AANACOSTIAPower To Move

News for customers, employees and friends of the Chicago South Shore & South Bend Railroad

Winter 2016

Connecting Industry - Delivering Value

ALL PHOTOS FEATURED: CSS locomotives during various seasons of the year.

On August 1, 1916, the first freight train departed from South Bend, Indiana on the previously passen-ger-only South Shore Line, commencing 100 years of freight service. In 2016, the Chicago South Shore & South Bend Railroad (CSS) celebrated their freight centennial.

Within 100 years, CSS has served Northwest Indiana’s Industrial Corridor and businesses in Chicago, in-cluding the Illinois International Port with freight rail service, connecting customers with all Class I railroads operating in Chicago. During the 1900s, the short line provided high-density freight and passenger services. The strength and vitality of its freight franchise sustained the railroad, into the 21st Century. Known for its technological advancements, CSS received the prestigious Charles A. Coffin gold medal in 1929, for the inter-urban rail industry.

In 1990, Anacostia & Pacific acquired the railroad and separated the freight and passenger businesses, the latter becoming the public agency, NICTD. Since then, CSS has paid $81.7 million to NICTD in fees and capital contributions.

The rich history of CSS is witnessed daily, as CSS transports freight over its original route today using mod-ern diesel locomotives. CSS is a leader in freight transportation of coal and steel, powering the thriving busi-nesses and communities it reaches.

Chicago South Shore & South Bend Railroad celebrates 100 years

Chicago South Shore & South Bend Power to MoveAANACOSTIA An Anacostia Company

Employee SpotlightsSafety first on the CSS railroad

Hello CSS Valued Customers and Business Partners, August 2016 marked the CSS 100 year anniversary providing freight service to our customers. Our centennial year has brought forth many opportunities of growth and accomplishments for the company. The employees of the CSS are extremely proud of our heritage and ability to provide safe and reliable service to each of our current thirty customers. CSS has continually made safety a top priority. In July 2016, CSS was proud to re-port the company was 2 years injury-free. Currently, the company continues to uphold zero reported injuries. This accomplishment proves CSS places safety in the forefront of our business model, resulting in keeping our employees and the public safe while trains are in operation. With continued support from our parent company, Anacostia Rail Holdings, CSS continues to invest capital funds to keep our infrastructure safe and provide new capacity to grow as quickly as the CSS customer base. I look forward to CSS’s future endeavors and focus on customer service, safety to the surrounding community and existing CSS customers.

-Todd Bjornstad

From the desk of Todd Bjornstad

President of CSS, Mr. Todd Bjornstad

Brian Zebell, conductor for CSS, with prize for one of the CSS safety initiatives in early 2016.

CSS has focused on maximizing safety for employees, customers and the community of the CSS railroad. As of January 2017, CSS has been without a reportable injury or a reportable derailment for 890 days. The last injury reported was July 11, 2014. Many CSS departments contribute to the injury-free reputation the railroad currently holds. The following departments proudly report their days without injury: Transportation, 890 days; Mechanical, 1,375 days; Engineering, 2,154 days; and Administration, 1,599 days. Providing safe service for all CSS customers is a top priority for the railroad. Mr. Dave Cain, trainmaster at CSS for 17 years, has made safety a top priority for all 28 transportation employees. “It’s a team and individual effort to continue an impeccable safety record,” stated Mr. Cain. “Every CSS employee contributes to the safety effort.” Vice President of Operations at CSS, Mr. Mike Shore, is pleased with the railroad’s commitment to being an injury-free railroad. “The key to our recent and continued success is a tribute to the quality work the CSS employees do each day to ensure we serve customers safely,” said Mr. Shore.

New customer opens for business Hickman, Williams & Company

Tyler Bohle, carman

Spencer West, student engineer

An Anacostia CompanyAANACOSTIAChicago South Shore & South Bend Power to Move

Employee Spotlights MilestonesThe following employees will be

reaching a major milestone in the second half of 2016. Thank you for your years of service and dedication to the CSS.

Matthew Lastovich Ryan Schofield

1 year anniversary

Anthony Wojasinski10 year anniversary

Safety first on the CSS railroad

Tyler Bohle, carman

Spencer West, student engineer

Mr. Spencer came to the CSS team from the Cana-dian National Railroad, where he worked as a qualified conductor. Prior to starting his railroad career, Spencer worked in the Maintenance Department for the Town of Chesterton. Spencer is from Chesterton, Indiana. Outside of his work at CSS, he enjoys spending time with his wife, Megan and their 2 sons, Shane (4 years old) and Luke (1 year old).

Mr. Tyler Bohle joined the CSS team in 2016 as a carman. Prior to CSS, Mr. Bohle attended the Hobart Institute of Welding Technology and graduated with honors. In his free time, he enjoys outdoor activities such as fishing and hunting. Mr. Bohle is from LaPorte, Indiana.

In August 2016, Hickman, Williams & Company (HW&C) opened a new facility in LaPorte, Indiana. Within weeks of their opening, HW&C received their first inbound rail shipment of petroleum coke.

HW&C Chief Executive Officer (CEO), Mr. David Gelwicks, is anticipating a successful future of the new facility opening on the CSS. “We are looking forward to doing business with the CSS,” said Mr. Gelwicks. “The railroad has been very responsive and supportive helping get the rail project complet-ed so we can start receiving rail cars.”

President of CSS Mr. Todd Bjornstad shares the same sentiments of Mr. Gelwicks. “The ability to add new customers on the CSS railroad is a reflection of our on-going commitment to the quality service we provide our customers,” stated Mr. Bjornstad.

ABOVE: New HW&C facility site in LaPorte, Indiana.

New customer opens for business Hickman, Williams & Company

Tyler Bohle, carman

Spencer West, student engineer

In September 2016, a team of 19 individuals that included Mike Steinhiser, CSS engineer and his fi-ancé Carrie and Chris Imperato, CSS conductor with his girlfriend Laura, participated in a charity walk to raise money to fight Alzheimer’s dis-ease. Their team, the “Beach Bums”, raised almost $7,000 for the cause. CSS is proud their employees par-ticipate in charitable events.“CSS donated to this worthwhile charity as the fight against Alzheimer’s continues. Our company is proud to support various charity events to show our support of our employees and the communities we do busi-ness with,” said President of CSS, Todd Bjornstad.

Walk to end Alzheimer’s fund raiser

ABOVE: The “Beach Bums” team who walked for the Alzheimer’s fund raiser.

ABOVE: HW&C company sign.

Garrett CaldwellSteve Staley

5 year anniversary

Arnold Nielderer

30 year anniversary

Michael Kehoe40 year anniversary

Chicago South Shore & South Bend Railway Company505 North Carroll Avenue•Michigan City, IN 46360-5082

Telephone: 219-874-9000•Fax: 219-879-3754 www.anacostia.com/railroads/css

U.S. POSTAGERequired

AANACOSTIA

CSS capital investment ensures reliable service

Throughout 2016, CSS continues the on-going, long-term capital investment strategy to invest in the infrastruc-ture of the short line railroad. This year, CSS has installed over 2,000 rail ties in order to update the mainline and various yards. Other major rail renovations include three road crossings, including the Lincoln Avenue Yard located in Michigan City, Indiana and the Bendix Fence track located in South Bend, Indiana. Many projects have added new capacity rails that hav-en’t been used for many years. Investing in its locomotive fleet, CSS is rebuilding 10 of its 12 locomotives in 2016-2017 to increase reliability to move customer traffic. “Investing millions of dollars over the course of several years to keep our infrastructure safe and reliable shows our customers we are serious about providing quality service for the future,” said Mr. Don Trent, CSS roadmaster. “Our customers want to know we will invest to meet their growing demands.”

ABOVE: Lincoln Avenue Yard in Michigan City, Indiana.

New hiresThe following employees have

joined the CSS team. Please give a warm welcome to the following new employees.

New hiresTyler Bohle, carman

Spencer West, student engineer

ABOVE: Improvements being completed on the Bendix Track in South Bend, Indiana.