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Vancouver B.C. Terminal and Rail Congestion Update

July 11, 2014

Valued Westwood Customer,

Further to previous updates:

Ocean terminals in Vancouver, B.C. continue to experience severe congestion as a result of added import rail volume headed for U.S.A. locations.

The volume increase has created significant terminal congestion and departure delays for import rail traffic moving through the Vancouver B.C. gateway.

As previously announced on July 8th, the CN Rail has now implemented carrier allocations for U.S.A.-destined cargo. In addition, we now anticipate the introduction of surcharges from Vancouver gateway terminals associated with the added costs of this situation.

At this point, we are informing customers of this situation. In the event that additional surcharges are implemented, they will be for the account of the cargo.

As a reminder, Westwood has on file a “Congestion Surcharge” that may be implemented, should the situation warrant it. At this time, our intention is to pass on only the added costs, if applied by the Vancouver terminals in this situation.

Westwood will continue to work closely with our Ocean Terminal and Rail Providers to ensure prompt departure of outstanding freight, and we will provide updates as the situation changes. Westwood thanks all of our customers for your understanding and continued business support, as we work through these challenges.

If you have any questions or require further assistance, please contact your Westwood Sales Manager or Customer Service Specialist at 1-800-621-4371.