CNR Canadian National Railway Company

CN (TSX: CNR) (NYSE: CNI) is proud to announce the launch of its new medium horsepower hybrid electric locomotive developed in collaboration with Knoxville Locomotive Works (KLW). This innovative hybrid locomotive will undergo testing in various operational conditions across CN’s network as a pilot project, to evaluate its potential to enhance operational efficiency and fuel savings, marking another step towards more modern and sustainable rail operations.

The 3,200 medium horsepower hybrid unit is built on the traditional CN low horsepower locomotive operating in yards and branch lines. It includes a modern control system, increased horsepower of up to 60%, powered by a 2.4MWh-700HP battery-diesel engine, that is 100% biofuel ready. The hybrid system targets up to approximately 50% reduction in fuel consumption compared to a typical locomotive used in similar operations today. CN expects this initiative will help drive the advancement of hybrid technology in locomotives and contribute to immediate emissions reductions.

“This CN-led pilot represents another milestone in our sustainability journey and focus on emerging technologies. We believe that this hybrid system, if successful, could substantially reduce greenhouse gas emissions from our yard operations, while maintaining our commitment to customers and communities across our network.”

- Patrick Whitehead, Executive Vice-President and Chief Network Operating Officer, CN

The hybrid locomotive will be deployed in phases over the next six months across several CN yards and branch lines, including locations in Tennessee, Mississippi, and Louisiana. Testing will also eventually include operations in cold weather conditions in Western Canada. This phased approach will enable CN to evaluate efficiency and operating protocols for the locomotive. This project is part of CN’s program to meet the deep decarbonization required to achieve net-zero emissions, with the other previously announced locomotive pilots.

About CNCN powers the economy by safely transporting more than 300 million tons of natural resources, manufactured products, and finished goods throughout North America every year for its customers. With its nearly 20,000-mile rail network and related transportation services, CN connects Canada’s Eastern and Western coasts with the U.S. Midwest and the Gulf of Mexico, contributing to sustainable trade and the prosperity of the communities in which it operates since 1919. 

About Knoxville Locomotive Works Inc.Established in 1998, Knoxville Locomotive Works, Inc. (KLW) has repowered, upgraded, repaired and remanufactured approximately 1,000 locomotives ranging from DC/AC modernizations to low horsepower switchers and high horsepower line-haul units. Currently, KLW manufactures both low and high horsepower locomotives that are EPA Tier 4 Certified and CARB Verified. With an employee base totaling over 300 years of combined railroad experience, our focus is building reliable, sustainable, and adaptable locomotives that meet our world’s ever-changing environmental needs and technological advancements. Learn more at www.goklw.com

CN Forward-Looking Statements Certain statements by CN included in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and under Canadian securities laws, including relating to CN’s sustainability-related strategies and targets and commitments, including CN’s climate goals and expected benefits of new technologies. By their nature, forward-looking statements involve risks, uncertainties and assumptions. CN cautions that its assumptions may not materialize and that current economic conditions render such assumptions, although reasonable at the time they were made, subject to greater uncertainty. Forward-looking statements may be identified by the use of terminology such as “believes,” “expects,” “anticipates,” “assumes,” “outlook,” “plans,” “targets,” or other similar words. Forward-looking statements reflect information as of the date on which they are made. CN assumes no obligation to update or revise forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable securities laws. In the event CN does update any forward-looking statement, no inference should be made that CN will make additional updates with respect to that statement, related matters, or any other forward-looking statement.

Contacts:
Media	Investment Community
Ashley Michnowski	Stacy Alderson
Senior Manager	Assistant Vice-President
Media Relations	Investor Relations
(438) 596-4329media@cn.ca	(514) 399-0052investor.relations@cn.ca