Intermodal – Is There a Change In Direction?

1. Intermodal – Is There a Change In Direction? Jeffrey S. Heller Assistant Vice President – International Marketing Norfolk Southern

2. Our Position • East Coast all-water or Suez trade is growing and may grow to as much as 40% of total Asian imports • However, West Coast port freight is dominant and will remain that way • Our strategy contemplates growth from both coasts

3. The East Coast has Led Import Growth Over the Last12 Months WC: LAX, LGB, OAK, PDX, SEA, TAC EC: NYC, BAL, ORF, CHS, SAV Source: Port Websites

4. AAR Data Would Suggest a Regionalization of IM Freight As Well 0.0% -2.6% -5.1% -6.5% East: NS, CSX, FEC: West: BNSF, UP, KCS Source – AAR, Cumulative through Week 19

5. NS International Traffic with an East Coast Focus 2006: 42% 2007: 49% 2008 YTD: 52% NS International Traffic with a West Coast Focus 2006: 58% 2007: 51% 2008 YTD: 48% And NS’ Own Data Suggests a Shift to the East Coast Westbound Forwarded Empty -23.4% EC Eastbound Empty -24.0% EC Exports +11.2% Transpacific Exports -0.3% EC Imports +20.6% Transpacific Imports -18.9%

6. So, is NS building for a world dominated by East Coast Intermodal port shipments?

7. NS’ Core Intermodal Network Norfolk Southern System NS Intermodal Routes Clearance Restrictions

8. NS’ Core Intermodal Network The Golden Triangle Norfolk Southern System NS Intermodal Routes Clearance Restrictions

9. NS’ Core Intermodal Network Key Interchanges Norfolk Southern System NS Intermodal Routes Clearance Restrictions Key Gateways

10. NS’ Core Intermodal Network East Coast IM Ports Norfolk Southern System NS Intermodal Routes Clearance Restrictions Key Gateways EC Ports

11. NS’ Core Intermodal Network Meridian Speedway West Coast Norfolk Southern System NS Intermodal Routes Clearance Restrictions Norfolk Southern System NS Intermodal Routes Clearance Restrictions Meridian Speedway East Coast

12. NS’ Core Intermodal Network Crescent Corridor Norfolk Southern System NS Intermodal Routes Clearance Restrictions Crescent Corridor Norfolk Southern System NS Intermodal Routes Clearance Restrictions

14. NS’ Core Intermodal Network Heartland Corridor East Coast West Coast Norfolk Southern System NS Intermodal Routes Clearance Restrictions Norfolk Southern System NS Intermodal Routes Clearance Restrictions Heartland Corridor

15. Heartland Corridor Why The Heartland? Chicago Cleveland Harrisburg Columbus Kenova The Port of Virginia

16. Heartland Corridor: Work in Progress

17. Other Key Developments on HeartlandAPM Virginia Western Freeway Relocation Project Intermodal Rail Terminal

18. Other Key Developments on HeartlandColumbus Rickenbacker GLP

19. Columbus Rickenbacker GLPBi-Coastal On-Dock Access NS Served Intermodal Facility NS BNSF UP

20. NS’ Core Intermodal Network Patriot Corridor West Coast Norfolk Southern System NS Intermodal Routes Clearance Restrictions Norfolk Southern System NS Intermodal Routes Clearance Restrictions New England Corridor

21. Pan Am Southern (PAS) will operate: • Between Rotterdam Jct., NY and Ayer, MA • Between White River Jct., VT and New Haven/Derby, CT. • The main line – denoted in blue – is “The Patriot Corridor”

22. NS’ Core Intermodal Network 4 Corridor Strategy Norfolk Southern System NS Intermodal Routes Clearance Restrictions

23. AL & GA Division Infrastructure Improvements - $44.2 Million Irvington Siding Oldham Siding Cohutta Howardville 5 Mi. Double Macon Bypass Austell 2nd Lead Arabi Siding Lacy Siding Fargo Siding

24. Columbia to Charleston Line Improvements - $12 Million Rowesville Siding Ridgeville Siding Kingville Siding Kingville Connection

25. Austell, GA Parking and Track • 1 mi. support track – March ‘07 • 438 parking spaces – June, ‘07 • Total - $10.7 million

26. Summary • NS believes that freight growth from both coasts is likely in the future, but that East Coast Port freight may grow faster • The choice of coast of entrance will be driven by factors well beyond the control of NS • Our corridor and terminal investments are clearly balanced to serve both East Coast and West Coast customers