SOURCE: Burlington Northern Santa Fe

January 29, 2008 07:55 ET

Burlington Northern Santa Fe Reports All-Time Record Fourth Quarter EPS

FORT WORTH, TX--(Marketwire - January 29, 2008) - Burlington Northern Santa Fe Corporation (BNSF) (NYSE: BNI)

--  Quarterly earnings were $1.46 per diluted share, compared with fourth-
    quarter 2006 earnings of $1.42 per diluted share.
    
--  Freight revenues increased $352 million, or 9 percent, to $4.12
    billion compared with $3.77 billion in the fourth quarter of 2006,
    principally due to strong yields and an increase in fuel surcharges of
    approximately $120 million.
    
--  Operating income was $950 million, compared to $943 million in the
    fourth quarter of 2006.  Operating income reflects a $257 million increase
    in fuel expense, principally resulting from higher fuel prices.
    
--  Full-year 2007 earnings per diluted share were $5.10.  This compared
    to earnings per diluted share of $5.11 for 2006.
    
--  For 2007, BNSF exceeded $1 billion in free cash flow before dividends
    and achieved $738 million in free cash flow after dividends.
    

Burlington Northern Santa Fe Corporation (BNSF) (NYSE: BNI) today reported quarterly earnings of $1.46 per diluted share, compared with fourth-quarter 2006 earnings of $1.42 per share.

"For the fifth consecutive year, BNSF achieved all-time record annual revenues and was able to generate record cash flows despite a soft economy. In the fourth quarter, the Company was able to demonstrate earnings per share growth despite significant fuel headwind and continued softness in the Industrial Products and Consumer Products businesses. Looking forward, we continue to be optimistic about the long-term prospects for BNSF," said Matthew K. Rose, BNSF Chairman, President and Chief Executive Officer.

Fourth-quarter 2007 freight revenues increased $352 million, or 9 percent, to an all-time quarterly record of $4.12 billion compared with $3.77 billion in the prior year. The 9-percent increase in revenue is primarily attributable to record quarterly revenues and volumes for both the Agricultural Products and Coal business groups and an increase in fuel surcharges of approximately $120 million driven by rising fuel prices.

Agricultural Products revenues were up $158 million, or 24 percent, to an all-time quarterly record of $804 million for the fourth quarter of 2007. This increase was primarily due to a 14-percent unit volume increase, predominately from wheat, ethanol, soybeans and fertilizer. Coal revenues rose by $119 million, or 15 percent, to $894 million, as a result of increased tons per unit and improved yields. Industrial Products revenues increased by $41 million, or 5 percent, to $926 million on 2-percent higher unit volumes. Strong demand for construction and petroleum products was offset by a decline in building products as a result of weakness in the housing market. Consumer Products revenues of $1.50 billion were $34 million, or 2 percent higher than the fourth quarter of 2006, principally due to stronger yields.

Operating expenses for the fourth quarter of 2007 were $3.30 billion compared with fourth-quarter 2006 operating expenses of $2.94 billion. The $356 million increase in operating expenses was largely driven by a $257 million increase in fuel expense primarily reflecting increased prices and a reduced hedge benefit.

For the full year of 2007, operating revenues reached a record $15.8 billion, a 5-percent increase over 2006, which included revenue increases in each of the Company's four business groups, with record revenues in the Agricultural Products and Coal business groups. Despite a $310 million reduction in fuel hedge benefit, 2007 operating income of $3.49 billion decreased slightly compared with the prior year.

Burlington Northern Santa Fe Corporation's subsidiary BNSF Railway Company operates one of the largest North American rail networks, with about 32,000 route miles in 28 states and two Canadian provinces. BNSF Railway Company is among the world's top transporters of intermodal traffic, moves more grain than any other American railroad, carries the components of many of the products we depend on daily, and hauls enough low-sulfur coal to generate about ten percent of the electricity produced in the United States. BNSF Railway Company is an industry leader in Web-enabling a variety of customer transactions at www.bnsf.com.

BNSF's free cash flow, as discussed above, is a non-GAAP measure and should be considered in addition to, but not as a substitute or preferable to, other information prepared in accordance with GAAP. However, the information is included herein as management believes that free cash flow provides meaningful information about BNSF's ability to generate cash flows from the operation of its business. Below is the calculation of free cash flow for 2007.

Free Cash Flow Calculation (in millions)       2007
-----------------------------------------    -------
Net cash provided by operating activities    $ 3,492
Net cash used for investing activities        (2,374)
                                             -------
Free Cash Flow before Dividends                1,118
Dividends paid                                  (380)
                                             -------
Free Cash Flow after Dividends               $   738
                                             =======

Financial information follows:

Burlington Northern Santa Fe Corporation
Consolidated Income Information
(Dollars in millions, except per share data)

                            Three Months
                         Ended December 31,     Year Ended December 31,
                         -----------------   -----------------------------
                           2007     2006       2007      2006       2005
                         -------  --------   --------  --------   --------
                                    (As                  (As        (As
                                 Adjusted)*           Adjusted)* Adjusted)*
Operating revenues
  Freight revenues       $ 4,121  $  3,769   $ 15,349  $ 14,545   $ 12,606
  Other revenues             124       113        453       440        381
                         -------  --------   --------  --------   --------
    Total operating
     revenues              4,245     3,882     15,802    14,985     12,987
                         -------  --------   --------  --------   --------

Operating expenses
  Compensation and
   benefits                  979       994      3,773     3,816      3,515
  Fuel                       960       703      3,197     2,734      1,959
  Purchased services         513       461      2,023     1,906      1,713
  Depreciation and
   amortization              340       301      1,293     1,176      1,111
  Equipment rents            238       235        942       930        886
  Materials and other (a)    265       245      1,088       902        876
                         -------  --------   --------  --------   --------
    Total operating
     expenses              3,295     2,939     12,316    11,464     10,060
                         -------  --------   --------  --------   --------

Operating income             950       943      3,486     3,521      2,927
Interest expense             126       121        511       485        437
Other expense, net             1        10         18        40         37
                         -------  --------   --------  --------   --------

Income before income
 taxes                       823       812      2,957     2,996      2,453
Income tax expense           306       293      1,128     1,107        919
                         -------  --------   --------  --------   --------

Net income               $   517  $    519   $  1,829  $  1,889   $  1,534
                         =======  ========   ========  ========   ========

Diluted earnings per
 share                   $  1.46  $   1.42   $   5.10  $   5.11   $   4.02
                         =======  ========   ========  ========   ========

Diluted average
 shares outstanding
 (in millions)             354.3     365.3      358.9     369.8      381.8
                         =======  ========   ========  ========   ========

Operating ratio (b)         76.9%     75.0%      77.3%     75.8%      76.8%
                         =======  ========   ========  ========   ========

(a) 2007 includes a first-quarter charge of $81 million for additional
    environmental expenses and a technology system write-off. 2005 includes
    a fourth-quarter net loss of $57 million from two commuter-related
    transactions.
(b) Calculated as total operating expenses less other revenues divided by
    freight revenues.
 *  Prior year numbers have been adjusted for the retrospective adoption of
    Financial Accounting Standards Board (FASB) Staff Position (FSP) AUG
    AIR-1, Accounting for Planned Major Maintenance Activities.



Burlington Northern Santa Fe Corporation
Consolidated Income Information 2007
(Dollars in millions, except per share data)

                                                                     2007
                                 1st      2nd      3rd      4th      Full
                               Quarter  Quarter  Quarter  Quarter    Year
                               -------  -------  -------  -------  -------

Operating revenues
  Freight revenues             $ 3,544  $ 3,736  $ 3,948  $ 4,121  $15,349
  Other revenues                   101      107      121      124      453
                               -------  -------  -------  -------  -------
    Total operating revenues     3,645    3,843    4,069    4,245   15,802
                               -------  -------  -------  -------  -------

Operating expenses
  Compensation and benefits        932      925      937      979    3,773
  Fuel                             652      771      814      960    3,197
  Purchased services               502      507      501      513    2,023
  Depreciation and
   amortization                    307      322      324      340    1,293
  Equipment rents                  232      237      235      238      942
  Materials and other (a)          326      240      257      265    1,088
                               -------  -------  -------  -------  -------
    Total operating expenses     2,951    3,002    3,068    3,295   12,316
                               -------  -------  -------  -------  -------

Operating income                   694      841    1,001      950    3,486
Interest expense                   121      132      132      126      511
Other expense, net                   5        6        6        1       18
                               -------  -------  -------  -------  -------

Income before income taxes         568      703      863      823    2,957
Income tax expense                 219      270      333      306    1,128
                               -------  -------  -------  -------  -------

Net income                     $   349  $   433  $   530  $   517  $ 1,829
                               =======  =======  =======  =======  =======

Diluted earnings per share     $  0.96  $  1.20  $  1.48  $  1.46  $  5.10
                               =======  =======  =======  =======  =======

Diluted average shares
 outstanding (in millions)       363.7    360.8    357.1    354.3    358.9
                               =======  =======  =======  =======  =======

Operating ratio (b)               80.4%    77.5%    74.6%    76.9%    77.3%
                               =======  =======  =======  =======  =======

(a) First-quarter includes a charge of $81 million for additional
    environmental expenses and a technology system write-off.

(b) Calculated as total operating expenses less other revenues divided by
    freight revenues.



Burlington Northern Santa Fe Corporation
Consolidated Income Information 2006*
(Dollars in millions, except per share data)

                                                                     2006
                                 1st      2nd      3rd      4th      Full
                               Quarter  Quarter  Quarter  Quarter    Year
                               -------  -------  -------  -------  -------

Operating revenues
  Freight revenues             $ 3,369  $ 3,592  $ 3,815  $ 3,769  $14,545
  Other revenues                    94      109      124      113      440
                               -------  -------  -------  -------  -------
   Total operating revenues      3,463    3,701    3,939    3,882   14,985
                               -------  -------  -------  -------  -------

Operating expenses
  Compensation and benefits        919      928      975      994    3,816
  Fuel                             561      678      792      703    2,734
  Purchased services               464      481      500      461    1,906
  Depreciation and
   amortization                    289      290      296      301    1,176
  Equipment rents                  231      232      232      235      930
  Materials and other              206      228      223      245      902
                               -------  -------  -------  -------  -------
    Total operating expenses     2,670    2,837    3,018    2,939   11,464
                               -------  -------  -------  -------  -------

Operating income                   793      864      921      943    3,521
Interest expense                   121      118      125      121      485
Other expense, net                   9       11       10       10       40
                               -------  -------  -------  -------  -------

Income before income taxes         663      735      786      812    2,996
Income tax expense                 253      264      297      293    1,107
                               -------  -------  -------  -------  -------

Net income                     $   410  $   471  $   489  $   519  $ 1,889
                               =======  =======  =======  =======  =======

Diluted earnings per share     $  1.09  $  1.27  $  1.33  $  1.42  $  5.11
                               =======  =======  =======  =======  =======

Diluted average shares
 outstanding (in millions)       376.7    370.7    366.8    365.3    369.8
                               =======  =======  =======  =======  =======

Operating ratio (a)               76.5%    75.9%    75.9%    75.0%    75.8%
                               =======  =======  =======  =======  =======

(a) Calculated as total operating expenses less other revenues divided by
    freight revenues.
 *  Prior year numbers have been adjusted for the retrospective adoption of
    FSP AUG AIR-1, Accounting for Planned Major Maintenance Activities.



Burlington Northern Santa Fe Corporation
Consolidated Balance Sheet Information
(Dollars in millions, except per share amounts)

                                                     December 31,
                                              ----------------------------
                                                  2007            2006
                                              -------------  -------------
                                                             (As Adjusted)*
Assets
  Current assets:
  Cash and cash equivalents                   $         330  $         375
  Accounts receivable, net                              790            805
  Materials and supplies                                579            488
  Current portion of deferred income taxes              290            345
  Other current assets                                  192            168
                                              -------------  -------------
    Total current assets                              2,181          2,181

Property and equipment, net                          29,567         27,921

Other assets                                          1,835          1,695
                                              -------------  -------------

Total assets                                  $      33,583  $      31,797
                                              =============  =============

Liabilities and stockholders' equity
  Current liabilities:
  Accounts payable and other current
   liabilities                                $       2,824  $       2,853
  Long-term debt due within one year                    411            473
                                              -------------  -------------
    Total current liabilities                         3,235          3,326

Long-term debt and commercial paper                   7,735          6,912
Deferred income taxes                                 8,484          8,298
Casualty and environmental liabilities                  843            830
Pension and retiree health and welfare
  liability                                             444            604
Employee separation costs                                77             86
Other liabilities                                     1,621          1,213
                                              -------------  -------------
    Total liabilities                                22,439         21,269
                                              -------------  -------------

Stockholders' equity:
  Common stock and additional paid-in
   capital                                            7,353          6,995
  Retained earnings                                  11,152          9,739
  Treasury stock and other                           (7,361)        (6,206)
                                              -------------  -------------
    Total stockholders' equity                       11,144         10,528
                                              -------------  -------------

Total liabilities and stockholders' equity    $      33,583  $      31,797
                                              =============  =============

Book value per share                          $       32.05  $       29.42
                                              =============  =============
Common shares outstanding (in millions)               347.7          357.9
                                              =============  =============
Net debt to total capitalization (a)                   41.2%          40.0%
                                              =============  =============

(a) Net debt is calculated as total debt less cash and cash equivalents,
    and capitalization is calculated as the sum of net debt and total
    stockholders' equity.
 *  Prior year numbers have been adjusted for the retrospective adoption
    of FSP AUG AIR-1, Accounting for Planned Major Maintenance Activities.



Burlington Northern Santa Fe Corporation
Consolidated Cash Flow Information
(in millions)

                            Three Months
                         Ended December 31,     Year Ended December 31,
                         -----------------   -----------------------------
                           2007     2006       2007      2006       2005
                         -------  --------   --------  --------   --------
                                    (As                  (As        (As
                                 Adjusted)*           Adjusted)* Adjusted)*
Operating
 activities

 Net income              $   517  $    519   $  1,829  $  1,889   $  1,534
Adjustments to reconcile
  net income to net cash
  provided by operating
  activities:
   Depreciation and
    amortization             340       301      1,293     1,176      1,111
   Deferred income
    taxes                     60       155        280       316        219
   Long-term casualty and
    environmental
    liabilities, net
                               -       (15)        26       (55)       (71)
   Other, net                 25      (103)       162       (70)       (28)
   Changes in accounts
    receivable sales
    program                  100         -          -         -       (350)
   Other changes in
    working capital          (15)      (34)       (98)      (67)       291
                         -------  --------   --------  --------   --------

Net cash provided by
 operating activities      1,027       823      3,492     3,189      2,706
                         -------  --------   --------  --------   --------

Investing activities

   Capital expenditures     (473)     (465)    (2,248)   (2,014)    (1,750)
   Other, net                210       143       (126)     (153)      (370)
                         -------  --------   --------  --------   --------

Net cash used for
 investing activities       (263)     (322)    (2,374)   (2,167)    (2,120)
                         -------  --------   --------  --------   --------

Financing activities

   Dividends paid           (112)      (90)      (380)     (310)      (267)
   Purchase of BNSF
    common stock            (301)     (140)    (1,265)     (730)      (799)
   Proceeds from stock
    options exercised         16        17        142       116        244
   Other, net               (412)        3        340       202        (11)
                         -------  --------   --------  --------   --------

Net cash used for
 financing activities       (809)     (210)    (1,163)     (722)      (833)
                         -------  --------   --------  --------   --------
(Decrease) increase in
 cash and cash
 equivalents                 (45)      291        (45)      300       (247)
Cash and cash equivalents:

   Beginning of period       375        84        375        75        322
                         -------  --------   --------  --------   --------
   End of period         $   330  $    375   $    330  $    375   $     75
                         -------  --------   --------  --------   --------

 *  Prior year numbers have been adjusted for the retrospective adoption of
    FSP AUG AIR-1, Accounting for Planned Major Maintenance Activities and
    certain comparative prior period amounts have been adjusted to conform
    to the current period presentation.



Burlington Northern Santa Fe Corporation
Consolidated Cash Flow Information*
(in millions)

                                                                     2007
                                 1st      2nd      3rd      4th      Full
                               Quarter  Quarter  Quarter  Quarter    Year
                              -------- -------- -------- -------- --------

Operating activities

 Net income                    $   349  $   433  $   530  $   517  $ 1,829
 Adjustments to reconcile net
  income to net cash provided
  by operating activities:
   Depreciation and
    amortization                   307      322      324      340    1,293
   Deferred income taxes            52       62      106       60      280
   Long-term casualty and
    environmental liabilities,
    net                             42       (9)      (7)       -       26
   Other, net                       41       52       44       25      162
   Changes in accounts
    receivable sales program       300     (300)    (100)     100        -
   Other changes in working
    capital                         57     (132)      (8)     (15)     (98)
                              -------- -------- -------- -------- --------

Net cash provided by
 operating activities            1,148      428      889    1,027    3,492
                              -------- -------- -------- -------- --------

Investing activities

 Capital expenditures             (537)    (615)    (623)    (473)  (2,248)
 Other, net                       (294)     112     (154)     210     (126)
                              -------- -------- -------- -------- --------

Net cash used for investing
 activities                       (831)    (503)    (777)    (263)  (2,374)
                              -------- -------- -------- -------- --------

Financing activities

 Dividends paid                    (90)     (89)     (89)    (112)    (380)
 Purchase of BNSF common
  stock                           (349)    (360)    (255)    (301)  (1,265)
 Proceeds from stock options
  exercised                         55       60       11       16      142
 Other, net                         84      465      203     (412)     340
                              -------- -------- -------- -------- --------

Net cash (used for) provided
 by financing activities          (300)      76     (130)    (809)  (1,163)
                              -------- -------- -------- -------- --------
Increase (decrease) in cash
 and cash equivalents               17        1      (18)     (45)     (45)
Cash and cash equivalents:

 Beginning of period               375      392      393      375      375
                              -------- -------- -------- -------- --------
 End of period                $    392 $    393 $    375 $    330 $    330
                              ======== ======== ======== ======== ========

*Certain interim period amounts have been reclassified to conform with the
current period presentation.



Burlington Northern Santa Fe Corporation
Operating Statistics*

                          Three Months
                       Ended December 31,        Year Ended December 31,
                      --------------------  -------------------------------
                         2007       2006       2007       2006       2005
                      ---------  ---------  ---------  ---------  ---------
                                   (As                   (As        (As
                                 Adjusted)*           Adjusted)* Adjusted)*
Cars/units (in
 thousands)               2,600      2,677     10,318     10,637     10,024

Average revenues per
 car/unit             $   1,585  $   1,408  $   1,488  $   1,367  $   1,258

Revenue ton miles (in
 millions)              170,246    163,790    657,572    647,857    604,656

Gross ton miles (in
 millions)              288,172    282,499  1,121,255  1,119,928  1,061,108

RTM/GTM                    0.59       0.58       0.59       0.58       0.57

Freight revenue/
 thousand RTM         $   24.21  $   23.01  $   23.34  $   22.45  $   20.85

Operating expense/
 thousand RTM (a)     $   19.35  $   17.94  $   18.73  $   17.70  $   16.64

Freight revenue/
 thousand GTM         $   14.30  $   13.34  $   13.69  $   12.99  $   11.88

Operating expense/
 thousand GTM (a)     $   11.43  $   10.40  $   10.98  $   10.24  $    9.48

Compensation
 and benefits/
 thousand GTM         $    3.40  $    3.52  $    3.36  $    3.41  $    3.31

Average employees        40,970     41,550     41,189     41,338     39,353

Period end employees     40,261     41,201     40,261     41,201     40,388

Thousand RTM/average
 employee                 4,155      3,942     15,965     15,672     15,365

Thousand GTM/average
 employee                 7,034      6,799     27,222     27,092     26,964

Gallons of fuel used
 (in millions)              373        378      1,442      1,478      1,402

Average price per
 gallon of fuel (b)   $    2.57  $    1.86  $    2.22  $    1.85  $    1.40

GTM/gallon of fuel          773        747        778        758        757

Freight train miles
 (in millions)               44         44        169        173        167

GTM/freight train
 hours (in thousands)       135        124        129        123        121

Route miles operated     32,205     31,910     32,205     31,910     32,154

(a) 2007 includes a first-quarter charge of $81 million for additional
    environmental expenses and a technology system write-off.

(b) Includes handling, taxes and hedge effect.

*  Prior year numbers have been adjusted for the retrospective adoption
    of FSP AUG AIR-1, Accounting for Planned Major Maintenance Activities
    and certain comparative prior period amounts have been adjusted to
    conform to the current period presentation.



Burlington Northern Santa Fe Corporation
Operating Statistics*

                                                                     2007
                         1st        2nd        3rd        4th        Full
                       Quarter    Quarter    Quarter    Quarter      Year
                      ---------  ---------  ---------  ---------  ---------
Cars/units (in
 thousands)               2,507      2,581      2,630      2,600     10,318

Average revenues per
 car/unit             $   1,414  $   1,448  $   1,501  $   1,585  $   1,488

Revenue ton miles
 (in millions)          157,263    163,428    166,635    170,246    657,572

Gross ton miles
 (in millions)          270,083    279,535    283,465    288,172  1,121,255

RTM/GTM                    0.58       0.58       0.59       0.59       0.59

Freight revenue/
 thousand RTM         $   22.54  $   22.86  $   23.69  $   24.21  $   23.34

Operating expense/
 thousand RTM (a)     $   18.76  $   18.37  $   18.41  $   19.35  $   18.73

Freight revenue/
 thousand GTM         $   13.12  $   13.37  $   13.93  $   14.30  $   13.69

Operating expense/
 thousand GTM (a)     $   10.93  $   10.74  $   10.82  $   11.43  $   10.98

Compensation and
 benefits/
 thousand GTM         $    3.45  $    3.31  $    3.31  $    3.40  $    3.36

Average employees        40,984     41,510     41,293     40,970     41,189

Period end employees     41,541     41,328     41,087     40,261     40,261

Thousand RTM/average
 employee                 3,837      3,937      4,035      4,155     15,965

Thousand GTM/average
 employee                 6,590      6,734      6,865      7,034     27,222

Gallons of fuel used
 (in millions)              360        356        353        373      1,442

Average price per
 gallon of fuel (b)   $    1.81  $    2.17  $    2.31  $    2.57  $    2.22

GTM/gallon of fuel          750        785        803        773        778

Freight train miles
 (in millions)               41         42         42         44        169
GTM/freight train
 hours (in thousands)       125        126        130        135        129

Route miles operated     32,023     32,332     32,231     32,205     32,205

(a)   2007 includes a first-quarter charge of $81 million for additional
      environmental expenses and a technology system write-off.

(b)   Includes handling, taxes and hedge effect.

* Certain interim period amounts have been reclassified to conform with the
current period presentation.



Burlington Northern Santa Fe Corporation
Revenue Statistics by Commodity*

                Three Months                                    06-07
Revenues        Ended Dec 31,   Percent   Year Ended Dec 31,   Percent
millions)        2007    2006   Change   2007    2006    2005   Change
               -------  -------  -----  ------- ------- ------- -----
Domestic
 Intermodal    $   700  $  674    3.9% $ 2,541 $ 2,564 $ 2,372   (0.9)%
International
 Intermodal        664      661    0.5    2,627   2,576   2,121   2.0
Automotive         133      128    3.9      496     473     405   4.9
               -------  -------  -----  ------- ------- ------- -----
Total Consumer
 Products        1,497    1,463    2.3    5,664   5,613   4,898   0.9

Industrial
 Products          926      885    4.6    3,684   3,589   3,128   2.6
Coal               894      775   15.4    3,279   2,916   2,448  12.4
Agricultural
 Products          804      646   24.5    2,722   2,427   2,132  12.2
               -------  -------  -----  ------- ------- ------- -----
Total freight
 revenue         4,121    3,769    9.3   15,349  14,545  12,606   5.5
Other revenue      124      113    9.7      453     440     381   3.0
               -------  -------  -----  ------- ------- ------- -----
Total revenues $ 4,245  $ 3,882    9.4% $15,802 $14,985 $12,987   5.5%
               =======  =======  =====  ======= ======= ======= =====

Cars/units
 (in thousands)
Domestic
 Intermodal        551      554   (0.5)%  2,097   2,151   2,110  (2.5)%
International
 Intermodal        673      793  (15.1)   2,886   3,195   2,928  (9.7)
Automotive          42       45   (6.7)     166     174     177  (4.6)
               -------  -------  -----  ------- ------- ------- -----
Total Consumer
 Products        1,266    1,392   (9.1)   5,149   5,520   5,215  (6.7)

Industrial
 Products          412      402    2.5    1,664   1,686   1,655  (1.3)
Coal               640      636    0.6    2,472   2,458   2,238   0.6
Agricultural
 Products          282      247   14.2    1,033     973     916   6.2
               -------  -------  -----  ------- ------- ------- -----
Total cars/
 units           2,600    2,677   (2.9)% 10,318  10,637  10,024  (3.0)%
               =======  =======  =====  ======= ======= ======= =====

Average
 revenue per
 car/unit
Domestic
 Intermodal    $ 1,270  $ 1,217    4.4% $ 1,212 $ 1,192 $ 1,124   1.7%
International
 Intermodal        987      834   18.3      910     806     724  12.9
Automotive       3,167    2,844   11.4    2,988   2,718   2,288   9.9
               -------  -------  -----  ------- ------- ------- -----
Total Consumer
 Products        1,182    1,051   12.5    1,100   1,017     939   8.2

Industrial
 Products        2,248    2,201    2.1    2,214   2,129   1,890   4.0
Coal             1,397    1,219   14.6    1,326   1,186   1,094  11.8
Agricultural
 Products        2,851    2,615    9.0    2,635   2,494   2,328   5.7
               -------  -------  -----  ------- ------- ------- -----
Average
 revenue per
 car/unit      $ 1,585  $ 1,408   12.6% $ 1,488 $ 1,367 $ 1,258   8.9%
               =======  =======  =====  ======= ======= ======= =====

Revenue ton
 miles  (in
 millions)
Domestic
 Intermodal     13,737   13,711   0.2%   52,492  53,904  54,463  (2.6)%
International
 Intermodal     20,039   21,513  (6.9)   82,526  84,728 78,332   (2.6)
Automotive       1,576    1,602  (1.6)    6,123   6,004  5,794    2.0
               -------  -------  -----  ------- ------- ------- -----
Total Consumer
 Products       35,352   36,826   (4.0) 141,141 144,636 138,589  (2.4)

Industrial
 Products       28,637   28,252    1.4  117,338 120,130 116,404  (2.3)
Coal            73,156   70,366    4.0  280,365 271,499 242,409   3.3
Agricultural
 Products       33,101   28,346   16.8  118,728 111,592 107,254   6.4
               -------  -------  -----  ------- ------- ------- -----
Total revenue
 ton miles     170,246  163,790    3.9% 657,572 647,857 604,656   1.5%
               =======  =======  =====  ======= ======= ======= =====

Freight revenue
 per thousand
 ton miles
Domestic
 Intermodal    $ 50.96  $ 49.16    3.7% $ 48.41 $ 47.57 $ 43.55   1.8%
International
 Intermodal      33.14    30.73    7.8    31.83   30.40   27.08   4.7
Automotive       84.39    79.90    5.6    81.01   78.78   69.90   2.8
               -------  -------  -----  ------- ------- ------- -----
Total Consumer
 Products        42.35    39.73    6.6    40.13   38.81   35.34   3.4

Industrial
 Products        32.34    31.33    3.2    31.40   29.88   26.87   5.1
Coal             12.22    11.01   11.0    11.70   10.74   10.10   8.9
Agricultural
 Products        24.29    22.79    6.6    22.93   21.75   19.88   5.4
               -------  -------  -----  ------- ------- ------- -----
Freight revenue
 per thousand
 ton miles     $ 24.21  $ 23.01    5.2% $ 23.34 $ 22.45 $ 20.85   4.0%
               =======  =======  =====  ======= ======= ======= =====

*Certain comparative prior period amounts have been adjusted to conform
to the current period presentation.



Burlington Northern Santa Fe Corporation
Revenue Statistics by Commodity*

                                                                     2007
                                 1st      2nd      3rd      4th      Full
  Revenues (in millions)       Quarter  Quarter  Quarter  Quarter    Year
                               -------- -------- -------- -------- --------

  Domestic Intermodal          $    586 $    610 $    645 $    700 $  2,541
  International Intermodal          610      663      690      664    2,627
  Automotive                        116      127      120      133      496
                               -------- -------- -------- -------- --------
  Total Consumer Products         1,312    1,400    1,455    1,497    5,664

  Industrial Products               846      950      962      926    3,684
  Coal                              760      776      849      894    3,279
  Agricultural Products             626      610      682      804    2,722
                               -------- -------- -------- -------- --------
  Total freight revenue           3,544    3,736    3,948    4,121   15,349
  Other revenue                     101      107      121      124      453
                               -------- -------- -------- -------- --------
  Total revenues               $  3,645 $  3,843 $  4,069 $  4,245 $ 15,802
                               ======== ======== ======== ======== ========

  Cars/units  (in thousands)
  Domestic Intermodal               508      510      528      551    2,097
  International Intermodal          727      746      740      673    2,886
  Automotive                         41       44       39       42      166
                               -------- -------- -------- -------- --------
  Total Consumer Products         1,276    1,300    1,307    1,266    5,149

  Industrial Products               390      431      431      412    1,664
  Coal                              594      611      627      640    2,472
  Agricultural Products             247      239      265      282    1,033
                               -------- -------- -------- -------- --------
  Total cars/units                2,507    2,581    2,630    2,600   10,318
                               ======== ======== ======== ======== ========

  Average revenue per car/unit
  Domestic Intermodal          $  1,154 $  1,196 $  1,222 $  1,270 $  1,212
  International Intermodal          839      889      932      987      910
  Automotive                      2,829    2,886    3,077    3,167    2,988
                               -------- -------- -------- -------- --------
  Total Consumer Products         1,028    1,077    1,113    1,182    1,100

  Industrial Products             2,169    2,204    2,232    2,248    2,214
  Coal                            1,279    1,270    1,354    1,397    1,326
  Agricultural Products           2,534    2,552    2,574    2,851    2,635
                               -------- -------- -------- -------- --------
  Average revenue per car/unit $  1,414 $  1,448 $  1,501 $  1,585 $  1,488
                               ======== ======== ======== ======== ========

  Revenue ton miles  (in
   millions)
  Domestic Intermodal            12,588   12,836   13,331   13,737   52,492
  International Intermodal       20,321   21,312   20,854   20,039   82,526
  Automotive                      1,464    1,629    1,454    1,576    6,123
                               -------- -------- -------- -------- --------
  Total Consumer Products        34,373   35,777   35,639   35,352  141,141

  Industrial Products            27,735   30,629   30,337   28,637  117,338
  Coal                           66,434   69,307   71,468   73,156  280,365
  Agricultural Products          28,721   27,715   29,191   33,101  118,728
                               -------- -------- -------- -------- --------
  Total revenue ton miles       157,263  163,428  166,635  170,246  657,572
                               ======== ======== ======== ======== ========

  Freight revenue per thousand
   ton miles
  Domestic Intermodal          $  46.55 $  47.52 $  48.38 $  50.96 $  48.41
  International Intermodal        30.02    31.11    33.09    33.14    31.83
  Automotive                      79.23    77.96    82.53    84.39    81.01
                               -------- -------- -------- -------- --------
  Total Consumer Products         38.17    39.13    40.83    42.35    40.13

  Industrial Products             30.50    31.02    31.71    32.34    31.40
  Coal                            11.44    11.20    11.88    12.22    11.70
  Agricultural Products           21.80    22.01    23.36    24.29    22.93
                               -------- -------- -------- -------- --------
  Freight revenue per thousand
   ton miles                   $  22.54 $  22.86 $  23.69 $  24.21 $  23.34
                               ======== ======== ======== ======== ========

 *  Certain interim period amounts have been reclassified to conform with
    the current period presentation.



Burlington Northern Santa Fe Corporation
Capital Expenditures and Track Maintenance

                                    Three Months
                                 Ended December 31, Year Ended December 31,
                                   ---------------  -----------------------
                                    2007    2006     2007    2006    2005
                                   ------- -------  ------- ------- -------
Capital expenditures (in millions)
  Maintenance of way
    Rail                           $    71 $    53  $   376 $   304 $   232
    Ties                                60      66      316     311     284
    Surfacing                           41      44      235     214     183
    Other                               99      94      432     397     354
                                   ------- -------  ------- ------- -------
      Total maintenance of way         271     257    1,359   1,226   1,053
  Mechanical                            39      41      141     152     136
  Information services                  26      19       75      65      64
  Other                                 31      39      105     121     108
                                   ------- -------  ------- ------- -------
      Total maintenance of business    367     356    1,680   1,564   1,361
                                   ------- -------  ------- ------- -------

  Terminal and line expansion          106     109      568     450     389
                                   ------- -------  ------- ------- -------
    Total capital expenditures     $   473 $   465  $ 2,248 $ 2,014 $ 1,750
                                   ======= =======  ======= ======= =======

Track maintenance
  Track miles of rail laid
      Maintenance of business          174     133      773     692     517
      Expansion projects                36      14      183     125     162
                                   ------- -------  ------- ------- -------
    Total                              210     147      956     817     679
                                   ======= =======  ======= ======= =======

  Cross ties inserted (thousands)
      Maintenance of business          479     531    2,708   2,638   2,782
      Expansion projects                87      32      418     319     389
                                   ------- -------  ------- ------- -------
    Total                              566     563    3,126   2,957   3,171
                                   ======= =======  ======= ======= =======

  Track resurfaced (miles)           1,869   2,181   11,687  12,588  12,790
                                   ======= =======  ======= ======= =======



Burlington Northern Santa Fe Corporation
Capital Expenditures and Track Maintenance

                                                                    2007
                                     1st     2nd     3rd     4th    Full
                                   Quarter Quarter Quarter Quarter  Year
                                   ------- ------- ------- ------- -------

Capital expenditures (in millions)
  Maintenance of way
    Rail                           $    82 $   117 $   106 $    71 $   376
    Ties                                78     100      78      60     316
    Surfacing                           48      78      68      41     235
    Other                              103     102     128      99     432
                                   ------- ------- ------- ------- -------
      Total maintenance of way         311     397     380     271   1,359
  Mechanical                            26      36      40      39     141
  Information services                  16      20      13      26      75
  Other                                 27      24      23      31     105
                                   ------- ------- ------- ------- -------
      Total maintenance of business    380     477     456     367   1,680
                                   ------- ------- ------- ------- -------

  Terminal and line expansion          157     138     167     106     568
                                   ------- ------- ------- ------- -------
    Total capital expenditures     $   537 $   615 $   623 $   473 $ 2,248
                                   ======= ======= ======= ======= =======

Track maintenance
  Track miles of rail laid
      Maintenance of business          125     246     228     174     773
      Expansion projects                21      51      75      36     183
                                   ------- ------- ------- ------- -------
    Total                              146     297     303     210     956
                                   ======= ======= ======= ======= =======

  Cross ties inserted (thousands)
      Maintenance of business          664     818     747     479   2,708
      Expansion projects                54     133     144      87     418
                                   ------- ------- ------- ------- -------
    Total                              718     951     891     566   3,126
                                   ======= ======= ======= ======= =======

  Track resurfaced (miles)           2,136   4,234   3,448   1,869  11,687
                                   ======= ======= ======= ======= =======



Burlington Northern Santa Fe Corporation
Outstanding Debt
(Dollars in millions)

                                                           December 31,
                                                        -----------------
                                                          2007      2006
                                                        -------   -------
Notes and debentures, weighted average rate of 6.6
 percent, due 2008 to 2097 *                            $ 6,376   $ 5,364

Equipment obligations, weighted average rate of 6.6
 percent, due 2008 to 2016                                  297       347

Capitalized lease obligations, weighted average rate of
 6.3 percent, due 2008 to 2027                              938       609

Mortgage bonds, weighted average rate of 5.6 percent, due
 2008 to 2047                                               102       106

Financing obligations, weighted average rate of 6.3
 percent, due 2008 to 2028                                  211       153

Commercial paper, weighted average rate of 5.5 percent      261       846

Unamortized discount and other, net                         (39)      (40)
                                                        -------   -------

   Total outstanding debt                                 8,146     7,385

Less:  current portion of long-term debt                   (411)     (473)
                                                        -------   -------

   Long-term debt                                       $ 7,735   $ 6,912
                                                        =======   =======

*  Notes and debentures include a fair value adjustment increase for
    hedges of $6 million and a decrease of $6 million at December 31,
    2007 and 2006, respectively.

Contact Information

  • Investor Contact:
    Marsha Morgan
    (817) 352-6452

    Media Contact:
    Mary Jo Keating
    (817) 867-6407