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Intermodal - What You Need to Know

Intermodal - What You Need to Know. Transportation & Logistics Council Annual Conference San Diego, CA - April 22, 2013. Supply Chain Solutions. MANUFACTURING. DISTRIBUTION. POINT OF PURCHASE. CONSUMPTION. Diversified and Complementary. Annual J.B. Hunt Intermodal Volumes. CONFIDENTIAL.

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Intermodal - What You Need to Know

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  1. Intermodal - What You Need to Know Transportation & Logistics Council Annual Conference San Diego, CA - April 22, 2013

  2. Supply Chain Solutions MANUFACTURING DISTRIBUTION POINT OF PURCHASE CONSUMPTION

  3. Diversified and Complementary

  4. Annual J.B. Hunt Intermodal Volumes CONFIDENTIAL

  5. Intermodal Network Is In Place CONFIDENTIAL

  6. Intermodal Benefits Are Driving Change Shippers, Carriers, Environment • Economical • Expanding capacity • Greener shipping • Less congestion • Better jobs CONFIDENTIAL

  7. What Freight Moves Intermodal Today? Types of Intermodal Shipments • Import shipments • Inbound to DC and Outbound to Store • Consolidation • Temp-Controlled • Flatbed CONFIDENTIAL

  8. So Why Hasn’t More Freight Been Converted? Some Shippers Say… • “I had a bad experience with Intermodal 15 years ago.” • “Shipping requirements won’t allow Intermodal.” • “Intermodal transit is slow and variable.” • “Won’t work for my customers.” CONFIDENTIAL

  9. Intermodal…The Right Way Elements of Quality Intermodal Service • Experience & Partnerships • Network Capacity & Scope • Asset Ownership – Containers, Chassis, Tractors • Company Drivers • Service Team/Execution/Monitoring • Technology/Reporting • Consistency & Reliability CONFIDENTIAL

  10. Your Options… FAST | Expedited Service • Fastest intermodal service in the industry • Averages 800 miles per day VALUE | Standard Service • Solution for price sensitive shippers • Averages 600 miles per day With two service levels to choose from, JBHT & BNSF offers shippers the best transportation value. 10

  11. Expedited Service Pacific Northwest Chicago Northeast Denver Northern California Kansas City Southern California Memphis Atlanta DFW Southeast

  12. Standard Service Pacific Northwest Chicago Northeast Midwest Denver Northern California Kansas City Southern California Memphis Atlanta DFW Southeast

  13. Sources of US Greenhouse Gas Emissions • Transportation is responsible for 26.9% of U.S. greenhouse gas emissions • 21.88% of the total Transportation emissions (5.9% of the total) are caused by medium- and heavy-duty vehicles Source: Inventory of US Greenhouse Gas Emissions and Sinks, 1990-2010.

  14. How? J.B. Hunt’s Transportation Carbon Diet 1. Know your network footprint Then, attack it by: 2. Eliminating miles - Network re-alignment - Route optimization 3. Increasing payload - Maximize cube & weight 4. Converting to energy-efficient, cost-effective modes - Rail is better than truck; truck is better than air 5. Using efficient carriers - FleetSmart members & SmartWaySM partners Reduced Costs Means Reduced Emissions!

  15. CLEAN Transport™ • Proprietary JB Hunt tool calculates customer’s carbon footprint & identifies intermodal conversion opportunities

  16. Intermodal as “Carbon-Lite Transportation” 50% less carbon; 1.5 fewer tonnes Estimated carbon emissions for an 1,800 mile truckload shipment based on Raven Ridge Resources, Inc. methodology for calculating carbon emissions for truckload shipments via highway and intermodal service. See: http://www.ghgworks.com/pdf/JBHTIntermodalVerificationReport.pdf

  17. Freeze Protect Service Temperature- Controlled Solutions Over-the-Road and Intermodal Temperature-ControlledOptions Over-the-road freeze protect services Are provided through our ICS (Integrated Capacity Solutions) division. Access over 7,000 carriers with 150,000 units of Refrigerated capacity with a single phone Call. Intermodal temperature-controlled Options include turnkey blanket products In dry containers, as well as intermodal Refrigerated containers. • Blanket Protection can help protect • Your products from damage from freezing. • Foil insulated blankets Lightweight, dis- • posable blankets that help protect products • from freezing. Can be reused. Most in- • expensive option with lower level of tem- • perature protection. • Thermal quilts Heavy, reusable blankets • for protection from freezing which can be • reused many times. Available with top-of- • load coverage, or with side-wall panels for • a greater level of protection. Pallet covers • also available for small quantities per load. J.B. Hunt offers freeze protection service for freight that may be susceptible to low-temperature swings. Our single-source solutions utilize both temperature-controlled intermodal and van service that is custom-izable according to your needs. Pricing includes service monitoring on every load. • Monitoring Services • Your blanket or ours • Dailey weather • updates • Priority dispatch • Customized • scheduling • 24/7 monitoring

  18. The J.B. Hunt Temperature Controlled Intermodal (TCI) • Container Information • CIMC Built Container • Thermo King Cooling Unit • StarTrak LMS Software • Configured for JBHZ Chassis • 156 Gallon Aluminum Fuel Tank • Fuel Heater • E-Track – Two rows full length • Single Temp/Single Chute • Door Sensor-Alarm • Gross Payload (product + dunnage) • 42,000 lbs (Daycab Dray) • 40,000 lbs (Sleeper Dray) • Floor space will accommodate 28 pallets. (48x40 four way entry) • Interior Width = 97.25” • Interior Length = 49’ 9” • Interior Height = 101.8” • Interior Volume = 3,422 ft3

  19. National 2012-2008 Top Categories The information contained in this report is not inclusive of all cargo theft that has occurred nationally. CHP / CTIP and NICB have been collecting and tracking cargo theft data since 2003. Report is based on voluntary data provided to the CTIP Taskforce. Prepared by the California Highway Patrol / CTIP Taskforce

  20. State Comparison 2008-2012 The information contained in this report is not inclusive of all cargo theft that has occurred nationally. CHP / CTIP and NICB have been collecting and tracking cargo theft data since 2003. Report is based on voluntary data provided to the CTIP Taskforce. Prepared by the California Highway Patrol / CTIP Taskforce

  21. 2008-2012 by Product - California The information contained in this report is not inclusive of all cargo theft that has occurred nationally. CHP / CTIP and NICB have been collecting and tracking cargo theft data since 2003. Report is based on voluntary data provided to the CTIP Taskforce. Prepared by the California Highway Patrol / CTIP Taskforce

  22. Power In-Lock® Cargo Protection • Internal deadbolt lock that cannot be cut or easily broken • Remotely operated through StarTrak LMS software by designated J.B. Hunt intermodal personnel. • Can be locked/unlocked locally on 10 digit keypad with rolling security code. Code has a 1 hour expiration. • Locking pin fires into frame of container • Tampering alarm programmed • Thermo King power source & battery backup • Wiring inside frame of container Supply Chain Integrity and Product Safety

  23. Power In-Lock® Cargo Protection

  24. General loading guidelines: • Evenly distribute lading weight • Fill lengthwise space with lading or buffer material • Plan load to minimize crosswise void space • Stow heavier lading on bottom, lighter lading on top • Provide stable base for all cargo • Segregate irregular lading from remainder of lading (use blocking/bracing, separators, dividers)

  25. Load Planning (2) 48x96” AAR approved air bags Pallets turned 48” across

  26. Dunnage and Securement Products Diamond Pak Door Pak Door Pak Replaces plywood Honeycomb Drop Down Filler Saddle PaK Fill-m Filler Pal-Kor Filler Ty-Gard Metal Banding 1-1/4” x .032 Poly Strapping Corrugated Risers Contour Pads Ty-Gard and Ty-Patch Tools Polyethylene Woven Airbag Kraft Airbag Rubber Matting Stopak Airbag

  27. CLASSES OF CARGO SEALS High Security seal Security seal Indicative seal

  28. BARRIER SEALS High security Figure ‘8’ cable seal

  29. High Value - Containers in the Bottom Well - Cannot open the doors when in the Bottom Well as shown on the right

  30. Thank You! CONFIDENTIAL

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