CENTRAL JAPAN RAILWAY (JRC) A TOTAL SYSTEM APPROACH TO HIGH- SPEED RAIL PRESENTED BY: RICHARD P. LAWLESS CEO, U.S.-JAPAN HIGH-SPEED RAIL

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CENTRAL JAPAN RAILWAY (JRC) A TOTAL SYSTEM APPROACH TO HIGH- SPEED RAIL PRESENTED BY: RICHARD P. LAWLESS CEO, U.S.-JAPAN HIGH-SPEED RAIL 1

Who we are Central Japan Railway Company (JRC) is the world s premier high-speed h rail operator. The core of JRC operations is the Tokaido Shinkansen, known internationally as the Bullet Train. Carrying as many as 150 million passengers yearly, the Shinkansen links Japan s principal metropolitan areas of Tk Tokyo, Nagoya, and dosaka. U.S.-Japan High-Speed Rail (USJHSR) is a U.S. company which has teamed with JRC to market and deploy the N700-I Bullet Train internationally, including selected corridors in the United States. USJHSR was founded in association with JRC in 2009 and is headquartered in Washington, DC.

Overview and Background of JRC A pioneer in HSR development for 45 years. 3 In 1964 Japan National Railways launched the world s first HSR system, the 130mph Tokaido Shinkansen. Constructed as a closed corridor: the key factor in its success. JNR privatization in 1987 led to the establishment of six regional passenger rail companies, including three HSR operators. JRC took over the Tokaido Shinkansen. JRC is a now a completely private company. Promotes many affiliated businesses, including extensive and highly successful Transit Oriented Development (TOD). JRC is now marketing its highly-evolved fifth generation technology, the N700-I Bullet, as an integrated total system solution internationally, including the United States.

Central Japan Railway Company (JRC) Operates the Tokaido Shinkansen, high-speed rail linking Japan s most populous cities Tokyo, Nagoya, Kyoto and Osaka Operates conventional rail in the Central Japan area Tokaido Shinkansen Kyoto Osaka Nagoya Tokyo Tokyo-Osaka: 320 miles

High-Speed Rail between Tokyo and Osaka The world s FIRST high-speed rail - Operational since 1964 (*French TGV since 1981, German ICE since 1991) Remains the leading high-speed rail in the world today Series 0 (1964) 1 st Generation 130 mph Series N700 (2007) 5 th Generation 168mph, Sanyo 188mph

Operational Data (FY2010.3) Total daily number of trains 341 *1 Trains per hour capacity from Tokyo 13 Average daily passenger ridership Yearly passenger ridership 378 thousand 138 million Average annual delay per train 30 seconds *2 Accident-related fatalities Zero *1 Including extra services *2 Including delays due to uncontrollable causes, such as natural disasters 6

Impact- National Economic Growth Unit: trillion (for GDP), 100 million passenger-kilometers (for Ridership) 600 500 GDP 400 300 200 Ridership 100 0 1964 1970 1980 1990 2000 7 2009 (FY)

Impact- Shinkansen Stations Anchor Local Development Shin Yokohama Station 2010 Shin Yokohama Station today 1964 Immediately after opening *Introduction of HSR promotes development of the areas around its station

Shinagawa Station Impact- Shinkansen Stations Drive Regional Development 1995 Before opening Shinagawa Station 2010 Shinagawa Station today Shinagawa Station was opened at 2003

Impact- Creation of Affiliated Business and Employment Outlook of JRC s Group Businesses Merchandise Real Estate Hotels Travel agency $5billion/year JR Central Towers complex in Nagoya- A new high-rise city above the Shinkansen Station 10

Impact- Environmentally Friendly 11 Comparison of Energy Consumption per Passenger Seat Series N700 Nozomi Airplane (B777-200) Comparison of CO 2 emissions i per Passenger Seat Basis (90MJ/seat) (770MJ/seat) 8 times Series N700 Basis Nozomi (4.4kg-CO 2 /seat) 12 times Airplane (B777-200) (52kg-CO 2 /seat) Source: Calculation based on running performance (JR Central figures)series N700 "Nozomi" (Tokyo~Shin-Osaka) :JR Central calculations with reference to ANA CSR Report 2009

Komaki Research Center 12 Real Scale Test Structure The Facilities Building A Track & Structural Dynamics Simulator Test Facilities Building C Test Track Opened July 2002 Ground area Employees Site area: Approx. 73ha Use area: Approx. 20ha Research & Development Division: Approx. 120 Planning & Project Division: Approx. 30

High-Speed / High-Efficient Transportation 13 Transition of Tokaido Shinkansen Rolling Stock 1964 1985 1992 1999 2007 Early series rolling stock - Steel carbody - Conventional bogie - DC motor drive New generation rolling stock Substantial reduction in the weight of rolling stock and introduction of the latest power electronics technologies - Aluminum alloy carbody - Bolsterless bogie - Asynchronous motor drive (VVVF control) - Regenerative brake Series 0 Series 100 Series 300 Series 700 Series N700 972t (2,142kips) 925t (2,039kips) 711t (1,580kips) 708t (1,567kips) 715t (1,576kips)

The N700 Bullet: A Total System Approach The N700-I is a Total HSR System. Not just rolling stock, but the entire Tokaido Shinkansen system has provided safe and superior performance for more than 45 years. The safety and the high quality of the Tokaido Shinkansen is enabled by the integrated management of the system s hardware and software. Total System Approach of the High-Speed Railway System 14 Hardware - Rolling stock - Ground facilities and tracks - Signal system ATC (onboard and ground facilities) - Disaster prevention facilities - Protective facilities Software - Safety promotion structure - Employee Education and Aptitude - Maintenance -Operation management

N700 KEY CHARACTERISTICS The N700 is the latest and most sophisticated product of the JRC approach to HSR development. SAFETY ZERO accident-related fatalities Computer-Aided Traffic Control SPEED 200+ mph maximum speed 1.99 mph/sec starting acceleration PROVEN RELIABILITY 30 second average annual delay 150 million passengers per year ENVIRONMENTAL FRIENDLINESS 29Wh/km/seat energy consumption Low noise pantograph & coverall hood PASSENGER COMFORT Advanced semi-active suspension Noise-absorbing floor structure 15

JR Central (JRC) Tokyo Shin Osaka N700 Connecting Depoloyment Communities in Japan 552 km (343 miles) 2h25m 2007 JR West Shin Osaka 644 km 2h23m 2007 (JRW) Hakata (400 miles) JR Kyushu (JRK) Hakata Kagoshima 289 km (180miles) 1h20m 2011 N700 Overlapping Through Service JRC JRW Tokyo Hakata 2007 JRW JRK Osaka Kagoshima 2011 Hiroshima Hakata Kyoto Nagoya Shin-Osaka Tokyo Shin-Yatsushiro Kagoshima-Chuo

CONCLUSION Please feel free to contact us at: E-mail: info@usjhsr.com Phone: 202-403-0437 Website: www.usjhsr.com