Genesee & Wyoming Reports Traffic for May 2017

Genesee & Wyoming Inc. (G&W) (NYSE:GWR) today reported traffic volumes
for May 2017.

G&W’s traffic in May 2017 was 275,054 carloads, an increase of 42,307
carloads, or 18.2%, compared with May 2016. G&W’s same-railroad traffic
in May 2017 was 237,945 carloads, an increase of 5,198 carloads, or
2.2%, compared with May 2016.

G&W’s traffic in the second quarter of 2017 through May was 535,494
carloads, an increase of 72,775 carloads, or 15.7%, compared with the
second quarter of 2016 through May. G&W’s same-railroad traffic in the
second quarter of 2017 through May was 463,177 carloads, an increase of
458 carloads, or 0.1%, compared with the second quarter of 2016 through
May.

The table below sets forth summary total carloads by segment for May
2017 and May 2016.

Segment				May 2017			May 2016			Change			% Change
North American Operations				132,306			129,916			2,390			1.8%
Australian Operations(1)				50,570			14,973			35,597			NM
U.K./European Operations				92,178			87,858			4,320			4.9%
Total G&W Operations				275,054			232,747			42,307			18.2%
Carloads from New Railroads				37,109
Same-railroad carloads				237,945			232,747			5,198			2.2%
(1) 51.1% owned by G&W as of December 1, 2016.

May 2017 Highlights by Segment

• North American Operations: Traffic in May 2017 was 132,306 carloads,
  an increase of 1.8% compared with May 2016, including carloads from
  the Providence and Worcester Railroad Company (P&W) acquisition, which
  closed on November 1, 2016. On a same-railroad basis, North American
  traffic decreased 1.1%, primarily due to decreased coal & coke, metals
  and petroleum products traffic, partially offset by increased minerals
  & stone and agricultural products traffic.
• Australian Operations: Traffic in May 2017 was 50,570 carloads,
  including carloads from the Glencore Rail (GRail) acquisition, which
  closed on December 1, 2016. On a same-railroad basis, Australian
  traffic increased 15.3%, primarily due to increased metallic ores and
  agricultural products traffic, partially offset by decreased minerals
  & stone traffic. Please note, simultaneous with the GRail acquisition,
  G&W issued a 48.9% equity stake in its Australian Operations to
  Macquarie Infrastructure and Real Assets. Carload information for the
  Australian Operations is presented on a 100% basis.
• U.K./European Operations: Traffic in May 2017 was 92,178 carloads, an
  increase of 4.9% compared with May 2016, primarily due to increased
  minerals & stone and intermodal traffic, partially offset by decreased
  coal & coke traffic.

The table below sets forth North American Operations carload information
for May 2017 and May 2016 by commodity group.

North American Operations:				May 2017			May 2016			Change			% Change
Agricultural Products				18,238			16,777			1,461			8.7%
Autos & Auto Parts				2,947			2,710			237			8.7%
Chemicals & Plastics				15,533			14,771			762			5.2%
Coal & Coke				12,626			14,616			(1,990)			(13.6%)
Food & Kindred Products				5,041			4,869			172			3.5%
Intermodal				697			-			697			NM
Lumber & Forest Products				11,908			11,603			305			2.6%
Metallic Ores				1,415			2,113			(698)			(33.0%)
Metals				11,753			13,022			(1,269)			(9.7%)
Minerals & Stone				19,883			17,001			2,882			17.0%
Petroleum Products				7,890			9,059			(1,169)			(12.9%)
Pulp & Paper				13,510			13,666			(156)			(1.1%)
Waste				5,174			4,115			1,059			25.7%
Other				5,691			5,594			97			1.7%
Total carloads				132,306			129,916			2,390			1.8%
Carloads from New Railroads(1)				3,801
Same-railroad carloads				128,505			129,916			(1,411)			(1.1%)

(1) Total carloads from P&W, which was acquired on November 1, 2016 and
contributed 280 carloads of autos & auto parts traffic, 519 carloads of
chemicals & plastics traffic, 697 carloads of intermodal traffic, 132
carloads of metals traffic, 1,303 carloads of minerals & stone traffic
and 870 carloads from all other commodities.

The following highlights relate to North American same-railroad traffic,
excluding traffic from P&W, which was acquired on November 1, 2016.

• Coal & coke traffic decreased 1,990 carloads, or 13.6%, primarily due
  to decreased shipments of utility coal in G&W’s Central Region
  resulting from a planned maintenance outage at a customer facility,
  partially offset by increased shipments in G&W’s Midwest Region.
• Metals traffic decreased 1,401 carloads, or 10.8%, primarily due to
  decreased shipments in G&W’s Southern, Coastal and Canada regions,
  partially offset by increased shipments in G&W’s Northeast Region.
• Petroleum products traffic decreased 1,257 carloads, or 13.9%,
  primarily due to decreased shipments of liquid petroleum gases and
  natural gas liquids in G&W’s Mountain West and Northeast regions.
• Minerals & stone increased 1,579 carloads, or 9.3%, primarily due to
  increased shipments of construction aggregates in G&W’s Central Region
  and increased shipments of frac sand in G&W’s Northeast Region.
• Agricultural products traffic increased 1,340 carloads, or 8.0%,
  primarily due to increased grain shipments in G&W’s Mountain West,
  Central and Midwest regions.
• All remaining traffic increased by a net 318 carloads.

The table below sets forth carload information for G&W’s 51.1% owned
Australian Operations for May 2017 and May 2016 by commodity group.

Australian Operations(1):				May 2017			May 2016			Change			% Change
Agricultural Products				5,380			3,164			2,216			70.0%
Coal & Coke				33,308			-			33,308			NM
Intermodal				5,534			5,325			209			3.9%
Metallic Ores				3,222			706			2,516			NM
Minerals & Stone				3,102			5,758			(2,656)			(46.1%)
Petroleum Products				24			20			4			20.0%
Total carloads				50,570			14,973			35,597			NM
Carloads from New Railroads(2)				33,308
Same-railroad carloads				17,262			14,973			2,289			15.3%

(1)		51.1% owned by G&W as of December 1, 2016.
(2)		Total carloads from GRail, which was acquired on December 1, 2016 and contributed 33,308 carloads of coal & coke traffic.

The following highlights relate to Australian same-railroad traffic,
excluding traffic from GRail, which was acquired on December 1, 2016.

• Metallic ores traffic increased 2,516 carloads primarily due to the
  re-opening of a manganese mine in March 2017 and an iron ore mine in
  July 2016.
• Agricultural products traffic increased 2,216 carloads, or 70.0%,
  primarily due to a stronger harvest in 2017.
• Minerals & stone traffic decreased 2,656 carloads, or 46.1%, primarily
  due to a maintenance outage at a customer facility.
• All remaining traffic increased by a net 213 carloads.

The table below sets forth U.K./European Operations carload information
for May 2017 and May 2016 by commodity group.

U.K./European Operations:				May 2017			May 2016			Change			% Change
Agricultural Products				257			150			107			71.3%
Coal & Coke				1,450			2,869			(1,419)			(49.5%)
Intermodal				75,067			72,545			2,522			3.5%
Metallic Ores				-			93			(93)			NM
Minerals & Stone				15,404			12,201			3,203			26.3%
Total carloads				92,178			87,858			4,320			4.9%

• Minerals & stone traffic increased 3,203 carloads, or 26.3%, primarily
  due to increased shipments in Poland.
• Intermodal traffic increased by 2,522 carloads, or 3.5%, due to
  increased shipments in the U.K., partially offset by decreased
  shipments in Continental Europe largely resulting from the elimination
  of unprofitable routes associated with the restructuring of the
  business commenced in Q1:2017.
• Coal & coke traffic decreased 1,419 carloads, or 49.5%, primarily due
  to decreased shipments in the U.K.
• All remaining traffic increased by a net 14 carloads.

Second Quarter of 2017 Through May Traffic

The table below sets forth summary total carloads by segment for the
second quarter of 2017 through May and the second quarter of 2016
through May.

Segment				QTD May 2017			QTD May 2016			Change			% Change
North American Operations				261,393			254,785			6,608			2.6%
Australian Operations				100,091			30,052			70,039			NM
U.K./European Operations				174,010			177,882			(3,872)			(2.2%)
Total G&W Operations				535,494			462,719			72,775			15.7%
Carloads from New Railroads				72,317
Same-railroad carloads				463,177			462,719			458			0.1%

The table below sets forth North American Operations carload information
for the second quarter of 2017 through May and the second quarter of
2016 through May by commodity group.

North American Operations:				QTD May 2017			QTD May 2016			Change			% Change
Agricultural Products				35,623			32,217			3,406			10.6%
Autos & Auto Parts				6,070			5,226			844			16.2%
Chemicals & Plastics				30,455			30,480			(25)			(0.1%)
Coal & Coke				28,988			29,410			(422)			(1.4%)
Food & Kindred Products				9,895			9,770			125			1.3%
Intermodal				1,392			12			1,380			NM
Lumber & Forest Products				23,724			22,812			912			4.0%
Metallic Ores				2,785			4,206			(1,421)			(33.8%)
Metals				23,124			24,435			(1,311)			(5.4%)
Minerals & Stone				36,735			33,977			2,758			8.1%
Petroleum Products				15,433			16,779			(1,346)			(8.0%)
Pulp & Paper				26,318			27,243			(925)			(3.4%)
Waste				9,312			7,153			2,159			30.2%
Other				11,539			11,065			474			4.3%
Total carloads				261,393			254,785			6,608			2.6%
Carloads from New Railroads(1)				6,994
Same-railroad carloads				254,399			254,785			(386)			(0.2%)

(1) Total carloads from P&W, which was acquired on November 1, 2016 and
contributed 589 carloads of autos & auto parts traffic, 991 carloads of
chemicals & plastics traffic, 1,386 carloads of intermodal traffic, 363
carloads of metals traffic, 2,182 carloads of minerals & stone traffic,
and 1,483 carloads from all other commodities.

The table below sets forth carload information for G&W’s 51.1% owned
Australian Operations for the second quarter of 2017 through May and the
second quarter of 2016 through May by commodity group.

Australian Operations(1):				QTD May 2017			QTD May 2016			Change			% Change
Agricultural Products				10,203			7,062			3,141			44.5%
Coal & Coke				65,323			0			65,323			NM
Intermodal				10,069			10,192			(123)			(1.2%)
Metallic Ores				5,880			1,426			4,454			NM
Minerals & Stone				8,574			11,329			(2,755)			(24.3%)
Petroleum Products				42			43			(1)			(2.3%)
Total carloads				100,091			30,052			70,039			NM
Carloads from New Railroads(2)				65,323
Same-railroad carloads				34,768			30,052			4,716			15.7%

(1)		51.1% owned by G&W as of December 1, 2016.
(2)		Total carloads from GRail, which was acquired on December 1, 2016 and contributed 65,323 carloads of coal & coke traffic.

The table below sets forth U.K./European Operations carload information
for the second quarter of 2017 through May and the second quarter of
2016 through May by commodity group.

U.K./European Operations:				QTD May 2017			QTD May 2016			Change			% Change
Agricultural Products				570			372			198			NM
Coal & Coke				3,374			5,878			(2,504)			(42.6%)
Intermodal				141,532			146,974			(5,442)			(3.7%)
Lumber & Forest Products				-			90			(90)			NM
Metallic Ores				-			93			(93)			NM
Minerals & Stone				28,534			24,475			4,059			16.6%
Total carloads				174,010			177,882			(3,872)			(2.2%)

Other

The term carload represents physical railcars and estimated railcar
equivalents of commodities for which G&W is paid on a metric ton or
other measure to move freight, as well as intermodal units.

Historically, G&W has found that traffic information may be indicative
of freight revenues on its railroads. Freight revenues are revenues for
which G&W is paid on a per car, per container or per metric ton basis to
move freight. Activities such as railcar switching, port terminal
shunting, traction services and other similar freight-related services
are excluded from our traffic information as the resulting revenues are
not classified as freight revenue. Traffic information may not be
indicative of total operating revenues, operating expenses, operating
income or net income. Please refer to the documents G&W files from time
to time with the Securities and Exchange Commission, such as its Form
10-Q and 10-K, which contain additional information on G&W’s freight
traffic and segment reporting.

About G&W

Genesee & Wyoming owns or leases 122 freight railroads worldwide that
are organized in 10 operating regions with approximately 8,000 employees
and 3,000 customers.

• G&W’s eight North American regions serve 41 U.S. states and four
  Canadian provinces and include 115 short line and regional freight
  railroads with more than 13,000 track-miles.
• G&W’s Australia Region provides rail freight services in New South
  Wales, including in the Hunter Valley coal supply chain, the Northern
  Territory and South Australia, and operates the 1,400-mile
  Tarcoola-to-Darwin rail line. The Australia Region is 51.1% owned by
  G&W and 48.9% owned by a consortium of funds and clients managed by
  Macquarie Infrastructure and Real Assets.
• G&W’s U.K./Europe Region is led by Freightliner, the U.K.’s largest
  rail maritime intermodal operator and second-largest rail freight
  company. Operations also include heavy-haul in Poland and Germany,
  intermodal services connecting Northern European seaports with key
  industrial regions in Germany, and regional rail services in the
  Netherlands and Belgium.

G&W subsidiaries provide rail service at more than 40 major ports in
North America, Australia and Europe and perform contract coal loading
and railcar switching for industrial customers.

For more information, visit gwrr.com.

View source version on businesswire.com: http://www.businesswire.com/news/home/20170612006169/en/

Source: Business Wire
(June 12, 2017 - 4:05 PM EDT)

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