L. E. Peabody & Associates, Inc.

CHARLES A. STEDMAN
VICE PRESIDENT

PROFESSIONAL EXPERIENCE:

L. E. Peabody & Associates, Inc. (since 1981) -- Mr. Stedman has over twenty-five (25) years of experience in solving economic, marketing, transportation and fuel supply problems. He has directed and participated in detailed operational studies and analyses of railroad costs related to unit coal train movements in the western United States, as well as coal train movements (unit and otherwise) in the eastern United States. Mr. Stedman has directed and performed extensive analyses in the area of stand-alone costing, including route layout, design and construction costs, as well as the development of detailed operating plans for various stand-alone railroads. He also has directed and conducted detailed research into the valuation records of major railroads with emphasis on methods of land acquisition, title status and market value. Mr. Stedman has participated in Northeast Corridor commuter train service avoidable cost analyses, analyzed operations and located cost-cutting areas for a major commuter railroad, and performed analyses in the area of electric propulsion power for various east coast commuter operations.

Mr. Stedman has conducted numerous field inspections of eastern and western carriers' rail lines and facilities in order to develop and determine the existing and potential operating and economic condition of the lines. This information has been used to estimate the net liquidation value of the involved facilities for both negotiation and litigation purposes. He has also conducted many studies dealing with the costs associated with the construction of new rail lines for purposes of competitive access.

Mr. Stedman has conducted and directed numerous cost studies for utility companies regarding alternate coal delivery options at various power plants. These studies involved the option of trucking coal from both the origin and nearby railroad locations, as well as other delivery options such as barge and conveyor, and required the development of operating characteristics and the associated operating and investment costs for each alternative.

Mr. Stedman has participated in the negotiations and drafting of natural gas transportation contracts. He has participated in the development of requests for proposals for natural gas transportation and the evaluation of the responses. Mr. Stedman has participated in presentations to utility company management and various state agencies regarding natural gas transportation. He has also conducted extensive research regarding tariffs for both natural gas transportation and storage.

Mr. Stedman has presented evidence before the Interstate Commerce Commission and the Surface Transportation Board in several proceedings.

Previous Related Experience -- Prior to joining L. E. Peabody & Associates, Inc., Mr. Stedman was employed by the United States Railway Association as an Analyst. Mr. Stedman monitored the effectiveness of the operating plan of Consolidated Rail Corporation ("Conrail") via a computer model; participated in data manipulation and analyzed results in order to make projections about Conrail's future and suggested changes in Conrail's operations. Mr. Stedman also worked as chief research assistant on a transportation project for the Maryland Department of Transportation and was the co-author of the resulting report "International Air Cargo Potential at Baltimore-Washington International Airport". Recommendations in this report were used to increase international air cargo shipments through the Baltimore-Washington International Airport. Mr. Stedman also worked as a research assistant for the Interstate Commerce Commission, studying the effect of selected railroad mergers on the national railroad system using a computer model to aid in determining shifts in traffic patterns caused by specific rail mergers.

EDUCATION:

Mr. Stedman received a BA in Political Science, with a minor in Business Transportation, from the University of Maryland in 1980.

PROFESSIONAL ORGANIZATIONS:

Mr. Stedman is a Certified Track Foreman and a member of the American Railway Engineering and Maintenance-of-Way Association.