KCS Promotes Gloria M. Ballesteros to Senior Vice President Sales & Marketing and Asset Management; Timothy M. Befort to Vice President Yield Management

Kansas City Southern (KCS) (NYSE: KSU) and its subsidiaries today announced that Gloria M. Ballesteros was promoted from vice president sales and marketing to senior vice president sales and marketing and asset management, and Timothy M. Befort was promoted from assistant vice president financial planning and analysis to vice president yield management.

"With the creation of these positions and the promotion of two very skilled individuals, we are putting the talent and resources in place to optimize our network, maximizing growth and profitability, while minimizing the need for additional capital expenditures,” said KCS president and chief operating officer David L. Starling.

In her new role, Ms. Ballesteros will lead the Kansas City Southern de Mexico, S.A. de C.V. (KCSM) commercial group. She reports directly to KCSM president and executive representative Jose Zozaya and will coordinate with KCS executive vice president sales and marketing Patrick J. Ottensmeyer on commercial matters and KCSR executive vice president and chief operating officer Scott E. Arvidson for international asset management.

"Gloria is a highly regarded, effective and experienced railroad professional,” said Mr. Zozaya. "Her promotion allows us to capitalize on her expertise in the commercial and operations aspects of the business, improve coordination between the commercial and operations functions, maximize cross border opportunities and build density in key corridors.”

For 13 years, Ms. Ballesteros has served in a variety of operations and commercial leadership positions for KCSM and its predecessor. Prior to joining the railroad, she was the Association of American Railroads rules coordinator for ALSTOM. She holds an industrial engineering degree from Instituto Tecnologico y de Estudios Superiores de Monterrey.

In his new role, Mr. Befort will focus on finding ways to optimize the KCSR and KCSM network, leverage the existing cost structure and asset base to help drive revenue growth, and improve contribution margin and profitability. He reports to Mr. Ottensmeyer.

"In his previous long-range planning and strategic studies roles, Tim has demonstrated exceptional industry knowledge. He was instrumental in the development and implementation of our costing system, and he understands the costs associated with the business very well,” said Mr. Ottensmeyer. "His background and experience make him uniquely qualified to help drive our growth and profitability going forward.”

Mr. Befort has conducted strategic transportation analysis for 20 years. He joined KCSR in 1998 and has held a number of strategic analysis and project management positions with progressive responsibility. Prior to joining KCSR, he worked for American President Lines (APL). He holds a master of business administration from DePaul University with an emphasis in operations management and a bachelor of arts in economics from Northwestern University.

Headquartered in Kansas City, Mo., KCS is a transportation holding company that has railroad investments in the U.S., Mexico and Panama. Its primary U.S. holding is KCSR, serving the central and south central U.S. Its international holdings include KCSM, serving northeastern and central Mexico and the port cities of Lázaro Cárdenas, Tampico and Veracruz, and a 50 percent interest in Panama Canal Railway Company, providing ocean-to-ocean freight and passenger service along the Panama Canal. KCS' North American rail holdings and strategic alliances are primary components of a NAFTA Railway system, linking the commercial and industrial centers of the U.S., Mexico and Canada.