KANSAS CITY SOUTHERN
EQUIPMENT LEASE AGREEMENT
<DOCUMENT>
<TYPE>EX-10.3
<SEQUENCE>4
<FILENAME>c25765exv10w3.htm
<DESCRIPTION>EQUIPMENT LEASE AGREEMENT
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<DIV align="right" style="font-size: 10pt; margin-top: 12pt">EXHIBIT 10.3
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS">Equipment Lease Agreement</FONT><BR>
<FONT style="font-variant: SMALL-CAPS">(KCSR 2008-1)</FONT>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">dated as of April&nbsp;1, 2008

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">between

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<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">KCSR 2008-1 Statutory Trust</FONT>, acting through<BR>
<FONT style="font-variant: SMALL-CAPS">U.S. Bank Trust National Association,</FONT><BR>
not in its individual capacity, but solely as Owner Trustee,<BR>
Lessor

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">and

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<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">The Kansas City Southern Railway Company,</FONT><BR>
Lessee

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<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">30 SD70ACe Locomotives

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="font-variant: SMALL-CAPS">Certain of the right, title and interest of Lessor in and to this Lease, the Equipment
covered hereby and the Rent due and to become due hereunder have been assigned as collateral
security to, and are subject to a security interest in favor of, Wilmington Trust Company, as
Indenture Trustee under a Trust Indenture and Security Agreement (KCSR 2008-1), dated as of April
1, 2008 between said Indenture Trustee, as secured party, and Lessor, as debtor. Information
concerning such security interest may be obtained from Indenture Trustee at its address set forth
in Section&nbsp;20 of this Lease. This Lease Agreement has been executed in several counterparts, but
only that counterpart shall be deemed the original counterpart for chattel paper purposes that
contains the receipt therefor executed by Wilmington Trust Company, as Indenture Trustee, on the
signature page thereof. See Section&nbsp;26.2 for information concerning the rights of the original
holder and the holders of the various counterparts hereof.</FONT>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Memorandum of Equipment Lease Agreement (KCSR 2008-1) filed with the Surface Transportation
Board pursuant to 49 U.S.C. &#167; 11301 on April&nbsp;14, 2008 at 10:30&nbsp;A.M., Recordation Number 27460, and
deposited in the Office of the Registrar General of Canada pursuant to Section&nbsp;105 of the Canada
Transportation Act on April&nbsp;14, 2008 at 12:28&nbsp;P.M.
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS">Table of Contents</FONT>
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    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
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<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #ffffff"><FONT style="font-variant: SMALL-CAPS">Section</FONT></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #ffffff"><FONT style="font-variant: SMALL-CAPS">Heading</FONT></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><FONT style="font-variant: SMALL-CAPS">Page</FONT></TD>
    <TD>&nbsp;</TD>
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    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
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    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;1.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Definitions</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
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    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;2.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Acceptance and Leasing of Equipment</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
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<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;3.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Term and Rent</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
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<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;3.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lease Term</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;3.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Interim Rent and Basic Rent</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;3.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Supplemental Rent</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;3.4.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Adjustment of Rent</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;3.5.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Manner of Payments</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
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    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
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<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;4.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Ownership and Marking of Equipment</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
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    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
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    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
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<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;4.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Retention of Title</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;4.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Duty to Number and Mark Equipment</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;4.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Prohibition against Certain Designations</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
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    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
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<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;5.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Disclaimer of Warranties; Right of Quiet Enjoyment</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
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    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;5.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Disclaimer of Warranties</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;5.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Quiet Enjoyment</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
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    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;6.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Return of Equipment; Storage</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
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<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;6.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">General</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;6.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Condition of Equipment</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;6.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Storage</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;6.4.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Termination of Lease</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;7.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Liens</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;8.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Maintenance; Operation; Sublease</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;8.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Maintenance</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;8.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Operation</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;8.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Sublease</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;9.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Modifications</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;9.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Required Modifications</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;9.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Optional Modifications</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;9.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Removal of Proprietary and Communications Equipment</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;9.4.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Retention of Equipment by Lessor</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
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<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="25%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="71%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #ffffff"><FONT style="font-variant: SMALL-CAPS">Section</FONT></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #ffffff"><FONT style="font-variant: SMALL-CAPS">Heading</FONT></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><FONT style="font-variant: SMALL-CAPS">Page</FONT></TD>
    <TD>&nbsp;</TD>
</TR>

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<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;10.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Voluntary Termination</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;10.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Right of Termination</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;10.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Sale of Equipment</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;10.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Retention of Equipment by Lessor</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;10.4.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Termination of Lease</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;11.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Loss, Destruction, Requisition, Etc.</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;11.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Event of Loss</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;11.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Replacement or Payment upon Event of Loss</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;11.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Rent Termination</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;11.4.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Disposition of Equipment; Replacement of Unit</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;11.5.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Eminent Domain</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;12.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Insurance</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;12.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Property Damage and Public Liability Insurance</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;12.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Proceeds of Insurance</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;12.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Additional Insurance</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;13.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Reports; Inspection</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;13.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Duty of Lessee to Furnish</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;13.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lessor&#146;s Inspection Rights</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;14.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Events of Default</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;15.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Remedies</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;15.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Remedies</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;15.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Cumulative Remedies</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;15.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">No Waiver</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;15.4.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lessee&#146;s Duty to Return Equipment Upon Default</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;15.5.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Specific Performance; Lessor Appointed Lessee&#146;s Agent</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;16.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Filings; Further Assurances</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;16.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Filings</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;16.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Further Assurances</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;16.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Expenses</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;17.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Lessor&#146;s Right to Perform</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;18.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Assignment</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;18.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Assignment by Lessor</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;18.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Assignment by Lessee</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;18.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Sublessee&#146;s Performance and Rights</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->-ii-<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
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    <TD width="25%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="71%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #ffffff"><FONT style="font-variant: SMALL-CAPS">Section</FONT></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #ffffff"><FONT style="font-variant: SMALL-CAPS">Heading</FONT></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><FONT style="font-variant: SMALL-CAPS">Page</FONT></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;19.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Net Lease, etc.</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;20.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Notices</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;21.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Concerning Indenture Trustee</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;21.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Limitation of Indenture Trustee&#146;s Liabilities</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;21.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Right, Title and Interest of Indenture Trustee under Lease</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;22.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Termination Upon Purchase by Lessee; Options to Renew</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;22.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Termination upon Purchase by Lessee</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;22.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Renewal Options</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;22.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#091;Reserved&#093;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;22.4.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Determination of Fair Market Rental Value</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;22.5.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Stipulated Loss Value and Termination Value During Renewal Term</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;23.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Lessee&#146;s Options to Purchase Equipment; Purchase of Beneficial Interest</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;24.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Limitation of Lessor&#146;s Liability</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;25.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Filing in Mexico</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;26.</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT style="font-variant: SMALL-CAPS">Miscellaneous</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.1.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Governing Law; Severability</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.2.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Execution in Counterparts</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.3.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Headings and Table of Contents; Section References</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.4.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Successors and Assigns</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.5.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">True Lease</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.6.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Amendments and Waivers</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.7.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Survival</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.8.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Business Days</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.9.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Directly or Indirectly</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.10.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Incorporation by Reference</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.11.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Entitlement to &#167;1168 Benefits</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Section&nbsp;26.12.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Waiver of Jury Trial</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="3" align="left"><FONT style="font-variant: SMALL-CAPS">Attachments to Equipment Lease Agreement:</FONT></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Exhibit&nbsp;A&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#151;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Lease Supplement</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Appendix&nbsp;A&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#151;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Definitions</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
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</TABLE>
</DIV>



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</DIV>



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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS"><B>Equipment Lease Agreement</B></FONT><BR>
<FONT style="font-variant: SMALL-CAPS"><B>(KCSR 2008-1)</B></FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This <FONT style="font-variant: SMALL-CAPS">Equipment Lease Agreement</FONT> (KCSR 2008-1), dated as of April&nbsp;1, 2008 (this
&#147;<I>Lease</I>&#148;), between the KCSR 2008-1<FONT style="font-variant: SMALL-CAPS"> Statutory Trust</FONT>, a Delaware statutory trust (&#147;<I>Lessor</I>&#148;),
acting through <FONT style="font-variant: SMALL-CAPS">U.S. Bank Trust National Association</FONT>, a national banking association, not
in its individual capacity except as expressly stated herein, but solely as trustee created under
the Trust Agreement (as hereinafter defined) (in its individual capacity &#147;<I>Trust Company</I>&#148; and as
Owner Trustee, together with its permitted successors and assigns, called the &#147;<I>Owner Trustee</I>&#148;), and
<FONT style="font-variant: SMALL-CAPS">The Kansas City Southern Railway Company,</FONT> a Missouri corporation (&#147;<I>Lessee</I>&#148;),
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS"><B>Witnesseth:</B></FONT>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;1.</FONT> <FONT style="font-variant: SMALL-CAPS">Definitions.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unless the context otherwise requires, all capitalized terms used herein without definition
shall have the respective meanings set forth in Appendix&nbsp;A hereto for all purposes of this Lease.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;2.</FONT> <FONT style="font-variant: SMALL-CAPS">Acceptance and Leasing of Equipment.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lessor hereby agrees (subject to satisfaction or waiver of the conditions applicable to the
Delivery Date set forth in Article&nbsp;IV of the Participation Agreement), simultaneously with the
delivery of each Unit of Equipment from Seller to Lessor to accept delivery of such Unit of
Equipment from Seller, as evidenced by the execution and delivery by an authorized representative
of Lessor of a Certificate of Acceptance with respect to such Unit and thereafter to lease such
Unit to Lessee hereunder. Lessee further agrees (subject to satisfaction or waiver of the
conditions applicable to the Delivery Date for such Unit set forth in Article&nbsp;IV of the
Participation Agreement) to execute and deliver a Lease Supplement covering such Unit. Lessor
hereby authorizes one or more employees or agents of Lessee, designated by Lessee, to act on behalf
of Lessor as its authorized representative or representatives to accept delivery of the Equipment
and to execute and deliver such Certificate of Acceptance, all in accordance with Sections&nbsp;2.1(a)
and 2.3(b) of the Participation Agreement. Lessee hereby agrees that such acceptance of delivery
by such authorized representative or representatives on behalf of Lessor shall, without further
act, irrevocably constitute acceptance by Lessee of such Unit for all purposes of this Lease.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;3.</FONT> <FONT style="font-variant: SMALL-CAPS">Term and Rent.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;3.1. Lease Term</I>. The interim term of this Lease (the &#147;<I>Interim Term</I>&#148;) shall commence
for each Unit on the Delivery Date for such Unit and shall terminate at 11:59&nbsp;P.M. (New York City
time) on the date set forth as Item&nbsp;C to Schedule&nbsp;3 of the Participation Agreement (the &#147;<I>Interim
Term Expiration Date</I>&#148;) for such Unit. The basic term of this Lease (the &#147;<I>Basic Term</I>&#148;) for each
Unit shall commence on the day (the &#147;<I>Basic Term Commencement Date</I>&#148;) immediately following the
Interim Term Expiration Date for such
Unit and, subject to
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">earlier termination pursuant to Sections&nbsp;10, 11, 15, 22.1 and 23, shall expire
at 11:59&nbsp;P.M. (New York City time) on the date set forth as Item&nbsp;D to Schedule&nbsp;3 of the
Participation Agreement (the &#147;<I>Basic Term Expiration Date</I>&#148;) for such Unit. Subject and pursuant to
Section&nbsp;22.2, Lessee may elect one or more Renewal Terms with respect to any Unit.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;3.2. Interim Rent and Basic Rent</I>. (a)&nbsp;Lessee and Lessor hereby agree that no Rent
(other than Supplemental Rent, if any) shall be payable to Lessor during the Interim Term. Lessee
hereby agrees to pay Lessor Basic Rent for each Unit throughout the Basic Term applicable thereto
on the first Rent Payment Date and in consecutive semi-annual installments thereafter payable on
each Rent Payment Date. Each such payment of Basic Rent shall be in an amount equal to the product
of the Equipment Cost for such Unit multiplied by the Basic Rent percentage for such Unit set forth
opposite such Rent Payment Date on Schedule&nbsp;2 to the Lease Supplement for such Unit (as such
Schedule&nbsp;2 shall be adjusted pursuant to Section&nbsp;2.6 of the Participation Agreement). Basic Rent
for any Unit shall be payable on the Rent Payment Dates as set forth in Schedule&nbsp;2 to the Lease
Supplement for such Unit. Basic Rent shall be allocated and accrued for use of the Units as
specified in Schedule&nbsp;5 to the Lease Supplement for such Units <I>(&#147;Allocated Rent&#147;</I>). For the
avoidance of doubt, and notwithstanding anything to the contrary herein, the parties agree that
irrespective of Lessee&#146;s payment obligation on each Rent Payment Date, Lessee&#146;s liability on
account of the use of each Unit shall be allocated to each Lease Period in the amount of Allocated
Rent set forth in Schedule&nbsp;5 to the Lease Supplement for such Unit. Basic Rent allocated to any
Lease Period shall be further allocated ratably to each day within such Lease Period. Basic Rent
shall be allocated to each calendar year in the Lease Term based upon the assumption that each
calendar year in the Lease Term is 360&nbsp;days, consisting of four 90-day quarters and twelve 30-day
months. It is the intention of Lessor and Lessee that the allocations of Basic Rent to each Lease
Period in the amount set forth in Schedule&nbsp;5 to the applicable Lease Supplement constitute specific
allocations of fixed rent within the meaning of Treasury Regulation&nbsp;Section&nbsp;1.467-1(c)(2)(ii).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Anything contained herein or in the Participation Agreement to the contrary
notwithstanding, each installment of Basic Rent (both before and after any adjustment pursuant to
Section&nbsp;2.6 of the Participation Agreement) shall be, under any circumstances and in any event, in
an amount at least sufficient for Lessor to pay in full as of the due date of such installment, any
payment of principal of and interest on the Equipment Notes required to be paid by Lessor pursuant
to the Indenture on such due date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;3.3. Supplemental Rent</I>. Lessee also agrees to pay to Lessor, or to whomsoever shall be
entitled thereto, any and all Supplemental Rent, promptly as the same shall become due and owing,
or where no due date is specified, promptly after demand by the Person entitled thereto, and in the
event of any failure on the part of Lessee to pay any Supplemental Rent, Lessor shall have all
rights, powers and remedies provided for herein or by law or equity or otherwise as in the case of
nonpayment of Basic Rent. Without limiting the generality of the foregoing, Lessee will pay, as
Supplemental Rent, (i)&nbsp;on demand, to the extent permitted by applicable law, an amount equal to
interest at the applicable Late Rate on any part of any installment of Basic Rent not paid when due
for any period for which the same shall be overdue and on any payment of Supplemental Rent not paid when
due or demanded, as the case may be, for the period from such due date or demand until the same
shall be paid, (ii)&nbsp;an amount equal to
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">any Make-Whole Amount due under Section&nbsp;2.10(a) or Section
2.10(c) of the Indenture, (iii)&nbsp;in the case of the termination of this Lease with respect to any
Unit pursuant to Section&nbsp;10, on the applicable Termination Date, an amount equal to the Make-Whole
Amount, if any, with respect to the principal amount of each Equipment Note to be prepaid as a
result of such termination and any Make-Whole Amount due on the Equipment Notes upon their
acceleration pursuant to Section&nbsp;4.02 of the Indenture by reason of a Lease Event of Default, (iv)
in the case of a termination of this Lease with respect to any Unit pursuant to Section&nbsp;22.1, on
the date such Unit is purchased, an amount equal to the Make-Whole Amount, if any, with respect to
any Equipment Note to be prepaid on such date, (v)&nbsp;in the case of any refunding or refinancing
pursuant to Section&nbsp;11.2 of the Participation Agreement or any prepayment pursuant to Section
2.10(d) of the Indenture, on the date specified in the agreement referred to in Section&nbsp;11.2(a) of
the Participation Agreement or Section&nbsp;2.10(d) of the Indenture, as applicable, an amount equal to
the Make-Whole Amount, if any, with respect to the principal amount of each Equipment Note
outstanding on the Refunding Date, (vi)&nbsp;on demand, any payments required under the Tax Indemnity
Agreement or Article&nbsp;VII of the Participation Agreement, (vii)&nbsp;in the case of any purchase of a
Unit in accordance with Section&nbsp;23(d), on the first installment payment date, an amount equal to
the Make-Whole Amount, if any, with respect to any Equipment Note to be prepaid on such date, and
(viii)&nbsp;all amounts payable by Lessor under Section&nbsp;7.02 of the Indenture. All Supplemental Rent to
be paid pursuant to this Section&nbsp;3.3 shall be payable in the type of funds and in the manner set
forth in Section&nbsp;3.5.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;3.4. Adjustment of Rent</I>. Lessee and Lessor agree that the Basic Rent, Stipulated Loss
Value and Termination Value percentages shall be adjusted to the extent provided in Section&nbsp;2.6 of
the Participation Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;3.5. Manner of Payments</I>. All Rent (other than Supplemental Rent payable to Persons
other than Lessor, which shall be payable to such other Persons in accordance with written
instructions furnished to Lessee by such Persons, as otherwise provided in any of the Operative
Agreements or as required by law) shall be paid by Lessee to Lessor at its office at Goodwin
Square, 225 Asylum Street, 23rd Floor, Hartford, Connecticut 06103, Attention: Corporate Trust-
Administration (KCSR 2008-1). All Rent shall be paid by Lessee in funds consisting of lawful
currency of the United States of America, which shall be immediately available to the recipient not
later than 12:00 noon (New York City time) on the date of such payment, provided that so long as
the Indenture shall not have been discharged pursuant to the terms thereof, Lessor hereby directs,
and Lessee agrees, that all Rent (excluding Excepted Property) payable to Lessor and assigned to
Indenture Trustee shall be paid directly to Indenture Trustee at the times and in funds of the type
specified in this Section&nbsp;3.5 at the office of Indenture Trustee at Rodney Square North, 1100
North Market Street, Wilmington, Delaware 19890-0001, Attention: Corporate Trust Administration, or
at such other location in the United States of America as Indenture Trustee may otherwise direct.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;4.</FONT> <FONT style="font-variant: SMALL-CAPS">Ownership and Marking of Equipment.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;4.1. Retention of Title</I>. Lessor shall and hereby does retain full legal title to and
ownership of the Equipment notwithstanding the delivery of the Equipment to Lessee hereunder.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;4.2. Duty to Number and Mark Equipment</I>. On or before the Delivery Date with respect
to each Unit, Lessee shall cause each Unit to be numbered with the reporting mark shown on the
Lease Supplement for such Unit dated the Delivery Date and, as soon as practicable after the
Delivery Date (and in any event within 30&nbsp;days of the Delivery Date) and at all times thereafter,
shall cause each Unit to be plainly, distinctly, permanently and conspicuously marked by a plate or
stencil printed in contrasting colors upon each side of each Unit, in letters not less than one
inch in height, a legend substantially as follows:
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS">&#147;Subject to a Security Agreement recorded</FONT><BR>
<FONT style="font-variant: SMALL-CAPS">with the Surface Transportation Board&#147;</FONT><BR>
<FONT style="font-variant: SMALL-CAPS">or</FONT><BR>
<FONT style="font-variant: SMALL-CAPS">&#147;Ownership subject to a Security Agreement filed</FONT><BR>
<FONT style="font-variant: SMALL-CAPS">with the Surface Transportation Board&#147;</FONT>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">with appropriate changes thereof and additions thereto as from time to time may be required by law
in order to protect Lessor&#146;s right, title and interest in and to such Unit, its rights under this
Lease and the rights of Indenture Trustee. Except as provided hereinabove, Lessee will not place
any such Units in operation or exercise any control or dominion over the same until the required
legend shall have been so marked on both sides thereof, and will replace promptly any such word or
words in such legend which may be removed, defaced, obliterated or destroyed. Lessee will not
change the reporting mark of any Unit except in accordance with a statement of new reporting marks
to be substituted therefor, which statement shall be delivered to Lessor by Lessee and a supplement
to this Lease and the Indenture with respect to such new reporting marks shall be filed or recorded
by Lessee in all public offices where this Lease and the Indenture shall have been filed or
recorded, in each case promptly after a Responsible Officer of Lessee obtains actual knowledge of
such change.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;4.3. Prohibition against Certain Designations</I>. Except as above provided, Lessee will
not allow the name of any Person to be placed on any Unit as a designation that might reasonably be
interpreted as a claim of ownership; <I>provided, however</I>, that subject to the delivery of the
statement specified in the last sentence of Section&nbsp;4.2, Lessee may cause the Equipment to be
lettered with the names or initials or other insignia customarily used by Lessee or any permitted
sublessees or any of their respective Affiliates on railroad equipment used by it of the same or a
similar type.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;5.</FONT> <FONT style="font-variant: SMALL-CAPS">Disclaimer of Warranties; Right of Quiet Enjoyment.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;5.1. Disclaimer of Warranties</I>. Without waiving any claim Lessee may have against any
seller, supplier or manufacturer, <FONT style="font-variant: SMALL-CAPS">LESSEE ACKNOWLEDGES AND AGREES THAT, (I)&nbsp;EACH UNIT IS OF A SIZE,
DESIGN, CAPACITY AND MANUFACTURE SELECTED BY AND ACCEPTABLE TO
LESSEE, (II)&nbsp;LESSEE IS SATISFIED THAT EACH UNIT IS SUITABLE FOR ITS PURPOSES,
(III)&nbsp;NEITHER LESSOR, TRUST COMPANY NOR OWNER PARTICIPANT IS A MANUFACTURER
OR A DEALER IN PROPERTY OF SUCH KIND, (IV)&nbsp;EACH UNIT IS LEASED HEREUNDER SUBJECT
TO ALL APPLICABLE LAWS AND GOVERNMENTAL REGULATIONS NOW IN EFFECT OR
HEREINAFTER ADOPTED, AND (V)&nbsp;LESSOR LEASES AND LESSEE TAKES EACH UNIT &#147;AS-IS&#148;,
&#147;WHERE-IS&#148; AND &#147;WITH ALL FAULTS&#148;,</FONT>
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">AND LESSEE ACKNOWLEDGES THAT NEITHER LESSOR,
TRUST COMPANY NOR OWNER PARTICIPANT MAKES NOR SHALL BE DEEMED TO HAVE MADE,
AND EACH EXPRESSLY DISCLAIMS, ANY AND ALL RIGHTS, CLAIMS, WARRANTIES OR
REPRESENTATIONS EITHER EXPRESS OR IMPLIED, AS TO THE VALUE, CONDITION, FITNESS
FOR ANY PARTICULAR PURPOSE, DESIGN, OPERATION, MERCHANTABILITY THEREOF OR AS
TO THE TITLE OF THE EQUIPMENT, THE QUALITY OF THE MATERIAL OR WORKMANSHIP
THEREOF OR CONFORMITY THEREOF TO SPECIFICATIONS, FREEDOM FROM PATENT, COPYRIGHT
OR TRADEMARK INFRINGEMENT, THE ABSENCE OF ANY LATENT OR OTHER DEFECT, WHETHER OR NOT
DISCOVERABLE, OR AS TO THE ABSENCE OF ANY OBLIGATIONS BASED ON STRICT LIABILITY IN
TORT OR ANY OTHER EXPRESS OR IMPLIED REPRESENTATION OR WARRANTY WHATSOEVER WITH RESPECT THERETO</FONT>,
except that Trust Company represents and warrants that on the Delivery Date, Lessor
shall have received whatever title to the Equipment delivered on or prior to the Delivery Date as
was conveyed to Lessor by Seller and each Unit will be free of Lessor&#146;s Liens attributable to Trust
Company. During the Lease Term so long as no Event of Default shall have occurred and be
continuing, Lessor hereby appoints and constitutes Lessee its agent and attorney-in-fact during the
Lease Term to assert and enforce, from time to time, in the name and for the account of Lessor and
Lessee, as their interests may appear, but in all cases at the sole cost and expense of Lessee,
whatever claims and rights Lessor may have as owner of the Equipment against the manufacturers or
any prior owner thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;5.2. Quiet Enjoyment</I>. Each party to this Lease acknowledges notice of, and consents
in all respects to, the terms of this Lease, and expressly, severally and as to its own actions
only, agrees that, notwithstanding any other provision of any of the Operative Agreements, so long
as no Lease Event of Default has occurred and is continuing, it shall not take or cause to be taken
any action inconsistent with Lessee&#146;s rights under this Lease or otherwise through its own actions
in any way interfere with or interrupt the quiet enjoyment of the use, operation and possession of
any Unit by Lessee or any sublessee (it being understood that no sublessee shall have any third
party beneficiary rights under this Lease or any other Operative Agreement), assignee or transferee
under any sublease, assignment or transfer then in effect and permitted by the terms of this Lease.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;6.</FONT> <FONT style="font-variant: SMALL-CAPS">Return of Equipment; Storage.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;6.1. General</I>. (a)&nbsp;On the expiration of the Lease Term with respect to any Unit which
has not been purchased by Lessee, Lessee will, at its own cost and expense, deliver possession of
such Unit to Lessor at not more than three interchange points on the tracks of Lessee in the U.S.,
f.o.b. such interchange point, as Lessor may reasonably designate to Lessee in writing at least 30
days before the end of the Lease Term or, in the absence of such designation, as Lessee may select
or, if Lessor has requested storage pursuant to Section&nbsp;6.3, to the location determined in
accordance with Section&nbsp;6.3. To the extent that any maintenance logs are kept by Lessee with
respect to any Unit in accordance with Section&nbsp;8.1 and such Unit is returned pursuant to this
Section&nbsp;6.1, upon the written request of Lessor, such maintenance logs shall be made available to
Lessor or its designee upon the return of such Unit. Upon expiration of the Lease Term with
respect to such Unit, compliance with the terms hereof (including without limitation the return
conditions) and tender of such Unit at the location determined in accordance with this Section
6.1(a), this Lease and the obligation to pay Basic Rent and all other Rent for such Unit accruing
subsequent to such expiration (except for Supplemental Rent
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">obligations with respect to such Unit
surviving pursuant to the Participation Agreement or the Tax Indemnity Agreement or which have
otherwise accrued but not been paid as of the date of the expiration of the Lease Term) shall
terminate.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;In the event any Unit is not returned as hereinabove provided at the expiration of the
Lease Term with respect to such Unit, Lessee may retain custody and control of such Unit so long as
Lessee is attempting to remedy any condition delaying such return, and in any case the covenants of
Lessee (other than with respect to Basic Rent) under this Lease (including those pertaining to
indemnities, Liens, maintenance and insurance) shall continue with respect to such Unit until such
return of such Unit and, regardless of whether such delay shall be attributable to Lessee or any
permitted sublessee, Lessee shall pay holdover rent to Lessor for the first 30&nbsp;days in an amount
equal to the daily equivalent of rent during the preceding term, and thereafter in an amount equal
to 120% of the daily equivalent of the greater of (i)&nbsp;the arithmetic average of the Basic Rent
during the Basic Term for such Unit (or, if the failure to return occurs after a Renewal Term, the
arithmetic average of the Basic Rent paid during the Renewal Term for such Unit) and (ii)&nbsp;the Fair
Market Rental Value for such Unit. The provision for payment pursuant to the immediately preceding
sentence shall not be in abrogation of Lessor&#146;s right under Section&nbsp;6.1 (a)&nbsp;to have such Unit
returned to it hereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;6.2. Condition of Equipment</I>. Each Unit when returned to Lessor pursuant to Section
6.1(a) shall (i)&nbsp;be in a condition mechanically suitable for use as a locomotive by a Class&nbsp;I
railroad in the United States, (ii)&nbsp;be in the condition required by Sections&nbsp;8.1 and 9.3 and (iii)
be free and clear of all Liens except Lessor&#146;s Liens and Permitted Liens, <I>provided </I>that Lessee
agrees to promptly discharge any such Permitted Lien within thirty (30)&nbsp;days of the return of the
Unit with Lessor&#146;s sole remedy for any breach of this clause (iii)&nbsp;being damages at law or specific
performance at equity. Except as expressly provided in this Section&nbsp;6.2, there will be no further
requirements imposed upon Lessee with respect to the condition of any Unit upon its return in
accordance with the provisions of Section&nbsp;6.1 hereof and this Section&nbsp;6.2.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;6.3. Storage</I>. Upon the expiration of the Lease Term with respect to any Units of
Equipment, upon written request of Lessor received at least 60&nbsp;days prior to the end of the Lease
Term for such Units, Lessee shall permit Lessor to store each such Unit, free of charge, except as
provided below, at such location on the tracks of Lessee used by Lessee for the storage of surplus
rolling stock or locomotives or rolling stock or locomotives available for sale as shall be
reasonably designated by Lessor (taking into account, among other things, Lessee&#146;s storage
capacity, security and access) in its request for storage pursuant to this Section&nbsp;6.3 for a period
(the &#147;<I>Storage Period</I>&#148;) beginning on the expiration of the Lease Term and ending not more than 60
days after the later of the expiration of the Lease Term or the date on which 50% of all of the
Units of Equipment to be returned at the expiration of the Lease Term have been returned; <I>provided</I>
that, with respect to any Unit returned after the expiration of the Lease Term for such Unit, the
Storage Period for such Unit shall begin on the date of return of such Unit and end 60&nbsp;days
thereafter. Any storage facilities provided by Lessee pursuant to this Section&nbsp;6.3 shall, in all
cases, be at the cost to Lessor, including insurance and Lessee&#146;s out-of-pocket costs in connection
with providing any services not contemplated hereby to be provided during the Storage Period, and
at the risk of Lessor, including but not limited to any deterioration of any Unit caused by
moisture or any weather-related cost to the extent such cost arises during such
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">period of storage
except a result of Lessee&#146;s violation of its obligations under this Lease. With respect to the
Units stored pursuant hereto, Lessee will carry and maintain with respect to stored Units, during
the Storage Period, under Lessee&#146;s insurance policies, property damage insurance and public
liability insurance with respect to third party personal and property damage as Lessee then
maintains in respect of equipment owned or leased by it similar in type to the Equipment; <I>provided</I>
that (i)&nbsp;Lessor pays all incremental costs associated with such insurance coverage, (ii)&nbsp;such
insurance coverage does not negatively impact upon Lessee&#146;s loss insurance rating and (iii)&nbsp;any
coverage provided is above Lessee&#146;s deductibles or self-insurance retention amounts. On not more
than one occasion with respect to each stored Unit and upon not less than 15&nbsp;days&#146; prior written
notice from Lessor to Lessee (which notice shall specify the transportation of no less than all of
the Units of Equipment), Lessee will, during the Storage Period, transport such Units, at Lessee&#146;s
cost and expense, to a destination or interchange point, f.o.b., such destination or interchange
point, on Lessee&#146;s lines in the U.S. specified by Lessor, whereupon Lessee shall have no further
liability or obligation with respect to such Units. During the Storage Period, Lessee will permit
Lessor or any person designated by it, including the authorized representative or representatives
of any prospective purchaser or user of such Unit, to inspect the same; <I>provided</I>, <I>however</I>, that
such inspection shall not interfere with the normal conduct of Lessee&#146;s business and such person
shall be insured to the reasonable satisfaction of Lessee with respect to any risks incurred in
connection with any such inspections and Lessee (except in the case of Lessee&#146;s gross negligence or
willful misconduct) shall not be liable for any injury to, or the death of, any person exercising,
either on behalf of Lessor or any prospective purchaser or user, the rights of inspection granted
pursuant hereto. Lessee shall not be required to store the Equipment after the Storage Period. If
Lessee stores any Unit after the Storage Period, such storage shall be at the sole expense and risk
of Lessor.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;6.4. Termination of Lease</I>. Upon the later of (i)&nbsp;expiration of the Lease Term with
respect to such Unit and payment of all sums due from Lessee hereunder, (ii)&nbsp;tender of such Unit at
the location determined in accordance with Section&nbsp;6.1(a) or, as applicable, the tender of such
Unit for storage in
accordance with Section&nbsp;6.3, and (iii)&nbsp;compliance by such Unit with Section&nbsp;6.2, except for (a)
Supplemental Rent obligations with respect to such Unit surviving pursuant to the Participation
Agreement or the Tax Indemnity Agreement or which have otherwise accrued but not been paid as of
the date of the expiration of the Lease Term and (b)&nbsp;the provisions hereof that expressly survive
the termination of this Lease, this Lease and the obligation to pay Rent for such Unit accruing
subsequent to the expiration of the Lease Term with respect to such Unit shall terminate.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;7.</FONT> <FONT style="font-variant: SMALL-CAPS">Liens.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Lessee will not directly or indirectly create, incur, assume or suffer to exist any Lien on or
with respect to any Units or Lessee&#146;s leasehold interest therein under this Lease or on the Trust
Estate, except Permitted Liens, and Lessee shall promptly, at its own expense, take such action as
may be necessary to duly discharge (by bonding or otherwise) any such Lien not excepted above if
the same shall arise at any time.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;8.</FONT> <FONT style="font-variant: SMALL-CAPS">Maintenance; Operation; Sublease.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;8.1. Maintenance</I>. Lessee, at its own cost and expense, shall service, maintain,
repair and keep each Unit (i)&nbsp;in good repair and operating condition, ordinary wear and tear
excepted, (ii)&nbsp;in accordance with (a)&nbsp;prudent Class&nbsp;I railroad industry maintenance practices in
existence from time to time and (b)&nbsp;in all material respects, manufacturer&#146;s recommendations to the
extent required to maintain such manufacturer&#146;s warranties in effect with respect to such Unit,
(iii)&nbsp;in a manner consistent with service, maintenance, overhaul and repair practices used by
Lessee in respect of equipment owned or leased by Lessee similar in type to such Unit and without
discrimination between owned and leased equipment, and (iv)&nbsp;in compliance, in all material
respects, with all applicable laws and regulations, including any applicable United States EPA
regulations, any applicable AAR Mechanical Standards and Federal Railroad Administration
regulations as applicable to continued use by Lessee; <I>provided, however</I>, that Lessee may, in good
faith and by appropriate proceedings diligently conducted, contest the validity or application of
any such law, regulation, requirement or rule in any reasonable manner which does not materially
adversely affect the rights or interests of Lessor and Indenture Trustee in the Equipment or
hereunder, create any material risk of the sale, forfeiture or loss of any Unit or otherwise expose
Lessor, Indenture Trustee or any Participant to criminal sanctions or release Lessee from the
obligation to return the Equipment in compliance with the provisions of Section&nbsp;6.2. Lessee shall
maintain or cause to be maintained all records, logs and other documents required by applicable law
to be maintained with respect to each Unit, and will maintain or cause to be maintained such
records and logs without discrimination between owned and leased equipment and in accordance with
Lessee&#146;s normal record keeping procedures in its ordinary course of business. Lessee will not
discriminate against any Unit (as compared against similar equipment owned or leased by Lessee)
with respect to its use, operation or maintenance in contemplation of the expiration or termination
of the Lease Term for such Unit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;8.2. Operation</I>. Lessee shall be entitled to the possession of the Equipment and to
the use of the Equipment by it or any Affiliate in the general operation of Lessee&#146;s or any such
Affiliate&#146;s freight rail business upon lines of railroad owned or operated by it or any such
Affiliate, upon lines of railroad over which Lessee or any such Affiliate has trackage or other
operating rights or over which railroad equipment of Lessee or any such Affiliate is regularly
operated pursuant to contract and on railroad lines of other railroads (including in connection
with barge-related rail transportation) in the United States, Canada and Mexico, in the usual
interchange of traffic or in through or run-through service and shall be entitled to permit the use
of the Equipment upon lines of railroad of connecting and other carriers in the usual interchange
of traffic or pursuant to through or run-through agreements; <I>provided </I>Lessee shall use the
Equipment only for the purpose and in the manner for which it was designed and intended and in
compliance, in all material respects, with all laws, regulations and guidelines of any governmental
body, the Association of American Railroads, the Federal Railroad Administration and the Surface
Transportation Board and their successors and assigns. Nothing in this Section&nbsp;8.2 shall be deemed
to constitute permission by Lessor to any Person that acquires possession of any Unit to take any
action inconsistent with the terms and provisions of this Lease and any of the other Operative
Agreements. The rights of any person that acquires possession of any Unit pursuant to this Section
8.2 shall be subject and subordinate to the rights of Lessor hereunder.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;8.3. Sublease</I>. So long as no Specified Default or Event of Default shall have
occurred and be continuing, Lessee shall have the right, without the prior written consent of
Lessor, to sublease any Unit to or permit its use by a user incorporated under the federal laws or
the laws of any state of the United States, organized under the federal laws or the laws of any
province of Canada or organized under the federal laws or the laws of any state of Mexico, for use
by such sublessee or user upon lines of railroad owned or operated by Lessee, any Affiliate of
Lessee, such sublessee or user or by a railroad company or companies incorporated under the federal
laws or laws of any state of the United States, organized under the federal laws or the laws of any
province in Canada or organized under the federal laws or the laws of any state of Mexico, over
which Lessee, such Affiliate of Lessee, such sublessee or user or such railroad company or
companies has trackage or other operating rights, and upon lines of railroad of connecting and
other carriers in the usual interchange of traffic or pursuant to through or run-through service
agreements; <I>provided </I>such sublessee shall not, at the time of such sublease, be insolvent or
subject to insolvency or bankruptcy proceedings. Each sublease shall be subject and subordinate to
this Lease (including the duration of the sublease term, which term may not expire after the
expiration of the Basic Term or any Renewal Term then in effect) and no such sublease shall contain
a purchase option. Lessee shall give Lessor and Indenture Trustee reasonably contemporaneous
notice upon entering into a sublease for a period in excess of one year. No sublease shall in any
way discharge or diminish any of Lessee&#146;s obligations hereunder, and Lessee shall remain primarily
liable hereunder for the performance of all the terms, conditions and provisions of this Lease and
the other Lessee Agreements to the same extent as if such sublease had not been entered into.
Nothing in this Section&nbsp;8.3 shall be deemed to constitute permission to any Person in possession of
any Unit pursuant to any such sublease to take any action inconsistent with the terms and
provisions of this Lease or any of the other Operative Agreements.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;9.</FONT> <FONT style="font-variant: SMALL-CAPS">Modifications.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;9.1. Required Modifications</I>. In the event the Association of American Railroads, the
United States Department of Transportation, or any other United States, Canadian or Mexican
federal, state or local governmental authority having jurisdiction over the operation, safety or
use of any Unit requires that such Unit be altered, replaced or modified (a &#147;<I>Required
Modification</I>&#148;), Lessee agrees to make such Required Modification at its own expense; <I>provided</I>,
<I>however</I>, that Lessee may, in good faith and by appropriate proceedings diligently conducted,
contest the validity or application of any such law, regulation, requirement or rule in any
reasonable manner which does not materially adversely affect the rights or interests of Lessor and
Indenture Trustee in the Equipment or hereunder or otherwise expose Lessor, Indenture Trustee or
any Participant to criminal sanctions or relieve Lessee of the obligation to return the Equipment
in compliance with the provisions of Section&nbsp;6.2. Subject to Section&nbsp;9.3, title to any Required
Modification shall immediately vest in Lessor. Notwithstanding anything herein to the contrary, if
Lessee determines in good faith that any Required Modification to a Unit would be economically
impractical, it shall provide written notice of such determination to Lessor and the parties hereto
shall treat such Unit as if an Event of Loss had occurred as of the date of such written notice
with respect to such Unit and the provisions of Sections&nbsp;11.2(ii), 11.3 and 11.4 shall apply with
respect to such Unit unless Lessor, within 15 Business Days of such notice, elects to retain such
Unit pursuant to Section&nbsp;9.4.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;9.2. Optional Modifications</I>. Lessee at any time may modify, alter or improve any Unit
(a &#147;<I>Modification</I>&#148;); <I>provided </I>that no Modification shall diminish in more than a <I>de minimis </I>respect
the current fair market value, estimated residual value, utility, or remaining useful life of such
Unit below the current fair market value, estimated residual value, utility, or remaining useful
life thereof immediately prior to such Modification, assuming such Unit was then in the condition
required to be maintained by the terms of this Lease. Title to any Non-Severable Modifications
shall be immediately vested in Lessor. Title to any Severable Modifications shall remain with
Lessee. If Lessee shall at its cost cause such Severable Modifications to be made to any Unit and
such Severable Modifications are reasonably necessary for the economic operation of any such Unit,
Lessor shall have the right, prior to the return of such Unit to Lessor hereunder, to purchase such
Severable Modifications (other than Severable Modifications consisting of proprietary or
communications equipment) at their then Fair Market Sales Value (taking into account their actual
condition). If Lessor does not elect to purchase such Severable Modifications, Lessee may remove,
and shall remove if requested by Lessor, such Severable Modifications at Lessee&#146;s cost and expense.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;9.3. Removal of Proprietary and Communications Equipment</I>. Notwithstanding anything to
the contrary contained herein, Lessee shall at all times own and be entitled to remove at Lessee&#146;s
cost and expense, any Severable Modification consisting of proprietary or communications equipment
from any Unit prior to the return of such Unit; <I>provided </I>that if Lessee removes such Severable
Modification that is (i)&nbsp;a Required Modification and (ii)&nbsp;such
equipment is not customarily provided by the user, Lessee shall replace such proprietary or
communications equipment with non-proprietary equipment of comparable utility.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;9.4. Retention of Equipment by Lessor</I>. Notwithstanding the provisions of the last
sentence of Section&nbsp;9.1, Lessor may irrevocably elect by written notice to Lessee, no later than 15
Business Days after receipt of Lessee&#146;s notice of determination of economic impracticality pursuant
to Section&nbsp;9.1, not to declare an Event of Loss as provided in Section&nbsp;9.1, whereupon Lessee shall
not be liable for the Stipulated Loss Value for the affected Units but shall (i)&nbsp;deliver the
affected Units to Lessor in the same manner and in the same condition as if delivery were made
pursuant to Section&nbsp;6 (except that Lessee shall not be required to correct the conditions which
gave rise to the notice of economic impracticality), treating the applicable date for payment
specified in Section&nbsp;11.2(ii) as the termination date of the Lease Term with respect to the
affected Units, and (ii)&nbsp;pay to Lessor, or to the Persons entitled thereto, (1)&nbsp;all Basic Rent and
Supplemental Rent due and owing on such termination date and unpaid, but without any Make-Whole
Amount in respect of the principal amount of the Equipment Notes to be prepaid in accordance with
Section&nbsp;2.10(b) of the Indenture and (2)&nbsp;any Underpayment of Basic Rent for the affected Units as
of such termination date. If Lessor elects to retain the affected Units as provided in this
Section&nbsp;9.4, then Lessor shall pay, or cause to be paid, to Indenture Trustee in funds of the type
and in an amount equal to the outstanding principal amount of the Equipment Notes issued in respect
of such affected Units and all accrued interest to the date of prepayment of such Equipment Note on
such termination date, but without any Make-Whole Amount in respect of the principal amount of the
Equipment Notes to be prepaid in accordance with Section&nbsp;2.10(b) of the Indenture. On such
termination date, if Lessee shall have paid all amounts due hereunder, Lessor shall pay to Lessee
any Overpayment of Basic Rent for such Units as of such termination date. If Lessor shall fail to
perform any of its obligations pursuant to this
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Section&nbsp;9.4 on the scheduled termination date for
any affected Unit, the parties hereto shall treat such Unit as if an Event of Loss had occurred as
of the date of Lessee&#146;s written notice with respect to such Unit pursuant to Section&nbsp;9.1 and the
provisions of Sections&nbsp;11.2, 11.3 and 11.4 with respect to rent, termination and disposition shall
apply with respect to such Unit and Lessor shall thereafter no longer be entitled to exercise its
election to retain such affected Units.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;10.</FONT> <FONT style="font-variant: SMALL-CAPS">Voluntary Termination.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;10.1. Right of Termination</I>. So long as no Specified Default or Event of Default shall
have occurred and be continuing, Lessee shall have the right, at its option at any time or from
time to time on or after the fifth anniversary of the Closing Date, to terminate this Lease with
respect to, at the sole discretion of Lessee, either all of the Units of Equipment or a Minimum
Number of the Units of Equipment (the &#147;<I>Terminated Units</I>&#148;), if Lessee determines in good faith (as
evidenced by a certificate executed by the Chief Financial Officer of Lessee), that such Units have
become obsolete or surplus to Lessee&#146;s requirements, by delivering at least 90&nbsp;days&#146; prior notice
to Lessor and Indenture Trustee specifying a proposed date of termination for such Units (the
&#147;<I>Termination Date</I>&#148;), which date shall be a Determination Date, any such termination to be effective
on the Termination Date. Except as expressly provided herein, there will be no conditions to
Lessee&#146;s
right to terminate this Lease with respect to the Terminated Units pursuant to this Section&nbsp;10.1.
So long as Lessor shall not have given Lessee a notice of election to retain the Terminated Units
in accordance with Section&nbsp;10.3, Lessee may withdraw the termination notice referred to above at
any time prior to ten (10)&nbsp;days before the scheduled Termination Date, whereupon this Lease shall
continue in full force and effect; <I>provided </I>that Lessee shall pay all reasonable costs of Lessor,
Indenture Trustee, Loan Participant and Owner Participant incurred in connection with any proposed
or withdrawn termination; <I>provided</I>, <I>further</I>, that Lessee may not withdraw a termination notice
hereunder more than twice.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;10.2. Sale of Equipment</I>. During the period from the date of such notice given
pursuant to Section&nbsp;10.1 to the Termination Date, Lessee, as exclusive agent for Lessor and at
Lessee&#146;s sole cost and expense, shall use reasonable efforts to obtain bids from Persons (including
Owner Participant, who shall be permitted to bid on the same basis as any other Person, but
excluding Lessee, any Affiliate of Lessee, any successor or assign of Lessee or any third party
with whom Lessee or any Affiliate of Lessee has an arrangement to use or operate the Terminated
Units for the benefit of Lessee or such Affiliate following the termination of this Lease with
respect thereto) for the cash purchase of the Terminated Units, and Lessee shall promptly, and in
any event at least five Business Days prior to the proposed date of sale, certify to Lessor in
writing the amount and terms of each such bid, the proposed date of such sale and the name and
address of the party submitting such bid. Unless Lessor shall have elected to retain the
Terminated Units in accordance with Section&nbsp;10.3, on the Termination Date: (i)&nbsp;Lessee shall,
subject to receipt (x)&nbsp;by Lessor of all amounts owing to Lessor pursuant to the next sentence, and
(y)&nbsp;by the persons entitled thereto of all unpaid Supplemental Rent due on or before the
Termination Date, deliver the Terminated Units to the bidder, if any, which shall have submitted
the highest all cash bid prior to such date (or to such other bidder as Lessee and Lessor shall
agree), in the same manner and condition as if delivery were made to Lessor pursuant to Section&nbsp;6
and (ii)&nbsp;Lessor shall, without recourse or warranty (except as to the absence of any Lessor&#146;s Lien)
simultaneously therewith sell the Terminated Units to such bidder. The total
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">selling price
realized at such sale shall be paid to Lessor for distribution pursuant to Section&nbsp;3.02 of the
Indenture for so long as the Indenture remains in effect or otherwise to the Owner Trustee for
distribution according to the Trust Agreement and, in addition and anything to the contrary
notwithstanding, on the Termination Date, Lessee shall pay to Lessor, or to the Persons entitled
thereto, (A)&nbsp;all unpaid Basic Rent with respect to such Terminated Units due and payable prior to
the Termination Date, (B)&nbsp;the excess, if any, of (1)&nbsp;the Termination Value for the Terminated Units
computed as of the Termination Date, over (2)&nbsp;the net cash sales proceeds (after deduction of
applicable transaction expenses and sales or transfer taxes, if any, due or to become due as a
consequence of such sale) of the Terminated Units, (C)&nbsp;an amount equal to the Make-Whole Amount, if
any, in respect of the principal amount of the Equipment Notes to be prepaid in accordance with
Section&nbsp;2.10(a) of the Indenture, (D)&nbsp;any other Supplemental Rent due and payable as of such
Termination Date and (E)&nbsp;any Underpayment of Basic Rent for the Terminated Units as of such
Termination Date. On such Termination Date, if Lessee shall have paid all amounts due hereunder,
Lessor shall pay to Lessee any Overpayment of Basic Rent for such Units as of such Termination
Date. If no sale shall have occurred, this Lease shall continue in full force and effect with
respect to such Units; <I>provided </I>that if such sale shall not have occurred solely because of
Lessee&#146;s failure to pay the amounts required to be paid pursuant to the immediately preceding
sentence, Lessee shall have no further right to terminate
this Lease with respect to such Units, and such failure to pay such amounts shall be deemed a
withdrawal of the termination notice referred to in Section&nbsp;10.1. If Lessor elects not to exercise
its right to retain the Terminated Units as provided in Section&nbsp;10.3, Lessee, in acting as agent
for Lessor, shall have no liability to Lessor for failure to obtain the best price, shall act in
its sole discretion and shall be under no duty to solicit bids publicly or in any particular
market. Lessee&#146;s sole interest in acting as agent shall be to sell the Units at a price that
reduces or eliminates Lessee&#146;s obligation to pay the amount provided in this Section&nbsp;10.2. On the
Termination Date, upon receipt by Lessor of the amounts owing to Lessor pursuant to the third
sentence of this Section&nbsp;10.2, Lessor shall pay, or cause to be paid, to Indenture Trustee in
immediately available funds an amount equal to the outstanding principal amount of the Equipment
Notes issued in respect of such Terminated Units, all accrued interest to the date of prepayment of
such Equipment Notes and the Make-Whole Amount, if any, in respect of such Equipment Notes on such
Termination Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;10.3. Retention of Equipment by Lessor</I>. Notwithstanding the provisions of Sections
10.1 and 10.2, Lessor may irrevocably elect by written notice to Lessee, no later than 30&nbsp;days
after receipt of Lessee&#146;s notice of termination, not to sell the Terminated Units on the
Termination Date, whereupon Lessee shall (i)&nbsp;deliver the Terminated Units to Lessor in the same
manner and condition as if delivery were made to Lessor pursuant to Section&nbsp;6, treating the
Termination Date as the termination date of the Lease Term with respect to the Terminated Units,
and (ii)&nbsp;pay to Lessor, or to the Persons entitled thereto, all Basic Rent and Supplemental Rent
due and owing on the Termination Date and unpaid, including an amount equal to any Make-Whole
Amount in respect of the principal amount of the Equipment Notes to be prepaid in accordance with
Section&nbsp;2.10(a) of the Indenture, and any Underpayment of Basic Rent for such Terminated Units as
of such Termination Date. If Lessor elects not to sell the Terminated Units as provided in this
Section&nbsp;10.3, then Lessor shall pay, or cause to be paid, to Indenture Trustee in immediately
available funds an amount equal to the outstanding principal amount of the Equipment Notes issued
in respect of such Terminated Units and all accrued interest to the date
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">of prepayment of such
Equipment Note on such Termination Date. On such Termination Date, if Lessee shall have paid all
amounts due hereunder, Lessor shall pay to Lessee any Overpayment of Basic Rent for such Units as
of such Termination Date. If Lessor shall fail to perform any of its obligations pursuant to this
Section&nbsp;10.3 and as a result thereof this Lease shall not be terminated with respect to the
Terminated Units on a proposed Termination Date, Lessor shall thereafter no longer be entitled to
exercise its election to retain such Terminated Units and Lessee may at its option at any time
thereafter submit a new termination notice pursuant to Section&nbsp;10.1 with respect to such Terminated
Units specifying a proposed Termination Date occurring not earlier than five days from the date of
such notice.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;10.4. Termination of Lease</I>. In the event of any such sale and receipt by Lessor and
Indenture Trustee of all of the amounts provided herein, and upon compliance by Lessee with the
other provisions of this Section&nbsp;10, the Lease Term for the Terminated Units shall end and the
obligation to pay Basic Rent and all other Rent for such Terminated Units (except for (i)
Supplemental Rent obligations with respect to such Terminated Units surviving pursuant to the
Participation Agreement or the Tax Indemnity Agreement or which have otherwise accrued but not been
paid as of the date of
the expiration of the Lease Term and (ii)&nbsp;the provisions hereof that expressly survive any
termination of this Lease) shall terminate.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;11.</FONT> <FONT style="font-variant: SMALL-CAPS">Loss, Destruction, Requisition, Etc.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;11.1. Event of Loss</I>. In the event that any Unit (i)&nbsp;shall suffer destruction, damage,
contamination or wear which, in Lessee&#146;s good faith opinion, makes repair uneconomic or renders
such Unit unfit for commercial use, (ii)&nbsp;shall suffer theft or disappearance, (iii)&nbsp;shall be
permanently returned to the manufacturer pursuant to any warranty or patent indemnity provisions,
(iv)&nbsp;shall have title thereto taken or appropriated by any governmental authority under the power
of eminent domain or otherwise, (v)&nbsp;shall be taken or requisitioned for use by any governmental
authority (other than the United States government or any agency or instrumentality thereof) under
the power of eminent domain or otherwise and such taking or requisition is continuing in excess of
180&nbsp;days or, if earlier, on the last day of the Basic Term or any Renewal Term then in effect, or
(vi)&nbsp;shall be taken or requisitioned for use by the United States government or any agency or
instrumentality thereof and such taking or requisition is continuing on the last day of the Basic
Term or any Renewal Term then in effect (any such occurrence being hereinafter called an &#147;<I>Event of
Loss</I>&#148;), Lessee, in accordance with the terms of Section&nbsp;11.2, shall promptly and fully inform
Lessor and Indenture Trustee of such Event of Loss.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;11.2. Replacement or Payment upon Event of Loss</I>. Upon the occurrence of an Event of
Loss or the deemed occurrence of an Event of Loss pursuant to Section&nbsp;9.1 with respect to any Unit,
Lessee shall within 60&nbsp;days after a Responsible Officer of Lessee shall have actual knowledge of
such occurrence or deemed occurrence give Lessor and Indenture Trustee notice of such occurrence or
deemed occurrence of such Event of Loss and of its election to perform one of the following options
(it being agreed that if Lessee shall not have given notice of such election within such 60&nbsp;days
after such actual knowledge of such occurrence or deemed occurrence, Lessee shall be deemed to have
elected to perform the option set forth in the following paragraph (ii)):
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) So long as no Specified Default or Event of Default shall have occurred and be
continuing, as promptly as practicable, and in any event on or before the Business Day next
preceding the 175th day next following the date on which a Responsible Officer of Lessee
shall have actual knowledge of the occurrence or deemed occurrence of such Event of Loss,
Lessee shall comply with Section&nbsp;11.4(b) and shall convey or cause to be conveyed to Lessor
a Replacement Unit to be leased to Lessee hereunder, such Replacement Unit to be free and
clear of all Liens (other than Permitted Liens) and to have a current fair market value,
estimated residual value, utility, condition and remaining useful life at least equal to the
Unit so replaced (assuming such Unit was in the condition required to be maintained by the
terms of this Lease); <I>provided </I>that, if Lessee shall not perform its obligation to effect
such replacement under this paragraph (i)&nbsp;during the period of time provided herein, then
Lessee shall pay on a Determination Date selected by Lessee that is within 180&nbsp;days after a
Responsible Officer of Lessee shall have actual
knowledge of the occurrence or deemed occurrence of such Event of Loss to Lessor, or in the
case of Supplemental Rent, to the Person entitled thereto, the amounts specified in
paragraph (ii)&nbsp;below; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) on or before a Determination Date selected by Lessee that is within 90&nbsp;days after
a Responsible Officer of Lessee shall have actual knowledge of the occurrence or deemed
occurrence of such Event of Loss, Lessee shall pay or cause to be paid on the applicable
Determination Date to Lessor or, in the case of Supplemental Rent, to the Persons entitled
thereto, in funds of the type specified in Section&nbsp;3.5, (A)&nbsp;an amount equal to the
Stipulated Loss Value of each such Unit determined as of such Determination Date, (B)&nbsp;all
unpaid Basic Rent with respect to each such Unit due prior to such Determination Date, and
(C)&nbsp;without duplication, all Supplemental Rent due and payable as of such Determination
Date, it being understood that until such Stipulated Loss Value is paid, there shall be no
abatement or reduction of Basic Rent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;11.3. Rent Termination</I>. Upon the payment of all sums required to be paid pursuant to
Section&nbsp;11.2(ii) hereof in respect of any Unit or Units for which Lessee has elected to pay or
deemed to have elected to pay pursuant to the proviso to Section&nbsp;11.2(i) the amounts specified in
paragraph 11.2(ii), the Lease Term with respect to such Unit or Units and the obligation to pay
Rent for such Unit or Units (except for (i)&nbsp;Supplemental Rent obligations with respect to such Unit
or Units surviving pursuant to the Participation Agreement or the Tax Indemnity Agreement or which
have otherwise accrued but not been paid as of the date of the expiration of the Lease Term and
(ii)&nbsp;the provisions hereof that expressly survive any termination of this Lease) shall terminate;
<I>provided </I>that Lessee shall be obligated to pay all Rent in respect of such Unit or Units which has
accrued up to and including the date of payment of Stipulated Loss Value pursuant to Section&nbsp;11.2.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;11.4. Disposition of Equipment; Replacement of Unit</I>. (a)&nbsp;Upon the payment of all sums
required to be paid pursuant to Section&nbsp;11.2 in respect of any Unit or Units, Lessor will convey to
Lessee or its designee all right, title and interest of Lessor in and to such Unit or Units, &#147;as
is&#148;, &#147;where is&#148;, without recourse or warranty, except for a warranty against Lessor&#146;s Liens, and
shall execute and deliver to Lessee or its designee such bills of sale and other documents and
instruments as Lessee or its designee may reasonably request to evidence such conveyance. As
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">to
each separate Unit so disposed of, Lessee or its designee shall be entitled to any amounts arising
from such disposition, plus any awards, insurance (other than insurance maintained by Lessor or
Owner Participant for its own account in accordance with Section&nbsp;12.3) or other proceeds and
damages (including any Association of American Railroads interline settlement paid upon an Event of
Loss) received by Lessee, Lessor or Indenture Trustee by reason of such Event of Loss after having
paid the Stipulated Loss Value attributable thereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;At the time of or prior to any replacement of any Unit, Lessee, at its own expense, will
(A)&nbsp;furnish Lessor with a full warranty bill of sale and an assignment of warranties with respect
to the Replacement Unit, (B)&nbsp;cause a Lease Supplement substantially in the form of Exhibit&nbsp;A
hereto, subjecting such Replacement Unit to this Lease, duly executed by Lessee, to be delivered to
Lessor for execution and, upon such execution, to be filed for recordation in the
same manner as provided for in the original Lease Supplement in Section&nbsp;16.1, (C)&nbsp;so long as the
Indenture shall not have been satisfied and discharged, cause an Indenture Supplement substantially
in the form of Exhibit&nbsp;A to the Indenture for such Replacement Unit, to be delivered to Lessor and
to Indenture Trustee for execution and, upon such execution, to be filed for recordation in the
same manner as provided for the original Indenture Supplement in Section&nbsp;16.1, (D)&nbsp;furnish Lessor
with an opinion of Lessee&#146;s counsel (which may be Lessee&#146;s internal counsel), to the effect that
(w)&nbsp;Lessor (and Indenture Trustee, as assignee of Lessor) shall be entitled to the benefits of
Section&nbsp;1168 of the Bankruptcy Code in respect of such Replacement Unit to the same extent that
Lessor (and Indenture Trustee, as assignee of Lessor) was entitled to such benefits in respect of
the Unit being replaced, (x)&nbsp;the bill of sale referred to in clause (A)&nbsp;above constitutes an
effective instrument for the conveyance of title to the Replacement Unit to Lessor, (y)&nbsp;good and
marketable title to the Replacement Unit has been delivered to Lessor, free and clear of all Liens
(other than Permitted Liens), and (z)&nbsp;all filings, recordings and other action necessary or
appropriate to perfect and protect Lessor&#146;s and Indenture Trustee&#146;s respective interests in the
Replacement Unit have been accomplished, and (E)&nbsp;furnish Lessor with a certificate of a qualified
engineer (who may be the system chief mechanical officer of Lessee) certifying that the Replacement
Unit has a fair market value, utility and remaining useful life at least equal to the Unit so
replaced (assuming such Unit was in the condition required to be maintained by the terms of this
Lease). For all purposes hereof, upon passage of title thereto to Lessor, the Replacement Unit
shall be deemed part of the property leased hereunder and the Replacement Unit shall be deemed a
&#147;<I>Unit</I>&#148; of Equipment as defined herein. Upon such passage of title, Lessor will transfer to Lessee,
without recourse or warranty (except as to Lessor&#146;s Liens), all Lessor&#146;s right, title and interest
in and to the replaced Unit, and upon such transfer, Lessor will request in writing that Indenture
Trustee execute and deliver to Lessee an appropriate instrument releasing such replaced Unit from
the lien of the Indenture.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;11.5. Eminent Domain</I>. In the event that during the Lease Term the use of any Unit is
requisitioned or taken by any governmental authority under the power of eminent domain or otherwise
for a period which does not constitute an Event of Loss, Lessee&#146;s obligation to pay all
installments of Basic Rent shall continue for the duration of such requisitioning or taking.
Lessee shall be entitled to receive and retain for its own account all sums payable for any such
period by such governmental authority as compensation for requisition or taking of possession. Any
amount referred to in this Section&nbsp;11.5 which is payable to Lessee shall not be paid to Lessee, or
if it has been previously paid directly to Lessee, shall not be retained by Lessee, if at
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the time
of such payment a Specified Default or an Event of Default shall have occurred and be continuing,
but shall be paid to and held by Lessor as security for the obligations of Lessee under this Lease,
and upon the earlier of (i)&nbsp;200&nbsp;days after Lessor shall have received such amount; <I>provided </I>Lessor
has not proceeded to exercise remedies under Section&nbsp;15 and (ii)&nbsp;such time as there shall not be
continuing any Specified Default or Event of Default, such amount shall be paid to Lessee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;12.</FONT> <FONT style="font-variant: SMALL-CAPS">Insurance.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;12.1. Property Damage and Public Liability Insurance</I>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;<I>Coverages</I>. Lessee will, at all times prior to the return of the Units to Lessor, at its
own expense, cause to be carried and maintained (i)&nbsp;all risk property insurance in respect of the
Units and (ii)&nbsp;public liability insurance against loss or damage for personal injury, death or
property damage suffered upon, in or about any premises occupied by Lessee or occurring as a result
of the use, maintenance or operation of the Units, in each case, in such amounts and against such
risks, with such insurance companies and with such terms (including co-insurance, deductibles,
limits of liability and loss payment provisions) as are customary under Lessee&#146;s risk management
program and in keeping with risks assumed by Class&nbsp;I railroads generally; <I>provided</I>, <I>however</I>, that
Lessee may self insure with respect to any or all of the above risks if customary under such risk
management program and in keeping with risks assumed by Class&nbsp;I railroads generally. Such coverage
may provide for deductible amounts as are customary under Lessee&#146;s risk management program and in
keeping with risks assumed by Class&nbsp;I railroads generally. Notwithstanding the foregoing, all
insurance coverages (including, without limitation, self-insurance) with respect to the Units
required under this Lease shall be comparable to, and no less favorable than, insurance coverages
applicable to equipment owned or leased by Lessee which is comparable to the Units. Lessee shall,
at its own expense, be entitled to make all proofs of loss and take all other steps necessary to
collect the proceeds of such insurance. Lessee agrees that it will provide written notice to each
Insured Party (as defined below) at least 30&nbsp;days prior to Lessee taking any action to cancel or
permit the lapse of any insurance required to be maintained by Lessee in accordance with this
Section&nbsp;12.1(a).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;<I>Certificate of Insurance</I>. Lessee shall, on or prior to the Delivery Date for any Unit,
furnish Lessor and Indenture Trustee with a certificate signed by the insurer or an independent
insurance broker showing the insurance then maintained, if any, with respect to the Units delivered
on the Delivery Date. Lessor or Indenture Trustee may, but not more than once in any twelve-month
period, request from Lessee and Lessee shall promptly thereafter furnish to Lessor and Indenture
Trustee, an Officer&#146;s Certificate or, at Lessee&#146;s option, such a certificate signed by an
independent insurance broker, setting forth all insurance maintained by Lessee pursuant to Section
12.1(a) above and describing such policies, if any, including the amounts of coverage, any
deductible amounts and the names of the insurance providers. Such public liability insurance and
all risk property insurance shall name Owner Participant, Loan Participant, Lessor, Trust Company
and Indenture Trustee (each, an &#147;<I>Insured Party</I>&#148;) as an additional insured with respect to such
public liability insurance then maintained as their respective interests may appear. Lessee agrees
that such insurer or such broker will endeavor to provide written notice to each Insured Party at
least 30&nbsp;days prior to the cancellation or lapse of any insurance required to
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">be maintained by
Lessee in accordance with Section&nbsp;12.1(a) above. Any insurance maintained pursuant to this Section
12 shall (i)&nbsp;provide insurer&#146;s waiver of its right of subrogation with respect to public liability
insurance and all risk property insurance, set-off or counterclaim or any other deduction, whether
by attachment or otherwise, in respect of any liability against any additional insured except for
claims as shall arise from the willful misconduct or gross negligence of such additional insured,
(ii)&nbsp;to the extent commercially available, provide that such all risk property
insurance as to the interest of Lessor, Owner Participant, Loan Participant, Trust Company and
Indenture Trustee shall not be invalidated by any action or inaction of Lessee or any other Person
(other than such claimant), regardless of any breach or violation of any warranty, declaration or
condition contained in such policies by Lessee or any other Person (other than such claimant), and
(iii)&nbsp;provide that all such insurance is primary without right of contribution from any other
insurance which might otherwise be maintained by Lessor, Indenture Trustee, Trust Company or Owner
Participant and shall expressly provide a severability of interest clause. Any insurance
maintained by Lessor or Owner Participant shall not be considered co-insurance with any insurance
maintained by Lessee.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;12.2. Proceeds of Insurance</I>. The entire proceeds of any property insurance or
third-party payments for damages or an Event of Loss with respect to any Unit (including any
Association of American Railroads interline settlements) received by Lessor or Indenture Trustee
shall be promptly paid over to, and retained by, Lessee; <I>provided</I>, <I>however</I>, any such amount which
is payable to Lessee shall not be paid to Lessee, or if it has been previously paid directly to
Lessee, shall not be retained by Lessee, if at the time of such payment a Specified Default or an
Event of Default shall have occurred and be continuing, but shall be paid to and held by Lessor as
security for the obligations of Lessee under this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;12.3. Additional Insurance</I>. At any time Lessor (either directly or in the name of
Owner Participant), Indenture Trustee or Owner Participant may at its own expense carry insurance
with respect to its interest in the Units, <I>provided </I>that such insurance does not interfere with
Lessee&#146;s ability to insure the Units as required by this Section&nbsp;12 or adversely affect Lessee&#146;s
insurance or the cost thereof, it being understood that all salvage rights to each Unit and all
primary subrogation rights shall remain with Lessee&#146;s insurers at all times. Any insurance
payments received from policies maintained by Lessor, Indenture Trustee or Owner Participant
pursuant to the previous sentence shall be retained by Lessor, Indenture Trustee or Owner
Participant, as the case may be, without reducing or otherwise affecting Lessee&#146;s obligations
hereunder.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;13.</FONT> <FONT style="font-variant: SMALL-CAPS">Reports; Inspection.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;13.1. Duty of Lessee to Furnish</I>. On or before June&nbsp;30, 2009, and on or before each
June&nbsp;30 thereafter, Lessee will furnish to Lessor, Owner Participant, Loan Participant and
Indenture Trustee (i)&nbsp;an accurate statement, as of the preceding December&nbsp;31, showing the reporting
marks of the Units then leased hereunder, identifying each Unit that may have suffered an Event of
Loss during the 12&nbsp;months ending on such December&nbsp;31 (or since the Delivery Date, in the case of
the first such statement) and (ii)&nbsp;such other information regarding the condition or repair of the
Equipment as Lessor or Owner Participant may reasonably request.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;13.2. Lessor&#146;s Inspection Rights</I>. Lessor, Owner Participant, Loan Participant and
Indenture Trustee each shall have the right, but not the obligation, at their respective sole cost
and expense (unless, in the case of any such expense, a Specified Default or an Event of Default
shall have occurred and be continuing)
and risk (including, without limitation, the risk of personal injury or death), by their respective
authorized representatives, to the extent within Lessee&#146;s control: on not more than one occasion in
any 12-month period (unless a Specified Default or an Event of Default shall have occurred and be
continuing) or during the last 12&nbsp;months of the Lease Term, to inspect the Equipment and Lessee&#146;s
records with respect thereto, during Lessee&#146;s normal business hours and upon reasonable prior
notice to Lessee; <I>provided</I>, <I>however</I>, that Lessee shall not be liable for any injury to, or the
death of, any Person exercising, either on behalf of Lessor, Owner Participant, Indenture Trustee,
Loan Participant or any prospective user, the rights of inspection granted under this Section&nbsp;13.2
except as may result or arise from Lessee&#146;s gross negligence or willful misconduct. No inspection
pursuant to this Section&nbsp;13.2 shall interfere with the use, operation or maintenance of the
Equipment or the normal conduct of Lessee&#146;s business, and Lessee shall not be required to undertake
or incur any additional liabilities in connection therewith.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;14.</FONT> <FONT style="font-variant: SMALL-CAPS">Events of Default.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following events shall constitute Events of Default hereunder (whether any such event
shall be voluntary or involuntary or come about or be effected by operation of law or pursuant to
or in compliance with any judgment, decree or order of any court or any order, rule or regulation
of any administrative or governmental body) and each such Event of Default shall be deemed to exist
and continue so long as, but only as long as, it shall not have been remedied:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Lessee shall fail to make any payment of (i)&nbsp;Basic Rent or EBO Fixed Purchase Price
within 10 Business Days after the same shall have become due or (ii)&nbsp;Stipulated Loss Value
or Termination Value after the same shall have become due and such failure shall continue
unremedied for a period of 10 Business Days after receipt by Lessee of written notice of
such failure from Lessor, Owner Participant, Loan Participant or Indenture Trustee; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Lessee shall fail to make any payment of any other Supplemental Rent, including
indemnity or tax indemnity payments, after the same shall have become due and such failure
shall continue unremedied for a period of 30&nbsp;days after receipt by Lessee of written notice
of such failure from Lessor, Owner Participant, Loan Participant or Indenture Trustee
(provided that notice of non-payment of any Excepted Payment may only be given by Owner
Participant); or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any representation or warranty made by Lessee in any Lessee Agreement (other than
the Tax Indemnity Agreement) is untrue or incorrect in any material respect as of the date
of issuance or making thereof and such untruth or incorrectness shall continue to be
material and unremedied for a period of 30&nbsp;days after receipt by Lessee of written notice
thereof from Lessor, Owner Participant, Loan Participant or Indenture Trustee; <I>provided</I>
that, if such untruth or incorrectness is capable of being remedied, no such untruth or
incorrectness shall constitute an Event of Default hereunder for a period
</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">of 180&nbsp;days after receipt of such notice so long as Lessee is diligently proceeding to
remedy such untruth or incorrectness; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Lessee shall (i)&nbsp;commence a voluntary case or other proceeding seeking liquidation,
reorganization or other relief with respect to itself or its debts under any bankruptcy,
insolvency or other similar law now or hereafter in effect, or seeking the appointment of a
trustee, receiver, liquidator, custodian or other similar official of it or any substantial
part of its property, or (ii)&nbsp;consent to any such relief or to the appointment of or taking
possession by any such official in any voluntary case or other proceeding commenced against
it, or (iii)&nbsp;admit in writing its inability to pay its debts generally as they come due, or
(iv)&nbsp;make a general assignment for the benefit of creditors, or (v)&nbsp;take any corporate
action to authorize any of the foregoing; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) an involuntary case or other proceeding shall be commenced against Lessee seeking
liquidation, reorganization or other relief with respect to it or its debts under any
bankruptcy, insolvency or other similar law now or hereafter in effect, or seeking the
appointment of a trustee, receiver, liquidator, custodian or other similar official of it or
any substantial part of its property, and such involuntary case or other proceeding shall
remain undismissed and unstayed for a period of 90&nbsp;days; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) other than as set forth in clauses (a), (b), (c)&nbsp;or (g), Lessee shall fail to
observe or perform any other of the covenants or agreements to be observed or performed by
Lessee under any Lessee Agreement (other than the Tax Indemnity Agreement) and such failure
shall continue unremedied for 30&nbsp;days after notice from Lessor, Owner Participant or
Indenture Trustee to Lessee, specifying the failure and demanding the same to be remedied;
<I>provided </I>that, if such failure is capable of being remedied, no such failure shall
constitute an Event of Default hereunder for a period of 180&nbsp;days after receipt of such
notice so long as Lessee is diligently proceeding to remedy such failure; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Lessee shall make or permit any unauthorized assignment or transfer of this Lease
in violation of Section&nbsp;18.2 and such unauthorized assignment or transfer shall continue
unremedied for 30&nbsp;days;
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>provided </I>that, notwithstanding anything to the contrary contained in this Lease, any failure of
Lessee to perform or observe any covenant or agreement herein shall not constitute an Event of
Default if such failure is caused solely by reason of an event referred to in the definition of
&#147;<I>Event of Loss</I>&#148; so long as Lessee is continuing to comply with the applicable terms of Section&nbsp;11.
Lessor (or, for so long as rent payments are being made directly to it, Indenture Trustee) shall
notify Lessee promptly upon Lessee&#146;s failure to make any payment of Basic Rent, after the same
shall have become due; <I>provided </I>that the giving of such notice by Lessor or Indenture Trustee, as
applicable, shall not be a condition to the start of the 10 Business Days period referred to in
paragraph (a)&nbsp;of this Section&nbsp;14 and the failure or delay in giving such notice shall not affect
the occurrence of an Event of Default under such Section 14(a) and Lessee agrees Lessor and
Indenture Trustee shall incur no liability nor be in breach hereunder for failure or delay in
giving such notice.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;15.</FONT> <FONT style="font-variant: SMALL-CAPS">Remedies.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;15.1. Remedies</I>. Upon the occurrence of any Event of Default and at any time
thereafter so long as the same shall be continuing, Lessor may, at its option, declare this Lease
to be in default by a written notice to Lessee (provided that upon the occurrence of an Event of
Default under Section 14(d) or 14(e), this Lease shall automatically be in default without the need
for any declaration by Lessor and any giving of notice); and Lessor may do one or more of the
following as Lessor in its sole discretion shall elect, to the extent permitted by, and subject to
compliance with any mandatory requirements of, applicable law then in effect:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) proceed by appropriate court action or actions, either at law or in equity, to
enforce performance by Lessee of the applicable covenants of this Lease or to recover
damages for the breach thereof;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) by notice in writing to Lessee, cancel this Lease, whereupon all right of Lessee to
the possession and use of the Equipment shall absolutely cease and terminate, but Lessee
shall remain liable as hereinafter provided; and thereupon, Lessor may demand that Lessee,
and Lessee shall, upon written demand of Lessor and at Lessee&#146;s expense forthwith return all
of the Equipment to Lessor or its order in the manner and condition required by, and
otherwise in accordance with all of the provisions of Section&nbsp;6, except Section&nbsp;6.1(b) and
those provisions relating to periods of notice; or Lessor may by its agents enter upon the
premises of Lessee or other premises where any of the Equipment may be located and take
possession of and remove all or any of the Units and thenceforth hold, possess and enjoy the
same free from any right of Lessee, or its successor or assigns, to use such Units for any
purpose whatever;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) sell any Unit at public or private sale, as Lessor may determine, free and clear of
any rights of Lessee and without any duty to account to Lessee with respect to such sale or
for the proceeds thereof (except to the extent required by paragraph (e)&nbsp;or (g)&nbsp;below if
Lessor elects to exercise its rights under said paragraph in which case such sale shall be
conducted at arm&#146;s length and on a commercially reasonable basis), in which event Lessee&#146;s
obligation to pay Basic Rent and Supplemental Rent (other than any Supplemental Rent owed
with respect to Lessee&#146;s indemnification obligations under Section&nbsp;7.1 or Section&nbsp;7.2 of the
Participation Agreement, except for claims in respect of such Unit attributable to acts or
events occurring after the delivery of such Unit to the purchaser thereof and which are not
otherwise attributable to any period prior to such delivery or relate to a failure by Lessee
to perform its obligations under this Lease) with respect to such Unit hereunder due for any
periods subsequent to the date of such sale shall terminate (except to the extent that Basic
Rent and Supplemental Rent are to be included in computations under paragraph (e)&nbsp;or (g)
below if Lessor elects to exercise its rights under either of said paragraphs);
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) hold, keep idle or lease to others any Unit as Lessor in its sole discretion may
determine, free and clear of any rights of Lessee and without any duty to account to Lessee
with respect to such action or inaction or for any proceeds with respect thereto, except
that Lessee&#146;s obligation to pay Basic Rent and Supplemental Rent (other than any
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">Supplemental Rent owed with respect to Lessee&#146;s indemnification obligations under Section
7.1 or Section&nbsp;7.2 of the Participation Agreement, except for claims in respect of such Unit
attributable to acts or events occurring after the return of such Unit to Lessor in
accordance with the terms hereof and which are not otherwise attributable to any period
prior to such delivery or relate to a failure by Lessee to perform its obligations under
this Lease) with respect to such Unit due for any periods subsequent to the date upon which
Lessee shall have been deprived of possession and use of such Unit pursuant to this Section
15 and prior to the Determination Date specified in paragraph (e)&nbsp;below shall be reduced by
the net proceeds, if any, received by Lessor from leasing such Unit to any Person other than
Lessee;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) whether or not Lessor shall have exercised, or shall thereafter at any time
exercise, any of its rights under paragraph (a), (b)&nbsp;or (c)&nbsp;above with respect to any Unit,
Lessor, by written notice to Lessee specifying a payment date (which date shall be a
Determination Date for the purposes of computing Stipulated Loss Value) which shall be not
earlier than 30&nbsp;days after the date of such notice, may demand that Lessee pay to Lessor,
and Lessee shall pay to Lessor, on the payment date specified in such notice, as liquidated
damages for loss of a bargain and not as a penalty (in lieu of the Basic Rent for such Unit
due on or after the Determination Date), (x)&nbsp;any unpaid Basic Rent due prior to the
Determination Date so specified, <I>plus </I>(y)&nbsp;whichever of the amounts referred to in
subparagraphs (i)&nbsp;and (ii)&nbsp;below as Lessor, in its sole discretion, shall specify in such
notice, <I>plus </I>(iii)&nbsp;all other Supplemental Rent due as of the date of payment, including
interest, to the extent permitted by applicable law, at the Late Rate on such amounts from
the date due (and in the case of the amount referred to in subparagraphs (i)&nbsp;and (ii)&nbsp;below,
such Determination Date) to the date of actual payment:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) an amount with respect to each Unit which represents the excess of the
present value, at the time of such payment date, of all rentals for such Unit which
would otherwise have accrued hereunder from such payment date for the remainder of
the Basic Term or any Renewal Term then in effect over the then present value of the
then Fair Market Rental Value of such Unit (taking into account its actual
condition) for such period computed by discounting from the end of such Term to such
payment date rentals which Lessor reasonably estimates to be obtainable for the use
of such Unit during such period, such present value to be computed in each case on a
basis of a rate per annum equal to the Debt Rate, compounded semiannually from the
respective dates upon which rentals should have been payable hereunder had this
Lease not been terminated; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) an amount equal to the excess, if any, of the Stipulated Loss Value for
such Unit computed as of the payment date specified in such notice over the Fair
Market Sales Value of such Unit (taking into account its actual condition) as of the
payment date specified in such notice;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) so long as any Unit has not been sold pursuant to paragraph (c)&nbsp;above, by notice to
Lessee, require Lessee to pay to Lessor on demand on any Determination Date, and Lessee
hereby agrees that it will so pay Lessor, as liquidated damages for loss of a
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">bargain and not as a penalty (in lieu of Basic Rent due on or after such Determination Date)
(i)&nbsp;any unpaid Basic Rent due prior to the Determination Date so specified, <I>plus </I>(ii)&nbsp;an
amount equal to the Stipulated Loss Value for such Unit computed as of such Determination
Date, <I>plus </I>(iii)&nbsp;all other Supplemental Rent due as of the date of payment, including
interest, to the extent permitted by applicable law, at the Late Rate on such amounts from
the date due (and in the case of the amount referred to in clause (ii), such Determination
Date) to the date of actual payment; and upon such payment of liquidated damages, Lessor
shall transfer, or cause to be transferred, to Lessee, at Lessee&#146;s cost and expense, on an
&#147;as-is, where-is&#148; basis and without recourse or warranty (except as to the absence of
Lessor&#146;s Liens), the rights and interests of Lessor in and to the Equipment and the Lease,
and Lessor and Owner Participant, at Lessee&#146;s cost and expense, shall execute and deliver
such documents evidencing such transfer and take such further action as may be required to
effect such transfer; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) if Lessor shall have sold any Unit pursuant to paragraph (c)&nbsp;above, Lessor, in lieu
of exercising its rights under paragraph (e)&nbsp;above with respect to such Unit may, if it
shall so elect, demand that Lessee pay to Lessor, and Lessee shall pay to Lessor, as
liquidated damages for loss of a bargain and not as a penalty (in lieu of Basic Rent due on
or after the date of such sale) (i)&nbsp;any unpaid Basic Rent due prior to the date of such
sale, <I>plus </I>(ii)&nbsp;the amount, if any, by which the Stipulated Loss Value of such Unit computed
as of the Determination Date immediately preceding the date of such sale or, if such sale
occurs on a Determination Date, then computed as of such Determination Date, exceeds the net
proceeds of such sale, <I>plus </I>(iii)&nbsp;all other Supplemental Rent due as of the date of payment,
including interest, to the extent permitted by applicable law, at the Late Rate on such
amounts from the date due (and in the case of the amount referred to in clause (ii), such
Determination Date) to the date of actual payment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, Lessee shall be liable, except as otherwise provided above, for any and all
unpaid Rent due hereunder before or during the exercise of any of the foregoing remedies, and for
legal fees and other costs and expenses incurred by reason of the occurrence of any Event of
Default or the exercise of Lessor&#146;s remedies with respect thereto, including without limitation the
repayment in full of any costs and expenses necessary to be expended in repairing any Unit in order
to cause it to be in compliance with all maintenance and regulatory standards imposed by this
Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding the obligations of Lessee under this Section, in the event this Lease is
terminated as a result of an Event of Default and Lessor has not exercised its remedies under
Section&nbsp;15.1(e)(ii), (f)&nbsp;or (g), Lessee shall be obligated to pay as of the Payment Date specified
in the notice from Lessor, the amount, if any, of Underpayment of Basic Rent as of such Payment
Date and following satisfaction of all amounts payable by Lessee in respect of such Payment Date,
Lessor shall pay to Lessee the amount, if any, of Overpayment of Basic Rent as of such Payment
Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;15.2. Cumulative Remedies</I>. The remedies in this Lease provided in favor of Lessor
shall not be deemed exclusive, but shall be cumulative and shall be in addition to all other
remedies in its favor existing at law or in equity.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;15.3. No Waiver</I>. No delay or omission to exercise any right, power or remedy accruing
to Lessor upon any breach or default by Lessee under this Lease shall impair any such right, power
or remedy of Lessor, nor shall any such delay or omission be construed as a waiver of any breach or
default, or of any similar breach or default hereafter occurring; nor shall any waiver of a single
breach or default be deemed a waiver of any subsequent breach or default.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;15.4. Lessee&#146;s Duty to Return Equipment Upon Default</I>. If Lessor or any assignee of
Lessor shall terminate this Lease pursuant to this Section&nbsp;15 and shall have provided to Lessee the
written demand specified in Section&nbsp;15.1(b), Lessee shall forthwith deliver possession of such
Units to Lessor. For the purpose of delivering possession of any Unit to Lessor as above required,
Lessee shall at its own cost, expense and risk:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) forthwith place such Equipment upon such storage tracks of Lessee or, at the
expense of Lessee, on any other storage tracks, as Lessee may select;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) permit Lessor to store such Equipment on such tracks without charge for insurance,
rent or storage until the earlier of (x)&nbsp;six months after such demand for storage and (y)
the date such Equipment is sold, leased or otherwise disposed of by Lessor and during such
period of storage Lessee shall continue to maintain all insurance required by Section&nbsp;12
hereof; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) transport the Equipment to any point of interchange on Lessee&#146;s lines in the 48
contiguous United States with a railroad, when directed by Lessor.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">All Equipment returned shall be in the condition required by Section&nbsp;6.2 hereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;15.5. Specific Performance; Lessor Appointed Lessee&#146;s Agent</I>. The assembling,
delivery, storage and transporting of the Equipment as provided in Section&nbsp;15.4 are of the essence
of this Lease, and upon application to any court of equity having jurisdiction in the premises,
Lessor shall be entitled to a decree against Lessee requiring specific performance of the covenants
of Lessee so to assemble, deliver, store and transport the Equipment. Without in any way limiting
the obligation of Lessee under the provisions of Section&nbsp;15.4, Lessee hereby irrevocably appoints
Lessor as the agent and attorney of Lessee, with full power and authority, at any time while Lessee
is obligated to deliver possession of any Units to Lessor pursuant to this Section&nbsp;15, to demand
and take possession of such Unit in the name and on behalf of Lessee from whosoever shall be at the
time in possession of such Unit.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;16.</FONT> <FONT style="font-variant: SMALL-CAPS">Filings; Further Assurances.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;16.1. Filings</I>. On or prior to the Delivery Date for each Unit, Lessee will (i)&nbsp;cause
this Lease, the Lease Supplement dated the Delivery Date, the Indenture and the Indenture
Supplement dated the Delivery Date, or appropriate evidence thereof, to be duly filed and recorded
with the STB in accordance with 49 U.S.C. &#167; 11301, (ii)&nbsp;cause this Lease, the Lease Supplement
dated the Delivery Date, the Indenture and the Indenture Supplement dated the Delivery Date, or
appropriate evidence thereof, to be deposited with the Registrar General of Canada pursuant to
Section&nbsp;105 of the Canada Transportation Act, and (iii)&nbsp;cause or permit such
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">other filings and notices to be filed or made as necessary or appropriate to perfect the right,
title and interest of Indenture Trustee in the Indenture Estate and to protect the interests of
Owner Participant, and will furnish Lessor and Indenture Trustee proof thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;16.2. Further Assurances</I>. Lessee, at Lessee&#146;s expense, will promptly and duly execute
and deliver to Lessor such further documents and assurances and take such further action as Lessor
may from time to time reasonably request in order to effectively carry out the intent and purpose
of this Lease and to establish and protect the rights and remedies created in favor of Lessor
hereunder, including, without limitation, if requested by Lessor, the execution and delivery of
supplements or amendments hereto, in recordable form, subjecting to this Lease any Replacement Unit
and the recording or filing of counterparts hereof or thereof in accordance with the laws of such
jurisdiction as Lessor may from time to time deem advisable; <I>provided </I>that this sentence is not
intended to impose upon Lessee any additional liabilities not otherwise contemplated by this Lease;
<I>provided, further</I>, that nothing contained herein shall require Lessee to file or record, or cause
to be filed or recorded, or bear the cost or expense of any filing or recordation of, any Uniform
Commercial Code financing statements absent a change in law which requires that such filings be
made to perfect the right, title and interest of Indenture Trustee in the Indenture Estate and/or
to protect the interests of Owner Participant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;16.3. Expenses</I>. Except as provided in Section&nbsp;2.5 of the Participation Agreement,
Lessee will pay all costs, charges and expenses (including reasonable attorneys&#146; fees) incident to
any such filing, refiling, recording and rerecording or depositing and redepositing of any such
instruments or incident to the taking of such action.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;17.</FONT> <FONT style="font-variant: SMALL-CAPS">Lessor&#146;s Right to Perform.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If Lessee fails to make any payment required to be made by it hereunder or fails to perform or
comply with any of its other agreements contained herein and such failure can be cured with the
payment of money, Lessor or Indenture Trustee may itself make such payment or perform or comply
with such agreement, in a reasonable manner, but shall not be obligated hereunder to do so, and the
amount of such payment and of the reasonable expenses of Lessor or Indenture Trustee, as the case
may be, incurred in connection with such payment or the performance of or compliance with such
agreement, as the case may be, together with interest thereon at the Late Rate, to the extent
permitted by applicable law, shall be deemed to be Supplemental Rent, payable by Lessee to Lessor
or Indenture Trustee, as the case may be, on demand; <I>provided </I>that if Lessor or Indenture Trustee
shall make any such payment or perform or comply with any such agreement, Lessor or Indenture
Trustee, as applicable, shall provide Lessee with written notice given concurrently with such
payment, performance or compliance.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;18.</FONT> <FONT style="font-variant: SMALL-CAPS">Assignment.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;18.1. Assignment by Lessor</I>. Lessee and Lessor hereby confirm that concurrently with
the execution and delivery of this Lease, Lessor has executed and delivered to Indenture Trustee
the Indenture, which assigns as collateral security and grants a security interest to Indenture
Trustee in, to and under this Lease and certain of the Rent payable hereunder, all as
more explicitly set forth in the Granting Clause of the Indenture. Lessor agrees that it shall not
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->-24-<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">otherwise assign or convey its right, title and interest in and to this Lease, the Equipment or any
Unit, except as expressly permitted by and subject to the provisions of this Lease, the
Participation Agreement, the Trust Agreement and the Indenture.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;18.2. Assignment by Lessee</I>. Except as otherwise provided in Section&nbsp;8.3 or in the
case of any requisition for use by an agency or instrumentality of the United States government
referred to in Section&nbsp;11.1, Lessee will not, without the prior written consent of Lessor, assign
any of its rights hereunder, except as provided in Section&nbsp;6.8 of the Participation Agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;18.3. Sublessee&#146;s Performance and Rights</I>. Any obligation imposed on Lessee in this
Lease shall require only that Lessee perform or cause to be performed such obligation, even if
stated herein as a direct obligation, and the performance of any such obligation by any permitted
assignee, sublessee or transferee under an assignment, sublease or transfer agreement then in
effect and permitted by the terms of this Lease shall constitute performance by Lessee and
discharge such obligation by Lessee. Except as otherwise expressly provided herein, any right
granted to Lessee in this Lease shall grant Lessee the right to exercise such right or permit such
right to be exercised by any such assignee, sublessee or transferee, <I>provided </I>that Lessee&#146;s renewal
option set forth in Section&nbsp;22.2 may be exercised only by Lessee itself or by any assignee or
transferee of, or successor to, Lessee in a transaction permitted by Section&nbsp;6.8 of the
Participation Agreement. The inclusion of specific references to obligations or rights of any such
assignee, sublessee or transferee in certain provisions of this Lease shall not in any way prevent
or diminish the application of the provisions of the two sentences immediately preceding with
respect to obligations or rights in respect of which specific reference to any such assignee,
sublessee or transferee has not been made in this Lease.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;19.</FONT> <FONT style="font-variant: SMALL-CAPS">Net Lease, etc.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Lease is a net lease and Lessee&#146;s obligation to pay all Rent payable hereunder shall be
absolute and unconditional under any and all circumstances of any character including, without
limitation, any abatement of Rent or setoff against Rent; nor, except as otherwise expressly
provided herein, shall this Lease terminate, or the respective obligations of Lessor or Lessee be
otherwise affected, by reason of any defect in, damage to or loss or destruction of, or
requisitioning of, any Unit, by condemnation or otherwise, the prohibition of Lessee&#146;s use of any
Unit, the interference with such use by any Person or the lack of right, power or authority of
Lessor or any other Person to enter into this Lease or any other Operative Agreement, or for any
other cause, whether similar or dissimilar to the foregoing, any present or future law to the
contrary notwithstanding, it being the intention of the parties hereto that the Rent payable by
Lessee hereunder shall continue to be payable in all events unless the obligation to pay the same
shall be terminated in accordance with the terms of this Lease. To the extent permitted by
applicable law, Lessee hereby waives any and all rights which it may now have or which at any time
hereafter may be conferred upon it, by statute or otherwise, to terminate, cancel, quit or
surrender this Lease with respect to any Unit, except in accordance with the express terms hereof.
If for any reason whatsoever this Lease shall be terminated in whole or in part by operation of law
or otherwise, except as specifically provided herein, Lessee nonetheless agrees to the
maximum extent permitted by law, to pay to Lessor or to Indenture Trustee, as the case
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->-25-<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">may be,
an amount equal to each installment of Basic Rent and all Supplemental Rent due and owing, at the
time such payment would have become due and payable in accordance with the terms hereof had this
Lease not been terminated in whole or in part. Nothing contained herein shall be construed to
waive any claim which Lessee might have under any of the Operative Agreements or otherwise or to
limit the right of Lessee to make any claim it might have against Lessor or any other Person or to
pursue such claim in such manner as Lessee shall deem appropriate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;20.</FONT> <FONT style="font-variant: SMALL-CAPS">Notices.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unless otherwise expressly specified or permitted by the terms hereof, all communications and
notices provided for herein shall be in writing or by a telecommunications device capable of
creating a written record (including electronic mail), and any such notice shall become effective
(a)&nbsp;upon personal delivery thereof, including, without limitation, by overnight mail and courier
service, (b)&nbsp;in the case of notice by United States mail, certified or registered, postage prepaid,
return receipt requested, upon receipt thereof, or (c)&nbsp;in the case of notice by such a
telecommunications device, upon transmission thereof, provided such transmission is promptly
confirmed in writing by either of the methods set forth in clauses (a)&nbsp;and (b)&nbsp;above, in each case
addressed to the following Person at its respective address set forth below or at such other
address as such Person may from time to time designate by written notice to the other Persons
listed below:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="78%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">If to Lessor:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">KCSR 2008-1 Statutory Trust</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">c/o U.S. Bank Trust National Association</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Goodwin Square</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">225 Asylum Street, 23rd Floor</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Hartford, Connecticut 06103</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Attention: Corporate Trust Department (KCSR 2008-1)</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Facsimile No.: (860)&nbsp;241-6897</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Telephone No.: (860)&nbsp;241-6820</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" nowrap>With copies to:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">MetLife Capital, Limited Partnership</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">10 Park Avenue, P.O. Box 1902</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Morristown, New Jersey 07962</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Attention: Director, Leveraged Leases</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Facsimile No.: (973)&nbsp;355-4230</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Telephone No.: (973)&nbsp;355-4806</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->-26-<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="78%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" nowrap>With a copy to:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Metropolitan Life Insurance Company</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">10 Park Avenue, P.O. Box 1902</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Morristown, New Jersey 07962-1902</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Attention: Director, Leveraged Leases</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Facsimile No.: (973)&nbsp;355-4250</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">and</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Attention: Chief Counsel-Securities Investments</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" nowrap>If to Indenture Trustee:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"> Wilmington Trust Company</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Rodney Square North</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">1100 North Market Street</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Wilmington, Delaware 19890-0001</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Attention: Corporate Trust Administration</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Facsimile No.: (302)&nbsp;636-4140</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Telephone No.: (302)&nbsp;636-6000</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">If to Lessee:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><I>Address of Lessee for Mail Delivery</I>:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">The Kansas City Southern Railway Company</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">P.O. Box 219335</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Kansas City, Missouri 64121-9335</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Attention: Senior Vice President &#151; Finance &#038; Treasurer</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Facsimile No.: (816)&nbsp;983-1198</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Telephone No.: (816)&nbsp;983-1802</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><I>Address of Lessee for Courier and Similar Delivery</I>:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">The Kansas City Southern Railway Company</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">427 West 12th Street</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Kansas City, Missouri 64105</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Attention: Senior Vice President &#151; Finance &#038; Treasurer</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Facsimile No.: (816)&nbsp;983-1198</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Telephone No.: (816)&nbsp;983-1802</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">with a copy to:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">The Kansas City Southern Railway Company</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">427 West 12th Street</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Kansas City, Missouri 64105</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Attention: Senior Vice President &#038; General Counsel</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Facsimile No.: (816)&nbsp;983-1227</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Telephone No.: (816)&nbsp;983-1303</TD>
</TR>
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</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;21.</FONT> <FONT style="font-variant: SMALL-CAPS">Concerning Indenture Trustee.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;21.1. Limitation of Indenture Trustee&#146;s Liabilities</I>. Notwithstanding any provision
herein or in any of the other Operative Agreements to the contrary, Indenture Trustee&#146;s obligation
to take or refrain from taking any actions, or to use its discretion (including, but not limited
to, the giving or withholding of consent or approval and the exercise of any rights or remedies
under such Operative Agreements), and any liability therefor, shall, in addition to any other
limitations provided herein or in the other Operative Agreements, be limited by the provisions of
the Indenture, including, but not limited to, Article&nbsp;VI thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;21.2. Right, Title and Interest of Indenture Trustee under Lease</I>. It is understood
and agreed that the right, title and interest of Indenture Trustee in, to and under this Lease and
the Rent due and to become due hereunder shall by the express terms granting and conveying the same
be subject to the interest of Lessee in and to the Equipment.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;22.</FONT> <FONT style="font-variant: SMALL-CAPS">Termination Upon Purchase by Lessee; Options to Renew.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;22.1. Termination upon Purchase by Lessee</I>. If Lessee shall have exercised its option
to purchase any Unit pursuant to Section&nbsp;23 and shall not have elected to purchase Owner
Participant&#146;s Beneficial Interest pursuant to Section&nbsp;23(c), upon payment by Lessee of the purchase
price with respect to such Unit as provided in Section&nbsp;23, and upon payment by Lessee of all Rent
then due and payable under this Lease with respect to such Unit, the Lease Term shall end with
respect to such Unit and the obligations of Lessee to pay Rent hereunder with respect to such Unit
(except for (i)&nbsp;Supplemental Rent obligations surviving pursuant to the Participation Agreement or
the Tax Indemnity Agreement or which have otherwise accrued but not been paid as of the date of
such payment and (ii)&nbsp;the provisions hereof that expressly survive any termination of this Lease)
shall cease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;22.2. Renewal Options</I>. (a)&nbsp;So long as no Specified Default or Event of Default shall
have occurred and be continuing and subject to Section&nbsp;22.1, Lessee shall have the right, upon not
less than 120&nbsp;days&#146; prior notice (which shall become irrevocable if not revoked at least 90&nbsp;days
prior to the end of the Basic Term) to Lessor prior to the end of the Basic Term, to renew this
Lease with respect to, at the sole discretion of Lessee, either all of the Units of Equipment or a
Minimum Number of the Units of Equipment, for one Renewal Term of, at Lessee&#146;s discretion, (i)&nbsp;one
(1)&nbsp;year, (ii)&nbsp;two (2)&nbsp;years or (iii)&nbsp;not less than three (3)&nbsp;years and not more than four years
(4) (the <I>&#147;Fixed Rate Renewal Term&#147;</I>), commencing on the first day following the Basic Term
Expiration Date for such Units. All of the provisions of this Lease, other than Section&nbsp;10, shall
be applicable during any such Fixed Rate Renewal Term for such Units, except that the Stipulated
Loss Values for such Units shall be determined in accordance with Section&nbsp;22.5 hereof, and Basic
Rent for such Units during such Fixed Rate Renewal Term shall be payable in semi-annual
installments in arrears and shall be equal to the product of the percentage set forth opposite such
Fixed Rate Renewal Term on Schedule&nbsp;7 to the Lease Supplement and the Equipment Cost for such Units
of Equipment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;So long as no Specified Default or Event of Default shall have occurred and be continuing,
Lessee shall have the right, upon not less than 120&nbsp;days&#146; prior notice (which shall
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">become irrevocable if not revoked at least 90&nbsp;days prior to the end of the Fixed Rate Renewal Term
or the current Fair Market Renewal Term, as the case may be) to Lessor at the end of the Fixed Rate
Renewal Term or any Fair Market Renewal Term, as the case may be, pursuant to this Section, to
renew this Lease with respect to, at the sole discretion of Lessee, either all of the Units of
Equipment or a Minimum Number of the Units of Equipment, for one or more successive Renewal Terms
of not less than one year each (each a &#147;<I>Fair Market Renewal Term</I>&#148;), commencing at the end of the
Fixed Rate Renewal Term or the end of any Fair Market Renewal Term, as the case may be; <I>provided</I>
that the aggregate duration of the Fair Market Renewal Terms for such Units, when added to the
duration of the Interim Term for such Units, the Basic Term for such Units, the prior Fixed Rate
Renewal Term for such Units and all prior Fair Market Renewal Terms for such Units, shall not in
any event exceed either (i)&nbsp;80% of the estimated useful life of such Units, or (ii)&nbsp;the point at
which such Units are estimated to have a Fair Market Sales Value of 20% of the original Equipment
Cost of such Units (without giving effect to inflation or deflation since the Delivery Date for
such Units), in each case as determined by appraisal (in accordance with the procedures set forth
in the definition of &#147;<I>Fair Market Sales Value</I>&#148;), completed at a point prior to the end of the Fixed
Rate Renewal Term or the current Fair Market Renewal Term, as the case may be, selected by Lessee.
Basic Rent for any such Renewal Term shall be equal to the then Fair Market Rental Value for such
Units and shall be payable in semiannual installments in arrears. All other provisions of this
Lease, other than Section&nbsp;10, shall be applicable during any such Renewal Term for such Units,
except that the Stipulated Loss Values for such Units shall be determined in accordance with
Section&nbsp;22.5.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;22.3. &#091;Reserved&#093;</I>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;22.4. Determination of Fair Market Rental Value</I>. Lessee may notify Lessor that Lessee
desires a determination of the Fair Market Rental Value of such Units for a Renewal Term commencing
upon the Renewal Term Commencement Date. Lessee&#146;s request for a determination of Fair Market
Rental Value shall not obligate Lessee to exercise any of the options provided in Section&nbsp;22.2.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;22.5. Stipulated Loss Value and Termination Value During Renewal Term</I>. During any
Renewal Term, the Stipulated Loss Value and Termination Value of any Unit shall be determined by
amortizing the Fair Market Sales Value of such Unit as of the first day of such Renewal Term down
to the Fair Market Sales Value of such Unit as of the last day of such Renewal Term at the implicit
interest rate imputed when discounting on a monthly basis the renewal rents and the Fair Market
Sales Value as of the last day of such Renewal Term back to the Fair Market Sales Value as of the
first day of such Renewal Term.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;23.</FONT> <FONT style="font-variant: SMALL-CAPS">Lessee&#146;s Options to Purchase Equipment; Purchase of Beneficial
Interest.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;So long as no Specified Default or Event of Default shall have occurred and be continuing,
Lessee shall have the option:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) upon not less than 120&nbsp;days&#146; nor more than 360&nbsp;days&#146; prior notice (which shall
become irrevocable if not revoked at least 90&nbsp;days prior to the end of the Basic
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">Term) to Lessor to purchase on the Business Day next following the expiration of any Renewal
Term then in effect, at the sole discretion of Lessee, either all of the Units of Equipment
or a Minimum Number of the Units of Equipment, at a price equal to the Fair Market Sales
Value for such Units;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) upon not less than 30&nbsp;days&#146; nor more than 360&nbsp;days&#146; prior notice to Lessor to
purchase on the EBO Fixed Purchase Price Date, at the sole discretion of Lessee, either all
of the Units of Equipment or a Minimum Number of the Units of Equipment, at a price equal to
the EBO Fixed Purchase Price (as such EBO Fixed Purchase Price may be adjusted from time to
time pursuant to and in accordance with Section&nbsp;2.6 of the Participation Agreement); and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) upon not less than 120&nbsp;days&#146; nor more than 360&nbsp;days&#146; prior notice (which shall
become irrevocable if not revoked at least 90&nbsp;days prior to the end of the Basic Term) to
Lessor to purchase on the Basic Term Expiration Date, at the sole discretion of the Lessee,
either all of the Units of Equipment or a Minimum Number of the Units, at a price equal to
the lesser of Fair Market Sales Value for such Units and the FPO Fixed Purchase Price for
such Units.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If Lessee shall have exercised its option to purchase any Unit pursuant to Section
23(a)(ii), in addition to the payment of the EBO Fixed Purchase Price for such Unit on the
EBO Fixed Purchase Price Date (and in the event Lessee shall have selected the option set
forth in Section&nbsp;23(d), on the date the initial installment is paid), Lessee shall pay any
Underpayment of Basic Rent for such Unit as of such EBO Fixed Purchase Price Date and on
such EBO Fixed Purchase Price Date Lessor shall pay to Lessee following satisfaction of all
amounts due by Lessee in respect of such EBO Fixed Purchase Price Date (including all
amounts due and payable to the Indenture Trustee in respect of such EBO Fixed Purchase Price
Date), any Overpayment of Basic Rent for such Unit as of such EBO Fixed Purchase Price Date;
<I>provided however</I>, that at the election of either the Lessor or Lessee, Lessor shall offset
its obligation to pay any Overpayment of Basic Rent for such Unit against the Lessee&#146;s
obligation to pay the EBO Fixed Purchase Price for such Unit by instructing Lessee to pay an
amount equal to the EBO Fixed Purchase Price for such Unit less any Overpayment of Basic
Rent for such Unit; <I>provided further</I>, that the payment by Lessee of an amount equal to the
EBO Fixed Purchase Price for such Unit less any Overpayment of Basic Rent for such Unit
shall be deemed to be such an election by Lessee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;If Lessee shall have exercised its option to purchase any Unit pursuant to Sections
23(a)(i) or Section&nbsp;23(a)(iii) and shall have requested a determination of Fair Market Sales Value
at least 180&nbsp;days prior to the date of such purchase, Owner Trustee and Lessee shall comply in a
timely manner with their respective obligations set forth in the definition of &#147;Fair Market Sales
Value.&#148; If Lessee shall have exercised its option to purchase any Unit hereunder, and so long as
Lessee has not exercised its option to purchase the Beneficial Interest pursuant to Section 23(c)
below, on the date of such purchase (x)&nbsp;Owner Trustee shall, subject to the payment in full of all
amounts referred to in clauses (y)&nbsp;and (z)&nbsp;below, assign, transfer and convey to Lessee all right,
title and interest of Owner Trustee in and to each Unit being
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">purchased on such date on an &#147;as is,
where is&#148; basis, without recourse or warranty except as to Lessor&#146;s Liens attributable to Owner
Trustee or Owner Participant other than Permitted Liens, (y)&nbsp;Lessee shall pay, by 12:00 noon (New
York City time) on such date by wire transfer in immediately available funds, to Owner Trustee the
Fair Market Sales Value, the EBO Fixed Purchase Price or the FPO Fixed Purchase Price, as the case
may be, with respect to the Units purchased on such date plus any sales, use or other similar taxes
imposed on such purchase or transfer, and (z)&nbsp;Lessee shall pay pursuant to Section&nbsp;22.1(i) all
Basic Rent due and payable prior to such date of purchase <I>plus </I>all other Supplemental Rent due and
payable as of such date of purchase, including any Make-Whole Amount with respect to any Equipment
Note due and payable on such date of purchase.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;If Lessee shall have exercised its option pursuant to Section&nbsp;23(a)(ii) above and shall
have elected to purchase all but not less than all of the Units, Lessee shall have the option to
purchase the Beneficial Interest from Owner Participant instead of the individual Units and shall
assume all of the rights and obligations of Owner Participant under each of the Operative
Agreements to which Owner Participant is a party (other than any obligations or liabilities of
Owner Participant incurred on or prior to the applicable purchase date, which obligations and
liabilities shall remain the sole responsibility of Owner Participant); <I>provided</I>, <I>however</I>, Lessee
shall not be entitled to exercise such option unless Indenture Trustee and Loan Participant shall
have received an opinion of counsel stating that Indenture Trustee and Loan Participant shall be
entitled to the benefits of Section&nbsp;1168 of the Bankruptcy Code (or any successor provision) to the
same extent as immediately prior to Lessee&#146;s exercise of this option, such opinion to be reasonably
satisfactory to Indenture Trustee and Loan Participant. On the applicable purchase date (x)&nbsp;Lessee
shall pay any unpaid Basic Rent due and payable prior to such date of purchase and any other Rent
then due and payable and such amounts shall be distributed as provided in the Indenture and the
Trust Agreement and (y)&nbsp;Lessee shall pay to Owner Participant, in immediately available funds, an
amount equal to the excess of the aggregate purchase price of such Units under Section&nbsp;23(a)(ii)
over an amount equal to the sum of the principal of, and any accrued and unpaid interest on, the
outstanding Equipment Notes on such date after taking into account any payments of principal or
interest made in respect of the outstanding Equipment Notes on such date plus any sales, use or
other similar taxes imposed on such purchase or transfer, and upon payment and (in the case of
clause (x)&nbsp;above) distribution of the amounts set forth in clauses (x)&nbsp;and (y)&nbsp;above, Owner
Participant will assign, transfer and convey to Lessee, without recourse or warranty except as to
Lessor&#146;s Liens attributable to Owner Trustee or Owner Participant other than Permitted Liens, all
of Owner Participant&#146;s right, title and interest in and to the Beneficial Interest. If Lessee shall
have exercised the option to purchase the Beneficial Interest from Owner Participant as described
above, Owner Participant shall receive on the applicable purchase date a release in form and
substance satisfactory to it, from all liabilities under the Operative Agreements (other than those
liabilities set forth in the parenthetical phrase of the first sentence of this Section&nbsp;23(c)).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;In the event that Lessee shall exercise its option set forth in Section&nbsp;23(a)(ii), Lessee
may, at its option, either (i)&nbsp;pay the entire purchase price for such Units on the purchase date
therefor or (ii)&nbsp;pay the purchase price for such Units in installments, each such installment to be
payable on each date set forth on Schedule&nbsp;10 to the Lease Supplement for such Units and in an
amount equal to the product of the percentage set forth in Schedule&nbsp;10 to such Lease Supplement
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">with respect to such Units and the Equipment Cost for such Units; <I>provided</I>, <I>however</I>, that such
amount payable on the first such date shall be not less than the amount of principal on the
Equipment Notes subject to prepayment on such date pursuant to Section&nbsp;2.10(c) of the Indenture
plus accrued interest thereon. Lessee shall elect its payment option in the applicable notice
given pursuant to Section&nbsp;23(a)(ii); <I>provided</I>, <I>however</I>, that Lessee shall not be entitled to elect
the option specified in clause (ii)&nbsp;above unless (x)&nbsp;as a condition to such purchase, Lessee shall
secure its obligation to pay the purchase price installments by granting to Lessor a perfected
security interest in the applicable Units, pursuant to documentation reasonably satisfactory to
Lessor and Owner Participant and (y)&nbsp;upon satisfaction of such condition, Lessor shall transfer all
its right, title and interest in and to such Units to Lessee on the EBO Fixed Price Purchase Date,
in accordance with and subject to the other conditions specified in this Section&nbsp;23 (except that
payment of the installment of the purchase price payable on the EBO Fixed Price Purchase Date shall
be required in lieu of payment of the full purchase price). All reasonable costs and expenses of
Lessor and Owner Participant incurred in connection with Lessee&#146;s election of the option specified
in clause (ii)&nbsp;above shall be paid by Lessee. Notwithstanding anything to the contrary contained
herein, if Lessee shall have exercised its rights to pay the purchase price for any such Units of
Equipment pursuant to this Section&nbsp;23(d), Lessee shall not be entitled to also exercise its rights
under Section 23(c) to purchase the Beneficial Interest from Owner Participant with respect to such
Units of Equipment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;24.</FONT> <FONT style="font-variant: SMALL-CAPS">Limitation of Lessor&#146;s Liability.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;It is expressly agreed and understood that all representations, warranties and undertakings of
Lessor hereunder (except as expressly provided herein) shall be binding upon Lessor only and in no
case shall Trust Company be personally liable for or on account of any statements, representations,
warranties, covenants or obligations stated to be those of Lessor hereunder, except that Trust
Company shall be personally liable for its gross negligence or willful misconduct or for its breach
of its covenants, representations and warranties contained herein to the extent covenanted or made
in its individual capacity.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;25.</FONT> <FONT style="font-variant: SMALL-CAPS">Filing in Mexico.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event that during the Lease Term (A)&nbsp;a central filing system becomes available in
Mexico for the filing or recording of security interests or ownership rights in railroad rolling
stock, (B)&nbsp;Lessee elects as a business practice to conduct such filings or recordings with respect
to equipment owned or leased by Lessee that is used in a manner similar to the Units and (C)&nbsp;Lessee
has not previously taken such action in accordance with the requirements of Section&nbsp;16.1 hereof,
then Lessee will take, or cause to be taken, at Lessee&#146;s cost and expense, such action with respect
to the filing or recording of this Lease, the Indenture or any supplements hereto or thereto (or
appropriate evidence thereof) and any financing statements or other instruments as may be necessary
or reasonably required to maintain, so long as the Indenture or this Lease is in effect and such
central filing system remains available, the benefit of such filing or recording in Mexico for the
protection of the security interest created by the Indenture and any security interest that may be
claimed to have been created by this Lease and the ownership interest of Lessor in each Unit to the
extent such protection is available pursuant to such filing or recording in Mexico.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">Section&nbsp;26.</FONT> <FONT style="font-variant: SMALL-CAPS">Miscellaneous.</FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.1. Governing Law; Severability</I>. This Lease and any extensions, amendments,
modifications, renewals or supplements hereto shall be governed by and construed in accordance with
the internal laws and decisions (as opposed to conflicts of law provisions) of the State of New
York; <I>provided</I>, <I>however</I>, that the parties shall be entitled to all rights conferred by any
applicable Federal statute, rule or regulation. Whenever possible, each provision of this Lease
shall be interpreted in such manner as to be effective and valid under applicable law, but if any
provision of this Lease shall be prohibited by or invalid under the laws of any jurisdiction, such
provision, as to such jurisdiction, shall be ineffective to the extent of such prohibition or
invalidity, without invalidating the remainder of such provision or the remaining provisions of
this Lease in any other jurisdiction.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.2. Execution in Counterparts</I>. This Lease may be executed in any number of
counterparts, each executed counterpart constituting an original and in each case such counterparts
shall constitute but one and the same instrument; <I>provided</I>, <I>however</I>, that to the extent that this
Lease constitutes chattel paper (as such term is defined in the Uniform Commercial Code) no
security interest in this Lease may be created through the transfer or possession of any
counterpart hereof other than the counterpart bearing the receipt therefor executed by Indenture
Trustee on the signature page hereof, which counterpart shall constitute the only &#147;original&#148; hereof
for purposes of the Uniform Commercial Code.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.3. Headings and Table of Contents; Section&nbsp;References</I>. The headings of the
sections of this Lease and the Table of Contents are inserted for purposes of convenience only and
shall not be construed to affect the meaning or construction of any of the provisions hereof. All
references herein to numbered sections, unless otherwise indicated, are to sections of this Lease.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.4. Successors and Assigns</I>. This Lease shall be binding upon and shall inure to the
benefit of, and shall be enforceable by, the parties hereto and their respective permitted
successors and assigns.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.5. True Lease</I>. It is the intent of the parties to this Lease that it be, and this
Lease shall be, a single and indivisible true lease of the Equipment for all purposes, including,
without limitation, for Federal income tax purposes. Lessor shall at all times be the owner of
each Unit which is the subject of this Lease for all purposes, this Lease conveying to Lessee no
right, title or interest in any Unit except as lessee. Nothing contained in this Section&nbsp;26.5
shall be construed to limit Lessee&#146;s use or operation of any Unit or constitute a representation,
warranty or covenant by Lessee as to tax consequences.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.6. Amendments and Waivers</I>. No term, covenant, agreement or condition of this Lease
may be terminated, amended or compliance therewith waived (either generally or in a particular
instance, retroactively or prospectively) except by an instrument or instruments in writing
executed by each party hereto; <I>provided</I>, <I>however</I>, that any breach or default, once waived in
writing, unless otherwise specified in such waiver, shall not be deemed continuing for any purpose
of the Operative Agreements.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->-33-<!-- /Folio -->
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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.7. Survival</I>. All warranties, representations, indemnities and covenants made by
any party hereto, herein or in any certificate or other instrument delivered by any such party or
on the behalf of any such party under this Lease, shall be considered to have been relied upon by
each other party hereto and shall survive the consummation of the transactions contemplated hereby
on the Closing Date and on the Delivery Date regardless of any investigation made by any such party
or on behalf of any such party.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.8. Business Days</I>. If any payment is to be made hereunder or any action is to be
taken hereunder on any date that is not a Business Day, such payment or action otherwise required
to be made or taken on such date shall be made or taken on the immediately succeeding Business Day
with the same force and effect as if made or taken on such scheduled date and as to any payment
(provided that any such payment is made on such succeeding Business Day) no interest shall accrue
on the amount of such payment from and after such scheduled date to the time of such payment on
such next succeeding Business Day.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.9. Directly or Indirectly</I>. Where any provision in this Lease refers to action to
be taken by any Person, or which such Person is prohibited from taking, such provision shall be
applicable whether such action is taken directly or indirectly by such Person.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.10. Incorporation by Reference</I>. The payment obligations set forth in the Tax
Indemnity Agreement and Sections&nbsp;7.1 and 7.2 of the Participation Agreement are hereby incorporated
by reference.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.11. Entitlement to &#167;1168 Benefits</I>. It is the intent of the parties that Lessor (and
Indenture Trustee as assignee of Lessor under the Indenture) shall be entitled to the benefits of
Section&nbsp;1168 of the Bankruptcy Code with respect to the right to repossess any Unit and to enforce
any of its other rights or remedies as provided herein, and in any circumstances where more than
one construction of the terms and conditions of this Lease is possible, a construction which would
preserve such benefits shall control over any construction which would not preserve such benefits
or would render them doubtful. To the extent consistent with the provisions of Section&nbsp;1168 of the
Bankruptcy Code or any analogous section of the Bankruptcy Code or other applicable law, it is
hereby expressly agreed and provided that, notwithstanding any other provision of the Bankruptcy
Code, any right of Lessor to take possession of any Unit and to enforce any of its other rights or
remedies in compliance with the provisions of this Lease shall not be affected by the provisions of
Section&nbsp;362 or Section&nbsp;363 of the Bankruptcy Code or any analogous provision of any superseding
statute or any power of a bankruptcy court to enjoin such undertaking or possession.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Section&nbsp;26.12. Waiver of Jury Trial</I>. <FONT style="font-variant: SMALL-CAPS">THE PARTIES HERETO VOLUNTARILY AND INTENTIONALLY
WAIVE ANY RIGHTS THEY MAY HAVE TO
A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER,
OR IN CONNECTION WITH THIS LEASE OR ANY OTHER OPERATIVE AGREEMENT, OR ANY COURSE
OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS
OF ANY OF THE PARTIES HERETO AND THERETO. THE PARTIES HERETO HEREBY AGREE THAT THEY
WILL NOT SEEK TO CONSOLIDATE ANY SUCH LITIGATION WITH ANY OTHER LITIGATION IN WHICH
A JURY TRIAL HAS NOT OR CANNOT BE WAIVED.</FONT>
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->-34-<!-- /Folio -->
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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="font-variant: SMALL-CAPS">In Witness Whereof</FONT>, Lessor and Lessee have caused this Lease to be duly executed and
delivered on the day and year first above written.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Lessor:<BR>
<BR>
<FONT style="font-variant: SMALL-CAPS">KCSR 2008-1 Statutory Trust</FONT>, acting
through <FONT style="font-variant: SMALL-CAPS">U.S. Bank Trust National
Association</FONT>, not in its individual
capacity, but solely as Owner Trustee<br>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Maryanne Y. Dufresne
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">Maryanne Y. Dufresne&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Lessee:<BR>
<BR>
<FONT style="font-variant: SMALL-CAPS">The Kansas City Southern Railway Company</FONT><BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Paul J. Weyandt
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">Paul J. Weyandt&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Senior Vice President-Finance &#038;
Treasurer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="48%">&nbsp;</TD>
</TR>
<TR>
    <TD colspan="3" align="left">Receipt of the original counterpart
of the foregoing Lease is hereby
acknowledged this 15th day of April,
2008.<BR>
<BR>
<FONT style="font-variant: SMALL-CAPS">Wilmington Trust Company, </FONT>as Indenture Trustee<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="left">&nbsp;</TD>
</TR><TR>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Patricia A. Evans
&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
</TR><TR>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">Patricia A. Evans&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
</TR><TR>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Vice President&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>

</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="25%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="0%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="0%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="72%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">State of Connecticut</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ss:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">County of Hartford</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On this 11th day of April, 2008, before me personally appeared Maryanne Y. Dufresne to me
personally known, who being by me duly sworn, says that (s)he is a Vice President of <FONT style="font-variant: SMALL-CAPS">U.S. Bank
Trust National Association</FONT>, that said instrument was signed on April&nbsp;11, 2008, on behalf of
said association by authority of its Board of Directors, and (s)he acknowledged that the execution
of the foregoing instrument was the free act and deed of said association.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">                                                     /s/ Susan P. McNally
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="center">Notary Public&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">(SEAL)&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
</TABLE>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">My Commission Expires: <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="25%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="0%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="0%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="72%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">State of Missouri</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">SS.:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">County of Jackson</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On this 10th day of April, 2008, before me personally appeared Paul J. Weyandt to me
personally known, who being by me duly sworn, says that (s)he is the Senior Vice President-Finance
&#038; Treasurer of <FONT style="font-variant: SMALL-CAPS">The Kansas City Southern Railway Company</FONT>, that said instrument was signed
on April&nbsp;10, 2008, on behalf of said corporation by authority of its Board of Directors, and (s)he
acknowledged that the execution of the foregoing instrument was the free act and deed of said
corporation.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Karen Dennis
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="center">Notary Public&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">(SEAL)&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
</TABLE>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">My Commission Expires: <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>



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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS">Form of</FONT><BR>
<FONT style="font-variant: SMALL-CAPS">Lease Supplement No. _____ (KCSR 2008-1)</FONT>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">dated as of <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2008

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">between

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">KCSR 2008-1 Statutory Trust</FONT>, acting through<BR>
<FONT style="font-variant: SMALL-CAPS">U.S. Bank Trust National Association,</FONT><BR>
not in its individual capacity,<BR>
but solely as owner trustee,<BR>
Lessor

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">and

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><FONT style="font-variant: SMALL-CAPS">The Kansas City Southern Railway Company</FONT>,<BR>
Lessee

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#95;&#95;&#95;
SD70ACe Locomotives

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="font-variant: SMALL-CAPS">Certain of the right, title and interest of Lessor in and to this Lease
Supplement, the equipment covered hereby and the rent due and to become
due under the Lease have been assigned as collateral security to, and are
subject to a security interest in favor of, Wilmington Trust Company, as
Indenture Trustee under a Trust Indenture and Security Agreement (KCSR
2008-1), dated as of April&nbsp;1, 2008 between said Indenture Trustee, as
secured party, and Lessor, as debtor. Information concerning such
security interest may be obtained from Indenture Trustee at its address
set forth in Section&nbsp;20 of the Lease. This Lease Supplement has been
executed in several counterparts, but only that counterpart shall be
deemed the original counterpart for chattel paper purposes that contains
the receipt therefor executed by Wilmington Trust Company, as Indenture
Trustee, on the signature page thereof. See Section&nbsp;26.2 of the Lease
for information concerning the rights of the original holder and the
holders of the various counterparts hereof.</FONT>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Memorandum of Lease Supplement No. &#95;&#95;&#95;, (KCSR 2008-1) filed with the Surface Transportation
Board pursuant to 49 U.S.C. &#167;11301 on <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2008 at &#95;&#95;&#95; &#95;&#95;.M. Recordation Number &#95;&#95;&#95;, and
deposited in the Office of the Registrar General of Canada pursuant to Section&nbsp;105 of the Canada
Transportation Act on <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2008, at &#95;&#95;&#95; &#95;&#95;.M.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS"><B>Lease
Supplement No. _____</B></FONT><BR>
<FONT style="font-variant: SMALL-CAPS"><B>(KCSR 2008-1)</B></FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="font-variant: SMALL-CAPS">Lease
Supplement</FONT> <FONT style="font-variant: SMALL-CAPS">No</FONT>. &#95;&#95;&#95; (KCSR 2008-1) dated <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2008 (this
&#147;<I>Lease Supplement</I>&#148;) between the KCSR 2008-1<FONT style="font-variant: SMALL-CAPS"> Statutory Trust</FONT>, a Delaware statutory trust,
acting through <FONT style="font-variant: SMALL-CAPS">U.S. Bank Trust National Association</FONT>, not in its individual capacity but
solely as Owner Trustee of the KCSR 2008-1 Statutory Trust (&#147;<I>Lessor</I>&#148;) under the Trust Agreement,
and <FONT style="font-variant: SMALL-CAPS">The Kansas City Southern Railway Company</FONT>, a Missouri corporation (&#147;<I>Lessee</I>&#148;);
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><FONT style="font-variant: SMALL-CAPS"><B>Witnesseth:</B></FONT>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="font-variant: SMALL-CAPS">Whereas</FONT>, Lessor and Lessee have heretofore entered into that certain Equipment Lease
Agreement (KCSR 2008-1) dated as of April&nbsp;1, 2008 (the &#147;<I>Lease</I>&#148;). Unless otherwise defined herein,
capitalized terms used herein shall have the meanings specified in Appendix&nbsp;A to the Lease; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="font-variant: SMALL-CAPS">Whereas</FONT>, the Participation Agreement and the Lease provide that on the Delivery Date,
the Seller shall deliver to Lessor, for each Unit being purchased on the Delivery Date, a Bill of
Sale, dated the Delivery Date, by which Seller bargains, conveys, assigns, sets over, sells and
delivers to the Trust, the Units conveyed on the Delivery Date; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="font-variant: SMALL-CAPS">Whereas</FONT>, the Lease provides for the execution and delivery of a Lease Supplement
substantially in the form hereof for the purpose of confirming the acceptance by Lessee and lease
of the Units under the Lease as and when delivered by Lessor to Lessee in accordance with the terms
thereof;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;N<FONT style="font-variant: SMALL-CAPS">ow, Therefore</FONT>, in consideration of the premises and other good and sufficient
consideration, Lessor and Lessee hereby agree as follows:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Lessee hereby acknowledges and confirms that it has inspected and approved the Units
set forth on Schedule&nbsp;1 hereto. Lessee further confirms that Lessee has accepted delivery
of such Units and has accepted such Units for all purposes of the Lease as meeting and being
in compliance in all material respects with the specifications for such Units.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Lessor hereby confirms delivery and lease to Lessee, and Lessee hereby confirms
acceptance and lease from Lessor, under the Lease as hereby supplemented, the Units listed
on Schedule&nbsp;1 hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Lessee hereby represents and warrants that as of the date hereof (i)&nbsp;no Event of
Loss has occurred with respect to the Units set forth on Schedule&nbsp;1 hereto and (ii)&nbsp;such
Units are in good working order.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The Delivery Date of the Units described above is the date of this Lease Supplement
set forth in the opening paragraph hereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The aggregate Equipment Cost of the Units leased hereunder is $<U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> and
the amounts comprising such Equipment Cost are set forth on Schedule&nbsp;1 hereto. Basic Rent
applicable during the Basic Term is set forth on Schedule&nbsp;2 hereto. Stipulated Loss Values
and Termination Values applicable in respect of the Units are set forth, respectively, on
Schedules 3 and 4 hereto. The allocation of Rent during the Basic Term is set forth on
Schedule&nbsp;5 hereto. The EBO Fixed Purchase Price Date and the EBO Fixed Purchase Price are
set forth on Schedule&nbsp;6 hereto. The Basic Rent applicable during the Fixed Rate Renewal
Term in respect of the Units of Equipment is set forth on Schedule&nbsp;7 hereto. The
Participant&#146;s Commitments with respect to the Units leased hereunder are set forth on
Schedule&nbsp;8 hereto. The FPO Fixed Purchase Price with respect to the Units of Equipment is
set forth on Schedule&nbsp;9 hereto. The purchase price payable by Lessee for the Units being
purchased in accordance with Section 23(d) of the Lease shall be payable on the dates and in
the installments set forth on Schedule&nbsp;10 hereto (it being understood that each installment
payable on any installment date with respect to any Units shall be equal to the product of
the percentage set forth under the heading &#147;EBO&#148; for such Units and the Equipment Cost for
such Units of Equipment). The Overpayment of Basic Rent and the Underpayment of Basic Rent
with respect to the Units of Equipment are set forth, respectively, on Schedule&nbsp;11 hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. Lessee hereby confirms its agreement, in accordance with the Lease as supplemented
by this Lease Supplement to pay Rent to Lessor for each Unit leased hereunder as provided
for in the Lease.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. The execution and delivery of this Lease Supplement will in no way relieve or
decrease the responsibility of any manufacturer for the warranties it has made with respect
to any Unit.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. Any and all notices, requests, certificates and other instruments executed and
delivered after the execution and delivery of this Lease Supplement may refer to the
&#147;Equipment Lease Agreement, dated as of April&nbsp;1, 2008,&#148; the &#147;Lease Agreement, dated as of
April&nbsp;1, 2008&#148; or the &#147;Lease, dated as of April&nbsp;1, 2008,&#148; or may identify the Lease in any
other respect without making specific reference to this Lease Supplement, but nevertheless
all such references shall be deemed to include this Lease Supplement, unless the context
shall otherwise require.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. This Lease Supplement shall be construed in connection with and as part of the
Lease, and all terms, conditions and covenants contained in the Lease shall be and remain in
full force and effect.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. This Lease Supplement may be executed in any number of counterparts, each executed
counterpart constituting an original but all together one and the same instrument; <I>provided</I>,
<I>however</I>, that to the extent that this Lease Supplement constitutes chattel paper (as such
term is defined in the Uniform Commercial Code) no security
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->-2-<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">interest in this Lease Supplement may be created through the transfer or possession of any
counterpart hereof other than the counterpart bearing the receipt therefor executed by
Indenture Trustee on the signature page hereof, which counterpart shall constitute the only
&#147;original&#148; hereof for purposes of the Uniform Commercial Code.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. This Lease Supplement shall in all respects be governed by, and construed in
accordance with, the laws of the State of New York, including all matters of construction,
validity and performance.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->-3-<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="font-variant: SMALL-CAPS">In Witness Whereof</FONT>, Lessor and Lessee have caused this Lease Supplement to be duly
executed and delivered on the day and year first above written.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left"><FONT style="font-variant: SMALL-CAPS">Lessor:</FONT><BR>
<BR>
<FONT style="font-variant: SMALL-CAPS">KCSR 2008-1 Statutory
Trust</FONT>, acting through
<FONT style="font-variant: SMALL-CAPS">U.S. Bank Trust National
Association</FONT>, not in its individual capacity, but solely as
Owner Trustee<br><br>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left"><FONT style="font-variant: SMALL-CAPS">Lessee</FONT><BR>
<BR>
<FONT style="font-variant: SMALL-CAPS">The Kansas City Southern Railway Company</FONT><BR><BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="48%">&nbsp;</TD>
</TR>
<TR>
    <TD colspan="3" align="left">Receipt of the original counterpart
of the foregoing Lease Supplement is hereby acknowledged this
&#95;&#95;&#95; day of <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2008.<BR>
<BR>
<FONT style="font-variant: SMALL-CAPS">Wilmington Trust Company, </FONT>as Indenture Trustee<BR><BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="left">&nbsp;</TD>
</TR><TR>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
</TR><TR>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
</TR><TR>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">&nbsp;</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt"><!-- Folio -->-4-<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>

</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="25%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="0%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="0%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="73%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">State of Connecticut</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ss:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">County of Hartford</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On this &#95;&#95;&#95; day of <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2008, before me personally appeared <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> to me
personally known, who being by me duly sworn, says that (s)he is a <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> of <FONT style="font-variant: SMALL-CAPS">U.S.
Bank Trust National Association</FONT>, that said instrument was signed on <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2008, on
behalf of said association by authority of its Board of Directors, and (s)he acknowledged that the
execution of the foregoing instrument was the free act and deed of said association.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="center">Notary Public&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(SEAL)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">My Commission Expires: _______________________________
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="25%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="0%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="0%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="73%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">State of Missouri</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">ss:</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">County of Jackson</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">)</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On this &#95;&#95;&#95; day of <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2008, before me personally appeared <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> to me
personally known, who being by me duly sworn, says that (s)he is the <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> of <FONT style="font-variant: SMALL-CAPS">The
Kansas City Southern Railway Company</FONT>, that said instrument was signed on <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>,
2008, on behalf of said corporation by authority of its Board of Directors, and (s)he acknowledged
that the execution of the foregoing instrument was the free act and deed of said corporation.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="center">Notary Public&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(SEAL)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">My Commission Expires: _________________________________
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->-5-<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><FONT style="font-variant: SMALL-CAPS">Equipment Cost Per</font></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><FONT style="font-variant: SMALL-CAPS">Equipment</FONT></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><FONT style="font-variant: SMALL-CAPS">Quantity</FONT></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><FONT style="font-variant: SMALL-CAPS">Unit</FONT></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><FONT style="font-variant: SMALL-CAPS">Reporting Marks</FONT></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->

<TR valign="bottom">
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SD70ACe Locomotives</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right"><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,117,000.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left" nowrap>KCS <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> through</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left" nowrap>KCS <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, inclusive</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">Schedule&nbsp;1<BR>
(to Lease Supplement No. ___ (KCSR 2008-1))
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>



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</HTML>
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