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Annual 2001
Investors’ Report
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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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bnsf 4Q 2001 Investors Report

  • 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. 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. 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. 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. 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. 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. 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. 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. 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. 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. 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. 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. 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. 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. 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. 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