The Dispatch April 2025

Page 1


Watco

Safety Anniversaries

March 1 – Jacksonville Port Terminal Railroad (FL) – 8 years

March 2 – New Johnsonville Dedicated Terminal (TN) – 10 years

March 9 – Brighton Switching (CO) – 4 years

March 10 – Wood River Transload Terminal (IL) – 3 years

March 10 – Baton Rouge Dedicated Terminal (LA) – 4 years

March 10 – Bayway Dedicated Terminal (NJ) – 11 years

March 12 – Ithaca Central Railroad (NY) – 4 years

March 16 – Grand Rivers Mobile Repair (KY) – 5 years

March 20 – Mississippi Southern Railroad (MS) – 1 year

March 25 – Greens Port Maintenance (TX) – 1 year

March 29 – Wallula Switching (WA) – 1 year

DID KN W YOU

Life happens, plan ahead. Throughout the year, team members can update their beneficiaries for Watco’s life insurance and 401(k) plans.

Here’s how:

Use the Benefitplace app or visit go.watco.com to access Benefitplace and manage life insurance beneficiaries

Log in to BOK’s website or StartRight app to view and update 401(k) beneficiaries

More Time to Cash In on Watco Rewards

Good news: Watco Rewards 2.0 is here! Beginning this month through the end of this year, team members now have more chances to enter and win a $200 e-gift card of their choice or donate to a charity. Five winners will be randomly selected at the beginning of each month.

How it Works

Team members can rack up entries for Watco Rewards by playing trivia and completing specific actions like downloading the Benefitplace app, updating contact information and beneficiaries, and more. Starting in April, team members have the option to play trivia twice a month to receive up to two entries.

Entries earned before April 1 do not carry over. However, entries earned on or after April 1 will carry over in the future. Remember, the more actions you complete, the better your chances of winning!

Log in to Benefitplace on the mobile app or website to start completing actions today. Under the Quick Links tab, select Watco Rewards. Answers to frequently asked questions can be found on the Help page.

What Team Members Are Saying

I was surprised to find out I won. I still play trivia and complete actions on Watco Rewards. It’s helped me learn more about the benefits available to me.”

I learned about Watco Rewards through People Services. Whenever I had spare time, I completed actions. It was quick and easy to do.”

Watco to Acquire Great Lakes Central Railroad

Last month, Watco announced plans to acquire the Great Lakes Central Railroad (GLC), the largest Class III railroad in Michigan with approximately 400 miles of track. Since 2013, Watco has been an equity investor in the short line, which was founded by Louis P. Ferris Jr.

“The Great Lakes Central Railroad has been a vital part of Michigan’s transportation network and both my father, Louis P. Ferris Jr., and I have been deeply passionate about its role in connecting industries and communities,” said Jennifer Ferris, president and CEO of the GLC. “Thanks to our tremendous team, GLC has experienced remarkable growth over the years, strengthening our service and expanding our capabilities. With Watco as a long-time partner since 2013, we are confident they will honor the legacy we have built while continuing to serve Michigan’s industries and communities with the same dedication and excellence.”

The GLC runs north from Ann Arbor to Cadillac with branches in Thompsonville, Traverse City, and Petoskey, and interchanges with the CSXT, Mid-Michigan Railroad, Huron and Eastern Railway, Canadian National, and Norfolk Southern via the Ann Arbor Railroad.

“We are committed to honoring the history of the GLC and building upon our strong partnership with the Michigan Department of Transportation and our valued customers,” said Watco CEO Dan Smith. “This acquisition allows us to further support and grow our Michigan customer base, and we look forward to continuing the legacy of excellence that the Ferris family has established.”

Agricultural products including soybeans and corn as well as fertilizers, plastics, and fuels are primarily moved by the GLC. Watco will begin operations of the line pending approval by the Surface Transportation Board.

Recognizing Five Difference-Makers

What Does It Take to Make an Impact at Watco?

Join us in congratulating Watco’s newest Be the Difference award winners: Jerry Bruce, David Terry, Torey Lamar, Josh Golightley, and Lori Vaden. Each recipient will receive a $250 cash prize for their outstanding efforts.

“Our team is filled with outstanding people who contribute and make a difference every day,” said Rachael Peterson, Watco EVP and chief business officer. “They embrace winning the day by working together and supporting each other and our customers. To this quarter’s recipients, thank you for always doing what matters.”

Jerry

David

Josh Golightley and Lori Vaden

South Kansas & Oklahoma Railroad Winfield (KS)

One Watco Award - Given to an individual or group of team members whose teamwork generates an exceptional result for Watco or a customer.

When a Watco team needs help, others step up to make sure no one falls behind. Jerry Bruce and David Terry have spent the past six months proving that at the Baton Rouge Dedicated Terminal.

Keep reading to learn how they made a difference.

Extra Mile Award - Given to an individual or a group of team members who go above and beyond the call of duty at work or in the community.

What can I do to make it better? That’s the question Track Laborer Torey Lamar asks himself every day while working on the Great Northwest Railroad.

Read the rest of his story.

Safe Performance Award - Given to an individual or group of team members who take action to ensure safety for fellow team members, customers, suppliers, property, or community.

A missing person was recently found safe thanks in part to Lori Vaden and Josh Golightley, conductors/engineers at Watco’s South Kansas & Oklahoma Railroad (SKOL).

Find out what happened.

Torey Lamar Great Northwest Railroad Lewiston (ID)
Bruce Columbus Dedicated Terminal Columbus (MS)
Terry Decatur River Port Decatur (AL)

Sustainably Improving Every Day

Every April, we celebrate Earth Month, and on April 22, Earth Day. But Watco’s efforts to leave the world better than we found it is a year-round effort. There are currently several initiatives underway to achieve that goal.

As we observe the time of year when sustainability takes the spotlight, here’s a look at many of the ways Watco is working to make freight transportation even greener:

• Watco has received two Consolidated Rail Infrastructure and Safety Improvement (CRISI) grants to develop battery-electric locomotives. A couple of prototypes are already in use at Greens Port in Houston, with more on the way.

• The Texas Coastal Bend Railroad (TCBR) is a sub-recipient of an Environmental Protection Agency Clean Ports Grant at the Port of Corpus Christi. The grant will fund the TCBR acquiring two battery-powered locomotives for use at the port.

• All four locomotives across both Watco switching locations in California will be replaced with new, batteryelectric models as part of a grant project with the California Air Resources Board.

• In total, Watco has received grants to fund 26 battery-powered locomotives serving customers at U.S. railroads, terminals, and switching locations.

• Watco received additional funding through the Diesel Emissions Reduction Act to install auxiliary power units (APU) on 32 more locomotives across six railroads. APUs help keep engines warm when the temperatures drop below 40 degrees Fahrenheit, so the locomotives don’t need to idle when not in use. This will bring the Watco total to nearly 250 locomotives with APUs across dozens of locations.

• The Birmingham Terminal Railway is piloting new software that provides live feedback in the locomotive cab to optimize fuel usage. The team inputs the route they’ll be traversing, weight, and consist of the train. The software provides suggestions on optimal throttle level based on that information and location on the line, reducing fuel burn and diesel emissions.

• Every utility bill now passes through a third-party tracker that aggregates the usage data for water, electricity, natural gas, and more for every Watco depot, terminal, and office. This allows each of them to determine where they can conserve and make more economical decisions.

• Watco’s internal locomotive support team created their own guidelines for teams to optimize power on trains. Rail teams can reference data like distance, grades, weight, length, and consist to determine how many locomotives they need and where to place them, ensuring the most efficient trains possible.

• One thousand composite railroad ties have been installed across three Watco short lines as part of a pilot project to analyze their durability and effectiveness in a variety of applications. Positive results mean more will likely be installed soon, and each tie uses 180 pounds of recycled plastic.

These initiatives, combined with others over the past several years, are yielding dividends. Watco’s GRESB (formerly the Global Real Estate Sustainability Benchmark) score has increased 13 points since 2021. This measurement of sustainability practices shows our partners and investors that Watco is striving to improve and achieve our mission of leaving the communities we serve better than we found them.

Canada Crew Perseveres Through Brutal Blizzard

Sometimes, the term blizzard gets thrown around. It’s not exactly a snowstorm. There’s snow involved, but technically, wind is the additional factor that qualifies weather as a blizzard.

And while blizzards aren’t new to Canada, a recent weather event in Alberta struck Safety Manager Hannah Welch as extraordinarily brutal. That’s why she was impressed with how a Ft. Saskatchewan switching crew handled it one sub-zero night.

Welch called the wind that night “a force to be reckoned with.” It contributed to a feels-like temperature that she guessed was in the high minus-30s C (or, colder than minus 22 F). “Every part of your skin has to be covered,” she said, “or you risk frostbite in about 10 minutes.”

Welch said the gale-force wind caused another issue: It was quick to pack snow into the 30-some switches that would need to be cleared for that shift. The track lacked switch heaters, and keeping the switches free of snow and ice was critical to ensuring they functioned properly, preventing a possible derailment.

Trainmaster Michael Hannon arrived for work that night around 6. He took it upon himself to grab a snowblower pack and go out ahead of conductors Kyreece Willis and Justin Huget to clear switches. “He saved those two conductors a lot of work,” said Welch. “He could’ve been sitting in his truck, monitoring, but he made sure he was doing what he could to make their job and life easier.”

She praised the positive attitude and mutual support of the entire crew during their 12-hour shift, including the person who provided her with many of the details of that night, Engineer Corry Truax, whom she called “selfless.”

“She put recognition forward for the others. She’s the engineer with the heat going; the snow isn’t affecting her too much, but she recognized what her crew was doing to put in nothing but their best effort.”

As for Willis and Huget, Welch said: “Both worked safely with zero complaints about the weather. They built each other up to keep going and get their job done safely despite the conditions. When I talk about the Watco culture, I see those two guys being the top – great attitudes and holding safety to the highest standard.”

She continued: “We tell them you can take warmup breaks, but you can’t take a railcar 5 feet and then sit for a 15-minute break. That’s where their working together as a team went such a long way. Each making sure the other is good. No compromising.

“In these extreme conditions and working through them safely and effectively, it really does take a great team, and I believe these team members have shown what that truly looks like.”

You Can Help Team Members in Need

A senior leader dropped in on a team member, surprising him in his garage to hand him a check from Watco. That individual was simultaneously enduring cancer treatment and a flood that destroyed his home.

Another team member, having lost a rental home and its contents in a wildfire, received assistance from Watco for temporary housing and replacement of clothing and home goods.

These are only a couple of examples of times when team members were experiencing hardship and Watco demonstrated one of its core principles: Value Our People.

Most instances of this type of aid will never be reported publicly. That’s not the Watco way. Led by heart and humility and without fanfare, Watco simply helps people get back on their feet during extreme adversity.

And now, Watco team members who want to help one another have a way to do so. “This is something people always ask about,” said SVP of People Services Chris Spear. “People want a way to help, and they want to know that their contribution is going to directly help a fellow team member at Watco.”

Earlier this year, Watco announced a new fundraising initiative for team members to make a difference for one another. The company began offering quarterly, limited-edition merchandise to benefit the Team Member Emergency Fund. You will now have the option to donate by payroll deduction during each fundraiser. Or, at any time, you can send a check made out to the Watco Team Member Emergency Fund at:

Watco Treasury Department

315 W 3rd St, Pittsburg, KS 66762

The results are in from the Q1 fundraiser sale of One Watco apparel! A total of $3,146.57 was raised, which includes all proceeds from sales, with Watco covering 100% of the cost of the items. Going forward, Watco will continue to cover the difference between net proceeds and total costs to ensure full support for the fund.

The featured items during the promotion period for this quarter are a Watco-branded bucket hat, black camo Richardson trucker hat, and a Nike sun visor. Pre-order here by midnight April 15 to receive some new headgear just in time for summer.

Do you have merchandise ideas for this cause? Email ideas to marketing@watco.com

Introducing Watco Team Member Discounts

Watco has teamed up with Access Perks to provide you and your family a new discount program. It’s called Watco Team Member Discounts, and it’s designed to help you save at restaurants, stores, hotels, and more.

Team members, look for an email and text from the Benefits team and email from Access Perks with instructions on how to sign up. Or you can sign up today online or by downloading the Access Perks app from the Apple App Store or Google Play. You’ll need to sign up with either your personal or Watco email, depending on what’s listed on your SuccessFactors profile.

Vice President of Talent Management Jeff Huser said, “At Watco, we’re always looking for new ways to help our team members and their family members. This new discount program is a testament to that and offers something for everyone.”

What are you waiting for? Sign up to start searching for discounts in your location or at another location. Watch this brief video to learn how to use the site and redeem special offers.

Spring Cleaning Checklist

For home and workplace

 Inspect gutters, drains, and walkways

 Check areas for necessary repairs

 Manage or remove overgrown vegetation

1 Year:

Team Member Anniversaries

Congratulations to the following team members celebrating April anniversaries:

Mark Allen, Ruben Ambriz, Lance Barker, Denver Barrett, Rob Bellm, Elijah Bernard, Zach Blain, Andrew Bowlds, Jered Cardwell, Charles Carson, Aaron Church, Daniel Culver, Robert Davila, Shanold Dmello, Devion Dudley, Jamail Edwards, Levi Farr, Destinee Galaviz-Drummondo, Luis Garcia, Robert Gonzalez, Charles Harris, Nicole Hess, Jesse Hicks, Edward Hopkins, Robert Horsten, Victor Huitt, Felicia Humphrey, Cedrick Jackson, Shawn Jones, Gavin Kime, Dylan Kinney, Michael Knick, Wayne Kunst, Troy Lemoine, Damion Lynn, Matt Majszak, Matthew Marovets, Cody Mathis, Coltin McDonald, Kristofer Mcleroy, Brandy McNally, Elijah Melton, Christopher Metheny, Michael Mitchell, Benjamin Neaves, Jamison Nix, Zelma Phillips, William Poole, Isaac Reisner, Jerry Reriti, Timothy Riley, Melissa Robertson, Javier Salinas, Manuel Sauceda Alvarez, Jack Schwab, Tia Seager, Nathan Shinn, Amanda Simpson, Chrisgen Smith, Justin Smyth, Samuel Stanton, Jacob Stephens, Charles Tinch, Austin Tubaugh, Richard Ulin, Billy Vivian, John Waldron, Blake Walter, Joshua Willis, Brandon Woods, Antonio Wright, Wyatt Yager, Robert Zeigenbein

2 Years:

Jayden Anderson, Lushia Appadoo, Melissa Basave, Joseph Beckham, Matthew Brenton, John Contor, Zoraya Cuellar, Colton

Dampier, Gianna DaRonche, Mason Davison, Seth Duncan, Sylvia Gardner, Robert Hraha, Tanner Lane, Timothy Livengood, Luke Miletello, Timothy Miller, Cody Newland, Jorge Pinto

Trevino, Ever Polanco, Brandon Potier, Lindsay Purcell, Ivan Ramirez, Ronald Ream, Cristian Romero, Xavier Schultz, Holley Shanahan, Jerry Sterling, Donald Suggs, Jackson Teale, Todd Trammell, Robert Tucker, Lora Mae Vergara, Zlatko Vezenkovski, Danny Wado, Luke Watson, Carl Whyte

3 Years:

Hugo Aguilar, Marisa Aguirre, Chris Allen, Kaleb Biffar, Erik Boi, Stanley Callahan, Michael Cyhan, Eli Demmer, Billy Golden, Ken Hammat, Steven Haygood, Matthew Hoobler, Austin Lawless, John Lees, Thomas McCalpin, Jamison McCrary, Christopher Mckinney, Shannon McMullan, Russell Mouton, Brandon Overby, Bryan Paraspolo, Tyler Parkinson, Kandyce Peeples, Gloria Pineda, Kyle Reilly, Jerry Rhoads, Julill Rivera, Scott Roop, Michael Stern, James Taylor, Shaun Vela, Marcus Weenig, Tyler Wilcox

4 Years:

Victor Abilez, John Baker, Dylan Barbee, Leonardo Borghi, Jourden Casey, Tony Cesinger, Jason Eather, Christian Gokey, Kevin Hall, Coley Hatter, Justin Mahr, Eduardo Martinez, Armando Montes, Javier Moreno, Orlando Nalls, Wilson Ponce, Thomas

Robertson, Shelia Stice, Norman Taylor, John Ward, Gregory White, Brandon Willis, Morgan Wycoff

5 Years:

Jose Alonzo, William Brasher, David Dougherty, Luis Garza, Rafael Gutierrez, Nicholas Hyche, Anselmo Jurado Ulloa, John Lankford, Wayne Matthews, Jose Najera, Pedro Najera, Edison Najera Rodriguez, Francisco Pineda, Oscar Rubio, Brennan Sanderford, Steven Shields, Talon Teton, Jose Torres, Alfredo Vazquez, Keith Wilson

6 Years:

Klayton Beck, James Crisman, Nolan Crowe, Frank Galati, Zachary Grimes, Matthew Heppler, Keston Higgins, Joseph Holley, Thomas Holmes, Cori Kallenbach, Manuel Loya, Tad Mayfield, Cody Mcgee, Will Myers, Torrance Nettles, Frank Pryor, Derrick Reeves, Xavier Rollins, Phillip Vasquez, Adam Vogt, Cody Vrana, Kevin Wright, Ami Yonts

7 Years:

Christina Berry, Taylor Brewer, Danielle Bushore, Esmeralda Carrizales, Jonathan Dochniak, Wasyli Harasymuik, Christopher Hunt, Gilbert Jasso, Joel Johnson, Brandon Landelius, Dominque Lewis, Alex Myers, Miguel Ornelas, Jesus Pacheco, Travis Pinkerton, Ruben Ross, Roberto Salamanca, Jesus Sanchez, Misty Sweeney, Brent Taylor, Chad VanSickle

Team Member Anniversaries

8 Years:

Jarret Borjas, Lance Cullen, Veronica Davis, Lacey Dawes, James Dunbar, Trevor Elliott, Michael Janda, Brent Lamaster, Stephen Lazzari, William Long, Jennifer Prasko, Thomas Reinhardt, Jimmy Sharpe Jr, Sean Sipes

9 Years:

David Ault, Brian Baugher, David Dust, Matthew Gibson, Richard Morgan, Bunga Putri, Cody Reed, Christopher Salazar, Joseph White

10 Years:

Kenneth Brown, Shane Cover, Juan Garza, Daniel Hooper, Justin Johnson, Eric Kipp, Shannon Kondracki, Eric Larson, Zachary Shelton, Dhanraj Singh, Tommy Smith, Fred Williams

11 Years:

Marcus Blumer, Alfie Hutchinson, David McIntosh, Theodore Nicholson, Michael Porter, Chad Stacy, Aaron Tanner, Adam York

12 Years:

Michael Crosslin, Justin Denton, John Honaker, Devan Lynch, Jacob Nance, Ken Potts, Bill Rollins, Steven Schadler, Noey Sistos, Chase Upchurch, Nicholas Wayman

13 Years:

Scott Ayers, Aaron Greene, Stefan Holcomb, William King, James Lathum, Joseph Mays, Jeff Mitchell, Michael Mulnix, Andrew Thompson, Mark Wells, Tyrus White, Jeremy Williams, Tracy Wright

14 Years:

Mark Adams, Joshua Altis, Allen Hasty, Brian Hickerson, Shaun Hines, Christopher Kachmar, Donald Robert, Megan Wilson

15 Years:

Hayley Becker, Randall Bennett, Kevin Crespo, Anthony Hoyte, Jackie Ogden, David Riley, Kevin Roth, Owen Schulz

16 Years:

Angela Bunker, Joseph Grupczynski, Mark Moorlag

17 Years:

Carl Elrod, Chris Haddow, Robert Hurda, Rhysia Manuel, Arnoldo Sandoval, Eric Smith

18 Years:

Terrance Foster, Rebekah Garner, Danny Rodriguez

19 Years:

Marshall Blakley, Erika Chavira, Shellee Currier, Timothy Dunn, Cody Gilliland, Christopher Preuc

20 Years:

John Bell, Jerad Brunskill, Travis Fellers, Brian Fox, Claudia Gedeon, Timothy Hurse, Richard Moser, Jesus Rodriguez, Jessica Seelinger, Tracie VanBecelaere, David Witzack

21 Years:

Jeffery Greenwood, Gina Lambert, Jason Nix

23 Years:

Lisa Butts, Kenneth Sauter

25 Years:

William Kyzer, Byron Marshall, Ernest Palmer

26 Years: Marvin Ellis

27 Years:

James Crider, Stacey Hurda

28 Years: Sherry Denn

29 Years: Kenneth Barber

30 Years: Aaron Byle

35 Years: Dennis Phelps

36 Years: Dwight Browning

42 Years: James Strawn

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