RSI LOGISTICS
RSI Logistics, Inc. - Industry Update
  KCS - Huricane Update

August 29, 2008



Dear KCSR Customer:

Effective immediately, The Kansas City Southern Railway Company (KCSR) is issuing an embargo for
New Orleans, Gramercy, Norco and Reserve, Louisiana, as well as for interchange traffic at New Orleans with
BNSF, CN, NOPB, NS, UP and CSXT.

Yesterday, KCSR informed its customers that in preparation for the possible landfall of Hurricane Gustav on
the Gulf Coast region, it is initiating its hurricane plan.  As part of the hurricane plan, KCSR has been:

    • Moving equipment out of the New Orleans yard;
    • Diverting traffic to other gateways; and
    • Staging ballast and machinery outside of New Orleans to ensure that any necessary track repairs                                                                                  will be made as quickly as possible.

Some delays may occur as a result of these efforts.  Please know that KCSR is doing everything possible
to safely and efficiently prepare for and respond to the effects of Hurricane Gustav.

Operational updates will be provided as additional information becomes available.

Sincerely,

KCSR Customer Service Center