ASB Barge ASB Barge ServicesServices

December 10December 10thth, 2009, 2009

Missouri River Freight Corridor Development Forum

AGRIServices of AGRIServices of Brunswick, LLCBrunswick, LLC

31 years experience in agriculture31 years experience in agriculture Located on HWY 24 West of Located on HWY 24 West of

Brunswick, MOBrunswick, MO MO River Mile 256MO River Mile 256 45,000 ton Dry Fertilizer Storage45,000 ton Dry Fertilizer Storage 16,000 ton Liquid Fertilizer 16,000 ton Liquid Fertilizer

StorageStorage 3,000,000 bushel Grain Capacity3,000,000 bushel Grain Capacity Retail & Wholesale Liquid Blend Retail & Wholesale Liquid Blend

PlantPlant Retail Dry Fertilizer Blending PlantRetail Dry Fertilizer Blending Plant

Fertilizer business dependant on barge Fertilizer business dependant on barge shipments for 31+ years.shipments for 31+ years.

Prior to 2004 ASB shipped Prior to 2004 ASB shipped Fertilizer: 70-80 barges per yearFertilizer: 70-80 barges per year Grain: 40-50 barges per yearGrain: 40-50 barges per year

Coordinated shipments with the 4 main Coordinated shipments with the 4 main towing companies working MO Rivertowing companies working MO River

Active members of various MO River Active members of various MO River organizationsorganizations Missouri Levy Drainage DistrictMissouri Levy Drainage District MO-ARKMO-ARK Missouri River Navigation CaucusMissouri River Navigation Caucus

Experience on the MO Experience on the MO RiverRiver

ASB’s start in towing ASB’s start in towing businessbusiness

ASB began chartering a tow boat in 2006ASB began chartering a tow boat in 2006 Factors that led ASB into towing Factors that led ASB into towing

businessbusiness Last 2 remaining towing companies exiting Last 2 remaining towing companies exiting

barge businessbarge business Most economical way of transporting Most economical way of transporting

productsproducts Maintain sufficient supply of productsMaintain sufficient supply of products Keep navigation alive on the Missouri RiverKeep navigation alive on the Missouri River

ASB Barge ServicesASB Barge Services Leased towboat from Excel Marine Leased towboat from Excel Marine

of Cincinnati, OHof Cincinnati, OH M/V Butch Bowman M/V Butch Bowman

Serve points from St. Louis to Blair, Serve points from St. Louis to Blair, NENE

Work with all major barge suppliersWork with all major barge suppliers Coordinate shipping to/from any Coordinate shipping to/from any

point on inland river systempoint on inland river system

M/V Capt. Butch M/V Capt. Butch BowmanBowman

Totally refurbished – completed June Totally refurbished – completed June of 2009of 2009

2400 HP2400 HP Shallow draft boat Shallow draft boat Push up to 6 loaded barges on MO Push up to 6 loaded barges on MO

RiverRiver Crew of 7Crew of 7

M/V Capt. Butch M/V Capt. Butch BowmanBowman

Locations servicedLocations serviced Hermann Sand – Hermann, MOHermann Sand – Hermann, MO ASB – Brunswick, MOASB – Brunswick, MO La Farge – Sugar Creek, MOLa Farge – Sugar Creek, MO Midwest Terminal – Kansas City, MOMidwest Terminal – Kansas City, MO Drexel – Leavenworth, KSDrexel – Leavenworth, KS Port Authority – St. Joseph, MOPort Authority – St. Joseph, MO DeBruce – Nebraska City, NEDeBruce – Nebraska City, NE Kinder Morgan – Omaha, NEKinder Morgan – Omaha, NE CBI – Blair, NECBI – Blair, NE

Barges TowedBarges Towed

0

10

20

30

40

50

60

2006 2007 2008 2009

NorthboundSouthboundTotal

Products moved on MO Products moved on MO RiverRiver

27%

16%42%

5%3%2% 3% 2%FertilizerGrainFeed IngredientsAggregatesLiquidMetal ProductsEquipmentSalt

Barge, Rail, Truck Barge, Rail, Truck ComparisonComparison

==

==1 Barge1 Barge

15 Railcars15 Railcars

60 Trucks60 Trucks

Northbound Freight Northbound Freight Rates from NOLARates from NOLA

$0

$10

$20

$30

$40

$50

$60

Boonville Brunswick Kansas City St. Joe Omaha Sioux City

Barge

Rail

Barge/Truck

* Barge – 6 barge tow Rail – Published tariff rates Barge/ Truck - includes $4/ton handling charge

Southbound Southbound Freight Rates from Freight Rates from

NOLANOLA

$0

$5

$10

$15

$20

$25

$30

$35

$40

$45

$50

Boonville Brunswick Kansas City St. Joe Omaha Sioux City

Barge

Rail

Truck/Barge

* Barge – 6 barge tow Rail – Published tariff rates Truck/Barge - includes $2.50/ ton handling charge

How is the MO River How is the MO River different than other different than other

navigable rivers?navigable rivers? Swifter currentsSwifter currents Restricted barge draftsRestricted barge drafts Channel widthChannel width Changes in channelChanges in channel Lack of switch boats at major Lack of switch boats at major

destinationsdestinations

Hurdles to Hurdles to expanding traffic on expanding traffic on

the MO Riverthe MO River River seasonRiver season Grain movement has changed from Grain movement has changed from

years pastyears past Heavier St. Louis draftsHeavier St. Louis drafts Same barges in/out on towSame barges in/out on tow Lack of active river ports to handle Lack of active river ports to handle

various needs various needs Scheduling to have barges in placeScheduling to have barges in place

Opportunities on the MO Opportunities on the MO RiverRiver

Northbound freight from Gulf is more Northbound freight from Gulf is more economical by bargeeconomical by barge

Higher water flows will increase draftsHigher water flows will increase drafts More traffic will decrease ratesMore traffic will decrease rates Increase in boats on the river will make Increase in boats on the river will make

switching more convenient, decreasing switching more convenient, decreasing stand-by timestand-by time

Outlook for 2010 seasonOutlook for 2010 season More corn acres projectedMore corn acres projected Record harvestRecord harvest More pressure to have fast reliable More pressure to have fast reliable

shippingshipping Above average run-off forecasts in Above average run-off forecasts in

Missouri River basinMissouri River basin More inquiries about construction More inquiries about construction

projects, wind tower projectsprojects, wind tower projects

Questions?Questions?