BNSF and YSVR Enhance Operational Coordination to Serve Growing Rail Demand for Montana Customers

FORT WORTH, Texas --(BUSINESS WIRE)-- BNSF Railway (BNSF) and Yellowstone Valley Railroad (YSVR) today announced that they will amend their lease agreement on the rail route between Snowden and Glendive, Mont.

“The tremendous growth of oil production in the Williston Basin and the Bakken Shale formation over the last several years has resulted in significant increases in traffic volumes in and out of this area”

Beginning this fall, BNSF will provide service for unit trains and YSVR will provide service for all other traffic along the line between Snowden and Crane. BNSF will serve all customers between Crane and Glendive and handle bridge traffic between Snowden and Glendive. BNSF will also assume the dispatching and maintenance of the entire Snowden to Glendive line.

“The tremendous growth of oil production in the Williston Basin and the Bakken Shale formation over the last several years has resulted in significant increases in traffic volumes in and out of this area,” said Dean Wise, BNSF vice president, network strategy. “This amended agreement will allow BNSF and YSVR to respond to the changing demands of our customers, improve direct service and unit train handling efficiencies, and continue to invest to serve this rapidly growing part of the Montana and North Dakota economies.”

“This unique agreement will help to improve service for all customers in the area,” said Bill Goldsberry, YSVR General Manager. “We will be able to more effectively coordinate operations, enabling both railroads to focus on their strengths and continue to meet customer demand.”

About YSVR

The Yellowstone Valley Railroad is a 134-mile short line operated by Watco Transportation Services, L.L.C. (WTS) which is owned by Watco Companies, L.L.C. (Watco). Watco is a Pittsburg, Kan., based transportation company serving transportation, mechanical, and transload/intermodal needs of Customers throughout the nation. WTS is one of the largest short line railroad companies in the U.S. operating 23 short line railroads on more than 3,550 miles of track, as well as 23 industrial contract switching locations. Watco’s Mechanical Services division operates 14 railcar repair shops, 4 locomotive shops and 19 mobile mechanical shops. The Transload/Intermodal Services division currently manages 12 transload facilities, 7 warehouses and 1 intermodal location. Watco also owns Greens Port Industrial Park in the Houston Ship Channel. More information about Watco and its subsidiaries can be found at www.watcocompanies.com.

About BNSF

BNSF Railway is one of North America’s leading freight transportation companies operating on 32,000 route miles of track in 28 states and two Canadian provinces. BNSF is one of the top transporters of consumer goods, grain, industrial goods and low-sulfur coal that help feed, clothe, supply, and power American homes and businesses every day. BNSF and its employees have developed one of the most technologically advanced, and efficient railroads in the industry. And we are working continuously to improve the value of the safety, service, energy, and environmental benefits we provide to our customers and the communities we serve. You can learn more about BNSF at www.BNSF.com.