2. CSX Corporation
Oscar Munoz
Executive Vice President
Chief Financial Officer

3. Earnings improvement stalled in 2003, as
the operating ratio reached 88%
Rail Operating Income Rail Operating Ratio
Dollars in millions
Dollars in millions
90%
90%
$995
$995
88%
88%
87%
87%
$907 $902
$907 $902
86%
86%
$713
$713
2000 2001 2002 2003 2000 2001 2002 2003
2000 2001 2002 2003 2000 2001 2002 2003
Note: Operating income and operating ratio exclude one-time charges

4. Restoring the company’s earnings
power will be driven in three key areas
Revenue
Impacts
Operating Organizational
Improvements Structure

5. CSX will improve yield by leveraging our
network and an improving economy
Year-over-year Change in Revenue
Dollars in millions
Dollars in millions
$90
$90
$85
$85 $81
$81
$60
$60
$53
$53
$30
$30 $37
$37
$7
$7 $5 $31
$5 $31
$0
$0
-$29
-$29
-$7
-$7
($30)
($30)
-$54
-$54
($60)
($60)
Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
2001 2002 2003

6. Bringing the right revenue on the system
is the focus of new costing technology
To manage contribution
effectively, we need a
more sophisticated Profits
costing system
Ease of Use
Financial Integrity
Improved Cost Assignment
Better Revenue Insight

7. A new “Zero-based” operating plan
will be created to drive productivity
• Enlist the support of MultiModal
• Transformation of the Network and the Operating Plan is
done in two phases
– “Quick Hit” – New Road Train Plan
– Network Redesign – Locals, Yards, Road Trains
• Proven success with other Class I railroads

8. Process improvement will leverage the
best of the past with greater accountability
• Improvement opportunities have been identified
– CSX historical or peer performance sets the standard
• Leaders have been selected to drive accountability
– Teams blend operating skill with analytical talent
• Process will be centralized to drive and measure results
– Aligned and integrated with corporate objectives
– Leveraged by support systems

9. We will deliver on our commitments
and generate value for our shareholders
Revenue Operating Organizational
Impacts Improvements Structure
• Price Leadership • Safety • Organizational
Effectiveness
• Profitable Growth • Zero-based Plan
Initiative
• Offset Inflation • Asset Utilization
• Process
• Productivity Improvement
Teams