In order to prioritize our efforts, in 2018 we completed our first formal assessment of environmental, social, and governance (ESG) topics. In spring 2022, in an effort to refresh our data, we engaged internal and external stakeholders through surveys, interviews, and analysis. Our stakeholders, spanning the United States and Mexico, included influential customers, suppliers, employees, communities, our executive leadership team, and members of our Board of Directors. The results from our updated assessment include new ESG material topics of increased importance including Customer Service & Satisfaction, Employee Recruitment & Retention, and Cyber & Information Security. The matrix below provides our findings, mapping each ESG topic based on its importance to our stakeholders and to our business. Ruby Canyon Environmental, Inc (RCE) was contracted by The Kansas City Southern Railway Company (KCS) to perform the third-party greenhouse gas (GHG) emissions inventory verification for KCS’s facilities reporting under operational control to the requirements of the GHG Protocol. RCE verified emissions for calendar year (CY) 2021. The inventory included emissions of CO2, CH4, and N2O from direct, Scope 1 sources (stationary and mobile fuel combustion); fugitive, Scope 1 sources (refrigerants); indirect, Scope 2 sources (purchased electricity) using the location-based calculation methodologies; and Scope 3 emissions from business travel (airline, personal, rental, taxi, commute), upstream transportation and distribution, and waste generated in operations. KCS did not include PFC, SF6, or NF3 emissions.