EMAIL DETAILS

Hunter - let me know if you have any changes and we'll get this out ASAP.

Below are a number of the issues we were planning on discussing on our
call this morning. Please let us know if you have any questions or
concerns and we look forward to connecting next week.

Amtrak

Earlier this week Hunter had lunch with Joe Boardman on a broad range
of issues relevant to CAF. Joe was less focused on the longer term
high speed rail projects in Florida and California and more honed in
on short term issues facing Amtrak. Among the issues he touched on
were CAF’s current contract with Amtrak, Amtrak’s role in developing
the Northeast Corridor and plans to identify short and long term
solutions for replacing the Acela rolling stock. Joe expressed
confidence in the positive working relationship between Amtrak and
CAF. An important point that was reiterated in the meeting was that
the high speed rail projects are all longer term proposals and he sees
that there will be just as many opportunities for non-high speed rail
procurements in the interim.

FL High Speed Rail / High Speed Rail

FDOT released the latest draft RFQ on December 16th that contains the
same speed provisions as past versions (please see attached copy). The
most relevant sections are on page 5 (see definition of “Rolling
Stock”) and page 30 (see “Lead Rolling Stock Manufacturer”). The
technical requirements for the Lead Rolling Stock Manufacturer (page
24) were excluded from this draft. This language doesn’t really change
CAF’s ability to successfully bid on the contract. It will still be
difficult given the speed requirements, but it doesn’t entirely
exclude CAF either. That said, we’re pursuing angles with Amtrak and
SNCF regarding their consortium and a potential fit for CAF. We’ve
learned that SNCF is the lead on identifying a rolling stock partner
and are following up with their team on a meeting accordingly. The
final RFQ is expected in the next month.

It also seems that the project in Nevada is gaining steam and could
very well leap frog California as the next high speed project to move
forward. We’re monitoring this opportunity closely and will keep you
abreast to any developments and potential consequences for CAF.

--
Mike Muldoon
Rosemont Seneca Partners, LLC
1010 Wisconsin Ave., NW
Suite 705
Washington, DC 20007
(202) 333-1880
mmuldoon@rosemontseneca.com