Slide 1: Forward-Looking Statements
1 Forward-Looking Statements This information and other statements by the company may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act with respect to, among other items: projections and estimates of earnings, revenues, margins, volumes, rates, co
Slide 2: Executive Summary
Executive Summary Michael Ward Chairman, President and Chief Executive Officer Third quarter performance . . . Volume 1,600 Revenue $2,894M Operating Income $854M Operating Ratio 70.5% EPS $0.44 Earnings Per Share Revenue declines 2% — Driven by lower volume and fuel recovery, and unfavorable mix
Slide 3: Sales and Marketing Review
Sales and Marketing Review Clarence Gooden Executive Vice President Sales and Marketing Indicators point to moderating second half economy Gross Domestic Product ISM Manufacturing 2.0% Purchasing Managers Index 70 1.6% 1.3% 1.4% 60 50 40 30 Q1 '12 Q2 '12 Q3 '12 Q4 '12 2007 2008 2009 2010 2011 2012 I
Slide 4: Revenue decreases 2% year-over-year
Revenue decreases 2% year-over-year Revenue $2,894M Volume 1,600K RPU $1,809 Third Quarter Revenue Dollars in Millions $2,963 ($31) ($14) ($24) $2,894 Q3 2011 Volume Rate/Mix Fuel Recovery Q3 2012 7 Core pricing solid across nearly all markets Revenue $2,894M Volume 1,600K RPU $1,809 Same Store Sale
Slide 5: Volume declines 1% on moderating economy
Volume declines 1% on moderating economy Revenue $2,894M Volume 1,600K RPU $1,809 Year-over-year Change in Volume First Quarter Second Quarter Third Quarter 40% 20% 14% 9% 8% 8% 8% 9% 5% 0% (2%) (5%) (4%) (5%) (5%) (23%) (26%) (31%) Export Intermodal Industrial Agricultural Construction Domestic Coa
Slide 6: Merchandise revenue increases 3%
Merchandise revenue increases 3% Revenue $1,609M Volume 655K RPU $2,456 Third Quarter Third Quarter Year-Over-Year Change — Industrial growth driven by strong automotive demand Revenue 3% — Agricultural impacted by lower Volume 0% grain and ethanol shipments RPU 3% — Revenue per unit increases 3%
Slide 7: Overall outlook for fourth quarter is neutral
Overall outlook for fourth quarter is neutral Outlook Markets Drivers Intermodal Truck conversions and new customer gains Favorable Chemicals Solid industrial volume and energy market growth 57% of volume Forest Products Increased demand for lumber and panel products Phosphate & Fertil
Slide 8: Operations Review
Operations Review Oscar Munoz Executive Vice President Chief Operating Officer Delivering performance excellence Safety — Driving results that continue to be at or near all-time best levels Safety Service — Customer service at record levels, driving resource efficiency Strategy People Service
Slide 9: CSX is a leader in one of nation's safest industries
CSX is a leader in one of nation’s safest industries FRA Personal Injury Rate FRA Train Accident Rate 1.15 2.68 1.05 1.07 2.40 1.99 1.94 0.70 Q3 2009 Q3 2010 Q3 2011 Q3 2012 Q3 2009 Q3 2010 Q3 2011 Q3 2012 17 On-time performance at record third quarter levels On-time Originations On-time Arrivals Qu
Slide 10: Improving dwell and velocity helps asset utilization
Improving dwell and velocity helps asset utilization Terminal Dwell (hours) Velocity (mph) Quarterly 6-month MA 12-month MA 22.6 25.5 24.8 21.8 24.0 21.1 23.2 20.6 Q3 2009 Q3 2010 Q3 2011 Q3 2012 Q3 2009 Q3 2010 Q3 2011 Q3 2012 19 Service at high levels across all three networks Coal Intermodal Merc
Slide 11: Service and operating efficiency drive productivity
Service and operating efficiency drive productivity Productivity Savings Productivity savings on track to in Millions exceed $180 million — High service levels improving $264 asset utilization — Reduced overtime across all operating departments $180+ — Fuel efficiency increasing $142 $151 Contin
Slide 12: Operations wrap-up / Financial Review
Operations wrap-up . . . CSX is a leader in one of the nation’s safest industries — FRA personal injury and train accident rates remain at all-time best levels Company is driving strong service for customers — Performance measures remain at consistently high levels Expect to exceed $180 millio
Slide 13: Third quarter earnings summary
Third quarter earnings summary . . . Third Quarter Results Dollars in millions, except EPS 2012 2011 Variance Revenue $ 2,894 $ 2,963 (2%) Expense 2,040 2,085 2% Operating Income $ 854 $ 878 (3%) Interest Expense (138) (138) Other Income (net) 5 6 Income Taxes (266) (282) Net Earnings $ 455 $ 464 (2
Slide 14: Expenses down 2% overall
Expenses down 2% overall Third Quarter 2012 Operating Expenses and Year-Over-Year Percentage Change Labor and Fringe $ 754 (1%) Material, Supplies, and Other 525 (7%) Fuel 397 (4%) Depreciation 268 7% Equipment Rent 96 1% Total Expenses $ 2,040 (2%) 27 Labor and Fringe expense decreases 1% Employee
Slide 15: MS&O expense decreases 7%
MS&O expense decreases 7% MS&O Expense Third Quarter Dollars in Millions MS&O Analysis in Millions $580 $562 $550 2011 MS&O Expense $ 562 $542 $525 Variance SunRail gain 30 Casualty, loss and damage 18 Volume (8) Inflation and Other (3) Subtotal 37 Q3 Q4 Q1 Q2 Q3 2012 MS&O Expense $ 525 2011 2011 20
Slide 16: CSX's credit profile supports balanced approach
CSX’s credit profile supports balanced approach The company’s credit profile continues to improve — All key credit measures improve during the quarter CSX is on target to invest $2.25 billion in 2012 — Forward investment to average 16-17% of revenue plus PTC Dividend payout targeted at 30-35%
Slide 17: Concluding Remarks
Concluding Remarks Michael Ward Chairman, President and Chief Executive Officer Relentless pursuit of excellence . . . 34
Slide 18: 2012 Third Quarter Earnings Conference Call
2012 THIRD QUARTER EARNINGS CONFERENCE CALL