the fourth quarter. Operating expenses of $1.83 billion, excluding the charge, were up $34 million or slightly less than 2 percent on over 3 percent higher ton-miles. Reductions in fuel and equipment rents expenses generally offset increases in compensation and benefits and other cost categories. Operating income was $472 million, excluding the charge, for fourth-quarter 2001 compared with $544 million a year ago. Full-Year 2001 Results BNSF’s earnings per share including unusual items for the year ended December 31, 2001 was $1.87 on a diluted basis compared with earnings of $2.36 per diluted share in the prior period. Without unusual items, BNSF’s 2001 earnings per share was $2.08 on a diluted basis compared with earnings of $2.45 per diluted share for the same period last year. Freight revenues for the year were $9.09 billion, a decrease of less than 1 percent compared with 2000. Operating expenses of $7.39 billion for 2001 increased by $330 million or 5 percent on 2 percent higher ton-miles. Operating income fell to $1.79 billion from $2.15 billion for 2000. Common Stock Repurchases During the 2001 fourth quarter, BNSF repurchased 2.0 million shares at an average price of $26.96 per share. This brings total repurchases under BNSF’s 120 million share-repurchase program to 103.1 million shares as of December 31, 2001 at an average price of $25.74 per share since the program was announced in July 1997. 2
  5. 5. Through its subsidiary, The Burlington Northern and Santa Fe Railway Company, BNSF operates one of the largest railroad networks in the United States, with 33,000 route miles covering 28 states and two Canadian provinces Consolidated financial statements follow. Statements made in this release concerning predictions or expectations of financial or operational performance, or concerning other future events or results, are quot;forward-looking statementsquot; within the meaning of the federal securities laws. Forward-looking statements involve a number of risks and uncertainties and actual results may differ materially from that projected or implied in those statements. Important factors that could cause such differences include, but are not limited to, economic and industry conditions: material adverse changes in economic or industry conditions, both within the United States and globally, customer demand, effects of adverse economic conditions affecting shippers, adverse economic conditions in the industries and geographic areas that produce and consume freight, competition and consolidation within the transportation industry, changes in fuel prices, and changes in labor costs and labor difficulties including stoppages; legal and regulatory factors: developments and changes in laws and regulations and the ultimate outcome of shipper claims, environmental investigations or proceedings and other types of claims and litigation; and operating factors: technical difficulties, changes in operating conditions and costs, competition and commodity concentrations, the Company’s ability to achieve its operational and financial initiatives and to contain costs, as well as natural events such as severe weather, floods and earthquakes or other disruptions of the Company’s operating systems, structures, or equipment. The Company cautions against placing undue reliance on forward-looking statements, which reflect its current beliefs and are based on information currently available to it as of the data a forward-looking statement is made. The company undertakes no obligation to revise forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs. 3
  6. 6. Burlington Northern Santa Fe Corporation Consolidated Income Information * (In millions, except per share data) Three Months Ended December 31, Year Ended December 31, 2001 2000 2001 2000 1999 Operating revenues Freight revenues $ 2,272 $ 2,315 $ 9,090 $ 9,112 $ 9,074 Other revenues 29 24 118 95 121 Total operating revenues 2,301 2,339 9,208 9,207 9,195 Operating expenses Compensation and benefits 713 680 2,850 2,729 2,772 Purchased services 273 253 1,084 1,024 1,051 Depreciation and amortization 229 225 909 895 897 Equipment rents 178 195 740 742 752 Fuel 230 271 973 932 700 Materials and other 272 171 897 777 818 Total operating expenses 1,895 1,795 7,453 7,099 6,990 Operating income 406 544 1,755 2,108 2,205 Interest expense 111 117 463 453 387 Other (income) expense - net 12 11 110 70 (1) Income before income taxes 283 416 1,182 1,585 1,819 Income tax expense 106 161 445 605 682 Income before extraordinary charge 177 255 737 980 1,137 Extraordinary charge, net of tax - - 6 - - Net income $ 177 $ 255 $ 731 $ 980 $ 1,137 Diluted earnings per share after extraordinary charge $ 0.46 $ 0.65 $ 1.87 $ 2.36 $ 2.44 Diluted average shares outstanding 386.5 394.4 390.7 415.2 466.8 Operating ratio 82.1% 76.5% 80.7% 76.9% 75.7% * Fourth-quarter 2001 earnings include unusual items of $0.11 per diluted share comprised of workforce reduction related costs. Excluding the unusual items, fourth-quarter earnings per share is $0.57 and operating ratio is 79.2%. Full-year earnings include unusual items of $0.21 diluted share comprised of losses related to non-rail investments, the fourth-quarter workforce reduction related costs and an extraordinary charge for a loss on early extinguishment of debt net of a transportation contract settlement. Excluding the unusual items, full-year earnings per share is $2.08 and the operating ratio is 80.2%. Full-year 2000 earnings include unusual items of $0.09 per diluted share comprised of reduction and redeployment of employees and costs for the terminated BNSF/CN merger proposal. Excluding the unusual items, full-year earnings per share is $2.45 and the operating ratio is 76.4%. 1999 earnings include unusual items of $0.01 per diluted share comprised of reorganization costs and environmental expenses, partially offset by a credit for the reversal of liabilities associated with the consolidation of certain clerical work-forces and a gain in connection with prior-period line sales that was partially offset by costs related to those line sales. Excluding the unusual items, full year earnings per share is $2.43 and the operating ratio is 75.4%. 4
  7. 7. Burlington Northern Santa Fe Corporation Consolidated Income Information * (In millions, except per share data) 2001 1st 2nd 3rd 4th Full Quarter Quarter Quarter Quarter Year Operating revenues Freight revenues $ 2,263 $ 2,241 $ 2,314 $ 2,272 $ 9,090 Other revenues 30 30 29 29 118 Total operating revenues 2,293 2,271 2,343 2,301 9,208 Operating expenses Compensation and benefits 729 694 714 713 2,850 Purchased services 262 274 275 273 1,084 Depreciation and amortization 228 230 222 229 909 Equipment rents 187 190 185 178 740 Fuel 257 246 240 230 973 Materials and other 211 209 205 272 897 Total operating expenses 1,874 1,843 1,841 1,895 7,453 Operating income 419 428 502 406 1,755 Interest expense 120 115 117 111 463 Other (income) expense - net 73 5 20 12 110 Income before income taxes 226 308 365 283 1,182 Income tax expense 86 113 140 106 445 Income before extraordinary charge 140 195 225 177 737 Extraordinary charge, net of tax 6 - - - 6 Net income $ 134 $ 195 $ 225 $ 177 $ 731 Diluted earnings per share after extraordinary charge $ 0.34 $ 0.50 $ 0.58 $ 0.46 $ 1.87 Diluted average shares outstanding 394.1 393.8 390.2 386.5 390.7 Operating Ratio 81.5% 80.9% 78.3% 82.1% 80.7% * Fourth-quarter 2001 earnings include unusual items of $0.11 per diluted share comprised of workforce reduction related costs. Excluding the unusual items, fourth-quarter earnings per share is $0.57 and the operating ratio is 79.2%. Full-year earnings include unusual items of $0.21 diluted share comprised of losses related to non-rail investments, the fourth-quarter workforce reduction related costs and an extraordinary charge for a loss on early extinguishment of debt net of a transportation contract settlement. Excluding the unusual items, full-year earnings per share is $2.08 and the operating ratio is 80.2%. 5
  8. 8. Burlington Northern Santa Fe Corporation Consolidated Balance Sheet Information (In millions, except per share amounts) December 31, 2001 2000 Assets Current assets Cash and cash equivalents $ 26 $ 11 Accounts receivable, net 172 314 Materials and supplies 191 220 Current portion of deferred income taxes 306 299 Other current assets 28 132 Total current assets 723 976 Property and equipment, net 23,110 22,369 Other assets 888 1,030 Total assets $ 24,721 $ 24,375 Liabilities and stockholders' equity Current liabilities Accounts payable and other current liabilities $ 1,873 $ 1,954 Long-term debt due within one year 288 232 Total current liabilities 2,161 2,186 Long-term debt and commercial paper 6,363 6,614 Deferred income taxes 6,731 6,422 Casualty and environmental liabilities 423 430 Employee merger and separation costs 216 262 Other liabilities 978 981 Total liabilities 16,872 16,895 Stockholders' equity Common stock and additional paid-in capital 5,589 5,433 Retained earnings 5,048 4,505 Treasury stock (2,745) (2,413) Unearned compensation (34) (35) Accumulated other comprehensive deficit (9) (10) Total stockholders' equity 7,849 7,480 Total liabilities and stockholders' equity $ 24,721 $ 24,375 Total debt to total capital 45.9% 47.8% Book value per share $ 20.34 $ 19.10 Common shares outstanding 385.8 391.6 6
  9. 9. Burlington Northern Santa Fe Corporation Consolidated Cash Flow Information (In millions) Three Months Ended December 31, Year Ended December 31, 2001 2000 2001 2000 1999 Operating activities Net income $ 177 $ 255 $ 731 $ 980 $ 1,137 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 229 225 909 895 897 Deferred income taxes 96 135 302 353 444 Employee merger and separation costs paid (17) (11) (55) (58) (93) Other - net 7 (42) 91 33 (112) Changes in working capital 139 48 219 114 151 Net cash provided by operating activities 631 610 2,197 2,317 2,424 Investing activities and dividends paid Capital expenditures (398) (409) (1,459) (1,399) (1,788) Other - net (101) (122) (105) (281) (152) Dividends paid (47) (48) (190) (206) (224) Free cash flow after dividends paid 85 31 443 431 260 Financing activities excluding dividends paid Purchase of BNSF common stock (54) (152) (317) (1,496) (688) Proceeds from stock options exercised 7 8 113 13 121 Other - net (1) (16) (18) 7 (59) Net debt paid (incurred) $ 37 $ (129) $ 221 $ (1,045) $ (366) 7
  10. 10. Burlington Northern Santa Fe Corporation Consolidated Cash Flow Information (In millions) 2001 1st 2nd 3rd 4th Full Quarter Quarter Quarter Quarter Year Operating activities Net income $ 134 $ 195 $ 225 $ 177 $ 731 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 228 230 222 229 909 Deferred income taxes 39 68 99 96 302 Employee merger and separation costs paid (17) (10) (11) (17) (55) Other - net 67 (8) 25 7 91 Changes in working capital (91) 96 75 139 219 Net cash provided by operating activities 360 571 635 631 2,197 Investing activities and dividends paid Capital expenditures (234) (403) (424) (398) (1,459) Other - net (66) 50 12 (101) (105) Dividends paid (48) (48) (47) (47) (190) Free cash flow after dividends paid 12 170 176 85 443 Financing activities excluding dividends paid Purchase of BNSF common stock (65) (92) (106) (54) (317) Proceeds from stock options exercised 45 56 5 7 113 Other - net (9) (8) - (1) (18) Net debt incurred $ (17) $ 126 $ 75 $ 37 $ 221 8
  11. 11. Burlington Northern Santa Fe Corporation Operating Statistics Three Months Ended December 31, Year Ended December 31, 2001 2000 2001 2000 1999 Cars/units (thousands) 2,065 2,054 8,155 8,167 8,064 Average revenue per car/unit (a) $ 1,100 $ 1,127 $ 1,111 $ 1,116 $ 1,125 Revenue ton miles (millions) 127,972 123,791 501,829 491,959 493,207 Gross ton miles (millions) 227,183 219,516 896,566 875,249 871,952 RTM/GTM 0.563 0.564 0.560 0.562 0.566 Freight revenue/thousand RTM (a) $ 17.75 $ 18.70 $ 18.05 $ 18.52 $ 18.40 Operating expense/thousand RTM (b) $ 14.81 $ 14.50 $ 14.85 $ 14.43 $ 14.17 Freight revenue/thousand GTM (a) $ 10.00 $ 10.55 $ 10.10 $ 10.41 $ 10.41 Operating expense/thousand GTM (b) $ 8.34 $ 8.18 $ 8.31 $ 8.11 $ 8.02 Compensation and benefits/thousand GTM $ 3.14 $ 3.10 $ 3.18 $ 3.12 $ 3.18 Average employees 39,253 39,997 39,217 39,860 42,651 Period end employees 38,539 39,566 38,539 39,566 41,576 Thousand RTM/average employee 3,260 3,095 12,796 12,342 11,564 Gallons of fuel used (millions) 296 302 1,177 1,173 1,187 Average price per gallon of fuel (cents) (c) 77.7 89.7 82.7 79.5 59.0 GTM/gallon of fuel 768 727 762 746 735 Freight train miles (millions) 37 38 146 145 146 GTM/freight train hours (thousands) 143 136 142 147 139 Route Miles Operated 33,115 33,386 33,115 33,386 33,264 (a) Excludes effects of a third quarter 2001 transportation contract settlement of $32 million. (b) Excluding unusual items, fourth quarter 2001 and full year 2001, 2000 and 1999 (i) operating expense/thousand RTM is $14.29, $14.72, $14.34 and $14.11, respectively and (ii) operating expense/thousand GTM is $8.05, $8.24, $8.06 and $7.98, respectively. (c) Includes handling, taxes and hedge effect. 9
  12. 12. Burlington Northern Santa Fe Corporation Operating Statistics 2001 1st 2nd 3rd 4th Full Quarter Quarter Quarter Quarter Year Cars/units (thousands) 1,986 2,016 2,088 2,065 8,155 Average revenue per car/unit (a) $ 1,139 $ 1,112 $ 1,093 $ 1,100 $ 1,111 Revenue ton miles (millions) 125,727 122,510 125,620 127,972 501,829 Gross ton miles (millions) 223,206 220,109 226,068 227,183 896,566 RTM/GTM 0.563 0.557 0.556 0.563 0.560 Freight revenue/thousand RTM (a) $ 18.00 $ 18.29 $ 18.17 $ 17.75 $ 18.05 Operating expense/thousand RTM (b) $ 14.91 $ 15.04 $ 14.66 $ 14.81 $ 14.85 Freight revenue/thousand GTM (a) $ 10.14 $ 10.18 $ 10.09 $ 10.00 $ 10.10 Operating expense/thousand GTM (b) $ 8.40 $ 8.37 $ 8.14 $ 8.34 $ 8.31 Compensation and benefits/thousand GTM $ 3.27 $ 3.15 $ 3.16 $ 3.14 $ 3.18 Average employees 38,270 39,747 39,597 39,253 39,217 Period end employees 38,962 39,490 39,511 38,539 38,539 Thousand RTM/average employee 3,285 3,082 3,172 3,260 12,796 Gallons of fuel used (millions) 297 293 291 296 1,177 Average price per gallon of fuel (cents) (c) 86.5 84.0 82.5 77.7 82.7 GTM/gallon of fuel 752 751 777 768 762 Freight train miles (millions) 36 36 37 37 146 GTM/freight train hours (thousands) 146 138 140 143 142 Route Miles Operated 33,340 33,340 33,211 33,115 33,115 (a) Excludes effects of a third quarter 2001 transportation contract settlement of $32 million. (b) Excluding unusual items, fourth quarter and full year 2001 (i) operating expense/thousand RTM is $14.29 and $14.72, respectively and (ii) operating expense/thousand GTM is $8.05 and $8.24, respectively. (c) Includes handling, taxes and hedge effect. 10
  13. 13. Burlington Northern Santa Fe Corporation Revenue Statistics by Commodity * Three Months 00-01 Ended December 31, Percent Year Ended December 31, Percent Revenues (in millions) 2001 2000 2001 2000 1999 Change Change Intermodal $ 666 $ 690 (3.5) % $ 2,638 $ 2,652 $ 2,508 (0.5) % Automotive 85 129 (34.1) 410 493 442 (16.8) Other Consumer 68 68 0.0 276 260 247 6.2 Total Consumer 819 887 (7.7) 3,324 3,405 3,197 (2.4) Industrial 492 505 (2.6) 2,080 2,114 2,108 (1.6) Coal 546 528 3.4 2,123 2,131 2,226 (0.4) Agricultural Products 415 395 5.1 1,531 1,462 1,543 4.7 Total freight revenue 2,272 2,315 (1.9) 9,058 9,112 9,074 (0.6) Other revenue 29 24 20.8 118 95 121 24.2 Total revenues $ 2,301 $ 2,339 (1.6) % $ 9,176 $ 9,207 $ 9,195 (0.3) % Cars/units (in thousands) Intermodal 863 880 (1.9) % 3,391 3,440 3,203 (1.4) % Automotive 38 59 (35.6) 192 249 248 (22.9) Other Consumer 41 40 2.5 169 161 146 5.0 Total Consumer 942 979 (3.8) 3,752 3,850 3,597 (2.5) Industrial 342 359 (4.7) 1,442 1,501 1,508 (3.9) Coal 559 511 9.4 2,133 2,023 2,123 5.4 Agricultural Products 222 205 8.3 828 793 836 4.4 Total cars/units 2,065 2,054 0.5 % 8,155 8,167 8,064 (0.1) % Average revenue per car/unit Intermodal $ 772 $ 784 (1.5) % $ 778 $ 771 $ 783 0.9 % Automotive 2,237 2,186 2.3 2,135 1,980 1,782 7.8 Other Consumer 1,659 1,700 (2.4) 1,633 1,615 1,692 1.1 Total Consumer 869 906 (4.1) 886 884 889 0.2 Industrial 1,439 1,407 2.3 1,442 1,408 1,398 2.4 Coal 977 1,033 (5.4) 995 1,053 1,049 (5.5) Agricultural Products 1,869 1,927 (3.0) 1,849 1,844 1,846 0.3 Average revenue per car/unit $ 1,100 $ 1,127 (2.4) % $ 1,111 $ 1,116 $ 1,125 (0.4) % Revenue ton-miles (in millions) Intermodal 22,024 23,285 (5.4) % 88,353 92,658 87,205 (4.6) % Automotive 1,261 1,854 (32.0) 5,911 7,597 7,057 (22.2) Other Consumer 3,034 3,000 1.1 12,070 11,812 12,444 2.2 Total Consumer 26,319 28,139 (6.5) 106,334 112,067 106,706 (5.1) Industrial 22,336 23,141 (3.5) 97,241 99,178 96,518 (2.0) Coal 56,276 51,964 8.3 213,158 204,303 209,219 4.3 Agricultural Products 23,041 20,547 12.1 85,096 76,411 80,764 11.4 Total revenue ton-miles 127,972 123,791 3.4 % 501,829 491,959 493,207 2.0 % Freight revenue per thousand ton-miles Intermodal $ 30.24 $ 29.63 2.1 % $ 29.86 $ 28.62 $ 28.76 4.3 % Automotive 67.41 69.58 (3.1) 69.36 64.89 62.63 6.9 Other Consumer 22.41 22.67 (1.1) 22.87 22.01 19.85 3.9 Total Consumer 31.12 31.52 (1.3) 31.26 30.38 29.96 2.9 Industrial 22.03 21.82 1.0 21.39 21.32 21.84 0.3 Coal 9.70 10.16 (4.5) 9.96 10.43 10.64 (4.5) Agricultural Products 18.01 19.22 (6.3) 17.99 19.13 19.11 (6.0) Freight revenue per thousand ton-miles $ 17.75 $ 18.70 (5.1) % $ 18.05 $ 18.52 $ 18.40 (2.5) % * Excludes effects of a third quarter 2001 transportation contract settlement of $32 million. 11
  14. 14. Burlington Northern Santa Fe Corporation Revenue Statistics by Commodity * 2001 1st 2nd 3rd 4th Full Revenues (in millions) Quarter Quarter Quarter Quarter Year Intermodal $ 629 $ 660 $ 683 $ 666 $ 2,638 Automotive 111 114 100 85 410 Other Consumer 66 71 71 68 276 Total Consumer 806 845 854 819 3,324 Industrial 517 536 535 492 2,080 Coal 526 532 519 546 2,123 Agricultural Products 414 328 374 415 1,531 Total freight revenue 2,263 2,241 2,282 2,272 9,058 Other Revenue 30 30 29 29 118 Total revenues $ 2,293 $ 2,271 $ 2,311 $ 2,301 $ 9,176 Cars/units (in thousands) Intermodal 806 833 889 863 3,391 Automotive 53 56 45 38 192 Other Consumer 41 42 45 41 169 Total Consumer 900 931 979 942 3,752 Industrial 350 376 374 342 1,442 Coal 516 527 531 559 2,133 Agricultural Products 220 182 204 222 828 Total cars/units 1,986 2,016 2,088 2,065 8,155 Average revenue per car/unit Intermodal $ 780 $ 792 $ 768 $ 772 $ 778 Automotive 2,094 2,036 2,222 2,237 2,135 Other Consumer 1,610 1,690 1,578 1,659 1,633 Total Consumer 896 908 872 869 886 Industrial 1,477 1,426 1,430 1,439 1,442 Coal 1,019 1,009 977 977 995 Agricultural Products 1,882 1,802 1,833 1,869 1,849 Average revenue per car/unit $ 1,139 $ 1,112 $ 1,093 $ 1,100 $ 1,111 Revenue ton-miles (in millions) Intermodal 21,776 21,873 22,680 22,024 88,353 Automotive 1,511 1,702 1,437 1,261 5,911 Other Consumer 3,032 2,956 3,048 3,034 12,070 Total Consumer 26,319 26,531 27,165 26,319 106,334 Industrial 24,629 25,241 25,035 22,336 97,241 Coal 51,470 52,775 52,637 56,276 213,158 Agricultural Products 23,309 17,963 20,783 23,041 85,096 Total revenue ton-miles 125,727 122,510 125,620 127,972 501,829 Freight revenue per thousand ton-miles Intermodal $ 28.89 $ 30.17 $ 30.11 $ 30.24 $ 29.86 Automotive 73.46 66.98 69.59 67.41 69.36 Other Consumer 21.77 24.02 23.29 22.41 22.87 Total Consumer 30.62 31.85 31.44 31.12 31.26 Industrial 20.99 21.24 21.37 22.03 21.39 Coal 10.22 10.08 9.86 9.70 9.96 Agricultural Products 17.76 18.26 18.00 18.01 17.99 Freight revenue per thousand ton-miles $ 18.00 $ 18.29 $ 18.17 $ 17.75 $ 18.05 * Excludes effects of a third quarter 2001 transportation contract settlement of $32 million. 12
  15. 15. Burlington Northern Santa Fe Corporation Capital Expenditures and Track Maintenance Three Months Ended December 31, Year Ended December 31, 2001 2000 2001 2000 1999 Capital expenditures (in millions) Maintenance of way Rail $ 50 $ 43 $ 233 $ 210 $ 256 Ties 50 25 254 206 170 Surfacing 41 26 146 134 130 Other 98 86 335 285 254 Total maintenance of way 239 180 968 835 810 Mechanical 62 77 183 221 240 Information services 19 23 69 66 74 Other 42 61 101 144 151 Total maintenance of business 362 341 1,321 1,266 1,275 New locomotives/freight cars - - - - 261 Terminal and line expansion 36 43 126 99 233 Other - 25 12 34 19 Total capital expenditures $ 398 $ 409 $ 1,459 $ 1,399 $ 1,788 Operating lease commitments $ - $ 62 $ 149 $ 363 $ 477 Total capital commitments $ 398 $ 471 $ 1,608 $ 1,762 $ 2,265 Track maintenance Track miles of rail laid Maintenance of business 211 136 788 674 784 Expansion projects 3 1 18 21 106 Total 214 137 806 695 890 Cross ties inserted (thousands) Maintenance of business 654 396 2,646 2,450 2,055 Expansion projects 8 6 58 77 310 Total 662 402 2,704 2,527 2,365 Track resurfaced (miles) 2,836 1,927 11,011 11,228 10,505 Statement Explanation Certain prior-period amounts have been reclassified to conform with the current-period presentation. 13
  16. 16. Burlington Northern Santa Fe Corporation Capital Expenditures and Track Maintenance 2001 1st 2nd 3rd 4th Full Quarter Quarter Quarter Quarter Year Capital expenditures (in millions) Maintenance of way Rail $ 40 $ 71 $ 72 $ 50 $ 233 Ties 43 84 77 50 254 Surfacing 17 41 47 41 146 Other 64 82 91 98 335 Total maintenance of way 164 278 287 239 968 Mechanical 26 44 51 62 183 Information services 9 21 20 19 69 Other 9 18 32 42 101 Total maintenance of business 208 361 390 362 1,321 Terminal and line expansion 23 39 28 36 126 Other 3 3 6 - 12 Total capital expenditures $ 234 $ 403 $ 424 $ 398 $ 1,459 Operating lease commitments $ - $ 97 $ 52 $ - $ 149 Total capital commitments $ 234 $ 500 $ 476 $ 398 $ 1,608 Track maintenance Track miles of rail laid Maintenance of business 72 254 251 211 788 Expansion projects - 12 3 3 18 Total 72 266 254 214 806 Cross ties inserted (thousands) Maintenance of business 330 846 816 654 2,646 Expansion projects 1 39 10 8 58 Total 331 885 826 662 2,704 Track resurfaced (miles) 1,252 3,519 3,404 2,836 11,011 14
  17. 17. Burlington Northern Santa Fe Corporation Outstanding Debt December 31, 2001 2000 Debentures, weighted average rate of 7.34%, due 2006 to 2097 $ 2,558 $ 2,558 Notes, weighted average rate of 6.91%, due 2002 to 2037 1,942 1,736 Capitalized lease obligations, weighted average rate of 6.55%, due 2003 to 2016 672 736 Equipment obligations, weighted average rate of 7.27%, due 2003 to 2016 677 742 Mortgage bonds, weighted average rate of 7.93%, due 2006 to 2047 425 467 Commercial paper, 2.1% variable on $216 million, 3.9% fixed on $200 million 416 567 Bank borrowings, (variable) - 74 Unamortized discount and other, net (39) (34) Total outstanding debt 6,651 6,846 Less: Current portion of long-term debt (288) (232) Long-term debt $ 6,363 $ 6,614 15

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