connectivity in a global economy
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Moderator: Dr. Mahmassani, Director, NorthwesternUniversity Transportation Center
Panelist: Francisco Conde, North Americans SuperCorridorCoalition
Richard Longworth, Author, Caught in theMiddle
Mike Mullen, CEO, Centerpoint Properties
Michael W. Payette, Chairman, Illinois RailroadAssociation/Assistant Vice President, Government
Affairs, Union Pacific Railroad
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Within 1 Hour Within 2 Hours Within 3 Hours
Milwaukee 0:36 Cincinnati 2:00 Cleveland 2:20
Madison 1:00 Detroit 2:00 Minn./St. Paul 2:40
Indianapolis 1:15 Pittsburgh 3:00
St. Louis 1:52
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Fully integrated: large scale development,redevelopment, investment and property management
operations
Founded in 1984, NYSE listed from 1993 to 2006
Market leader, 22% compound annual return toshareholders (dividends reinvested)
Management led $3.5 billion privatization in 2006,funded by CalPERS
Premier intermodal logistics center developer
Market leading, value-add industrial property investor
Multiple offices: Chicago, IL; Hampton Roads, VA; LosAngeles, CA; Hong Kong, China; Kansas City, MO
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12.25% of nations industrial
space
Top 5 container hub in the world
60% of nations rail freight movesthrough Chicago
Only place in North America allsix Class I railroads converge
1,200 trains, 37,500 freight carsdaily
Vital U.S. transportation,
agricultural and manufacturinghub
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Rapidly growingcontainerized freight transit
Benefit from long-haul railefficiency
Efficient transfer of containersfrom port-rail-truck
Significant populationdensity
Large, growing regional GDP
Access to competitive rail
Access to interstate highwaysystem
Import / export balance
Rail connectivity to Chicago
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Economies of scale lower delivered cost
One gallon of diesel fuel moves one ton of freight
415 miles via rail
155 miles via truck
Eases highway congestion
A single intermodal train can take 300 long haul
trucks off the highway
Rail is the Green alternative
Trucks emit 4X more Greenhouse gases than rail
for same load of freight
Trucking industry facing increased costs /
regulation
Hours of service change High driver turnover (100%)
Rising insurance costs
Highway congestion
Quality of life for drivers
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Long-haul container freight will moveon fewer, higher bandwidth rail lanesserving major population centers
Short-haul container freight will movevia truck from regional intermodalcenters
Cities with significant port andintermodal infrastructure will supportsignificant and active industrial realestate markets
TEU- Twenty Foot Equivalent Units
Source: Global Insight, 2009
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Chicago the historic hub of nations
rail system
Increased congestions rendering in-city yards obsolete
CenterPoint leading the developmentof modern infrastructure
Traffic migrating to suburban integratedlogistics centers
New infrastructure doubling regional capacity
Attracting freight from nations ports
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2,500-acre integrated logistics center
1,400-acre industrial park
750-acre BNSF intermodal facility
100-acre equipment management area
$1 billion+ CenterPoint investment
Excellent national connectivity
International service direct connectivity to
Port of LA/LB
12+ million SF industrial facilities
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$2 billion+ CenterPoint investment
3,600-acre integrated logistics center
2,200-acre industrial park
750-acre UP Joliet Intermodal Facility
450-acre equipment management area
Excellent national connectivity
East and West Coast Connectivity SeaTac / LA
International and domestic service
18 million SF industrial facilities
Potential second intermodal site
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$3 billion CenterPoint investment
Public-private partnership 2-4 intermodal terminals on a single
campus
3-6 million TEUs annual capacity
6,000+ acres, 35 square miles
30 million SF of industrial facilities 600+ acres for container/trailer
management
International and domestic
intermodal / carload service
BNSF/UP/CN/NS/CSX access Foreign Trade Zone
Barge terminal / transloading /
agriculture export hub
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Source: AAPA Advisory, May 2009
*Port of Illinois 3.0 6.0 million (Base Case)
BNSF Logistics Park (current) 1,500,00
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2003 20052004 2006
CREATEAnnounced
SAFETEA-LU Passes
CREATE Authorized$100 mil. underProjects of National andRegional Significance
Railroad PartnersContribute$100 million
First FederalFundingReleased:$48 million
$23 million inFederalFundingReleased
DevalInterlockingProjectCompleted inDes Plaines(T 12)
17 Projectsin Envir.
Review
6 projectsin Design
CREATE Timeline
IDOT LetsFirst Design andEnvironmentalContractsWithIllinois First $
CREATEReleasesFinalFeasibility Plan
Illinois DOTPledges$100 million
City ofChicagoPledges$30 million
SignalImprovementsCompletedon BRC/ NSin Chicago(EW 4)
Completed Project(s)
CREATE Milestone
Railroad Key
NS - Norfolk Southern
BRC - Belt Railway ofChicago
7/09
2009
6 ProjectsunderConstruction
ProjectsCompleted:B8B3WA5B6
$19 millioninFederalFundingReleased
IL Capital BillAuthorizes$300 million
20102007 2008
Grand AvenueGrade CrossingSeparationCompleted inFranklin Park(GS 5a)
$1.9 milAuthorizedIn FY09Rail LineRelocationImprovementProgram
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