UNION PACIFIC RAILROAD SELECTS KIODEX RISK WORKBENCH FOR FUEL RISK MANAGEMENT

Largest U.S. railroad chooses Web-based solution to manage volatile energy prices

NEW YORK, NY, January 16, 2002 – Kiodex, Inc., a provider of Web-based risk management solutions, today announced that Union Pacific Railroad, the largest railroad in the United States and a subsidiary of Union Pacific Corporation (NYSE:UNP), has become a customer of the Kiodex Risk Workbench.

"We are extremely pleased to have Union Pacific Railroad as a Kiodex Risk Workbench customer," said Raj Mahajan, Kiodex President... "Their confidence in the Risk Workbench’s ability to handle the energy risk management of the country’s largest railroad is a wonderful validation of Kiodex and its services."

"Union Pacific Railroad recognizes the complexity of creating efficient hedging strategies in a volatile energy market," said Charles Walters, Fuel Director for Union Pacific. "The ability to evaluate various hedging strategies, test different scenarios, and assist in the strategy selection that results in optimal cost savings for the company are features of the Risk Workbench that Union Pacific found particularly compelling."

The Kiodex Risk Workbench is a Web-based risk management system that assists corporations such as Union Pacific Railroad in managing their earnings exposure to energy price risk. Unlike other risk management systems, the Kiodex Risk Workbench integrates its four core services – pricing tools, market data, risk reports, and position keeping - into a single application. The combination of these services into an easy-to-use interface enables companies to design, choose and implement more effective hedging strategies.

Web-based Access, Standardized Risk Reporting Key Features for Union Pacific

"One of the features Union Pacific values highly is the ability to access our data in the Risk Workbench from any computer with a Web browser," added Charles Walters. "Our Front, Middle and Back Offices are located in several different buildings in downtown Omaha. The ability to access the most up-to-date information at the same time in different locations is tremendously efficient for the company." Another key benefit of the Risk Workbench that Union Pacific values is the ability to create clear, consistent and standardized risk reports for evaluation and presentation to senior management.

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