EX-99.1 3 e16067ex99-1.txt PRESS RELEASE Exhibit 99.1 Genesee & Wyoming Reports Diluted EPS of $0.43 for the Third Quarter of 2003; Announces Tax, Regulatory and New Business Developments in Australia GREENWICH, Conn., October 30, 2003 /PRNewswire-FirstCall/ -- Genesee & Wyoming Inc. (GWI) (NYSE: GWR) reported today that net income in the third quarter of 2003 was $7.6 million compared with net income of $7.0 million in the third quarter of 2002. GWI's diluted earnings per share in the third quarter of 2003 increased 7.5% to $0.43 with 17.9 million shares outstanding, which included a negative impact of $0.03 per share from the final settlement of a lawsuit that has been outstanding since 1998 and a positive impact of $0.05 per share from tax and regulatory determinations at its 50%-owned Australian joint venture. In the third quarter of 2002, GWI reported diluted earnings per share of $0.40 with 17.6 million shares outstanding. In the third quarter of 2003, GWI's North American revenue increased 16.0% to $61.5 million compared with $53.0 million in the third quarter of 2002. Of this $8.5 million increase in revenue, $3.4 million was from the acquisition of Utah Railway and $1.0 million was from the start-up of a new rail line in Oregon. Same railroad revenue in the third quarter of 2003 increased $4.1 million, or 7.7%, despite a $1.1 million decline in metals and auto shipments in GWI's New York-Pennsylvania Region. In the third quarter of 2003, North American operating income increased 25.7% to $9.2 million, which included a $0.7 million non-cash charge for the legal settlement. This compares with operating income of $7.3 million in the third quarter of 2002. GWI's North American operating ratio was 85.0% in the third quarter of 2003, which included a negative impact of 1.2% from the legal settlement. This compares with an operating ratio of 86.2% in the third quarter of 2002, which included a negative impact of 2.1% from Hurricane Isidore. In Australia, third quarter 2003 revenue for GWI's 50%-owned subsidiary, Australian Railroad Group (ARG), increased 13.3% to US$61.7 million compared with US$54.5 million in the third quarter of 2002. ARG's operating income in the third quarter of 2003 was US$11.2 million compared with operating income of US$13.2 million in the third quarter of 2002. Equity income from ARG in the third quarter of 2003 was US$2.7 million, unchanged from the third quarter of 2002. In comparing the third quarter of 2003 with the third quarter of 2002, it is notable that the Australian dollar appreciated 21.8%. The third quarter of 2003 included the resolution of two issues in Australia that have been outstanding since the acquisition of Westrail Freight in December 2000. First, the Australian Tax Office and ARG reached agreement on the tax classification and depreciable lives for certain assets acquired from the government of Western Australia. Second, the Rail Regulator of Western Australia reached a final decision regarding the formula for access charges by ARG's track infrastructure company, Westnet Rail Pty Ltd. The net impact of these tax and regulatory determinations was positive $0.05 per share to GWI in the third quarter of 2003. In addition, ARG has secured two new customers, one for iron ore and another for agricultural products, which are expected to add approximately US$17.2 million in annual revenues in 2004. ARG expects to commence shipments for a portion of this new business starting in December 2003. For the nine months ended September 30, 2003, GWI reported net income of $20.8 million, of which $13.9 million (66.6%) was from North America, $6.9 million (32.9%) was from Australia and $0.1 million (0.5%) was from South America. This compares with $19.8 million of net income in the nine months ended September 30, 2002. GWI's diluted earnings per share were $1.17 in the first nine months of 2003 (with 17.8 million shares outstanding) compared with $1.13 in the first nine months of 2002 (with 17.6 million shares outstanding). For the nine months ended September 30, 2003, GWI generated Free Cash Flow of $24.7 million (defined as Cash from Operations of $38.2 million less Cash used in Investing of $13.5 million) compared with $7.1 million of Free Cash Flow (defined as Cash from Operations of $19.6 million less Cash used in Investing, net of the Cost of Acquisitions of $12.5 million) for the first nine months of 2002. Mortimer B. Fuller III, Chairman and Chief Executive Officer of GWI, commented, "The legal settlement for which we incurred a non-cash charge in the third quarter resolves a long standing dispute and provides a long term contract for continued delivery of coal to a major power plant customer. Overall our North American operations continue to perform as expected. Although metals and autos traffic in our New York-Pennsylvania Region has been weak for the past several months, other commodities such as coal in our Illinois Region, pulp and paper in our Oregon Region and petroleum products in our Mexico Region have shown good growth. Meanwhile our business continues to generate impressive free cash flow." Mr. Fuller continued, "Recent developments in Australia have been extremely promising. First, we are pleased that the regulatory regime has been set in Western Australia. Second, our agreement with the Australian Tax Authority is favorable. Third, new business opportunities are good as illustrated by our two new customers. Finally, in contrast with last year's severe drought, our outlook for 2004 grain shipments is strong due to the high harvest levels projected for Western and South Australia." As previously announced, GWI's conference call to discuss financial results for the third quarter will be held today at 9:00AM (Eastern Standard Time). The dial-in number for the teleconference is (888) 273-9887 or the call may be accessed live over the Internet (listen only) at http://www.firstcallevents.com/service/ajwz392290318gf12.html. An audio replay of the conference call will be accessible at Genesee & Wyoming's website (www.gwrr.com) starting this afternoon. To access the replay, click on the Investors tab. GWI is a leading operator of short line and regional freight railroads in the United States, Canada, Mexico, Australia and Bolivia. The Company operates over 8,000 miles of owned and leased track and over an additional 3,000 miles under track access arrangements. This press release contains forward-looking statements regarding future events and the future performance of Genesee & Wyoming Inc. that involve risks and uncertainties that could cause actual results to differ materially including, but not limited to, economic conditions, customer demand, increased competition in relevant markets, and others. The Company refers you to the documents that Genesee & Wyoming Inc. files from time to time with the Securities and Exchange Commission, such as the Company's Forms 10-Q and 10-K which contain additional important factors that could cause its actual results to differ from its current expectations and from the forward-looking statements contained in this press release. GENESEE & WYOMING INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (In thousands, except per share amounts) (Unaudited) Three Months Ended Nine Months Ended September 30, September 30, 2003 2002 2003 2002 REVENUES $61,499 $53,001 $183,298 $153,372 OPERATING EXPENSES 52,294 45,678 155,244 131,146 INCOME FROM OPERATIONS 9,205 7,323 28,054 22,226 INTEREST EXPENSE (2,175) (1,861) (6,685) (5,152) OTHER INCOME, NET 54 336 767 505 INCOME BEFORE INCOME TAXES AND EQUITY EARNINGS 7,084 5,798 22,136 17,579 PROVISION FOR INCOME TAXES 2,384 1,986 8,260 5,995 INCOME BEFORE EQUITY EARNINGS 4,700 3,812 13,876 11,584 EQUITY IN NET INCOME OF INTERNATIONAL AFFILIATES: AUSTRALIAN RAILROAD GROUP 2,715 2,690 6,859 7,241 SOUTH AMERICA 203 523 112 1,023 NET INCOME 7,618 7,025 20,847 19,848 IMPACT OF PREFERRED STOCK OUTSTANDING 384 293 969 879 NET INCOME AVAILABLE TO COMMON SHAREHOLDERS $7,234 $6,732 $19,878 $18,969 BASIC EARNINGS PER SHARE: NET INCOME AVAILABLE TO COMMON SHAREHOLDERS $0.48 $0.46 $1.32 $1.29 WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING 15,163 14,729 15,093 14,655 DILUTED EARNINGS PER SHARE: NET INCOME $0.43 $0.40 $1.17 $1.13 WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING 17,890 17,584 17,808 17,554 GENESEE & WYOMING INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (In thousands) (Unaudited) September 30, December 31, ASSETS 2003 2002 CURRENT ASSETS: Cash and cash equivalents $6,942 $11,028 Accounts receivable, net 53,604 54,527 Materials and supplies 5,402 5,468 Prepaid expenses and other 7,560 7,447 Deferred income tax assets, net 2,630 2,484 Total current assets 76,138 80,954 PROPERTY AND EQUIPMENT, net 272,265 264,728 INVESTMENT IN UNCONSOLIDATED AFFILIATES 104,648 81,287 GOODWILL 24,445 24,174 INTANGIBLE ASSETS, net 53,130 53,504 OTHER ASSETS, net 9,166 10,212 Total assets $539,792 $514,859 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Current portion of long-term debt $6,560 $6,116 Accounts payable 51,040 49,482 Accrued expenses 15,201 11,555 Total current liabilities 72,801 67,153 LONG-TERM DEBT, less current portion 93,359 119,301 DEFERRED INCOME TAX LIABILITIES, net 36,263 31,686 DEFERRED ITEMS - grants from governmental agencies 42,712 42,509 DEFERRED GAIN - sale/leaseback 4,099 4,448 OTHER LONG-TERM LIABILITIES 15,174 13,039 MINORITY INTEREST 3,331 3,122 REDEEMABLE CONVERTIBLE PREFERRED STOCK 23,944 23,980 TOTAL STOCKHOLDERS' EQUITY 248,109 209,621 Total liabilities and stockholders' equity $539,792 $514,859 GENESEE & WYOMING INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited) Nine Months Ended September 30, 2003 2002 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $20,847 $19,848 Adjustments to reconcile net income to net cash provided by operating activities- Depreciation and amortization 11,437 9,913 Deferred income taxes 4,750 3,386 Loss (gain) on disposition of property 141 (380) Equity earnings of unconsolidated international affiliates (6,971) (8,264) Minority interest expense 209 272 Tax benefit realized upon exercise of stock options 846 742 Changes in assets and liabilities, net of effect of acquisitions - Accounts receivable 1,457 (3,269) Materials and supplies 77 (354) Prepaid expenses and other (343) (1,094) Accounts payable and accrued expenses 4,437 (3,181) Other assets and liabilities, net 1,271 1,964 Net cash provided by operating activities 38,158 19,583 CASH FLOWS FROM INVESTING ACTIVITIES: Purchase of property and equipment, net of proceeds from government grants (12,846) (13,379) Locomotive upgrade project (1,425) - Purchase of Utah Railway Company - (55,668) Purchase of Emons Transportation Group, Inc., net of cash received - (29,449) Cash received from unconsolidated international affiliates 132 263 Proceeds from disposition of property and equipment 644 673 Net cash used in investing activities (13,495) (97,560) CASH FLOWS FROM FINANCING ACTIVITIES: Principal payments on long-term borrowings, including capital leases (121,932) (70,958) Proceeds from issuance of long-term debt 92,000 133,800 Proceeds from employee stock purchases 1,996 1,823 Purchase of treasury stock (316) (36) Dividend on Redeemable Convertible Preferred Stock (750) (750) Net cash (used in) provided by financing activities (29,002) 63,879 EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS 253 (1,322) DECREASE IN CASH AND CASH EQUIVALENTS (4,086) (15,420) CASH AND CASH EQUIVALENTS, beginning of period 11,028 28,732 CASH AND CASH EQUIVALENTS, end of period $6,942 $13,312 GENESEE & WYOMING INC. AND SUBSIDIARIES Selected Consolidated Financial Information Three Months Ended September 30, 2003 and 2002 (dollars in thousands) (Unaudited) Three Months Ended September 30, 2003 2002 % of % of Amount Revenue Amount Revenue Revenues: Freight $45,039 73.2% $39,438 74.4% Non-freight 16,460 26.8% 13,563 25.6% Total revenues $61,499 100.0% $53,001 100.0% Operating Expense Comparison: Natural Classification Labor and benefits $21,068 34.3% $19,336 36.5% Equipment rents 4,362 7.1% 4,230 8.0% Purchased services 4,779 7.8% 3,567 6.7% Depreciation and amortization 3,869 6.3% 3,346 6.3% Diesel fuel 4,105 6.7% 3,097 5.8% Casualties and insurance 3,377 5.5% 3,596 6.8% Materials 4,157 6.8% 3,199 6.1% Net loss (gain) on sale and impairment of assets (35) -0.1% 43 0.1% Other expenses 6,612 10.6% 5,264 9.9% Total operating expenses $52,294 85.0% $45,678 86.2% Functional Classification Transportation $20,252 32.9% $16,352 30.9% Maintenance of ways and structures 6,449 10.5% 6,079 11.5% Maintenance of equipment 9,028 14.7% 8,769 16.5% General and administrative 12,731 20.7% 11,089 20.9% Net loss (gain) on sale and impairment of assets (35) -0.1% 43 0.1% Depreciation and amortization 3,869 6.3% 3,346 6.3% Total operating expenses $52,294 85.0% $45,678 86.2% GENESEE & WYOMING INC. AND SUBSIDIARIES Selected Consolidated Financial Information Nine Months Ended September 30, 2003 and 2002 (dollars in thousands) (Unaudited) Nine Months Ended September 30, 2003 2002 % of % of Amount Revenue Amount Revenue Revenues: Freight $136,718 74.6% $115,926 75.6% Non-freight 46,580 25.4% 37,446 24.4% Total revenues $183,298 100.0% $153,372 100.0% Operating Expense Comparison: Natural Classification Labor and benefits $64,868 35.4% $57,074 37.2% Equipment rents 13,162 7.2% 12,939 8.4% Purchased services 13,735 7.5% 10,936 7.1% Depreciation and amortization 11,437 6.2% 9,913 6.5% Diesel fuel 13,726 7.5% 9,057 5.9% Casualties and insurance 9,675 5.3% 8,053 5.3% Materials 11,822 6.4% 9,278 6.0% Net loss (gain) on sale and impairment of assets 141 0.1% (380) -0.2% Other expenses 16,678 9.1% 14,276 9.3% Total operating expenses $155,244 84.7% $131,146 85.5% Functional Classification Transportation $62,005 33.8% $47,112 30.7% Maintenance of ways and structures 19,550 10.7% 17,298 11.3% Maintenance of equipment 27,181 14.8% 26,022 17.0% General and administrative 34,930 19.1% 31,181 20.2% Net loss (gain) on sale and impairment of assets 141 0.1% (380) -0.2% Depreciation and amortization 11,437 6.2% 9,913 6.5% Total operating expenses $155,244 84.7% $131,146 85.5% GENESEE & WYOMING INC. AND SUBSIDIARIES North American Railroad Freight Revenue, Carloads and Average Revenue Per Carload Comparison by Commodity Group Three Months Ended September 30, 2003 and 2002 (dollars in thousands, except average revenue per carload) Three Months Ended Three Months Ended September 30, 2003 September 30, 2002 Average Average Revenue Revenue Freight Per Freight Per Commodity Group Revenues Carloads Carload Revenues Carloads Carload Coal, Coke & Ores $9,271 43,307 $214 $7,674 35,589 $216 Paper 8,019 19,361 414 6,805 16,860 404 Petroleum Products 6,079 7,636 796 5,021 7,452 674 Minerals & Stone 5,791 15,296 379 5,619 14,550 386 Lumber & Forest Products 4,333 13,652 317 3,142 9,061 347 Metals 3,999 13,241 302 4,223 15,263 277 Chemicals-Plastics 2,775 5,998 463 2,284 4,595 497 Farm & Food Products 2,708 6,826 397 1,902 4,990 381 Autos & Auto Parts 1,116 2,773 402 1,488 3,691 403 Intermodal 411 1,347 305 402 1,710 235 Other 537 2,397 224 878 3,443 255 Totals $45,039 131,834 342 $39,438 117,204 336 GENESEE & WYOMING INC. AND SUBSIDIARIES North American Railroad Freight Revenue, Carloads and Average Revenue Per Carload Comparison by Commodity Group Nine Months Ended September 30, 2003 and 2002 (dollars in thousands, except average revenue per carload) Nine Months Ended Nine Months Ended September 30, 2003 September 30, 2002 Average Average Revenue Revenue Freight Per Freight Per Commodity Group Revenues Carloads Carload Revenues Carloads Carload Coal, Coke & Ores $28,919 125,418 $231 $19,383 92,048 $211 Paper 23,288 56,340 413 18,921 47,577 398 Petroleum Products 18,750 24,033 780 15,668 22,307 702 Minerals & Stone 16,888 43,961 384 16,744 38,812 431 Lumber & Forest Products 12,776 40,508 315 9,390 26,541 354 Metals 12,584 43,629 288 12,007 43,162 278 Chemicals-Plastics 8,209 17,631 466 7,058 14,374 491 Farm & Food Products 8,199 21,688 378 7,127 19,066 374 Autos & Auto Parts 4,351 10,764 404 5,400 13,112 412 Intermodal 1,199 4,335 277 963 4,087 236 Other 1,555 7,465 208 3,265 12,116 269 Totals $136,718 395,772 345 $115,926 333,202 348 AUSTRALIAN RAILROAD GROUP PTY. LTD. CONSOLIDATED STATEMENTS OF INCOME (U.S. Dollars in Thousands) (Unaudited - U.S. GAAP) Three Months Ended Nine Months Ended September 30, September 30, 2003 2002 2003 2002 REVENUES $61,716 $54,454 $174,988 $159,416 OPERATING EXPENSES 50,546 41,272 138,153 119,653 RESTRUCTURING COSTS - - 267 - BID COSTS - - - 827 TOTAL OPERATING EXPENSES 50,546 41,272 138,420 120,480 INCOME FROM OPERATIONS 11,170 13,182 36,568 38,936 INTEREST EXPENSE (8,060) (6,243) (22,757) (18,652) OTHER INCOME, NET 876 251 2,414 565 INCOME BEFORE TAX 3,986 7,190 16,225 20,849 PROVISION FOR INCOME TAX (1,446) 1,810 2,505 6,368 NET INCOME $5,432 $5,380 $13,720 $14,481 Australian Railroad Group Pty. Ltd. is a 50%-owned joint venture of Genesee & Wyoming Inc. AUSTRALIAN RAILROAD GROUP PTY. LTD. CONSOLIDATED BALANCE SHEETS As of September 30, 2003 and December 31, 2002 (U.S. Dollars in Thousands) (Unaudited - U.S. GAAP) September 30, 2003 December 31, 2002 ASSETS CURRENT ASSETS: Cash and cash equivalents $22,140 $5,882 Accounts receivable, net 38,760 30,315 Materials and supplies 8,545 7,985 Prepaid expenses and other 4,592 2,061 Total current assets 74,037 46,243 PROPERTY AND EQUIPMENT, net 488,034 402,286 DEFERRED INCOME TAX ASSETS, net 1,465 8,094 RESTRICTED CASH 69,327 53,380 OTHER ASSETS, net 3,259 4,224 Total assets $636,122 $514,227 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Current portion of long-term debt $161,809 $133,285 Accounts payable 25,842 20,574 Accrued expenses 10,579 8,789 Current income tax liabilities - 1,672 Total current liabilities 198,230 164,320 LONG-TERM DEBT 236,752 195,017 OTHER LONG-TERM LIABILITIES 1,191 1,032 FAIR VALUE OF INTEREST RATE SWAPS 14,916 16,622 SUBORDINATED NOTES 10,492 8,642 Total liabilities 461,581 385,633 TOTAL STOCKHOLDERS' EQUITY 174,541 128,594 Total liabilities and stockholders' equity $636,122 $514,227 Australian Railroad Group Pty. Ltd. is a 50%-owned joint venture of Genesee & Wyoming Inc. AUSTRALIAN RAILROAD GROUP PTY. LTD. CONSOLIDATED STATEMENTS OF CASH FLOWS Nine Months Ended September 30, 2003 AND 2002 (U.S. Dollars in Thousands) (Unaudited - U.S. GAAP) Nine Months Ended September 30, 2003 2002 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $13,720 $14,481 Adjustments to reconcile net income to net cash provided by operating activities- Depreciation and amortization 16,940 12,260 Deferred income taxes 8,362 6,368 Gain on disposition of property (816) (259) Changes in assets and liabilities (3,926) 3,764 Net cash provided by operating activities 34,280 36,614 CASH FLOWS FROM INVESTING ACTIVITIES: Purchase of property and equipment (21,014) (22,799) Proceeds from disposition of property and equipment 4,027 291 Transfer to restricted funds on deposit (4,523) (7,652) Net cash used in investing activities (21,510) (30,160) CASH FLOWS FROM FINANCING ACTIVITIES: Payments on short-term borrowings - (6,048) Proceeds from borrowings - 5,280 Net cash used in financing activities - (768) EFFECT OF EXCHANGE RATE DIFFERENCES ON CASH AND CASH EQUIVALENTS 3,488 779 INCREASE IN CASH AND CASH EQUIVALENTS 16,258 6,465 CASH AND CASH EQUIVALENTS, beginning of period 5,882 9,908 CASH AND CASH EQUIVALENTS, end of period $22,140 $16,373 Australian Railroad Group Pty. Ltd. is a 50%-owned joint venture of Genesee & Wyoming Inc. AUSTRALIAN RAILROAD GROUP PTY. LTD. Selected Consolidated Financial Information Three Months Ended September 30, 2003 and 2002 (U.S. Dollars in Thousands) (Unaudited - U.S. GAAP) Three Months Ended September 30, 2003 2002 % of % of Amount Revenue Amount Revenue Revenues: Freight $50,598 82.0% $45,073 82.8% Non-freight and Alice Springs construction 11,118 18.0% 9,381 17.2% Total railroad revenues $61,716 100.0% $54,454 100.0% Operating Expenses: Natural Classification Labor and benefits $12,416 20.1% $9,486 17.4% Equipment rents 482 0.8% 301 0.6% Purchased services 16,433 26.6% 12,555 23.1% Depreciation and amortization 6,065 9.8% 4,287 7.9% Diesel fuel 5,391 8.7% 4,412 8.1% Casualties and insurance 1,563 2.5% 2,835 5.2% Materials 2,970 4.8% 1,965 3.6% Net gain on sale and impairment of assets (183) -0.3% (108) -0.2% Other expenses 5,409 8.9% 5,539 10.1% Total operating expenses $50,546 81.9% $41,272 75.8% Functional Classification Transportation $18,673 30.3% $15,511 28.5% Maintenance of ways and structures 10,511 17.0% 7,374 13.5% Maintenance of equipment 6,769 11.0% 5,791 10.6% General and administrative 8,711 14.1% 8,417 15.5% Net gain on sale and impairment of assets (183) -0.3% (108) -0.2% Depreciation and amortization 6,065 9.8% 4,287 7.9% Total operating expenses $50,546 81.9% $41,272 75.8% Australian Railroad Group Pty. Ltd. is a 50%-owned joint venture of Genesee & Wyoming Inc. AUSTRALIAN RAILROAD GROUP PTY. LTD. Selected Consolidated Financial Information Nine Months Ended September 30, 2003 and 2002 (U.S. Dollars in Thousands) (Unaudited - U.S. GAAP) Nine Months Ended September 30, 2003 2002 % of % of Amount Revenue Amount Revenue Revenues: Freight $143,175 81.8% $133,498 83.7% Non-freight and Alice Springs construction 31,813 18.2% 25,918 16.3% Total railroad revenues $174,988 100.0% $159,416 100.0% Operating Expenses: Natural Classification Labor and benefits $33,033 18.9% $28,704 18.0% Equipment rents 1,204 0.7% 807 0.5% Purchased services 43,283 24.7% 35,805 22.5% Depreciation and amortization 16,940 9.7% 12,260 7.7% Diesel fuel 15,365 8.8% 12,312 7.7% Casualties and insurance 6,444 3.7% 8,993 5.6% Materials 8,404 4.8% 5,089 3.2% Net gain on sale and impairment of assets (816) -0.5% (259) -0.2% Other expenses 14,563 8.3% 16,769 10.6% Total operating expenses $138,420 79.1% $120,480 75.6% Functional Classification Transportation $52,796 30.2% $47,537 29.8% Maintenance of ways and structures 25,885 14.8% 18,656 11.7% Maintenance of equipment 19,130 10.9% 16,025 10.1% General and administrative 24,485 14.0% 26,261 16.5% Net gain on sale and impairment of assets (816) -0.5% (259) -0.2% Depreciation and amortization 16,940 9.7% 12,260 7.7% Total operating expenses $138,420 79.1% $120,480 75.6% Australian Railroad Group Pty. Ltd. is a 50%-owned joint venture of Genesee & Wyoming Inc. AUSTRALIAN RAILROAD GROUP PTY. LTD. Australian Railroad Freight Revenue, Carloads and Average Revenue Per Carload Comparison by Commodity Group Three Months Ended September 30, 2003 and 2002 (U.S. Dollars in Thousands) (Unaudited) Three Months Ended Three Months Ended September 30, 2003 September 30, 2002 Average Average Revenue Revenue Freight Per Freight Per Commodity Group Revenues Carloads Carload Revenues Carloads Carload Grain $13,298 35,552 $374 $14,087 46,062 $306 Other Ores and Minerals 12,571 28,282 444 9,430 25,024 377 Iron Ore 9,960 47,646 209 7,349 46,367 158 Alumina 3,736 38,577 97 3,530 38,794 91 Bauxite 2,398 32,426 74 2,571 32,330 80 Hook and Pull (Haulage) 1,404 3,253 432 1,437 2,439 589 Gypsum 817 13,176 62 599 11,879 50 Other 6,414 15,694 409 6,070 16,940 358 Total $50,598 214,606 236 $45,073 219,835 205 Australian Railroad Group Pty. Ltd. is a 50%-owned joint venture of Genesee & Wyoming Inc. AUSTRALIAN RAILROAD GROUP PTY. LTD. Australian Railroad Freight Revenue, Carloads and Average Revenue Per Carload Comparison by Commodity Group Nine Months Ended September 30, 2003 and 2002 (U.S. Dollars in Thousands) (Unaudited) Nine Months Ended Nine Months Ended September 30, 2003 September 30, 2002 Average Average Revenue Revenue Freight Per Freight Per Commodity Group Revenues Carloads Carload Revenues Carloads Carload Grain $40,709 104,369 $390 $42,030 139,598 $301 Other Ores and Minerals 33,969 78,577 432 28,055 74,327 377 Iron Ore 25,640 132,250 194 21,098 134,526 157 Alumina 11,680 114,659 102 10,299 114,182 90 Bauxite 8,068 96,430 84 7,529 95,389 79 Hook and Pull (Haulage) 3,086 6,146 502 5,885 19,101 308 Gypsum 2,127 34,482 62 1,822 32,334 56 Other 17,896 47,029 381 16,780 48,227 348 Total $143,175 613,942 233 $133,498 657,684 203 Australian Railroad Group Pty. Ltd. is a 50%-owned joint venture of Genesee & Wyoming Inc. SOURCE Genesee & Wyoming Inc. -0- 10/30/2003 /CONTACT: John C. Hellmann, Chief Financial Officer, Genesee & Wyoming Inc., +1-203-629-3722/ /Web site: http://www.gwrr.com / (GWR) CO: Genesee & Wyoming Inc. ST: Connecticut, Australia IN: TRN SU: ERN CCA