Industry
Association & Climate
Review
2021
Table of
Contents
Introduction 3
About This Report 6 Summary of Takeaways 7
Our Approach 8
CSX's Approach to Climate 9 Policy Positions 11 Climate Policy Governance 14 Our Approach to Industry Associations 15
Review 16
Methodology 17 Assessment Findings 18 Addressing Misalignment 21
Closing 22
Closing Comments 23 Forward-looking Statements 24 Appendix 25 Footnotes 26
2
Introduction
3
A Message from
our President
As companies around the world advance their strategies to help meet the global challenge of climate change, I'm excited by the opportunities railroads have to help shippers reduce their carbon emissions.
Freight railroads offer essential transportation services to businesses and customers across the country, utilizing the most sustainable mode of land-based transportation. On average, freight railroads are three to four times more fuel efficient than trucks and produce 75% fewer greenhouse gas (GHG) emissions.
While this presents a considerable environmental advantage, it also means we must lead by example as we collectively work toward lowering our nation's carbon footprint. In addition to our efforts to reduce GHG emissions at CSX, we must also take a deep look at our direct and indirect climate-related lobbying activities to ensure these efforts are aligned to and driving toward our climate-related ambitions and the positive progress needed to advance the broader energy transition.
"AtCSX, we are committed to having the constructive, collaborative and, at times, difficult conversations necessary to advance the future of freight transportation responsibly."
4
Our Climate Commitments
At CSX, we are proud of the progress we have made in our journey to be the safest, most efficient, best-run railroad in North America. This includes: Achieving all of our 2020 environmental goals ahead of schedule; Committing to reducing our GHG emissions intensity by 37.3% by 2030, using 2014 as a baseline—a goal that has been approved by the Science Based Targets Initiative (SBTi) and is in line with the Paris Agreement; Disclosing our environmental, social, and governance (ESG) initiatives and results through our annual ESG Report, which aligns to the Taskforce on Climate-Related Financial Disclosures (TCFD), the Global Reporting Initiative (GRI), and the Sustainability Accounting Standards Board (SASB), and through our annual CDP Climate Change Response; and Collaborating with key stakeholders to not only define the issues most material to CSX but to devise strategic plans to address these issues in a way that positively impacts our business, our industry, our stakeholders, and the environment.
These are just some of the efforts CSX has in place to support the energy transition we know is imperative for reducing GHG emissions. This transition, however, does not happen overnight, and it is not one that CSX can execute alone. To this end, CSX supports the goals of the Paris Agreement.
Advancing the Future of Freight, Together
As we forge ahead in reducing our environmental impact and address climate change in our operations, we must continually assess and evolve our internal and external initiatives, as well as our partnerships to ensure we all remain focused on our efforts to transition to a low-carbon economy and reduce GHG emissions.
This report is designed to help ensure responsive, open stakeholder communications regarding our position on climate change, how that aligns with the organizations we support or are affiliated with, and the steps we are taking as a result of any discovered misalignment. When it comes to these relationships, we recognize that the issues are complex and viewpoints may differ, but it is our duty to work together with our planet in mind.
At CSX, we are committed to having the constructive, collaborative and, at times, difficult conversations necessary to advance the future of freight transportation responsibly.
James M. Foote
President and Chief Executive Officer
5
About this Report
To complement our environmental commitments and our dedication to providing safe, reliable, and energy-efficient freight rail transportation, CSX participates in a number of trade associations in North America.
These trade associations generally support the interests and improvement of the rail industry, with benefits spanning shared research, infrastructure investment, and the development of policy recommendations and rail safety protocol. With varying opinions across diverse sets of members in each association, it is unlikely that we will always agree with every policy position taken. However, it is imperative for associations and their members to work collaboratively toward collective goals that pave a responsible path forward for the industry.
For this report, we evaluated the alignment of the lobbying efforts of our trade associations with the goals of the Paris Agreement. These goals include limiting the rise in global average temperatures this century to well below 2°C above preindustrial levels.
The Paris Agreement is a foundational climate policy that aims to address the complexities of climate change, improving energy efficiency, and growing clean and affordable domestic energy resources, all of which foster economic growth and improve the quality of the environment and surrounding communities. Efficiency benefits realized from CSX's operating model continue to reduce our GHG emissions and pass these benefits to customers. For these reasons and more, rail—the most environmentally friendly and energy-efficient way to move goods on land—is essential to advancing these goals. To ensure increased transparency with key stakeholders and leadership in the transition to a low-carbon economy, we performed an evaluation of CSX's direct and indirect lobbying efforts, including our participation with select trade associations. The goal of the evaluation was to examine whether these efforts aligned with our position on climate change and our support of limiting average global warming to well-below 2°C above pre-industrial levels— as outlined in the Paris Agreement.
This report outlines the results of our review and next steps to address any determined misalignment.
CSX is committed to the ongoing evaluation of our climate policy-related efforts and to progressive action in our operations to reduce our impact on the environment.
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Summary of Takeaways
In pursuit of greater clarity surrounding our climate-related activities, and in response to a shareholder request, we have reviewed publicly available information for each of the trade associations identified below to determine whether its respective position on climate change and related lobbying efforts align with CSX's position and support of the goals outlined in the Paris Agreement on climate change.
We subsequently classified each industry association as aligned, partially aligned, or misaligned on the basis of whether we believe their climate-related policies align with our support of the Paris Agreement on climate change. Of the 15 total associations that we assessed based on the parameters outlined in this report, we are providing an in-depth analysis of three trade associations based on the size of our annual contribution and the scope of their
ALIGNED
PARTIALLY ALIGNED
INDUSTRY ASSOCIATIONS
Association of American Railroads (AAR)
Michigan Railroads Association (MRA)
NOT ALIGNED America's Power
lobbying efforts. Our assessment found one trade association to be materially aligned with our business priorities and our ESG strategy, one to be partially aligned, and one to be not aligned.
For full details of the review, including examples supporting the alignment stances noted in this
table, please see "Assessment Findings."
This review provided a critical opportunity to strengthen our disclosure processes, build on our industry-leading approach to reporting, and promote increased collaboration and communication around climate change within the railroad industry.
CSX will continue to refine the methodology and governance principles used in this evaluation to improve how we manage our industry association memberships in the future.
SUMMARY
We will continue to engage with the AAR and work constructively with them on climate-related policy positions.
We will continue to engage further with the MRA to promote climate-related policies that support the goal of the Paris Agreement on climate change.
We have decided not to renew our membership with America's Power beginning in 2022.
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Our Approach
8
CSX's Approach to Climate
We understand that energy efficiency and maximizing clean and affordable domestic energy resources are crucial to continued economic growth, improved quality of life and furthering the broader transition to a low-carbon economy. To help address the complex global challenge of climate change, CSX supports the goals outlined in the Paris Agreement on climate change to limit global warming to less than 2°C, or preferably 1.5°C, above pre-industrial levels. To both promote impactful climate policy and achieve the global ambitions set forth in the Paris Agreement, CSX welcomes and encourages cross-functional leadership and collaboration among the public and private sectors.
Railroads, including CSX, are essential in moving climate objectives forward through efficient transportation solutions. As an industry, we have a considerable advantage and opportunity: railroads are the most environmentally friendly and energy-efficient way to move goods on land.1 On average, freight railroads are three to four times more fuel efficient than trucks and produce 75% fewer GHG emissions.2
Improving energy efficiency and maximizing clean and affordable domestic energy resources are crucial to continued economic growth, improved quality of life, and environmental stewardship— helping to address the complex global challenge of climate change.
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When our customers move freight by rail instead of highway, they help reduce transport-related GHG emissions. Thus, we believe that transitioning freight from highway to rail will play a significant role in reducing emissions from freight transportation, and it is our subsequent responsibility to leverage this opportunity to make sure we are maximizing efficiencies and reducing our footprint.
We have consistently invested a portion of our annual capital on strategic projects that include fuel efficiency measures, becoming the only U.S. Class I railroad to have crossed the threshold of operating below one gallon of fuel per thousand gross-ton-miles. CSX was the first railroad in North America to have its new emissions intensity goal—which is consistent with reductions required to keep warming to well-below 2° C—approved by the SBTi.3 In 2021, CSX earned the honor of receiving a spot on the Dow Jones Sustainability Index (DJSI) for the 11th consecutive year, demonstrating a public commitment to building a positive and accountable reputation. This distinction recognizes CSX's high performance in environmental management and corporate governance, among other areas. Additionally, CSX achieved "Leadership" status in CDP's prestigious annual rankings, and in 2020, improved to the "A List" rating for our actions to cut emissions, mitigate climate risks and help increase corporate transparency. This ranking places CSX in the top 5% of survey respondents globally.
The 2030 goals set forth in our 2020 ESG report outline ambitious and influential environmental targets that will help drive the transition to a low-carbon economy across four focus areas (see upper right).
Environmental Goals
GHG Emissions
Continue working toward our science-based target to reduce GHG emissions intensity by 37.3% using 2014 as our baseline.
Renewables
Increase the company's use of renewable energy to 50% of the Scope 2 footprint.
Waste
Reduce the amount of hazardous waste generated from ongoing operations by 30%; Decrease the amount of ongoing operations waste disposed in a landfill to less than 10% of volume.
Sustainable Operations
Expand efforts to engage our supply chain through evaluation of GHG quantification, ESG goals, and evaluation of risks & opportunities.
These goals build on CSX's history of taking voluntary steps to reduce GHG emissions and improve fuel efficiency. These efforts, in turn, bring multifaceted benefits to our business, our customers, and the country.
We remain committed to advancing innovative solutions that can help address the industry's challenge of transporting energy-intensive commodities while supporting the efforts of our domestic energy customers to develop newer, cleaner and more efficient energy technologies. In total, these efforts are some of the many reasons why our employees, customers, shareholders, and the communities in which we operate can count on CSX to be a driver for change in the freight transportation sector.
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Policy Positions
CSX recognizes the importance of reducing emissions, supporting efforts to reduce the impacts of climate change, and protecting our environment.
Just as there are numerous factors that impact the climate and our environment, CSX has many issues before Congress, in state legislatures, and under consideration by government agencies that could affect our business and our stakeholders.
Direct engagement with policymakers at the local, state, and federal levels helps to build awareness of the environmental advantages of rail.
Some examples of legislation and proposals that CSX lobbied on that have impacts to climate change in 2021 are:
Modal Equity
Today, the Highway Trust Fund (HTF) subsidizes 80,000-pound trucks by 27 cents per gallon, as they underpay for the damage caused to roads and bridges. Because the HTF has not kept up with maintenance costs, they have borrowed $170 billion from the General Revenue Fund over the last 10 years, further subsidizing trucks. The $1.2 trillion infrastructure package does not address this, but rather, adds nearly $200 billion in additional funds to go to highways and bridges without increasing the HTF tax. Underpayments tip the balance in favor of trucking, as they distort the marketplace by making trucks appear less expensive than they actually are, while putting railroads at a disadvantage. As such, we encouraged trucking subsidies to be removed so freight railroads can compete on a balanced field.
Increased Truck Size and Weight
CSX works to educate federal, state and local government officials and staff on the negative environmental consequences of allowing larger trucks to operate on federal highways and roads, which would divert traffic from rail to truck. This would harm the environment as the number of trucks operating on highways would increase GHG emissions. As such, our lobbying efforts have centered on education and working to prevent measures that disadvantage freight transportation by rail.
Train Length
Another example is legislation and regulations to limit train length. Some of the emission efficiencies and fuel savings the industry has achieved are due to operating fewer, but longer, trains. As such, CSX opposed U.S. House legislation that included provisions limiting train length and supported U.S. Senate legislation that did not. We also worked to educate various states, and our regulatory agency on both the environmental and safety impacts of such a decision.
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Continuing CSX waiver to operate Zero to Zero Pilot
CSX's Federal Railroad Administration (FRA) waiver, which permits testing of a product installed on CSX locomotives, is set to expire. This technology reduces fuel use by 4.9 million gallons annually, which is why CSX has been lobbying to extend the pilot program or receive approval for its regular operation.
Locomotive Replacement Legislation
CSX opposed an amendment that passed and was included in the U.S. House INVEST Act to require a wholesale replacement of locomotive fleets manufactured before 2008. Locomotives are long-lived assets with an average lifespan of 50 years. Considering zero-emission locomotives are not yet commercially available, replacing existing locomotives with combustion engines, which would be in service for decades, would delay the industry's adoption of zero-emission locomotives. This would ultimately undermine the industry's efforts to reduce GHG emissions. We were successful in preventing the inclusion of this provision in the Senate surface reauthorization bill.
Zero-Emission Locomotive Research
CSX supported legislation to create a Freight Rail Innovation Institute focused on developing zero-emission battery and hydrogen-powered freight locomotives. We continue to follow ongoing testing and participated in a zero-emission locomotive test on CSX tracks in Pennsylvania.
Grade Separation Program
CSX supported efforts in both the U.S. Senate and the U.S. House to create a national-grade separation program to eliminate highway-railway obstructions at grade crossings. This increases the safety of these intersections and reduces emissions and fuel consumption through the elimination of both train and car idling.
Howard Street Tunnel Project
CSX worked with local, state and federal officials on a project to improve clearance at the Howard Street Tunnel in Baltimore City and 22 other locations along CSX's I-95 rail corridor between Baltimore and Philadelphia. This project will remove all obstructions that restrict passage of modern doublestack intermodal trains, creating a long-term net environmental benefit due to decrease of vehicle emissions from freight volume transferring from highways to rail. In addition to clearing for doublestack operations, the project builds resiliency into CSX's rail network, enhances productivity at the Port of Baltimore, and improves freight rail performance and capability in the mid-Atlantic corridor.
CSX Rocky Mount Intermodal Terminal
CSX worked with local, state, and federal officials on the permitting and construction of a new North Carolina Department of Transportation intermodal facility in Rocky Mount, N.C. that will use zero-emission cranes to transfer freight from truck to rail. CSX was involved in helping get specialized foreign assembly staff into the United States for the assembly, erection and start up processes of these climate friendly cranes.
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The costs related to our lobbying activities are publicly available and reported in line with the requirements set out by the U.S. Lobbying Disclosure Act. Additional information can
be found on the Political Contributions
page of our website, which includes our Good Government Fund Lobbying Contribution Report, political and lobbying expenditures,
and Political Giving Policy (PGP).
Our PGP is designed to facilitate comprehensive evaluation and supervision of pledged funds or resources. Managed by our Head of Regulatory and Federal Affairs, our PGP covers political contributions, public affairs, candidate campaigns, political parties, committees, organizations and more.
Furthermore, our PGP addresses annual aggregate limits, single recipient limits, prohibition on SuperPAC contributions, and restrictions for contributions to 527 political organizations and ballot measure committees. In accordance with our PGP, Federal and State Affairs personnel are regularly trained on its requirements and certify on an annual basis their understanding and compliance. Our intention is to only make contributions that further the interests of CSX and our stakeholders.
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Climate Policy Governance
In 2020, the Governance Committee of our Board of Directors changed its name to the Governance & Sustainability (G&S) Committee and revised its charter to formally incorporate sustainability oversight. This includes responsibility for assessing CSX's progress on sustainability issues, and overseeing our sustainability policies, strategies and programs, as well as reviewing any ESG reporting. Aligned with our PGP, the G&S Committee reviews and, where required under the PGP, provides approval of: Corporate campaign contributions to state and local candidates; Political contributions from CSX's employee-funded Political Action Committee (PAC), known as the CSX Good Government Fund (GGF); and Independent election expenditures and contributions to trade associations for political purposes.
In addition, the G&S Committee has oversight responsibility for environmental matters, including carbon emissions, and has responsibility for climate risk oversight and evaluation, including risks associated with energy and environmental policy.
The G&S Committee communicates with the broader Board of Directors on a regular basis to ensure coordination and coverage of essential topics. Management provides the G&S Committee with reports for review regarding political, social and environmental trends, regulatory initiatives and rulemaking, as well as public issues and trends of significance that affect CSX. In return, the G&S Committee regularly reports to the full Board of Directors on its activities, evaluations and recommendations.
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Our Approach to Industry Associations
CSX is a member of a number of trade associations that represent and engage on various topics and issues that are pertinent to our industry, from energy efficiency to community relations. Lobbying enables CSX to advocate for a broad range of issues of interest to the rail industry and our stakeholders, including operations, safety, and climate. This includes indirect engagement activities through which we educate trade associations and policymakers on these benefits.
Our process for ensuring these engagements correlate with our short- and long-term business and environmental strategies—developed by Environmental and Strategic Planning teams— includes sustainability goals and annual risk monitoring. Strategic plans and engagement opportunities are communicated by the Federal and State Government Affairs teams, which offer a clear line of accountability across strategy development, activities, and communication.
As with all areas of our business activities, our trade association membership and contribution decisions are guided by our corporate purpose—to capitalize on the efficiency of rail transportation to serve America—and our vision—to be the best-run railroad in North America. Our purpose and vision are naturally aligned with transporting goods in the most energy-efficient way while increasing sustainability and innovation of the rail industry.
We have a responsibility to communicate our position on issues that concern our company and our stakeholders, while providing support and guidance to those taking action. CSX's involvement with trade associations gives us the opportunity to educate the industry on different perspectives.
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Review
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Methodology
The trade associations included in this review have received $50,000 or more from CSX on an annual basis and lobby on behalf of energy- and environmental-related policy issues. All additional organizations that receive over $50,000 or more from CSX on an annual basis—whether lobbying entities or nonprofits—are listed in the appendix.
This review aims to identify discrepancies in the climate-related policy positions and advocacy between these entities and CSX. Additional activities and topics such as health and safety, industry standards, common carrier obligations of railroads, and regulatory compliance were not evaluated but may be mentioned for contextual relevance as policies around these topics are critical to the rail industry.
We assessed alignment based on the industry associations' public climate positions in support of the goal of the Paris Agreement. CSX supports and believes this target serves as critical climate-related policy for reducing carbon emissions. The final alignment stance has been determined based on each association's current position and is not a reflection of activities that have occurred outside of the scope of this report. Associations that do not take public positions on the Paris Agreement, nor have engaged in activities that indicate reason for concern, were considered on a case-by-case basis.
Unless otherwise stated, the assessment findings reflect statements and positions of the associations since January 2020.
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Assessment Findings
The following industry associations represent three of the affiliations evaluated in this assessment. Given the nature of the topics represented or engaged on, these associations have been selected to be featured. A full list of the organizations, including those that we support to further the mission of Pride in Service, CSX's company-wide commitment to honor and serve the nation's military, veterans and first responders, can be found in the appendix.
Of note, the assessment findings listed on the following pages reflect CSX's alignment with the current positions taken by the associations.
01
Association of American Railroads
The Association of American Railroads (AAR) is the standard-setting organization for North America's railroads, focused on the safety and productivity of the U.S. freight rail industry. The organization engages in public policy efforts that support the freight rail industry and believes well-designed policies will help promote GHG emission reductions. CSX acknowledges the AAR has evolved its position on climate change over the years, culminating in today's stance which asserts that rail has an integral role to play in combating climate change.
Membership
CSX has 'Full Membership' with the AAR, which includes representation in the AAR's governing committees, the Safety and Operations Management Committee (SOMC) and the Policy and Advocacy Management Committee (PAMC). Dues are based on revenue. CSX paid $5,784,583 (non-deductible: $703,518) to the AAR in 2020 and $4,682,087 (non-deductible: $337,698 YTD4) in 2021.5
Findings ALIGNED
→ In a recent report "Freight Railroads & Climate Change" available on its website, the AAR states "if action is not taken, climate change will have significant repercussions for the planet, our economies, our society, and even day-to-day railroad operations."6
→ Recently, the AAR released a series of policy proposals, available on its website, for effectively combatting climate change and reducing GHG emissions.7
→ The AAR has not explicitly stated support for the goal of the Paris Agreement; however, it acknowledges its members' efforts to voluntarily set emissions reduction targets in line with SBTi.8
Output
CSX believes we can continue to support the goal of the Paris Agreement while maintaining our membership with the AAR and demonstrating best practices to other members. We will continue to engage with the AAR and monitor alignment on climate-related topics.
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02
Michigan Railroads Association
The Michigan Railroads Association (MRA) is a non-profit organization that serves as an industry voice in public policy with state and local officials across Michigan. The MRA engages on legislation at the state level that impacts member railroad operations and service, with a strong focus on public and employee safety as well as economic matters. In addition, the MRA serves local government officials as a conduit to industry members on public-facing operational and service-related issues. The MRA believes that railroad company investments, along with education, safety-enhancing technologies and training, have helped ensure that train accidents are at an all-time low.8
Membership
CSX is an MRA Member. CSX paid $65,146 to the MRA in 2021.
Findings PARTIALLY ALIGNED
→ The MRA does not have a public position on climate change, nor has it stated publicly its support toward the goal of the Paris Agreement.
→ The MRA is actively involved with several state departments, including the departments of Transportation, State Police, Treasury, State, Education, Environmental Quality and Michigan Economic Development Corporation regarding safety, environmental, taxation, regulatory and economic development issues.
→ In 2015, the MRA stated that9: "Railroads are the most environmentally sound way to move freight over land. Moving freight by rail rather than by truck significantly reduces emissions and helps to reduce highway congestion and the wear and tear on the road system. Through the use of greener and cleaner technologies and more efficient operating practices, private railroads operating in Michigan are committed to even greater environmental advancements in the years ahead."
Output
We have determined some misalignment, given the MRA's lack of a public statement describing their position on climate, which warrants consideration given the climate-related issues it assesses. Taking into account the broader value of our membership with the MRA, we will remain a member of the association. Through our continued engagements, we will monitor alignment on climate-related topics.
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03
America's Power
America's Power (formerly known as the American Coalition for Clean Coal Electricity or ACCCE) is a U.S. non-profit advocacy group representing major American coal producers, utility companies and railroads. America's Power regularly advocates on an "all-theabove" energy strategy that promotes grid reliability and resilience, and a cleaner, healthier environment.
Membership
CSX held a membership with America's Power through 2021. CSX paid $150,000 to America's Power in 2021 and $200,000 in 2020.
Findings NOT ALIGNED
→ America's Power stated in July 2020 that "climate change is a very important issue for all of us because of its environmental and economic consequence."10
→ America's Power has not stated support for the goal of the Paris Agreement.
→ America's Power believes a technology-based strategy that promotes innovation, while protecting grid reliability and resilience, is the best approach to reducing carbon emissions.
→ In a statement from September 2021, it maintained that a "coal fleet will be needed for the foreseeable future."11
Output
CSX recognizes the nation's energy transition will take time, and that grid reliability—including supporting research on carbon capture and sequestration technology—is important. However, we remain firmly committed to meeting the aims of the Paris Agreement goals. As such, CSX has decided to not renew our membership with America's Power.
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Addressing Misalignment
Since trade associations have a variety of members, their views often represent a compromise. Through our engagement with trade associations, we can communicate our perspective and provide valuable influence to encourage Paris Agreementaligned policy initiatives and activities. In our process of addressing our shareholders' concerns, we will continue to evaluate the positions of the trade associations we support and assess their alignment with the goals of the Paris Agreement.
As we work to mitigate climate risks, if we find that a trade association which we are affiliated with fails to align their policies and activities or fails to commit to an improvement plan, we will consider reducing or discontinuing our contributions and support or withdrawing our membership accordingly.
We appreciate interest in CSX's political contributions and trade association involvement, and we welcome the opportunity to enhance our reporting by engaging in a constructive dialogue with our stakeholders.
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Closing
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Closing Comments
CSX will continue to strengthen the methodology and governance principles used in this evaluation to improve how we manage our industry association memberships in the future, and we will actively pursue opportunities to engage and encourage the associations of which we are members.
CSX and the freight rail industry are uniquely positioned to help North America transition to a low-carbon economy. CSX is committed to reducing the environmental footprint of our operations, engaging openly on sustainability issues, and supporting greater sustainable development in collaboration with our customers and communities. To drive action forward, we have set ambitious goals to achieve within the next decade that seek to build on CSX's history of reducing GHG emissions and improving fuel efficiency. Our efforts are intended to complement impactful climate policy and ultimately meet the goals set forth in the Paris Agreement to help the world reach net-zero.
This review provided a critical opportunity to strengthen our disclosure processes, build on our industry-leading approach to reporting, and promote increased climate conversations within the railroad industry.
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Forward-looking
Statements
This information and other statements by the company may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act with respect to, among other items: projections and estimates of earnings, revenues, margins, volumes, rates, cost-savings, expenses, taxes, liquidity, capital expenditures, dividends, share repurchases or other financial items, statements of management's plans, strategies and objectives for future operations, and management's expectations as to future performance and operations and the time by which objectives will be achieved, statements concerning proposed new services, and statements regarding future economic, industry or market conditions or performance. Forward-looking statements are typically identified by words or phrases such as "will," "should," "believe," "expect," "anticipate," "project," "estimate," "preliminary" and similar expressions. Forward-looking statements speak only as of the date they are made, and the company undertakes no obligation to update or revise any forward-looking statement. If the company updates any forward-looking statement, no inference should be drawn that the company will make additional updates with respect to that statement or any other forward-looking statements.
Forward-looking statements are subject to a number of risks and uncertainties, and actual performance or results could differ materially from that anticipated by any forward-looking statements. Factors that may cause actual results to differ materially from those contemplated by any forward-looking statements include, among others; (i) the company's success in implementing its financial and operational initiatives; (ii) changes in domestic or international economic, political or business conditions, including those affecting the transportation industry (such as the impact of industry competition, conditions, performance and consolidation); (iii) legislative or regulatory changes; (iv) the inherent business risks associated with safety and security; (v) the outcome of claims and litigation involving or affecting the company; (vi) natural events such as severe weather conditions or pandemic health crises; and (vii) the inherent uncertainty associated with projecting economic and business conditions.
Other important assumptions and factors that could cause actual results to differ materially from those in the forward-looking statements are specified in the company's SEC reports, accessible on the SEC's website at www.sec.gov and the company's website at www.csx.com.
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Appendix
The following organizations received $50,000 or more in 2020 and/or 2021 (January-June). CSX has elected to disclose the names of these organizations—including many of our critical partners through which we conduct community engagement and service under our Pride in Service program—in alignment with this report's assessment methodology and parameters. Since the missions and/or central focus of these groups do not pose risk of material misalignment on climate position and policy stance, they did not warrant assessment in this review.
ORGANIZATION
Action For Healthy Kids Inc.
American Corporate Partners
American National Red Cross
Blue Star Families
City Year Inc.
First Responders Children's Foundation
Greater Jacksonville Area USO Council Inc.
Habitat for Humanity of Jacksonville Inc.
National FFA Foundation Inc.
National Minority Supplier Development Council (NMSDC)
Operation Gratitude Inc.
Operation Lifesaver Inc.
Soles4souls Inc.
United Way of North East Florida Inc.
Wounded Warrior Project Inc.
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Footnotes
1 https://www.aar.org/wp-content/uploads/2021/02/AAR-Climate-Change-Report.pdf
2 https://www.aar.org/wp-content/uploads/2020/06/AAR-Sustainability-Fact-Sheet.pdf
3 CSX will reduce greenhouse gas emissions intensity by 37.3% between 2014 and 2030. As of the end of 2020, CSX has achieved 13.8% reduction in GHG emissions intensity since base year 2014
4 January – June 2021
5 Dues may be deductible as ordinary and necessary business expenses subject to restrictions imposed as a result of AAR lobbying activities. AAR estimates that the nondeductible portion of dues allocable to lobbying are 12.5% for 2021 and 12.1% for 2020.
6 https://www.aar.org/wp-content/uploads/2021/02/AAR-Climate-Change-Report.pdf#page=2
7 https://www.aar.org/wp-content/uploads/2021/02/AAR-Climate-Change-Report.pdf
8 https://michiganrailroadsassociation.com/
9 https://michiganrailroadsassociation.com/wp-content/uploads/2018/05/2015-Spring-Rail-Update-web.pdf
10 https://www.americaspower.org/wp-content/uploads/2020/07/Bloodworth-Testimony-PA_RGGI-July-21-MB.pdf
11 https://www.americaspower.org/wp-content/uploads/2021/09/CEPP-Letter-09.13.21-1.pdf
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CSX Corporate Headquarters
500 Water St., J275 Jacksonville, FL 32202 www.csx.com