KCS opens Anahuac Bridge; cross-border traffic resumes on Nuevo Laredo gateway

Kansas City Southern reported that its Mexican subsidiary, Kansas City Southern de Mexico, S.A. de C.V. (KCSM) has worked throughout the weekend on the Anahuac Bridge and re-opened the bridge at 5:55 p.m. on Saturday, July 24. KCSM began running trains on the re-opened line immediately.

If there is no settlement
resulting from trains operating over the bridge’s approaches, KCSM expects to
operate up to 25 to 30 trains over the Nuevo Laredo gateway by late Monday
night, and plans to remove all service embargos that were established on July 3
in the aftermath of Hurricane Alex at that time.

 "We are very pleased to have the Nuevo Laredo gateway opened
again for cross border traffic," said KCS president and chief operating officer
Dave Starling. "Given the magnitude of the damage to this bridge, coupled with
the difficult conditions under which our crews had to work, it is a great
accomplishment that we were able to put the Anahuac Bridge back into service
this weekend and plan to lift the embargos tomorrow night."

Rail service in northern
Mexico was disrupted for all carriers as a result of Hurricane Alex, which made
landfall in northeast Mexico on June 30. Highway infrastructure throughout
northern Mexico also was severely damaged. The hurricane caused significant
track damage around the Monterrey and Saltillo areas as well as on the lines to
Nuevo Laredo and Matamoros.

 "The disruption of service caused by Hurricane Alex has been
very significant; however, our team has worked very hard to restore service to
our customers as quickly as possible," said KCSM president and executive
representative Jose Zozaya. "We will continue to work very closely with each of
our customers to resume the normal flow of traffic to their facilities."