RELEASE: CONTACT:

IMMEDIATE Rick Clawson 804-786-7858 Rick.Clawson@drpt.virginia.gov Kevin Page 804-786-3963

CO-RAIL-1 Jan. 20, 2004

TRANSPORTATION BOARD APPROVES RAIL ACCESS FUNDS FOR THREE PROJECTS

RICHMOND$885,000 Investment to Result In 37 New Jobs In
Town of AltaVista; Tazewell and Louisa Counties

Richmond - The Commonwealth Transportation Board today approved Rail Industrial Access funds for three companies in Virginia - Pounding Mill Quarry Corporation, ChipCo, Inc., and the Rage Corporation.

Pounding Mill Quarry Corporation, located in Tazewell County, will receive $450,000 to offset the cost of new track construction and plant switches as part of its quarry expansion project. When complete, the new project will result in 4 new jobs in the County and capacity to handle 3,120 additional rail carloads per year.

ChipCo, Inc. will receive $375,000 towards the construction of 3,200 feet of new rail track as part of the redevelopment of its chip mill facility in Bumpass. The new tracks will carry 1,000 additional rail carloads per year and will result in 8 new jobs.

Rage Corporation, located in the Town of Alta Vista, will receive a $60,000 grant towards the cost of reconstruction of 600 feet of track including the rehabilitation of a public road crossing as part of the new development of its proposed plastic products plant. The project will result in 25 new jobs.

"We are pleased to partner with these industries as part of building a first class rail transportation system for industries in Virginia", stated Karen J. Rae, Executive Director of the Department of Rail and Public Transportation. "In addition to creating new jobs, these investments will result in fewer trucks on our highways."

The Virginia Department of Rail and Public Transportation administers the Rail Industrial Access and Development Program, which provides funding to encourage industrial or commercial development in the Commonwealth of Virginia. Additionally, DRPT is responsible for providing funding and technical assistance to more than 40 public transit agencies including passenger rail, over 50 specialized service transportation providers, 2 major and 9 shortline freight railroads, and 15 commuter assistance programs in the Commonwealth.