Genesee & Wyoming Inc. Reports Traffic for May 2011

Jun. 13, 2011 (Business Wire) -- Genesee & Wyoming Inc. (GWI) (NYSE: GWR) today reported traffic volumes for May 2011.

GWI's traffic in May 2011 was 82,319 carloads, an increase of 9,262 carloads, or 12.7 percent, compared with May 2010. GWI's traffic in the second quarter of 2011 through May was 164,509 carloads, an increase of 18,244 carloads, or 12.5 percent, compared to the second quarter of 2010 through May.

The table below sets forth consolidated carloading information for May 2011 and May 2010. Additional carload information for our North American and Australian operations is included as an exhibit to this press release.

Excluding 7,373 carloads from the FreightLink Acquisition(1), which closed December 1, 2010, same-railroad traffic in May 2011 increased 1,889 carloads, or 2.6 percent, compared with May 2010. The increase was principally due to a 1,244 carload increased in farm & food products, primarily in GWI's Illinois Region due to increased shipments of corn products, and a 1,215 carload increase in minerals & stone traffic, primarily in GWI's New York/Ohio/Pennsylvania Region due to increased shipments of stone and salt. These increases were partially offset by a 1,537 carload decrease in metals traffic primarily in GWI's New York/Ohio/Pennsylvania Region. All remaining traffic increased by a net 967 carloads.

The table below sets forth consolidated carloading information for the second quarter of 2011 through May and the second quarter of 2010 through May. Additional carload information for our North American and Australian operations is included as an exhibit to this press release.

Excluding 13,298 carloads from the FreightLink Acquisition(1), same-railroad traffic in the second quarter of 2011 through May increased 4,946 carloads, or 3.4 percent, compared with the second quarter of 2010 through May. The traffic increase was principally due to increases of 1,723 carloads of farm & food products, 1,591 carloads of minerals & stone traffic and 1,536 carloads of pulp & paper traffic. These increases were partially offset by a 1,792 carload decrease in metals traffic. All remaining traffic increased by a net 1,888 carloads.

Carload Reporting for Huron Central Railway

The carloads in this press release include traffic from the Huron Central Railway (HCRY) as follows: 1,166 carloads in May 2011, 1,173 carloads in May 2010, 2,325 carloads in the second quarter of 2011 through May and 2,233 carloads in the second quarter of 2010 through May. On June 15, 2009, GWI announced its intent to discontinue operations of HCRY. After negotiations with certain customers and government entities, HCRY entered into an interim agreement to continue operations. Because of the nature of the temporary agreement, during this interim period, which lasted from August 15, 2009 through December 31, 2010, GWI did not include HCRY's carloads in its monthly carloading press release. On January 1, 2011, HCRY started operating under a new agreement with certain customers and GWI resumed including HCRY traffic in its monthly carloading press release. To facilitate comparison to the prior year in this press release, GWI has included HCRY carloads from May 2010 and the second quarter of 2010 through May which were not previously included in the press release for the same period in 2010.

Carload Reporting After FreightLink Acquisition

Since acquiring FreightLink, GWI is reporting two new commodity groups, Intermodal and Metallic Ores. Intermodal units included in freight revenues are reported consistent with the Association of American Railroads (AAR) convention. Previously, Intermodal traffic was reported on a carload basis and included in the Other commodity group. The change in reporting intermodal traffic on a unit basis rather than on a carload basis increases previously reported May 2010 volume by an additional 225 carloads and the second quarter of 2010 through May by an additional 350 carloads. Metallic Ores traffic had previously been included in three commodity groups: Coal, Coke & Ores, Minerals & Stone and Metals commodity groups.

Historically, GWI has found that carload information may be indicative of freight revenues on its railroads, but may not be indicative of total revenues, operating expenses, operating income or net income. Car movements related to railcar switching, including activities at port terminals, are excluded from our carload information as the resulting revenues are classified as non-freight.

GWI owns and operates short line and regional freight railroads in the United States, Canada, Australia, the Netherlands and Belgium. We provide rail service at 17 ports in North America and Europe and perform contract coal loading and railcar switching for industrial customers. In addition, we operate the Tarcoola to Darwin rail line which links the Port of Darwin with the Australian interstate rail network in South Australia. Operations currently include 63 railroads organized in nine regions, with approximately 7,400 miles of owned and leased track and approximately 1,400 additional miles under track access arrangements.

Exhibit

The table below sets forth North American carloading information for May 2011 and May 2010:

The table below sets forth North American carloading information for the second quarter of 2011 through May and the second quarter of 2010 through May:

The table below sets forth Australian carloading information for May 2011 and May 2010:

The table below sets forth Australian carloading information for the second quarter of 2011 through May and the second quarter of 2010 through May:

Genesee & Wyoming Inc.
Matthew O. Walsh, 1-203-629-3722
Senior Vice President – Corporate Development and Treasurer
Web Site: http://www.gwrr.com