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To: BNSF Industrial Products, Consumer Products and Perishable Boxcar Customers
08/08/2006

New Bundled Pricing Tool for Industrial Products Commodities Effective October 1, 2006

Effective October 1, 2006, BNSF customers will be able to create bundled prices--shipments that involve transload, drayage and storage services--through BNSF's Web site at www.bnsf.com.


      Some of the functions of the new pricing tool are noted below:
    Customers will be able to create unique prices for individual bundled scenarios (one price authority per scenario).

    Customers will be able to access prices for local BNSF moves only. Interline capabilities will be a future enhancement.

    Customers will be able to renew bundled price scenarios up to 30 days prior to expirations.

    Customers will be required to provide the unique price authority for each bundled shipment along with their electronic shipping instructions.

    Payments for transloads will be automatic and will match the price parameters provided on the waybill by customers. For example, if the price includes drayage services for four trucks from eleven to thirty miles, the specific transload operator will be paid for only those services.

    In the event that the basic shipment parameters do not match the bundled price, customers will be allowed to make updates to the shipping instructions for a specified amount of time to correct the instructions. Otherwise, BNSF will simply bill the customer for the rail portion of the move only and payment to the transloader will be the customer's responsibility.

Rollout of the New Tool
The tool will be available for all commodities that traditionally have had bundled shipments by October 1, 2006. Customers will be able to shift their existing bundled pricing authorities or create new bundled price authorities if this type of price authority doesn’t already exist on October 1, 2006. Existing bundled price authorities for the following commodities will be required to shift to the new tool as their expiration dates or price calendar dates occur:
    Paper Products
    Roofing Materials
    Lumber and Panel Products
    Bricks
    Steel Products
    Non Ferrous Metals
    Consumer Products
If you have questions regarding this new tool, please contact your BNSF Sales Representative or send an email to VICC@bnsf.com. Your business is important to us. Thank you for choosing BNSF as your transportation provider.

If you have any questions, please send an email to Customer.Notifications@bnsf.com