FORM 6-K

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Report of Foreign Issuer

Pursuant to Rule 13a-16 or 15d-16

of the Securities Exchange Act of 1934

For the month of August 2019

Commission File Number: 001-02413

Canadian National Railway Company

(Translation of registrant’s name into English)

935 de la Gauchetiere Street West

Montreal, Quebec

Canada H3B 2M9

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F o Form 40-F x

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Yes o No x

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

Yes o No x

Indicate by check mark whether by furnishing the information contained in this Form, the Registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934:

Yes o No x

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): N/A

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	Canadian National Railway Company

Date:August 13, 2019	By:	/s/ Cristina Circelli
		Name:	Cristina Circelli
		Title:	Vice-President, Deputy Corporate Secretary and General Counsel

CANADIAN NATIONAL RAILWAY COMPANY

Table of Contents

Items		Description

1		2019 Investor Fact Book

MOVING FORWARD y of our founding, when the Canadian federal government amalgamated several railways under the CN banner. Today, CN is widely recognized for our place as a backbone of the economy and transportation innovator. The only North American transcontinental railway, our nearly 20,000-mile network spans Canada and Mid-America, connecting three coasts. 2018 Highlights TOTAL REVENUESOPERATING RATIO ADJUSTED ROIC 1) $14.3B 61.6% 15.7% FREE CASH FLOW 1)DILUTED EARNINGS PER SHARE ADJUSTED DILUTED EARNINGS PER SHARE 1) $2.5B $5.87$5.50 1) See section entitled Non-GAAP Measures for an explanation of these non-GAAP measures. FORWARD-LOOKING STATEMENTS: As used herein, the terms “CN”, the “Company”, “we”, “our”, and “us” refer to Canadian National Railway Company, together with its wholly-owned subsidiaries. Certain statements included in the CN 2019 Investor Fact Book constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and under Canadian securities laws. By their nature, forward-looking statements involve risks, uncertainties and assumptions. The Company cautions that its assumptions may not materialize and that current economic conditions render such assumptions, although reasonable at the time they were made, subject to greater uncertainty. Forward-looking statements may be identified by the use of terminology such as “believes”, “expects”, “anticipates”, “assumes”, “outlook”, “plans”, “targets”, or other similar words. Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and other factors which may cause the actual results or performance of the Company to be materially different from the outlook or any future results or performance implied by such statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements. Important risk factors that could affect the forward-looking statements include, but are not limited to, the effects of general economic and business conditions; industry competition; inflation, currency and interest rate fluctuations; changes in fuel prices; legislative and/or regulatory developments; compliance with environmental laws and regulations; actions by regulators; increases in maintenance and operating costs; security threats; reliance on technology and related cybersecurity risk; trade restrictions or other changes to international trade arrangements; transportation of hazardous materials; various events which could disrupt operations, including natural events such as severe weather, droughts, fires, floods and earthquakes; climate change; labor negotiations and disruptions; environmental claims; uncertainties of investigations, proceedings or other types of claims and litigation; risks and liabilities arising from derailments; timing and completion of capital programs; and other risks detailed from time to time in reports filed by CN with securities regulators in Canada and the United States. Reference should be made to Management’s Discussion and Analysis in CN’s annual and interim reports, Annual Information Form and Form 40-F, filed with Canadian and U.S. securities regulators on SEDAR (www.sedar.com) as well as on the U.S. Securities and Exchange Commission’s website (www.sec.gov) through EDGAR and available on CN’s website (www.cn.ca/investors), for a description of major risk factors. Forward-looking statements reflect information as of the date on which they are made. CN assumes no obligation to update or revise forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable securities laws. In the event CN does update any forward-looking statement, no inference should be made that CN will make additional updates with respect to that statement, related matters, or any other forward-looking statement. Together into Our Next Century

results, regulatory filings, annual reports, company Contents 1/ Overview 02 Our Strengths and Competitive Advantages 04 Milestones in CN’s History 06 Our Strategic Game Plan 08 Message from the President and CEO 10 Investing for Growth 12 Deploying Advanced Technology 14 Delivering Responsibly 20 Financial and Operating Measures 2/ Markets 22 Market Overview 28 Petroleum and Chemicals 36 Metals and Minerals 44 Forest Products 52 Coal 58 Grain and Fertilizers 66 Intermodal 74 Automotive 3/ Operations 80 Operational Overview 82 Western Region 84 Eastern Region 86 Southern Region 4/ Financials 88 Financial Overview 89 Quarterly Consolidated Statements of Income 90 Quarterly Consolidated Balance Sheets 91 Quarterly Consolidated Statements of Cash Flows 93 Quarterly Financial and Statistical Data 94 Non-GAAP Measures 99 Labour Relations Data Table 100 Shareholder and Investor Information Except where otherwise indicated, all financial information reflected in this document is expressed in Canadian dollars and determined on the basis of United States generally For the most up-to-date information, including financial presentations, weekly performance metrics and webcasts and events, please visit: www.cn.ca/investors CN 2019 INVESTOR FACT BOOK01 PICTURED ABOVE: One of CN’s newest high-efficiency locomotives, Jasper, AB COVER: Intermodal train, Brule, AB Photos by CN employee Tim Stevens TICKER SYMBOLS: CNR Toronto Stock Exchange CNI New York Stock Exchange

Hay River Edmonton and our approximately 20,000-mile network spans Canada and and financial stability CN is committed to long-term value Vancouver with unmatched reach financial performance and a best-in-class Our solid franchise is the result of strategic investing in the business to accommodate the network and our key acquisitions across capital investments. GTMs per route mile Pioneers of Scheduled Railroading 30–50 million 10–30 million Up to 10 million from the rail industry, but also from other industries to build a more well-rounded has been the foundation of how CN team is composed of innovative, Ports served by CN to our procurement practices. With who are willing to take risks and build looking at innovative ways to transform p 24% Intermodal p 34% Transborder p 17% Canadian domestic p 15% U.S. domestic p 19% Petroleum and chemicals p 13% Forest products p p 5% Coal 5% Other revenues 1Overview Overview Markets OperationsFinancials Our Strengths and Competitive Advantages Fort Nelson A GREAT AND DIVERSIFIED FRANCHISE Prince Rupert Fort McMurray CN is a leading North American transportation and logistics company, Prince George Mid-America, connecting ports on three coasts. Kamloops What sets CN apart Proven track record of growth Calgary Expansive North American network CN’s network was not built overnight.for our shareholders through strong capital spending to strengthen and evolvebalance sheet. Our first use of cash is Canada and in the U.S. to build our tracksexpected growth, including our TRAFFIC DENSITY LEGEND and extend our geography, which includes CN’s fluidity advantage in Chicago.Experienced and diverse talent Over 100 million CN is proud to have a pool of talent that 50–100 million with a supply chain focuspulls experience and knowledge not only For the past 15 years, Scheduled Railroading operates, from our day-to-day operationsmanagement team. Our managementShortline partners Scheduled Railroading as our base, we aretransformative and accountable leaders our whole business, from engineering to on our solid foundation. sales and marketing, to be a best-in-class supply chain enabler. Balanced and diverse portfolio Broad geographic exposure 2018 REVENUES BY COMMODITY GROUP2018 REVENUES BY GEOGRAPHIC FLOW (% of total revenues)(% of freight revenues) CONSUMER PRODUCT SUPPLY CHAIN p 6% Automotivep 34% Overseas RAIL CENTRIC SUPPLY CHAIN p 16% Grain and fertilizers p 12% Metals and minerals OTHER 02TOGETHER INTO OUR NEXT CENTURY

Matane Regina Quebec Halifax Sault Auburn Point Chippewa Falls Minneapolis/St. Paul Bay Worcester du Lac New London Conneaut Sioux City Pittsburgh Chicago Omaha Springfield Decatur ROUTE IN Baton Rouge Matteson Outer Belt We are leveraging our underutilized network in Eastern Canada and the Southern Region to drive future growth. SaskatoonSept-Îles Baie-Comeau Winnipeg Hearst Moncton Thunder Bay Montreal Saint John Duluth StevensSte. Marie Green Toronto Arcadia Fond SarniaBuffalo Detroit Joliet Toledo East Peoria Indianapolis East St. Louis Memphis CHICAGO Jackson Mobile Pascagoula Gulfport New Orleans (CN)Joliet Chicago CN 2019 INVESTOR FACT BOOK03 Waukegan LeithtonFASTEST RAIL ILLINOISAND AROUND Munger West Chicago Chicago South Chicago ChicagoMarkam Gary Griffith Heights Goose LakeINDIANA

1Overview Overview Markets OperationsFinancials Milestones in CN’s History 1919 – 2019: A CENTURY OF PROGRESS CN has a long and storied history, and we are proud of the milestones we achieved during our century of progress. CN has played a unique role in North America, connecting people and jobs to communities and markets. Over the past 100 years, CN has evolved from a collection of various railways into a major transportation and logistics company, with a network that reaches from the Pacific to the Atlantic to the Gulf of Mexico. 1919 JUNE 6TH : CREATION OF CANADIAN NATIONAL RAILWAYS Parliament passed legislation to create Canadian National Railways, consolidating several railroads. 192319291939-4519601976 CN COMPLETES CN OPERATES FIRSTCN PLAYS ANAPRIL 25TH :CN COMPLETES TAKEOVER OF GRANDMAINLINE DIESELIMPORTANT ROLE INEND OF THE ERACONSTRUCTION OF TRUNK RAILWAY LOCOMOTIVE THE WAR EFFORTOF STEAM CN TOWER Completing the Inaugurated during aCN locomotives haul Last scheduled CNBuilt in Toronto, ON, consolidation of CN’spassenger run from millions of tons of steam locomotive at 1,815 feet, it was ancestor railroads into Montreal to Toronto, freight and hundreds arrives in Winnipeg, MB.the world’s tallest a coherent, coast-to-ushering in a new era of thousands of troops CN also introduces its free-standing structure coast network. of rail transportation. during WWII. iconic logo. for 32 years. ABOVE: Photos courtesy of Canada Science and Technology Museum 04TOGETHER INTO OUR NEXT CENTURY

CN CELEBRATES 100 YEARS OF PROGRESS, STATE-OF-THE-ART THE ELGIN, JOLIET & WITH PORT OF 2019201420092007 JUNE 6TH :CN DEVELOPS TWO CN ACQUIRES CN PARTNERS INNOVATION AND OPERATIONAL EXCELLENCETRAINING FACILITIESEASTERN RAILWAY PRINCE RUPERT Today, CN is a company built on a proud history, Delivering our enhanced Creating a key Exclusively served by CN backed by over 25,000 employees, a tri-coastal railroader training advantage for CNand the closest port to network of close to 20,000 route miles, handling program focused on with the fastest Asia, offers the shortest over $250 billion in goods annually and producing instilling and reinforcing rail route around transit times to major over $14 billion in revenues in 2018.a strong safety culture. congested Chicago.destinations. 2004 CN ACQUIRES GREAT LAKES TRANSPORTATION In addition to three small railroads, CN acquired the ships of Great Lakes Fleet, becoming a major player in the U.S. steel supply chain. JULY 15TH: CN ACQUIRES BC RAIL Extending CN’s reach into resource-rich British Columbia and strengthening our forest products business. 1977-781995199819992001 CN FOCUSESNOVEMBER 28TH :CN PIONEERS JULY 1ST: OCTOBER 9TH : ON FREIGHT PRIVATIZATION PRECISION SCHEDULEDCN TAKES CONTROL CN ACQUIRES TRANSPORTOF CN RAILROADING OF ILLINOIS CENTRALWISCONSIN CENTRAL CN’s airline and One of the largest rail Innovates a fixed 24/ 7Expanding the Furthering CN’s passenger rail divisions,privatizations and most schedule for railcars,railroad network to reach by adding an Air Canada and VIA Rail,successful Initial Publicaiming to improve link Canada to the important corridor become separateOfferings in Canadianboth profitability and Gulf of Mexico, from to connect Western Crown corporations. history, raising $2.2 billion. customer service.Chicago to New Orleans.Canada to the U.S. CN 2019 INVESTOR FACT BOOK05

AND EXTERNAL TALENT 1Overview Overview Markets OperationsFinancials Our Strategic Game Plan FIVE-POINT STRATEGY TO CREATE SHAREHOLDER VALUE CN understands the importance of a clear strategy anchored on safety, sustainability, efficiency and innovation. We have put in place a business strategy that will improve our business model, complement growth and highlight value creation. Leverage our Scheduled Railroading foundation Bring the right talent to win M SEASONED RAILROADERS 06 TOGETHER INTO OUR NEXT CENTURY We have seasoned Scheduled Railroaders, some of whom have been with CN even before the beginning of Scheduled Railroading, and have been part of our transformation. We have proven market makers who continuously look for ways to grow CN faster than the economy, be it organically or through strategic partnerships and acquisitions that complement and extend our reach. As we develop the CN of tomorrow, we are embracing external talent who bring in expertise from other industries, knowledge that we can leverage in the railroad. ONE TEA OF MULTI-DIMENSIONAL Looking into our game plan, we are assessing key roles. CN’s bench of talent consists of Precision Scheduled railroaders and experts from other industries. Over 15 years ago, CN pioneered Scheduled Railroading and we continue to build on this great foundation to drive safety, service and productivity. Today, as we envision the future of CN, we are evolving our foundation through the deployment of key technology projects focused on safety, efficiency and reliability as our next strategic driver of value. With asset utilization at the heart of Scheduled Railroading, CN continues to be nimble on resource allocation to have the capacity and right assets at all times. Photo by CN Employee Tim Stevens

Deliver industry-leading profitable growth Eastern and Implement advanced technologiesDrive shareholder value creation OF DIVIDENDSSINCE 1995 CN 2019 INVESTOR FACT BOOK07 CN is committed to long-term value creation through strong financial performance, dividend payments and share repurchases. 23 years 16% CONSECUTIVE PAYMENTS DIVIDEND CAGR 14% 12% 5-YEAR DILUTED 5-YEAR ADJUSTED EPS CAGR DILUTED EPS CAGR 1) 1) See section entitled Non-GAAP Measures for an explanation of this non-GAAP measure. 475% 10-YEAR TOTAL SHAREHOLDER RETURN 2) (Index: Closing price June 30, 2009 = 100) CNR (TSX) CNI (NYSE) S&P 500 TSX 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2) As at June 28, 2019 Source: Bloomberg CN is leveraging advanced technologies to modernize our rail mindset and our day-to-day operations and processes. We have moved from proof-of-concept to full-scale deployment of: • Digitizing in-motion train and track inspection; • Digitizing the work processes of thousands of crew and carmen; and • Automating labor-intensive back office processes. CN is working to implement Smart Network, an integrated digital scenario analysis and simulation tool, to improve insight and enhance capacity planning. With the help of the right technology, CN aims to evolve our model to be more flexible and reach farther. DRIVING ORGANIC GROWTH STRATEGIC ACQUISITIONS LEVERAGING THE NETWORK OPPORTUNITIESAND PARTNERSHIPSTO DRIVE GROWTH • Continuing to invest ahead of our • Feeding more rail volumes onto • Keeping investments ahead customers’ and partners’ growthour expansive three-coast networkof business opportunities in • Leveraging best-in-class natural • Extending our physical and high-density Western Region resources supply chainscommercial reach • Driving growth opportunities • Taking advantage of the North • Increasing rail intermodal by to leverage underutilized American consumer economy converting over-the-road freight network in freight growth• Developing Prince Rupert Port(s)Southern Reg • Expanding service offering, of the East to leverage our including in temperature-controlled underutilized Halifax-Chicago supply chainscorridor ions

Still improving Building on our foundation our safety performance. Ramping up network capacity by CN more than 15 years ago and we are proud of the unique role Scheduled Railroading, we emphasize including expanding yards, adding new North American nation-building, to focus our efforts to be nimble when handle growing traffic volumes. We are setting another record in 2019 collection of disparate railways end-to-end supply chain solutions hiring from other industries and working and improve productivity. CN aims to stay our valued customers, and for and quickly redefine the “art of the underutilized network in the Eastern 1Overview Overview Markets OperationsFinancials Message from the President and CEO MOVING FORWARD – INTO OUR NEXT CENTURY OF OPPORTUNITY This 2019 CN Investor Fact Book is an informative reference guide about CN’s markets, operations and financials. The Fact Book goes far beyond statistics to provide an in-depth understanding of our strategic vision for driving long-term profitable growth. With our supply chain focus, we areSafety is a core value at CN, and now advancing our strategic agenda bywe invest significantly in training, leveraging our strong pool of talent, coaching and employee engagement digitizing operations and expanding the initiatives to strengthen our safety rail business through organic andculture. We are also leveraging recent inorganic growth. advances in technology to achieve our goal of continuous improvement in after 100 yearsScheduled Railroading was pioneered As we commemorate our 100th remains the foundation of our operatingIn 2018, we undertook the largest number anniversary on June 6, 2019, model to drive safety and service. With of infrastructure projects in CN’s history – our company has played in the importance of productivity, assetsidings and doubling sections of track – connecting people and markets. utilization and cost control. We continueto increase the fluidity of the network to We have evolved from a it comes to resource allocation. into a leading transportation CN achieves a high-performancewith a capital program of $3.9 billion that and supply chain company. culture by setting clear goals, defining is focused on adding network capacity We have a strong track record our employees’ responsibilities, creating to accommodate our pipeline of growth of operational and service a trusting environment, and ensuring opportunities and deploying technology excellence, driven by innovative employees to put safety first. We are also in our operations to drive down costs that drive growth for CN, for with supply chain experts from here andahead of opportunities in our high-density our supply chain partners. abroad to gain a diversity of perspectivesWestern Region and to leverage our possible” in the rail industry.and Southern Regions. 08TOGETHER INTO OUR NEXT CENTURY

rail mindset and processes. organic growth in key existing markets. Moving forward with technology intermodal and logistics companies, Technology has an important role to which will allow us to expand our skills in play in the rail industry’s future, and CNtemperature-controlled supply chains. wants to be a pioneer in modernizingWe continue to see solid potential for CN is positioning advanced technologiesIn addition, we are keeping a close eye as our next strategic driver of value.on acquisition opportunities with a strong We are working as ONE TEAM to drivefocus on services that “feed the network”; a business-led, technology-enabledthat is, bring volumes to our core rail mindset that considers all facets of our network, build logistics partnerships and operations, from track inspection to extend our commercial reach. capacity planning.Our team of talented and experienced As the deployment of our key technologyrailroaders is ready to meet the growing projects ramp up over the years, our needs of the North American economy. We new cutting-edge systems will improvecontinue to raise our game to align with inspection reliability, provide rich datanew market realities. Let’s move forward – analytics, generate predictive modelsinto our next century of opportunity. and drive capacity and safety. Raising our game CN has invested $8 billion since our ground-breaking acquisition of the Illinois Central in 1998. This tradition JJ Ruest continues with our recent acquisitionPresident and Chief Executive Officer of The TransX Group of Companies (TransX), one of Canada’s leading CN 2019 INVESTOR FACT BOOK09

Overview Markets Operations Financials recent years, we increased our capital investments to record levels ensure we have the infrastructure and equipment needed to improve solid pipeline of opportunities in diverse markets. and doubling sections of track, especially developing smart network planning solutions and autonomous detection systems to digitize operations and drive efficiency and productivity. Our investments are giving us the in our busy Edmonton/Winnipeg/Chicago corridor. We are also renewing our locomotive fleet, replacing aging railcars, hiring and training new conductors eplace attrition and accommodate th. CN aims to be a pioneer in the next century. deployment of advanced technology In 2018, we undertook 7 yard expansions, 11 siding projects and 60 miles of double track. In 2019, we plan to add 80 miles of double track as well as 2 new sidings. 1Overview Investing for Growth BUI In to ROB REILLYthe Executive Vice-President and Chief Operating Officer $3.9B We a RECORD CAPITAL INVESTMENT PLAN FOR 2019 Focused on adding network and capacity to accommodate to r growth, deploying technology to drive down costs and improve grow productivity, and renewing our locomotive fleet. to en 3,300 NEW RAILCARS Acquired 1,300 lumber cars, 1,000 boxcars and 1,000 high-capacity hopper cars to replace aging equipment and meet the growing needs of our customers. 2,100 NEW CONDUCTORS Y Hired and trained about 1,600 new conductors in 2018, with an additional 500 on track to be fully qualified in 2019. 10TOGETHER INTO OUR NEXT CENTURY LDING A SOLID FOUNDATION safety and resiliency of the network as well as accommodate our re expanding yards and sidings,and improve productivity. We are tools we need as we move into our hance safety, drive down costs Strategic capital investments ard expansion – Swan Landing7.4 miles of double track – Rivers Sub INFRASTRUCTURE

Prince George Vancouver Main corridor (Southern region) 1 / 1 Sidings CN is investing for the long Prince Ruperthaul to improve the safety and resiliency of our network to allow us to meet the growing needs of our customers. Edmonton Saskatoon Calgary ReginaWinnipeg Thunder Bay CAPITAL PROJECTS LEGEND Toronto 2018 / 2019Main corridor (Western region) p / p Double track Detroit i / i Yards Ports served by CNChicago Fulton Al Whiteman, newly hired Conductor, New Tier 4 high efficiency locomotivesNew generation grain hoppersTranscona Yard, Winnipeg MB EQUIPMENTPEOPLE CN ordered 260 high-efficiency locomotives in 2017 for delivery in 2018-2020. We are also acquiring Hiring and training about 2,100 new 1,000 new high-capacity grain hopper cars in 2019-2020.conductors in 2018-2019. CN 2019 INVESTOR FACT BOOK11

our industry by transforming supply The advent of digitalization in rail changed the technology landscape. the opportunity to operate more transformation of roles, people, processes, in IT are now embedded in the business new ways. There is more transparency focused on the right initiatives at the unit. This openness also extends to Digitization: Our competitive edge and start-ups with whom we interact. taking concrete actions to improve our order to remain ahead of its competitors. services in corporate strategy, business structure and processes, while at the be the most important strategic asset. inextricably linked to the end users who safe and efficient management of and data analysis software harness real tackling this challenge by collaborating As collaborative partners who work timely manner. The future is now. As we evolve from business to meet business requirements today and in the future. In order to Technology team helps line-of-business and prioritizing our opportunities while connected railway of the future, next of technology by finding the right metrics more beneficial to customers, such designed to provide real time information costs, greater areas of productivity, and 1Overview Overview Markets OperationsFinancials Deploying Advanced Technology TRANSFORMING SCHEDULED RAILROADING Safe operations and serving our customers will always be at the heart of CN. As we strive to develop and implement better ways of MICHAEL FOSTER, Executive Vice President andcreating value for our customers, new technology is advancing Chief Information and Technology Officerinnovations in safety, reliability and predictability. The ubiquity of technologies isModernization mindset:CN’s strong partnerships accelerating fast-paced change within The evolution of CNNew technology ecosystems have chains and providing our business with requires a new vision that involves aRoles or activities traditionally embedded efficiently and serve our customers in and technology. Having the right talent with both entities moving as one and access to data than ever before.right time will enable CN to bring thisour partnerships with customers and modernization mindset to life. communities, external solution providers Every organization must adapt in CN is investing in technology andWith the increasing value of technology Data is the new currency, proving to information and operational technologymetrics must be immediate, accurate and New operational technology platformssame time remaining focused on the are consuming the technology. We are time data, empowering business usersour core initiatives.in new and dynamic ways. to make better-informed decisions in aWe are modernizing all aspects of our together, CN’s Information and a traditional railway to the digital do so, we are taking a modular approach leaders and customers tap into the value generation technology algorithms implementing deliverables that are that show its impact on revenue, reduced to our crews and customers are laying as tracking capabilities. differentiation in a highly competitive the foundations of the digital connectedmarketplace and client satisfaction. railway that will usher us into our next century of operations. 12TOGETHER INTO OUR NEXT CENTURY

maintenance supporting our (Digital Twin) TECHNOLOGY AS OUR NEXT STRATEGIC DRIVER OF VALUE Because we believe technology plays a critical role in our future, CN is investing in exciting, repeatable and scaleable innovations for safety, efficiency and higher value creation for our customers. PositiveAutomated Train ControlInspection Portals Portal in Winnipeg, MB INSPECTION PORTALS Autonomous TrackHandheld Technology Inspection Programin Operations Imagery generated by track inspection TRACK INSPECTION Smart Network of our network and is anchored on operations. With the ability to simulate Mobile devices for carmen and conductors ON-SITE TECHNOLOGY CN 2019 INVESTOR FACT BOOK13 Smart Network creates a digital replica simulation and holistic view of network train movements on the network, Smart Network will allow for CN to gain insight on capacity, costs and operational fluidity. CN’s Autonomous Track Inspection Program (ATIP) is comprised of specially equipped railcars in regular train service with the latest sensor and AI technology to fully automate track inspections. ATIP allows for more frequent and higher quality inspections to enable more accurate preventative safety agenda. CN is developing a new mobile platform with applications for our employees in operations to enable for process standardization, modernization of working tools, and improving timeliness and accuracy of information. • Mobile Reporting Services – provide train crews and field decision-markers with near real-time work plans and instructions for improved timeliness, accuracy and reliability. • Car Repair Billing – enables near real-time reporting of carmen activity and provides work progress visibility to supervisors for improved information capture and sharing. • Electronic Operating Manual – provides digital access to all operational and safety documentation for easier navigation and access to rules. CN’s Automated Inspection Portals (AIP) aim to modernize the railcar inspection process by coupling high resolution imaging hardware with powerful machine learning software. With AIP, inspections will be more frequent with improved quality, especially on difficult parts of the railcar, leading to a safer and more reliable railway. Positive Train Control (PTC) is technology mandated by the U.S. government to monitor and control train movements and automatically stop a train before an incident occurs. The system is designed to improve safety by significantly reducing the impact of human error on train operations. CN is on track to complete full PTC implementation by December 31, 2020.

trains are approximately four times more friendly ways to move goods, we recognize rail technology applications and analytics benefits, we offer our customers intermodal sustainable transportation service to our improve our carbon footprint. By leveraging resources of different transportation of our operations. and dynamic braking we are improving our fuel efficiency. Our Horsepower Tonnage Driving emissions, energy and each mode to be used for the portion of a locomotive’s horsepower-to-tonnage By providing our customers with a our connections with our customers, not only contribute by moving the Playing a key role in a low-carbon world are enabling us to deliver sustainable and Over the past 25 years, we have improved transportation service, we believe prosperity in a low carbon environment. almost 90% of our direct GHG emissions climate change solution offering both focus is to continuously improve our 1Overview Overview Markets OperationsFinancials Delivering Responsibly WORKING TOGETHER FOR A SUSTAINABLE FUTURE Delivering responsibly is at the heart of how CN is building for a sustainable future. It means moving customer goods safely, being environmentally responsible, attracting and developing the best JANET DRYSDALE railroaders, helping build stronger communities, and adhering to Vice-President, Financial Planningthe highest governance standards. Taking action to protect locomotive fuel efficiency and reduceCompared to other transportation modes, the environment our carbon emissions.rail is the most fuel efficient method of As rail is one of the most environmentallyOur significant investments in innovativemoving freight over land: on average, our responsibility to provide a morecapabilities are helping us continuouslyfuel efficient than trucks. To leverage these customers while minimizing the impactsTrip Optimizer technology, locomotive throttle freight shipping, which combines the modes, such as trucking and rail–allowing fuel efficiencyAnalyzer (HPTA) also uses data to optimizethe trip to which it is best suited. sustainable transportation solution, we ratio and conserve fuel. As we continue to invest for the future, economy, but also by driving its efficiency.In addition to providing a fuel efficient supply chain partners and governments our carbon efficiency by 40%. With that rail can be an integral part of the profitable business that drives economic generated from rail operations, our environmental and economic advantages. 2018 SUSTAINABILITY AWARDS AND RECOGNITION HIGHLIGHTS Member of the North AmericanClimate Change Action LeaderRecognized as one of Canada’s Ranked first in the industrialsRanked as one of the Index since 2009, and the since 2009 and listed on Best Diversity Employers forgroup and third overall among Best 50 Corporate Citizens World Index since 2012. the exclusive Climate A Lista third consecutive year.Canadian publicly tradedin Canada for the 10th year for the last three years.companies for the quality of ourin a row. governance practices. 14TOGETHER INTO OUR NEXT CENTURY

Locomotive Emission Intensity global temperature. GTMs (billions) tCO2e/GTM Operating efficiently has been the hallmark of CN’s success. We are a leader in the North American rail industry, consuming almost 15% less fuel per gross ton mile than the industry average. Decoupling growth from carbon emissions 40% LOCOMOTIVE GHG INTENSITY REDUCTION Over the past 25 years we have reduced our locomotive emission intensity by 40% while achieving record growth in the volume of freight we move. Our approach is to reduce the carbon intensity of our business progressively over time and at a pace that’s consistent with the objective of stabilizing 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 CN 2019 INVESTOR FACT BOOK15 LOCOMOTIVE CARBON EMISSION INTENSITY vs. GROSS TON MILES (GTMs) (tCO2e/GTM vs. Traffic Billion GTM) 18.0500 Gross Ton Miles 16.5400 15.0 300 13.5 200 12.0 100 10.5 9.00 ABOVE: New GE Tier 4 locomotive Clearwater, BC Photo by CN employee Ryan Harris

as a deeply held core value Nothing is more important to CN together to be vigilant about safety and to speak up if they spot an unsafe situation. TRAINED IN SAFETY IN 2018 Providing hands on and customers’ goods, neighbouring communities and the environment–always. We are leveraging recent advances in technology for incremental improvements experienced railroaders, new that happen. Strengthening our safety culture employee engagement initiatives to we plan to install three more across our RESPONSE PERSONNEL TRAINED a wide variety of initiatives to maintain ultra-high-definition panoramic cameras and emergency response Our two CN campuses trained over hires and customers over the course of designed to catch certain internal 1Overview Overview Markets OperationsFinancials Delivering Responsibly 10,400Reinforcing safety which urges our team members to work EMPLOYEES AND CUSTOMERSthan running a safe railroad. We striveInvesting in infrastructure to safeguard our employees, assets,and safety technology classroom training for hires and customers at CN’s It guides our actions at all times on our in safety. Technology has an important two training centres. journey to become the safest railroad in role to play in the rail industry’s future, North America.and CN wants to be a pioneer in making 6,500We remain committed to investingIn 2018, we built four Automated COMMUNITY EMERGENCYsignificantly in training, coaching andInspection Portals (AIPs) in Winnipeg and On dangerous goods traffic strengthen our safety culture. CN hasnetwork in 2019. Our AIPs feature planning through CN-supporteda safe workplace and ensure employeesand infrared lighting that capture 360° TransCAER® events in 2018. have the necessary tools and training view of a train as it travels through the to work safely.portal. These real-time inspection can 194,82310,400 experienced railroaders, new MILES OF TRACK TESTED IN 20182018. We also continued our successful By rail flaw detection systems“Looking Out for Each Other” program, rail defects that could potentially lead to broken rails. 16TOGETHER INTO OUR NEXT CENTURY PICTURED: Kevin Franchuk, Senior Field Safety Manager, Western Canada instructs new hires on how to stay safe on the job, as part of CN’s “Looking Out for Each Other” Safety Summits.

Engaging with communities on safety and security. As we deploy these new with almost 2,000 municipal officials and cities, towns and Aboriginal communities on assessing the broad spectrum of rail network to review our comprehensive rail safety. During our annual Rail Safety across CN’s operations in order to dangerous goods traffic, and discuss communities about rail crossing safety, operational efficiency. To test the safety of our infrastructure, Last year, we also brought critical training conducted close to 200 activities at schools, 4,000 community emergency personnel inspection cars in 2018 as part of our level crossings across Canada and the (Transportation Community Awareness Utilizing these cars to test approximately Our goals are simple: nobody gets hurt, and there are no accidents that impact our communities, our customers or the environment. more than three times, helped us gather maintenance. In 2019, we plan to add cars to our network. This cutting-edge then assist in identifying a railcarreliability as well as provide even richerWe continue to work closely with needing repair. This new technologyand more frequent data sets to generatecommunities on safety through our also presents opportunities to better stronger predictive analytical models andStructured Community Engagement our workforce utilization, reducepreventative safety enhancements.Program. Since this outreach effort disruptions, and enhance network safetybegan in 2013, we have met face-to-face inspection technologies, we are focusingRail safety is a shared responsibility. Thetheir emergency responders all along our relevant use cases for visual recognition we serve are powerful allies in promoting safety programs, share information on both improve safety and enhanceWeek campaign, which aims to educateemergency response planning and training. CN police officers and other employeeson dangerous goods handling to nearly we used our two geometry equippedcommunity centres, railway stations andthrough CN-supported TransCAER® automated track inspection program.United States.and Emergency Response) events. 66,000 miles of track during the year, the equivalent of covering our entire network important data and improve preventative six laser and LIDAR equipped inspection technology will improve inspection For more information on CN’s leadership in safety please visit www.cn.ca /safety CN 2019 INVESTOR FACT BOOK17 CN Police regularly engage with communities on safety. New mobile platform and devices for carmen provide on site digital access to rules and operational and safety documentation. ATIP car performing track inspection.

Our people – Fostering diversity and inclusion marketplace, we recognize the People are the foundation on which AT DECEMBER 31, 2018 our Company. Diversity enables us goal is to provide a safe, supportive, and permanent positions. +35% effectiveness of our decision-making to CN’s success. To support strong business growth. of railroaders, our focus is to attract the and qualified candidates, CN’s Talent develop the best railroaders with the right diversity within their candidate pipelines for the development needs of both new Partners to increase visibility and promote priorities for our organization. CN offers IN 2018 REPRESENTED BY indigenous communities and institutions Reflecting our dedication to is committed to keeping these programs equal opportunity employer. In 2018, given equal opportunity to develop their identified as being diverse. 1Overview Overview Markets OperationsFinancials Delivering Responsibly 25,720 the foundation of our successIn an increasingly complex global CN RAILROADERSall our guiding principles are built. Ourimportance of diversity at all levels of Active employees occupying diverse work environment where our to better understand and respond to employees can grow to their full potential the needs of our stakeholders, access and be recognized for their contribution a larger talent pool, and increase the through a wider range of perspectives, Attracting and developing top talent experiences, and sensibilities. INCREASE IN NEW HIRES IN 2018As we prepare for the next generationTo support our goal to hire diverse right people, onboard them successfully,Acquisition Team continues to monitor 36% skills and engage our employees. Planningand collaborates with Recruitment OF ALL NEW EMPLOYEES HIREDand existing employees are on-going CN opportunities. Working with various DIVERSITY GROUPStraining programs for various levels andalso helps us to promote CN as an diversity in the workplace. current and relevant. Each employee is44% of Canadian applicants self-competencies for advancement. 18TOGETHER INTO OUR NEXT CENTURY PICTURED: One of CN’s newly hired conductors, Alysia Davis, with her Trainer, Joseph Brooks, Superintendent, Transportation at Harrison Yard, Memphis TN.

We empower our employees, retirees CN has always recognized the importance commitments to the Catalyst Accord and to causes that matter most to them by reporting issuer with securities listed on In 2018, CN was also selected as one of in grants to charitable organizations. New York Stock Exchange (NYSE), we The Globe and Mail. With a network that passes through a wide rules adopted by the Canadian Securities towns and villages across our close to to taking measures to minimize our of 2002 and related rules of the U.S. are proud of the important contribution operations to the communities we serve, 38% economies better for our being there. tree planter in Canada. Committed to the highestExperienced and diverse leadershipGiving back standards in corporate governanceCN is committed to inclusion in principleFor CN, giving back is a way of doing At CN, sound corporate citizenshipand in practice. We believe that a diversebusiness that embodies our deep touches nearly every aspect of what we board benefits from a broader range of commitment to building stronger do. Central to our approach is our strongperspectives and relevant experience. Thecommunities. Our corporate contributions belief that good corporate citizenship isBoard’s Diversity Policy considers gender,of $15 million in 2018 have made a simply good business.ethnicity, culture and geography when significant difference to hundreds of recommending director nominees.non-profit organizations, and to the Industry-leading governance practicesWe currently meet or exceed our people who count on their support. of good governance. As a Canadianthe Canadian chapter of the 30% Club.and their families to donate their time the Toronto Stock Exchange (TSX) and the Canada’s Best Diversity Employers byproviding more than $1 million each year ensure our corporate governance practices comply with the highest standards andBuilding stronger communitiesGreening communities regulator, the U.S. Sarbanes-Oxley Act As part of the fabric of the many cities,range of ecosystems, we are committed Securities and Exchange Commission.20,000-mile North American network, we impact. This mindset extends beyond our we make towards social and economicwhere we have planted approximately progress. Supporting inclusive, sustainable1.8 million trees in communities along our and equitable communities underpinsrail network since 2012– making CN the our goal of leaving communities andleading private non-forestry company WOMEN ON THE BOARD OF DIRECTORS Exceeding our commitments to the Catalyst Accord and the Canadian For more information on CN’s sustainability initiatives and performance, download our chapter of the 30% Club. most current sustainability report at www.cn.ca /delivering-responsibly CN 2019 INVESTOR FACT BOOK19 CN’s ongoing support of National Indigenous Peoples Day with Kahnawake Chief Christine Zachary-Deom accompanied by Mélanie Allaire, Daniel Gagné and Sylvain Ouimet of CN. Partnering with Aboriginal communities In 2018, we became the first transportation company to receive the Progressive Aboriginal Relations Bronze Level certification from the Canadian Council for Aboriginal Business for our commitment to working with Aboriginal communities and businesses as well as being one of the first 18 companies to join the CCAB Aboriginal Procurement Champion group.

1Overview Overview Markets OperationsFinancials Financial and Operating Measures Financial measures 20142015201620172018 2018 VS. 2014 CAGR +4% +5% +11% -130bps* 5,243 58.2 1) See section entitled Non-GAAP Measures for an explanation of these non-GAAP measures. 20TOGETHER INTO OUR NEXT CENTURY TOTAL REVENUESOPERATING INCOME DILUTED EARNINGS PER SHAREOPERATING RATIO ($ millions)($ millions)($)(%) 14,3215,493Adjusted Diluted 7.2462.9 12,13412,037 4.39 2014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 2018 * variance between 2018 and 2014 61.6 59.159.8 Earnings Per Share1) 4.67 5.87 3.85 5,155 5,032 4,498 12,61113,041 KEY FINANCIAL PERFORMANCE INDICATORS Total revenues ($ millions) Rail freight revenues ($ millions) Operating income ($ millions) Net income ($ millions) Adjusted net income ($ millions) 1) Diluted earnings per share ($) Adjusted diluted earnings per share ($) 1) Free cash flow ($ millions) 1) Gross property additions ($ millions) Share repurchases ($ millions) Dividends per share ($) 12,13412,61112,03713,041 14,321 11,45511,90511,32612,293 13,548 4,4985,1555,0325,243 5,493 3,1673,5383,6405,484 4,328 3,0953,5803,5813,778 4,056 3.854.394.677.24 5.87 3.764.444.594.99 5.50 2,2202,3732,5202,778 2,514 2,2972,7062,7522,703 3,531 1,5051,7502,0002,000 2,000 1.001.251.501.65 1.82 FINANCIAL POSITION Total assets ($ millions) Total liabilities ($ millions) Shareholders’ equity ($ millions) 31,68736,40237,05737,629 41,214 18,21721,45222,21620,973 23,573 13,47014,95014,84116,656 17,641 FINANCIAL RATIOS Operating ratio (%) Adjusted debt-to-adjusted EBITDA multiple (times) 1) Return on invested capital (ROIC) (%) 1) Adjusted ROIC (%) 1) 62.959.158.259.8 61.6 1.631.771.851.75 1.94 16.616.816.022.4 16.7 16.217.015.815.9 15.7

448.8 442.1 Operating measures2) 20142015201620172018 2) Statistical operating data, key operating measures and rolling stock information are unaudited and based on estimated data available at such time and are subject to change as more complete information becomes available. Definitions of these indicators are provided on our website, www.cn.ca/glossary. 2018 VS. 2014 CAGR +2% +2% +3% -1% 469.249224 CN 2019 INVESTOR FACT BOOK21 GROSS TON MILES (GTMs) TRAIN PRODUCTIVITY YARD PRODUCTIVITY CAR VELOCITY (billions)(GTMs per train mile)(cars per yard switching hour)(car miles per day) 490.49,314 9,424 9,1635151236 2014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 2018 8,625 8,739 48 44 211 199 188 423.4 STATISTICAL OPERATING DATA Gross ton miles (GTMs) (billions) Revenue ton miles (RTMs) (millions) Carloads (thousands) Route miles (includes Canada and the U.S.) Employees (end of period) Employees (average for the period) 448.8442.1423.4469.2 490.4 232,138224,710214,327237,098 248,383 5,6255,4855,2055,737 5,976 19,60019,60019,60019,500 19,500 25,28823,06622,24923,945 25,720 24,52524,40622,32223,074 25,423 KEY OPERATING MEASURES Rail freight revenue per RTM (cents) Rail freight revenue per carload ($) GTMs per average number of employees (thousands) Operating expenses per GTM (cents) Labor and fringe benefits expense per GTM (cents) Diesel fuel consumed (US gallons in millions) Average fuel price ($/US gallon) GTMs per US gallon of fuel consumed 4.935.305.285.18 5.45 2,0362,1702,1762,143 2,267 18,29818,11418,96920,335 19,290 1.701.691.651.66 1.80 0.540.570.570.54 0.58 440.5425.0398.9441.4 462.7 3.722.682.342.74 3.32 1,0191,0401,0611,063 1,060 OPERATING METRICS Car velocity (car miles per day) Yard productivity (cars per yard switching hour) Locomotive utilization (trailing GTMs per total horsepower) Train productivity (GTMs per train mile) Through dwell (hours) Through network train speed (miles per hour) 199224236211 188 44485151 49 212219230225 208 8,6258,7399,3149,424 9,163 8.37.36.97.7 8.3 20.321.522.520.3 18.0 CN ROLLING STOCK Diesel locomotives (end of period) Freight cars (end of period) 2,0872,1802,2682,285 2,412 68,43263,91363,44265,019 66,978

of operational and service excellence. We focus on continuous improvement and a supply chain mindset that allows us to 300M tons from true origin to ultimate destination of a number of our Considering changing economic conditions and shifting business units with our customers to better anticipate SERVED ACROSS NORTH AMERICA 12OMvaerrkveietswOverview Markets OperationsFinancials Market Overview REACHING FARTHER WITH OUR CUSTOMERS CN aims to deliver valuable transportation services for our customers and to work with all our supply chain partners as ONE TEAM with ONE GOAL. Our freight revenues are derived from seven commodity groups representing a balanced and diversified portfolio of goods, enabling CN to better weather economic fluctuations and enhance our potential for growth opportunities. $250B Our business model is anchored on the continuous pursuit WORTH OF TRADE EACH YEAR collaborate with our customers. We value the full integration business units, including Coal, Grain, Iron Ore and Auto Parts, ANNUAL CARGO CARRIEDinto every step of their respective supply chains. 9 portsmarket cycles, CN nurtures the close relationships of our future demands and help to win in new end markets. 65% OF TRAFFIC ORIGINATING AND TERMINATING ON CN’S NETWORK For more details on our markets, please visit www.cn.ca /your-industry 22TOGETHER INTO OUR NEXT CENTURY Photo by CN Employee Ron Worobec

services to focus on the entire movement by topping up the air pressure in railcars Integrating the supply chain can load more cars per day and CN adds operate safely value to our supply chain model by bring suppliers and end users together. work directly with our customers to train their personnel in safe railroading with all our stakeholders. We coordinate of their operations on site with the goal improve visibility of the entire move with hazards. CN’s annual Safe Handling our services into their operations. All achievements in meeting the challenges understand and optimize supply chain 2Markets Overview Markets OperationsFinancials Market Overview Rail Centric Supply Chain GROWING WITH OUR CUSTOMERS Our job is to manage and expand the bulk and carload businesses for our grain, fertilizer, sulfur, coal, petroleum, chemicals, forest products, metals and minerals customers. JAMES CAIRNS, Senior Vice-President CN is focused on moving products right through to their Rail Centric Supply Chain end customer. Strengthening ourTo provide optimal service, CN worksand container supply, planning vessel Rail Centric businessclosely with stakeholders to understandloading, as well as managing the network every detail of a shipment, from origin to avoid pinch points. For example, to ultimate destination, adapting last-milesome customers cut hours off cycle times of goods through the completebefore CN crews arrive. By improving supply chain.switching efficiency and dwell time at our customers’ plants, our customers We are increasingly integrating alllow-cost capacity to the network. supply chain players to improve how products get to market. CN is addingHelping our customers leveraging our expertise to advise andWe have adopted a hands-on approach assist our customers. We work closelyby sharing practical knowledge at the with customers to better understand their ground level with our customers, helping business, right-sizing capacity to meetthem manage their rail operations more needs and identifying opportunities to efficiently. Furthermore, our safety experts p Grain and fertilizers CN promotes open communicationpractices. In fact, we audit the safety with our customers to drive down costs,of eliminating derailment and injury common metrics, and seamlessly integrateAwards recognize our customers for parties continually share information to of maintaining safe operations. performance, including scheduling railcar 24TOGETHER INTO OUR NEXT CENTURY RAIL CENTRIC SUPPLY CHAIN REVENUES ($ millions) 9,253 7,721 2014 2015 2016 2017 2018 p Petroleum and chemicals p Forest products p Metals and minerals p Coal 8,087 8,2908,268

we take a varied approach that includes: network to handle growing volumes. acquiring: 260 high-tech locomotives, meeting or exceeding expectations. CargoCool® smart containers. With over collaborations, we are developing new 10 years, we continue to invest back into service-sensitive markets. Industries that growth plans. transportation companies, and our customer service by leveraging the latest division of H&R Transport Limited, subject value we provide by developing robust acquisitions allow us to expand our products and services that are difficult supply chains. Consumer Product Supply Chain FOCUSING ON WHAT MATTERS Our business is to grow CN’s intermodal and automotive products by placing the customer front and center. Our goal is to provide superior service, utilize our expanding capacity, and deploy technology in pursuit of growth in excess of the KEITH REARDON, Senior Vice-President broader economy. Consumer Product Supply Chain At CN, we expand our customers’ reachInvesting in the businessDeveloping our Consumer and capacity with our 23 intermodalCN is investing to expand our intermodalProducts franchise terminals, 18 autoports and 1,100 truck and automotive terminals as well as owner-operators. To achieve our goals,improve the velocity and fluidity of our Quality serviceTo expand our fleet, in 2019, we are We earn our customers’ business by1,400 intermodal containers and 100 Building on successful supply chain$22B of capital investments in the last solutions for more complex challenges in the business to deliver on our organic work with smaller lot sizes and just-in-time inventory management, like automotiveAcquisition opportunities and consumer goods, require an especiallyWe look for ways to grow inorganically, high level of customer service.which includes our recent acquisition Innovation of TransX, one of Canada’s largest CN aims to continuously improve our agreement to acquire the intermodal technologies. We strive to enhance the to customary closing conditions. These customer relationships and creatingintermodal and temperature-controlled to replicate. This mindset distinguishes us from our competitors and building on our We are keeping a close eye on additional foundational Scheduled Railroading model,acquisition opportunities with a strong we aim to accelerate the pace of innovationfocus on accretive services to bring to secure our position for the long haul.volumes to our rail franchise and that can be easily integrated into our operations. CN 2019 INVESTOR FACT BOOK25 CONSUMER PRODUCT SUPPLY CHAIN REVENUES ($ millions) 4,295 4,025 3,368 2014 2015 2016 2017 2018 p Intermodal p Automotive 3,615 3,605

2MarketsOverview Markets OperationsFinancials Market Overview Top Trends Influencing Our Business Navigating shifts in global trade interfere with the free circulation of goods across North America3 coasts Unlocking marketsTechnological innovation there is a submarket to discover Volatility in fuel pricing 26TOGETHER INTO OUR NEXT CENTURY We monitor fluctuations in fuel pricing, which can be affected by geopolitical events, changes in the economy or supply disruptions, as rising fuel prices can have a significant adverse effect on our operating costs. To mitigate the effects of the volatility in fuel prices, we manage fuel price risk through our fuel surcharge program in order to continue to provide a compelling service offering to our customers. CN’s growth strategy is tied to competition in the market, expected economic growth and global trade. We determine where and how to grow our business based on potentials and drawbacks of the North American and global marketplace. We consider whether and grow or if expanding our supply chain inorganically presents an advantage. The importance of adapting and implementing new technology is ever more present today. At CN, we want to evolve from a traditional railway to a digitized railway of tomorrow. We invest in new technology to modernize our operations to increase efficiency, reliability and predictability of our services, as well as strengthening our safety culture. 7 inspection portals PLANNED TO BE OPERATIONAL IN 2019 FROM WINNIPEG TO TORONTO TO MEMPHIS We constantly assess the potential impacts of North AmericanUnique access to trade conditions, including trade barriers on certain commodities, not only within Canada and the U.S., but also globally. We weigh the risks of the ever-evolving trade agreements that may in order to mitigate any adverse impacts to our business. This constant assessment also helps CN take advantage of positive shifts and prepare a timely call to action. SERVING SEVEN MAJOR PORTS Including 5 logistics parks, more than 30 transload and distribution facilities, and 23 intermodal terminals in Canada and the U.S.

Performance Summary RevenuesCarloads $ millionsthousands %% 20142015201620172018 Change1)20142015201620172018 Change1) RTMsAverage length of haul millionsmiles %% 20142015201620172018 Change1)20142015201620172018 Change1) 1) % change from 2017 to 2018. Delivering on our growth agenda (Index 2012 = 100)+4% NSCCAGR IN RTMs BETWEEN CSX 110faster than the overall North American 2012201320142015201620172018 CN 2019 INVESTOR FACT BOOK27 CN VOLUME PERFORMANCE RELATIVE TO INDUSTRY PEERS (RTMs) 130CN CP 120UNP2012 AND 2018 KSUCN’s objective is to grow our business economy. CN has demonstrated a strong 100track record of growth, outpacing the economy and our railroad industry peers. 90 80 Petroleum and Chemicals Metals and Minerals Forest Products Coal Grain and Fertilizers Intermodal Automotive 53,169 51,103 43,395 44,375 50,722 14% 907897821819 874 7% 24,686 21,828 20,233 27,938 27,993 –% 291307313339 336 (1%) 29,070 30,097 31,401 30,510 29,918 (2%) 798810836840 839 –% 21,147 15,956 11,032 14,539 17,927 23% 354317292435 464 7% 51,326 50,001 51,485 56,123 57,819 3% 808831865905 905–% 49,581 52,144 53,056 59,356 60,120 1% 1,7771,8221,8411,848 1,826 (1%) 3,1593,5813,7254,257 3,884 (9%) 712766730802 762 (5%) 232,138 224,710 214,327 237,098 248,383 5% 692727749775 782 1% Petroleum and Chemicals Metals and Minerals Forest Products Coal Grain and Fertilizers Intermodal Automotive 2,3542,4422,1742,208 2,660 20% 655640599614 653 6% 1,4841,4371,2181,523 1,689 11% 1,063886807995 1,030 4% 1,5231,7281,7971,788 1,886 5% 433441440424 418 (1%) 740612434535 661 24% 519438333303 346 14% 1,9862,0712,0982,214 2,357 6% 640607602619 632 2% 2,7482,8962,8463,200 3,465 8% 2,0862,2322,1632,514 2,634 5% 620719759825 830 1% 229241261268 263 (2%) Total rail freight Other 11,455 11,905 11,326 12,293 13,548 10% 5,6255,4855,2055,737 5,976 4% 679706711748 773 3% Total 12,134 12,611 12,037 13,041 14,321 10%

and ensure more efficient operations at unparalleled value to our customers petrochemical boom due to the availability Investing where it matters customers with the ability to use single dependence on supply chains that support diesel and other various petroleum from origin and destination. We also For more information please visit 2Markets Overview Markets OperationsFinancials Petroleum and Chemicals RELIABLE AND INTEGRAL PART OF MOVING ENERGY The building blocks of the petrochemical industry are comprised of natural gas and oil. Being the only railroad that serves all three major petrochemical hubs in North America – U.S. Gulf Coast, the Alberta ROBERT (BUCK) ROGERS Heartland and Southwestern Ontario, CN provides a unique and Vice-President, Petroleum and Chemicalscomprehensive reach for its petroleum and chemicals customers. Simple approach,CN advantage: Our three help them meet the demands of their dependable resultspetrochemical hub accessend markets. Our holistic view allows us CN’s approach is simple: to provideAs North America experiences ato share best practices, minimize footprint through seamless integrations of our of low cost feedstock, there is an increaseour customer sites. services. Our extensive reach providespressure on its supply chain. Growing rail carrier service from origin to final global emerging markets has increasedCN’s capital expense plan for destination through our CargoFlo®the strain on North American port capacity.infrastructure to support the growth network, as required, to enable the CN’s unique access to unencumberedin the business remains comprehensive. last mile delivery to our customers’and untapped capacity through the east,With safety as a core value, we end market. Technology will play an west and the U.S. Gulf Coast ports we continuously review areas in which we increasing role in our ability to tailor serve allows us to help our customers can improve especially if best practices products to our customers’ needs. stay competitive in their markets. can be shared with our customers and partners. Significant investments are Working with our customersbeing deployed in the Greater Edmonton CN goes beyond offering transportationArea to support growth in propane, actively participate in helping customersand chemical products. cut costs, improve their operations to www.cn.ca /petroleum-chemicals 28TOGETHER INTO OUR NEXT CENTURY A Century of Stories CN freight cars on a siding adjacent to an Imperial Oil facility in Sarnia, ON, in 1952. Imperial Oil is even older than CN; dating all the way back to 1880.

Crude and Condensate 4% Sulfur p p and Southwestern Ontario CHEMICALS AND PLASTICS • CN handles over 50% of all Canadian• Polyethylene, caustic soda, sulfuric CCNN22001199IINNVVEESSTTOORR FFAACCTT BOOK29 Business unit overview and market drivers p 36% Refined Petroleum Products 21% KEY FACTSCOMMODITIESMARKET DRIVERS • CN is the only rail carrier servicingPETROLEUM PRODUCTS • North American industrial production three petrochemical centers in • Propane, butane, crude oil, • North American crude oil and North America: the Alberta gasoline, diesel, fuel oil, lubricants,gas production Heartland, the U.S. Gulf Coastasphalt, condensate• Chemicals and plastics feedstock prices • Investment by supply chain partners chemicals production acid, pulp mill chemicals • Petroleum and chemicals shipmentsSULFUR move in customer-supplied private cars• Molten and dry sulfur Metrics 599 614 821 819 REVENUESCARLOADSRTMs AVERAGE LENGTH ($ millions)(thousands)(millions)OF HAUL (miles) 2,660 655 640 653 53,169 51,10350,722 907 897 874 2014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 2018 2018 vs. 2014 CAGR +3.1% -0.1% -1.2% -0.9% 43,395 44,375 2,354 2,442 2,174 2,208 2018 COMMODIT Y BREAKDOWN (% of revenues) p 39% Chemicals and Plastics$2,660M 2018 REVENUES

Edson Scotford a true supply chain enabler, connecting Ashcroft Ferndale, WA CN’S PETROLEUM AND CHEMICALS SUPPLY CHAIN 1 Propane distribution and storage 1 Potential new propane facility 1 Petrochemical hub Eastern Canada, the U.S. Midwest and the Gulf Coast, as well as Chemicals Sulfur supply chains through our available port capacity Ports served by CN 2Markets Overview Markets OperationsFinancials Petroleum and Chemicals Supply Chain at a Glance High River CN’S REACH BENEFITS OUR CUSTOMERSPrince Rupert Fort McMurray CN is well-positioned to take advantage of the supply of the petrochemical industry, which is comprised of a wide range of Edmonton commodities including chemicals and plastics, crude oil, natural gas, and sulfur. We are VancouverSaskatoon petroleum and chemicals producers with Calgary their suppliers and markets. Regina Bienfait Key advantages CN provides producers with single line access to refineries in Petroleum1 CargoFlo® export terminals in Louisianaand plastics1 Propane export facility CN’s access to three coasts and port facilities enables international 1 Petrochemical facility CN offers an advantage of decoupling 24/7 plant production from Shale play traditional railway “once a day” service (3, 5 or 7 days per week) 85% Of Canadian petrochemical industry directly serviced by CN with our vast network allowing us to tailor services to our customers’ needs 20 CargoFlo® Bulk distribution facilities strategically located on our network for liquids transfer and break-bulk needs 30TOGETHER INTO OUR NEXT CENTURY

Sarnia CN’s propane Detroit Windsor the first propane export terminal in project is to provide Canadian Baton Rouge Mobile which has been designed to ship year. RIPET has been receiving Erath, LA Rupert Edmonton Winnipeg Moncton Thunder Bay QuebecHalifax Saint John Montreal Toronto Hamilton ChicagoFlat Rockopportunity in the Joliet Canadian West Coast In 2017, AltaGas announced its investment in the Ridley Island Conway, KSPropane Export Terminal (RIPET), Hutchinson, KS Western Canada. RIPET is located on Ridley Island, near the Port of Prince Rupert, which is exclusively Memphisserved by CN. The objective of the propane producers new market access to Asia. Propane from Alberta and British Columbia will be transported through CN’s network to RIPET, Mont Belvieu, TXNew Orleansup to 1.2M tonnes of propane per propane since mid-April 2019 and is fully operational in May 2019. CN 2019 INVESTOR FACT BOOK31 Prince Saskatoon Vancouver Calgary Winnipeg CUSTOMERS BENEFITTING FROM OUR LOW-COST NATURAL GAS ADVANTAGE Nova ChemicalsMethanex Williams Energy Pembina HuntsmanKeyera Inter-Pipelinelains Midstream P

has commissioned a third fractionator at producers. Furthermore, Pembina has for vehicles, cooking, and home heating bringing total capacity to 210,000 barrels barrel per day of liquefied petroleum gas polypropylene, a synthetic plastic used fractionation facility in Canada. Pembina planned shipments starting mid-2020. consumer applications. About half of Crude-by-rail through confirmed markets all over North America and within the region and one-third is shipped infrastructure to support growth from CN works with all shippers to build transported to the U.S. Midwest. This Prince Rupert opportunity our large system of rail terminals, we Island Propane Export Terminal. CN’s capital investments in key natural export terminal on Canada’s West Coast undiluted heavy crude oil and dilbit. CN’s customer investment in their terminals The terminal is located on Ridley Island Athabasca and Cold Lake production 2Markets Overview Markets OperationsFinancials Petroleum and Chemicals Petroleum in Review AN IMPORTANT LINK IN THE PETROLEUM SUPPLY CHAIN Developing new end markets CN to provide a balanced flow of loadsnetwork, up to 1.2 million tonnes of for propane and empties direct for our customers.propane per year, or 60 cars a day, can be Propane is commonly used as a fuel Pembina Pipeline Corporation (Pembina)transported from Western Canadian and is also an important feedstock for its Redwater, AB site north of Edmonton,announced plans to construct a 25,000 in a wide variety of industrial andper day, making Redwater the largest(LPG) export facility on Watson Island with Western Canadian propane is usedships its propane to an array of end to Eastern Canada, with the balancecontinues to develop terminal and railcapacity contracts proportion is expected to change with the Redwater complex.incremental capacity for crude-by-rail the recent opening of the new Ridley through long term contracts. Through AltaGas has built the first propaneprovide access to Western Canadian gas liquids corridors coupled with with first shipments starting in May 2019. network directly overlays the Peace River, in and around the Edmonton area allow in the Port of Prince Rupert. On CN’s rail 1.2M TONNES OF PROPANE PER YEAR CAN BE TRANSPORTED FROM WESTERN CANADIAN PRODUCERS THROUGH CN’S NETWORK 32TOGETHEERR IINNTTOOOOUURRNNEEXXTTCCEENNTTUURRYY PICTURED: With shortage of pipelines, CN offers an alternative to crude oil producers for their products to reach their end markets. Photo by CN Employee Kerry Marshall

with single line access to refineries in Gulf Coast as well as export terminals In addition, with CN’s interconnections can access the Pacific Northwest, Texas greater market reach and scalability. by 30%. CanaPux can open up new Western Canada’s energy growth, from CanapuxTM: Innovating for the 15% improvement over diluent-free to increased drilling and fractionation technology does not replace the need for The majority of heavy crude oil in British Columbia. Growth is expected for producers, refiners and other off-takers of diluents or condensates, necessary for rail shipments of condensate from diluent-free rail supply chains that industry partners to establish commercial crude producers to remove costs from the instead of tank cars. CanaPux pellets by mid-2021. We have received positive development of diluent recovery units to in water, do not leak, are non-explosive, market access for crude resources and increase rail capacity for shippers and in large tanks. important product in an environmentally CanaPux pellets are transported by rail sites and existing rail infrastructures. combustion purposes. CanaPuxTM process and innovative supply chain areas, enabling us to provide producers CN is developing CanaPux pellets Eastern Canada, the U.S. Midwest and as an environmentally secure in Louisiana. and protected way of transporting with other Class I railroads, CN customers bitumen or heavy crude oil. and the Eastern seaboard, where current pipeline infrastructure is limited. CN offers a safe and complementary service Moving heavy crude oil without diluent Outlook to pipelines, providing customers with can improve crude-by-rail economics CN is positioned to capitalize on markets for crude-by-rail with a furtherpropane export facilities in Prince Rupert future petroleum supply chain rail economics for shippers. This in liquid-rich areas in Alberta and North America moves with the addition pipelines, but can provide new optionality through the new LNG Canada initiative for pipeline transport. With CanaPux,that use extra-heavy crude oil. Kitimat, BC. CN is advocating and working toward CN is currently working with several CN is working with Western Canadian allow for transport using gondola cars pilot facilities, anticipated to be in service transportation supply chain through the are environmentally friendly as they float reaction to the concept, both for enabling allow to move more bitumen in a railcar, and can be piled instead of being stored for creating new ways of transporting this transport a safe, non-hazardous product. friendly manner. CanaPux™ – A safe and innovative process for transporting bitumen After CanaPux pellets are processed, conveyors take them from the processing facility to be loaded into open-top gondola cars and are transported by rail to a port terminal where they are transferred to ocean freighters. With extracted bitumen, CanaPux pellets are formed by blending and coating bitumen with polymer. CanaPux pellet processing facilities operate in close proximity to extraction and freighter to their destination market and processed to separate the bitumen from the polymer. The polymer can be reused and To learn more information including the fullthe bitumen can be refined or used for non-solution, please visit www.cninnovation.ca CN 2019 INVESTOR FACT BOOK33 3 1 2

work closely with our partners, from Western Canada still presents significant provide access to more attractively priced petrochemical corridor, in order to low cost and abundant supply of all from the natural gas industry based in The boom occurring in the U.S. Gulf optionality to our customers, offering with the incremental production expected to using traditional U.S. containers for to producers to their end markets. several new plants being built and CN is developing alternative solutions and environmental benefits of long-haul North America, CN expects a modest to get their products to market promptly short-haul truck delivery. 2Markets Overview Markets OperationsFinancials Petroleum and Chemicals Chemicals and Plastics in Review GETTING OUR CUSTOMERS’ PRODUCTS TO MARKET Rise of demand for cheap feedstockPetrochemical opportunities Outlook With low natural gas prices, there is anNew petrochemical plants and majorGrowth is expected to be in line with increased demand from the automotive,expansions are expected to be completedindustrial production in Canada and construction and packaging sectors.in the Alberta Industrial Heartland, the the U.S. Nevertheless, the plastics There are more investments being madeU.S. Gulf and Ontario, signalling solidmarket is benefiting from resurgence to chemicals and plastic plants to improvedemand in the next few years.of energy in North America and the operations and overall productivity. WeRIPET, which opened in May 2019, will continued low price of natural gas. the producers in Alberta to the Louisianamarkets in Asia for the propane derivedcost leadership advantage given its establish required capacity.British Columbia and Alberta.petrochemical feedstock. Our strategically located CargoFlo®There is continued significant amount facilities enable us to provide better also poses supply chain challenges tied of production along the U.S. Gulf Coast, a one-stop-shop transportation serviceexport through the Gulf Coast ports.to flow towards Asian markets. With We are able to combine the economicusing CN-served ports to assist customersother expansion projects announced in transportation with the flexibility of and reliably.amount of growth. 34TOGETHER INTO OUR NEXT CENTURY CN leverages its access to the Port of New Orleans to assist customers in getting their products to market.

A significant portion of Canadian sulfur netbacks between the domestic and highly attractive for Canadian sourced prilled (dry) form is handled by CN. The to help its customers get their product the extraction of sour gas as well as the In addition to growth supported by effective manner. Though production capacity is increasing, oil. Sulfur from sour gas is prilled and CN’s franchise sees growth potential of sulfur in Alberta, which creates the to the overseas market. CN’s sulfur franchise has the optionality production. CN serves the newest sulfur priller of Heartland Sulphur LP, which and railed to offshore markets. With is strategically located to give a cost shipped in molten form to traditional closest to the oil upgraders and refineries, refineries as well as oil sand producers. in Florida and North Carolina or to we expect potential growth in volumes. Sulfur in Review GROWTH IN SULFUR PRODUCTION The use of phosphate fertilizers is the The dual option for sulfur producers Outlook main driver of sulfur consumption. allows them to capitalize on the best The offshore market continues to be for export in both molten (liquid) and overseas markets. sulfur and CN is perfectly positioned sulfur transported by CN is produced by Increase in sulfur exports to tidewater in the most efficient and upgrading and refining process of crude crude refineries and oil sand producers, shipped to the West Coast to be exportedderived from increased sour gasthere is reduced local consumption opportunity for sulfur to be prilled for the sulfur from crude to either be is located near Edmonton, AB. The priller CN serving the sulfur prillers located North American markets concentratedeffective alternative for local crudealong with the newest priller in Canada, be trucked to gas plants with prilling The priller became operational in capacity to then be shipped overseas. 2018 and has the ability to form up to 2,000 metric tonnes per day of sulfur. Phase 2 is currently under consideration, posing a possible additional growth. CN 2019 INVESTOR FACT BOOK35 Opportunities driven by the SemCAMS Wapiti Gas Plant Located northeast of Edmonton, the SemCAMS Wapiti Gas Plant, which became operational in early 2019, has the ability of handling 200 million cubic feet per day of natural gas and processing up to 350 tonnes per day of sulfur. The gas plant offers multitude midstream services including compression, sour gas sweetening and condensate stabilization. This plant is connected to the Kaybob K3 Sour Gas Plant through existing pipelines, which will prill the sulfur for CN to export. With the energized production, this opportunity poses as a source of long-term volumes for CN.

We also review train and railcar With our rail access deep into the base to get metals and minerals traffic quickly current and future demand. In order to mining regions, CN leverages the strength operate close to 67,000 railcars of all our goal is to monitor market conditions important aluminum and steel production and future demand. CN’s fleet planning relationship with oil and gas producers off our network with opportunities to To help our customers grow their we worked out the logistics to connect environmental benefits of shipping by and cost-effective service that creates Wisconsin. CN established a dedicated service. Customers can use our intermodal shipments from origin to destination. customer touchpoints encouraging the distribution centers, to get their products understand our customers’ markets containers can handle extremely heavy 2Markets Overview Markets OperationsFinancials Metals and Minerals SUPPLY CHAIN COLLABORATION DRIVES GROWTH As cyclical commodities, demand for metals and minerals follows drivers like manufacturing, construction and energy sector activity. CN works closely with our customers to understand and ROSSANA CARCAMO anticipate their market cycles. Then, we plan our capacity and Director of Marketing, Industrial Productsservice to align with the future needs of our customers. Leveraging the strength We work with our customers to Flexible shipping solutions of our network systematically develop growth strategies. CN leverages our reach and know-how metals, iron ore, frac sand, and lithium requirements to right-size capacity with and safely to destination. We own and of our rail network to reach the most proactively adjust our service accordingly, types to support our customers’ current areas in North America. This strongand anticipate changes.process is designed to be flexible by origin franchise, coupled with our accessBeing a key player in the metals andconstantly reviewing and adjusting our to end markets for those commodities,minerals supply chain, we can identify fleet based on expected demand, with makes CN a leader in the transportationopportunities to put suppliers anda focus on supporting growth. of metals and minerals.consumers together. Through our closeWe provide customers located on and Creating value for our customersat North America’s major shale basins,take advantage of the low costs and business, CN seeks to provide qualitythem with frac sand producers in rail as part of our Sell One CN integrated value for our customers. We hold multiple team to coordinate our frac sandservice, combined with our metals free flow of information in order to better to a wide range of destinations. Our and their key drivers.goods like steel, thanks to our sliding floor mobile transport trays that can load up to 50,000 lbs in less than a minute. For more information please visit www.cn.ca /metals-minerals 36TOGETHER INTO OUR NEXT CENTURY

Minerals p 16% Iron Ore p CN 2019 INVESTOR FACT BOOK37 Business unit overview and market drivers p 30% Metals 24% KEY FACTSCOMMODITIESMARKET DRIVERS • CN serves 9 aluminum smelters,METALS AND MINERALS • Manufacturing production more than any other railroad in • Steel, non-ferrous ores and base(e.g., automobiles, railcars, North Americametals, construction materials,heavy equipment, aerospace) • CN is the top mover of aluminum,machinery, railway equipment and • Non-residential construction activity iron ore and base metal ore in large loads• Government spending on North AmericaENERGY MATERIALS infrastructure projects • Frac sand and pipe • World demand for ores and metals IRON ORE Metrics 995 1,030313 REVENUESCARLOADSRTMs AVERAGE LENGTH ($ millions)(thousands)(millions)OF HAUL (miles) 1,6891,06327,938 27,993 339 336 807 2014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 2018 2018 vs. 2014 CAGR +3.3% -0.8% +3.2% +3.7% 291 307 24,686 21,828 20,233 886 1,484 1,4371,523 1,218 2018 COMMODIT Y BREAKDOWN (% of revenues) p 30% Energy Materials$1, 689M 2018 REVENUES

Edson to get our customers’ products to market Ashcroft Ferndale, WA CN’S METALS AND MINERALS SUPPLY CHAIN 1 CN iron ore docks CN ships and trains. Energy materials Our rail access is deep into base metals, iron ore and production areas. 2Markets Overview Markets OperationsFinancials Metals and Minerals Supply Chain at a Glance High River WORKING CLOSELY WITH CUSTOMERS Prince Rupert Fort McMurray CN is committed to creating value for customers through collaboration and innovation. From steel to aluminum and iron ore to frac sand, CNEdmonton has the network reach, equipment, transload Scotford facilities, port access and supply chain solutionsVancouverSaskatoon quickly and safely. Calgary Regina Bienfait Key advantages CN owns and operates a fully integrated supply chain that Metals 1 CN metals transports iron ore directly from mines to mills entirely with Mineralsdistribution centres Iron ore1 Intermodal terminals frac sand mining regions as well as to core aluminum and steelPorts served by CN With our strong origin franchise and our access to end markets, CN is the top mover of aluminum, iron ore and base metal ore in North America. 600 boxcars Acquired in 2018, with another 430 to be received in 2019 9aluminum smelters CN serves more than any other railroad in North America 38TOGETHER INTO OUR NEXT CENTURY

Sarnia Detroit Windsor Hutchinson, KS Today, GLF operates a safe, highly Erath, LA year-round, including three record-Marquette Sault Ste. Marie Escanaba ChicagoDetroit Conneaut Gary Winnipeg Moncton Thunder Bay QuebecHalifax Saint John Montreal Toronto HamiltonCN’s Great Lakes Fleet ChicagoFlat Rockhas a rich history Joliet While CN is turning 100 in 2019, our Great Lakes Fleet (GLF) is even older. Conway, KSEstablished in 1901, GLF amalgamated six steamship companies into one, the largest commercial fleet in the world at that time. In 1906, GLF Memphisintroduced the first 600-ft ships to the Great Lakes. Radar was installed fleet-wide by 1950, the same year GLF carried its billionth ton of cargo. In 1967, GLF proved that winter navigation was possible on the Great Lakes. Baton RougeMobile Mont Belvieu, TXNew Orleansefficient fleet of nine vessels breaking 1,000-footers that are continually upgraded to meet the needs of customers. CN 2019 INVESTOR FACT BOOK39 Thunder Bay Two Harbors Duluth Superior Calcite Green Bay Nanticoke Toledo Cleveland GREAT LAKES FLEET

where relatively low-cost hydroelectricity factors closely in order to assess their 16 rail network reaching deep into the U.S., 2Markets Overview Markets OperationsFinancials Metals and Minerals Metals and Minerals in Review WELL-POSITIONED TO PARTICIPATE IN EXPECTED GROWTH partner CN is the leader in aluminum needs,electronics. The electrolysis process used to manufacture aluminum requires much industry has concentrated in Quebec is abundant. to the U.S. than any other railroad. luminum smelters, coupled with our Nearly 85% of Canada’s primary to the U.S. 40TTOOGGEETTHHEERRININTTOOOOUURRNNEEXXTTCCEENNTTUURRYY PICTURED: Our Hamilton Minerals Distribution Centre in Hamilton, ON is one of 16 strategically located metals distribution centres. CN is an agile supply chain CN has the market covered from A to Z from aluminum to zinc. By promoting open communication with our customers regarding their operations and markets, w can better anticipate our customers’ especially in volatile economic times. Through our network of 16 strategically located metals distribution centres and with the largest active fleet of railcars for metals in Canada, we provide efficient and competitive supply chain solutions to reach a wide range of customers. CN’s steel portfolio is well diversified Our customers serve a wide variety of markets, including auto manufacturing, oil and gas production, heavy industry and non-residential construction; this diversification helps minimize the impact of market cycles in these sectors on our business. S a o ea e C C a h p a trong and lightweight, aluminum is n important ingredient in a wide array f products, from automobiles and ircraft to beverage cans and consumer lectric power. Therefore, the Canadian N moves more aluminum from Canada N’s unique access to the Canadian ave made CN a strategic supply chain artner to the aluminum industry. luminum production is exported Highly integrated metals supply chains The steel and aluminum industries in Canada and the U.S. are deeply integrated and underpin supply chains that strengthen the global competitiveness of the North American economy. Canada is a longstanding and reliable supplier of steel and aluminum to the United States. CN is aware of external factors, including geopolitics, that may affect our business. We watch these possible impacts. STRATEGICALLY LOCATED METALS DISTRIBUTION CENTRES

Aggregates, cement and non-ferrous ore in the minerals group. As with other minerals generally follow global market government spending on infrastructure copper, zinc and lithium. These deposits drive steel production, including a possible rail is a growing business for CN as local an area where CN’s network offers Aluminum demand is anticipated to rise depleted and replaced by sources farther production and other applications. transportation mode of choice and CN is Lithium is non-ferrous metal that is Strength in cement lithium-ion batteries that are found in ferrous minerals, but continues to assess Growth in minerals continuesCN provides efficient and competitive concentrates are CN’s main commoditiessupply chain solutions to reach a wide commodities, supply and demand for range of customers in the metals and cycles and local factors, includingmineral industry. projects. CN closely monitors projects and gets involved at the early stages to contribute supply chain solutions.Lithium is a hot commodityOutlook Shifting aggregates market Canada is widely known for its richGeneral economic growth and higher Shipments of gravel and crushed stone bydeposits of non-ferrous ore, includingdemand for large-diameter pipe will quarries in metropolitan areas are beingare mostly found in northern Canada,U.S. infrastructure stimulus program. away. The added distance makes rail aunique supply chain solutions.as the metal is increasingly used in vehicle at the forefront of this evolving market.creating a lot of excitement. LithiumCN is positioned to benefit from the is central to the manufacture of the favorable market outlook for most non-Activity in the oil and gas sector andconsumer electronics and, increasingly,any impact of geopolitical factors. The government spending on infrastructureelectric vehicles. CN’s network reachesshift to longer hauls makes transporting projects continue to have a positiveinto lithium-rich regions of Canadaaggregates by rail more competitive. impact on CN’s cement volumes. Oneand we are actively working with our Large-scale construction projects will example is BC Hydro’s Site C project,customers on seven large lithium generate more aggregates and cement which is a 1,100 MW hydroelectric projectmining projects, one of which hasshipments. The growing popularity of located near CN’s network in northern begun shipments with another in the lithium-ion battery-powered devices British Columbia. Construction beganadvanced stages of development.is forecast to accelerate in coming years. in 2015 and is expected to continue until 2024. CN 2019 INVESTOR FACT BOOK41 With continued spending on infrastructure projects, CN is delivering more aggregates and cement shipments to fulfill the need of large-scale construction projects. ALUMINUM PLANTS IN CANADA CN serves all nine Canadian smelters, which, when combined, are the world’s third-largest producers of primary aluminum after China and Russia. Current Production Capacity Customer Plant Location (metric tonnes) Alouette 1) Sept-Îles, QC609,000 Rio Tinto AlcanAlma, QC (Saguenay Power, QC)467,000 Alcoa / Rio Tinto Alcan 2) Becancour, QC445,000 Rio Tinto AlcanKitimat, BC408,000 AlcoaBaie Comeau, QC280,000 AlcoaDeschambault, QC260,000 Rio Tinto AlcanLaterriere, QC247,000 Rio Tinto AlcanGrand Baie, QC227,000 Rio Tinto AlcanArvida, QC172,000 Rio Tinto AlcanArvida, QC172,000 Total 3,115,000 1) Aluminerie Alouette consortium is made up of the following five shareholders: Rio Tinto Alcan (Canada, 40%), Austria Metall (Austria, 20%), Hydro Aluminium (Norway, 20%), Marubeni (Japan, 13.33%) and Investissement Québec (Canada, 6.67%) 2) Alcoa (74.90%), Rio Tinto Alcan (25.10%)

modernized its drilling and tracking in the hydraulic fracturing process from the construction of new oil and gas drilling techniques improved by increasing pressure to hold the shale fractures GasLink project for the LNG Canada foot and increasing the amount of sand the rock formations. With direct rail access to over 20 million includes building a $40 billion liquefied Canadian shales served by CN, both BC, which will be fed by natural gas of Wisconsin Northern White sand, sand stages increased in 2018. chain connection between our sand to carry crude oil from Alberta to export and small-diameter pipes for oil and gas Western Canada and the U.S., including well-prepared to handle growth in the expansion of yards and sidings in Western Utica, and Bakken shale formations. commodities showed moderate growth. 2Markets Overview Markets OperationsFinancials Metals and Minerals Energy Materials in Review THE OIL AND GAS SECTOR REMAINS A STEADY SOURCE OF GROWTH Monitoring demand for frac sandFollowing the 2015-2016 downturn in Outlook Large amounts of frac sand are usedthe oil and gas market, the shale industryWestern Canada is expected to benefit where it is pushed into wells under high technology to stay competitive. Horizontalpipelines, such as the $4.5 billion Coastal open to free oil and gas trapped within lateral lengths, adding more stages perproject. The LNG Canada joint venture pumped per stage. Particularly in Westernnatural gas (LNG) export facility in Kitimat, tons of annual processing capacityhorizontal wells fractured and total fracextracted from the Canadian northwest. CN has invested over $100 million in Another pipeline project that CN follows infrastructure upgrades to help create anShipping more steel pipe closely is the $9 billion Trans Mountain efficient and highly competitive supplyWe ship large-diameter pipes for pipelinespipeline expansion plan that projects customers and energy producers in drilling. Following CN’s construction andterminals in British Columbia. CN is the Montney, Duvernay, Marcellus andCanada in 2018, shipments of both commodities required for these projects. growing frac sand demand. Pictured: HiCrush plant in Blair, WI. 42TOGETHER INTO OUR NEXT CENTURY Sustainable unit train shipments from Wisconsin to meet Canadian and U.S. CN is benefiting from increasing demand for sand CN SAND SHIPMENTS TO CANADIAN MARKETS (carloads) 49,027 22,835 2014 2015 2016 2017 2018 43,157 26,407 25,194

• Limestone: Sourced in northern Great Lakes Fleet a possible U.S. infrastructure stimulus industry pioneer and leader. With reliable in Western Canada, could accelerate support demand for iron ore. all seasons, we carry any bulk commodity St. Lawrence Seaway. ore demand coupled with the long life Iron Ore in Review DOMINANT IRON ORE TRANSPORTER ON THE GREAT LAKES CN’s seamless iron ore Our principal commodities and trade supply chainroutes include: CN’s iron ore operation is an excellent• Iron ore: Sourced on Lake Superior application of our end-to-end supplyand the Upper Peninsula of Michigan, chain mindset. By closely collaboratingand shipped to lower Lake Michigan with our mine and steel mill customers,and Lake Erie. we transport iron ore from mine to mill entirely with CN assets.Lake Huron, and shipped throughout CN handled 44 million tons of iron oremost of the Great Lakes. in 2018 with an operation that requires• Coal: Sourced from Lakes Erie, finely tuned end-to-end coordination:Michigan and Superior, and shipped loading trains quickly at the mine andthroughout the Great Lakes. arriving at the dock on time, managing trains from one dock to another to Outlook load vessels quickly, vessels arrivingAs the U.S. is expected to continue to and departing on schedule, anddrive demand for finished steel used in excellent operations managementvehicles, consumer durables and non-by everyone concerned.residential construction, the outlook for iron ore remains positive. In addition, is the industry leader program, combined with the expected For over 100 years, GLF has been anconstruction of new oil and gas pipelines vessels able to deliver up to 75,000 tons in demand for finished steel and, therefore, to any port on the Great Lakes andThis favorable economic outlook for iron of the mines served by CN, will support continued solid volumes throughout CN’s iron ore supply chain. GLF operates a safe, highly-efficient fleet, continually enhanced to meet the needs of our customers. PICTURED ABOVE: Great Lakes Fleet vessel Arthur M. Anderson at the Two Harbor, MN, ore dock. CN 2019 INVESTOR FACT BOOK43 A Century of Stories The Thunder Bay Port Arthur Ore Dock operated from 1944 until the late 1970s. Servicing the Canadian iron ore mines, CN is seen here unloading gondola cars in 1956.

customers, and port, terminal transload option to pivot towards the Asian market fulfillment for our customers, we closely and develop new and innovative supply regions, and the effect of respective The Port of Prince Rupert has the potential to reach farther and grow their markets. its fleet requirements based on the especially lumber and woodpulp. The port active demand. CN maintains the largest transload facilities looking to benefit from to maintain or even increase production the industry. reduced sailing time to/from Asia, fluid opportunities. Our industry-leading in the lower mainland Vancouver ports as improvement, CN is actively adapting U.S., and our extensive interconnection Central Canadian and U.S. markets. We work closely with partner ocean in an efficient and timely fashion, all the while optimizing fleet utilization. ongoing improvement of the U.S. housing provide “match-back” of international shipments of lumber, panels and siding. We also work with our forest products provides customers the flexibility of using CN loads an import container that would reach through transload facilities to get markets in Asia, such as India and Japan. export products such as lumber, enabling 2Markets Overview Markets OperationsFinancials Forest Products REACHING FARTHER WITH OUR CUSTOMERS Forest products have long been a part of CN’s core business, utilizing multiple different and often complex supply chains. CN is proud to be a critical enabler and transport partner KELLY LEVIS helping to move our customers’ products within North America Vice-President, Industrial Products and around the world. Through continued investment in rolling CN’s direct access to West Coast portsMatching fleet to demand stock and close relationship with our capacity provides our customers the To continuously provide car order and vessel partners, CN will enhancewhen U.S. demand slows.track demand by origin and destination chain solutions enabling our customersto ship more containerized forest products,market drivers. CN continuously adapts Market focusis attracting additional steamship lines andtimeliness of customer forecasts and CN’s strong franchise allows our customersa compelling service proposition, includinghigh-capacity centerbeam fleet in in order to take advantage of availableterminal operations, avoid truck congestionWith a view towards continuous premium equipment, direct access into the well as fast and consistent rail transit into and optimizing its ability to supply orders agreements, let us fully participate in the market, particularly in regards to carriers and forest products producers to CN’s Sell One CN integrated service containers. Match-backs occur when our intermodal service and its extended customers to develop alternativeotherwise return to Asia empty with their products to destination. steamship lines to cover some of the cost of shipping empty containers back to their home port. For more information on CN’s forest products operations, please visit www.cn.ca /forest-products 44TOGETHER INTO OUR NEXT CENTURY

• Nearly 14% of total CN revenue tied • Upgraded fleet of 22,300 premium cars CN 2019 INVESTOR FACT BOOK45 Business unit overview and market drivers p 47% Pulp and Paper KEY FACTSCOMMODITIESMARKET DRIVERS • Largest rail carrier of forest productsLUMBER & PANELSLUMBER & PANELS in North America• Lumber, oriented strand board • Residential construction, panels, plywood, siding, engineered repair and remodeling activity, to the housing market wood products, timber matsindustrial activity PULP & PAPER PULP & PAPER • Woodpulp, newsprint, printing • Global consumption of paper, paper, logs, wood chips,tissue and packaging wood pellets, clay Metrics 1,728 1,797 1,788 418 29,070 29,918 798 810 REVENUESCARLOADSRTMs AVERAGE LENGTH ($ millions)(thousands)(millions)OF HAUL (miles) 1,886 433 441 440 424 30,097 31,401 30,510836 840 839 2014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 2018 2018 vs. 2014 CAGR +5.5% -0.9% +0.7% +1.3% 1,523 2018 COMMODIT Y BREAKDOWN (% of revenues) p 53% Lumber and Panels$1, 886M 2018 REVENUES

Prince George Battleford Saskatoon products distribution centers provide our Bienfait CN’S FOREST PRODUCTS SUPPLY CHAIN Wood pellet producers 1 Intermodal terminals CN’s direct access to West Coast port capacity gives our customers Ports served by CN centerbeams distribution centres 2Markets Overview Markets OperationsFinancials Forest Products Supply Chain at a Glance THE FULLY INTEGRATED END-TO-END SOLUTION Prince Rupert CN serves the U.S. housing market with high quality Canadian lumber, panels and siding. Edson Asia is the principal market for CanadianEdmonton woodpulp and an attractive diversification option North for Canadian lumber producers. Our 14 forest VancouverCalgary Surrey customers with intermodal flexibility, forward inventory capability and truck alternative for mills that are not rail served. Key advantages Strategically located to move forest products acrossLumber and panels 1 Forest products Canada and the U.S. and reach our customers’ markets overseasPulp and paper 1 distribution centres an advantage in shipping to Asia, where demand is resurging In line with our Operational and Service Excellence, we provide customers the flexibility of using our intermodal service and transload facilities Over 10,000 CN maintains the largest fleet in the industry to adapt to evolving customer demand 14 Located in key locations across our network to better serve our forest products customers 46TOGETHER INTO OUR NEXT CENTURY

Quebec Halifax Minneapolis/St. Paul Indianapolis to achieve the necessary reduction Mobile customers are actively engaged agreements with European and Prince Rupert North Pinnacle North Premium Pellet BioEnergy Pinnacle Winnipeg Moncton Atikokan Thunder Bay Saint John Duluth Montreal Brockville Chippewa FallsToronto Arcadia Working as ONE TEAM ChicagoDetroit for cleaner energy Joliet North American wood pellet Decatur production is expected to continue to grow throughout 2020 and 2021, and CN remains well-positioned to collaborate with customers in their expansion plans. In 2019, European and Asian demand remains strong, but the MemphisJapanese market is driving the growth. Renewable energy targets implemented require a shift away from coal and nuclear with wood Jacksonpellets posing as a key commodity in carbon dioxide emissions. CN New Orleansin securing long-term offtake Asian power producers. CN 2019 INVESTOR FACT BOOK47 Canfor Energy Canfor Energy Pinnacle Pacific Prince George Pinnacle Pinnacle VancouverPinnacle Pinnacle WOOD PELLET PRODUCERS

home sales have been steadily increasing CN’s lumber and panel shipments quality as it is generally lighter, drier, easier housing starts increased 4.3% in 2018, are destined to various markets in North on Canadian lumber contributed to higher is the U.S., accounting for 78% of the increases for new single-family homes. Nevertheless, U.S. housing starts in 2019 78% increase even amid supply curtailments. lumber arose as a result of the downturn favorably positions us to benefit from any |in 2008. Lumber shipments to Asia, AND PANELS ARE DESTINED FOR 2Markets Overview Markets OperationsFinancials Forest Products Lumber and Panels in Review WORKING WITH CUSTOMERS TO DEVELOP MARKET OPTIONS Our transport of lumber and panelsWith new innovations developed byresidential construction, repair and reflects our strong origin and destinationCanadian producers, such as engineeredremodeling activity, and industrial activity. franchise. We have direct access into wood siding, and new markets cultivated,Nearly 14% of CN’s overall revenues are some of the largest wood producing including India, CN is working right tied to the housing market, including regions in the world. We also directlyalongside producers to offer supplylumber and panels, other materials needed serve the U.S. housing market in the chain solutions that protect and grow to build and equip a new house, such Midwest and South as well as two market share.as furniture and roofing shingles, and deep-water ports on Canada’s Westmaterials for renovating an existing home. Coast for the Asian market.The U.S. housing market puzzle Canadian lumber is coveted for its high With renewed buyer confidence, new Lumber and panels growth to cut and nail,and is more durable. Tariffs in the U.S. since 2012. Year-over-year,originate mainly in Western Canada and costs for wood, which are fueling pricereaching 1.25 million units.America and offshore. Primary destination are trending flat versus 2018 even with business unit’s carloads in 2018. lower rates and inventory, job creation andOpportunities for Canadian producers rising wages. Lumber prices struggle to to diversify the market for Canadian OF 2018 CARLOADS OF LUMBER However, CN’s franchise in North Americain U.S. demand from the recession back THE U.S.upside in the diverse markets we deliver to: particularly to China, continue to be 48TOGETHER INTO OUR NEXT CENTURY PICTURED: Lumbar cars travelling east along the Athabasca River, Jasper, AB.

producers are likely to continue to producers of lumber and panels, and maintain a presence in Asia. service to enhance our competitive Engineered wood siding factors, such as the application of growth in the transport of engineered imports. These tariffs are considered to alternative to natural wood, aluminum Canadian and U.S. sources. However, of wood fiber coated with resin and softwood lumber and siding to the U.S. strength, is used primarily in the driven by single-family housing. The remodeling trend in the U.S., an increasing indicator of lumber demand as they CN works closely with customers and than multi-family units. Access to more support this area of growth. an important opportunity for CN’sOutlook Western Canadian customers. TheseCN has extensive access to Canadian capitalize on overseas opportunities andwe continue to improve our end-to-end position with our diverse customer base. CN continues to experience double-digit CN continuously monitors geopolitical wood siding, an eco-friendly and durableU.S. tariffs on Canadian softwood lumber and vinyl siding. This product, madehave leveled the playing field between compressed to create a board of superiorCanada remains the primary supplier of residential and remodeling market.The U.S. housing market is still expected To take advantage of the growing to grow steadily over the next few years, number of mills are opening or restarting.number of single-family units is a key develops relationships with new ones to require up to seven more lumber per unit affordable fiber in Alberta, Saskatchewan, CN’s competitive advantage includes our Ontario, Quebec and Eastern Canada is extensive reach into the fiber-producing another variable that will play a key part regions, our large fleet of centerbeamsin softwood lumber exports and for CN. required to ship long-length engineeredWe continue to work with customers wood siding, and our reliable transitto develop market options for their times for prompt delivery of orders.production, including the U.S.-based mills. CN 2019 INVESTOR FACT BOOK49 A Century of Stories CN has a long history in northern British Columbia. Here, lumber is loaded into a CN boxcar at Giscombe, near Prince George, in 1947. Investing in industry-leading high capacity centerbeams Ten years ago, CN started its research for optional draft energy management systems with regards to railcars, which culminated in a CN patent for a new arrangement that is currently being employed in a new centerbeam build. The new-builds are 73-foot riserless centerbeams with a maximum load capacity of 286,000 lbs, allowing the car to manage typical yard impacts with 6.5 inches of stroke and unlike a traditional cushioned car, providing up to 3 inches of draft protection while running on a train. The new centerbeams are also equipped with the latest safety appliance standards, enhancing both comfort and safety of our crews.

service, counterbalancing reduced is made up of containerboard used Since 2007, worldwide tissue exceptions to the decline. Demand for paper grades and woodpulp rate of over 5% as tissue is not easily E-commerce driving the increase producer in the world, surpassed only by both packaging and tissue has increased The containerboard market is being in the production of paper, paperboard, consumption habits and scarce domestic trend of consumers purchasing large markets such as China and, to a lesser Due to the availability of alternate and stronger boxes for shipping. 2Markets Overview Markets OperationsFinancials Forest Products Pulp and Paper in Review PARTNERING WITH CUSTOMERS TO GROW CN’s product offering continues to most paper grades continues to shrink,to prevent damage in transit. As evolve and diversify, including our forward marking the 19th consecutive year of e-commerce continues to become inventory and warehousing, car reloaddecline. Nevertheless, CN remains focuseddominant in the overall retail market, and high-velocity programs, and our on growing market share with its currentthe demand for packaging is anticipated intermodal options. Our market sharecustomer base to help them remainto rise as consumers’ behavior is shaped over the trucking industry benefited from competitive in their markets.by the ready availability of goods online, our equipment availability and superiorTissue products and pulpboard, which from food items to furniture. newsprint demand.to package consumer goods, are the Tissue remains a growth story consumption has risen at an annual Canada remains the second-largest pulp in demand for packagingsubstituted. The global demand for Brazil. Woodpulp is predominantly useddriven in part by the increasingsteadily with economic growth, evolving tissue and other personal care products.items online, which require biggerwood fiber supply, notably in overseas media sources, such as the Internet andContainerboard is also used insideextent, India. social media, North American demand for packages as protective material 50TOGETHER INTO OUR NEXT CENTURY PICTURED: CN train transporting wood chips in gondola cars north of Quebec City to market.

eucalyptus, in Brazil, where significant continue to expand capacity, is expected next five years, marking CN’s future pulp producers are located in Western Port of Mobile. higher demand for greenfield wood Despite the overall downward trend for paper products, particularly for the New leap of growth part of its network. CN shipped about 2.2 million tons in for pulpboard and tissue is expected Wood pellets are made from compacted production to remain stable. opening of a new production facility, process and can be used as fuel for 5% in 2018. There are more projects European market remains strong, the or residential heating, opening future demand overseas continues to grow growth with new projects coming online of the global wood pellet production +10% collaborate with customers in their well-positioned to collaborate with in 2019 and 2020. VOLUME SINCE 2014 Production of hardwood pulp, mainlyWood pellets have a very high combustion investments in new mills and infrastructureefficiency making wood pellet heat as one to drive the bulk of the growth over the of the cleanest-burning, most renewable opportunities. The majority of CN-servedenergy sources available. Canada, but CN also plays a significant role by moving eucalyptus pulp from Brazil to consumers in North America via the Nevertheless, CN is experiencing aOutlook pellet development in the southern in wood pellet demand printing and newsprint grades, demand residue from the lumber production 2018, or 22,300 carloads. With the to increase and Canadian woodpulp power generation and for commercialCN wood pellet shipments increased byWhile the wood pellet demand from the opportunities for CN. A significant portion being developed in Canada as the Japanese market is driving the majority of comes from Canada with a concentrationand the price remains advantageous.following the 2011 Fukushima nuclear of production in British Columbia.The steady growth in wood pelletdisaster. Renewable energy targets demand is expected through 2020, implemented a shift away from coal with with the pace of demand that startedwood pellets as a key commodity to to pick up in 2018 and new projectsachieve reduction in carbon dioxide coming online in Japan. CN remainsemissions. CN remains well-positioned to customers in their expansion plans.expansion plans for the expected growth CAGR IN CN’S WOOD PELLETin North American wood pellet production 21,700 21,218 90 carloads of wood pellets to Prince Rupert in November. CN 2019 INVESTOR FACT BOOK51 Pinnacle Renewable Energy opened its 7th wood pellet plant on CN lines in Entwistle, AB, on September 25, 2018, running its first full unit train carrying Continued rise in export demand for wood pellets CN WOOD PELLET VOLUME (carloads) 22,372 2014 2015 2016 2017 2018 17,075 15,401

Reaching new markets with supply and coal prices, the market for producers of low-cost Illinois Basin Coal 2Markets Overview Markets OperationsFinancials Coal FACILITATING A SUSTAINABLE COAL SUPPLY CHAIN Fluctuating worldwide supply and demand factors influence metallurgical and thermal coal prices, prompting North American coal mines to adjust their production levels accordingly. With producers focused on keeping costs low, CN facilitates a sustainable and reliable ALLEN FOSTERcoal supply chain. CN leads a collaborative team-based approach, Vice-President, Bulkwhere every stakeholder from the mine to the port is linked. With direct access to 13 mines andsulfur content will keep Canadian coal in While Canadian petroleum coke is mainly seven petroleum coke-producing facilitiesdemand. CN is helping customers win in exported to Asian markets through the in Canada and the U.S., as well as fivethis new environment with a sophisticatedWest Coast, U.S. petroleum coke is also high-capacity export terminals, CNworld-class supply chain that supportsfor export markets. connects North American coal producersgrowth for their products. Our collaborative to markets around the world. service allows our customers to competeIllinois Basin Coal serving more effectively with U.S., Australian andtwo distinct markets Canadian coal in the global market Indonesian producers.Complementing the low-sulfur coal Due to tumultuous swings in both supplied from the Powder River Basin, metallurgical and thermal coal is going petroleum cokehave the option of shipping directly to through another evolution. In an ever-Petroleum coke is a by-product of the domestic utility plants that use sulfur evolving global marketplace, coal qualityoil refining process. Increase in demandscrubber technology. Alternatively, CN is becoming an important factor for for the high-energy and cost-efficient fuel provides the only direct access unit end users. Fewer impurities and lower from the cement, smelting and power train service from Illinois Basin mines to generation industries are major factors export terminals on the U.S. Gulf Coast driving the global petroleum coke market. at Convent, LA and Mobile, AL, which As such, North American production iscontinue to build on our export footprint rising and CN is ready to serve the to Europe and Asia. For more information on CN’ssupply chain. coal operations, please visit www.cn.ca /coal 52TOGETHER INTO OUR NEXT CENTURY A Century of Stories In 1930, a CN train loaded with coal leaves the Newcastle mine, about 100 km northeast of Calgary, AB, destined for Manitoba.

P p 16% U.S. Coal – Domestic p • Weather • Environmental regulations • Global supply/demand conditions CN 2019 INVESTOR FACT BOOK53 Business unit overview and market drivers p 30% Canadian Coal – Export 21% etroleum Coke KEY FACTSCOMMODITIESMARKET DRIVERS • Canadian coal consists of both • Thermal grades of bituminous coal• Price of natural gas thermal and metallurgical coaland metallurgical coal • U.S. coal is 100% thermal coal• Petroleum coke • CN moves an average of 45 millions tonnes of coal every year • Overall, coal represents 4% of CN revenues Metrics 612 303 REVENUESCARLOADSRTMs AVERAGE LENGTH ($ millions)(thousands)(millions)OF HAUL (miles) 74051921,147464 435 14,539 2014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 2018 2018 vs. 2014 CAGR -2.8% -9.6% - 4.0% +7.0% 354 317 292 17,927 15,956 11,032 438 333346 661 535 434 2018 COMMODIT Y BREAKDOWN (% of revenues) p 33% U.S. Coal – Export$661M 2018 REVENUES

George through the flexibility of multiple terminals, Vancouver the Asian and European markets. CN’S COAL SUPPLY CHAIN 1 Transload terminals export terminals on the West Coast of Canada and the Gulf of Mexico U.S. coal CN’s unparalleled access to coal export terminals offer our Asian markets MAIN CN-SERVED COAL EXPORT TERMINALS supply chain partners to manage inventories at mines and terminals, Convent Terminal – Convent, LA Neptune Thunder Bay Terminal – Thunder Bay, ON 14.0 2) 11.0 1) 2Markets Overview Markets OperationsFinancials Coal Supply Chain at a Glance CONNECTING GLOBAL MARKETSPrince Rupert CN is the only railway in North America with direct access to coal export terminals Prince on the West Coast and the Gulf of Mexico.Edmonton CN is able to extend the advantages of our extensive network to our customers Saskatoon enabling coal producers to better serve Calgary Key advantages CN is the only railroad in North America with direct access to coalCanadian coal 1 Mines Pet coke s Export terminals customers flexibility and a fluid gateway to European and Ports served by CN CN’s dedicated Bulk Operations service group works with all including coordinating to meet vessel schedulesTERMINAL CAPACITY 2018 Westshore Terminal – Vancouver, BC 33.0 1) Ridley Terminal – Prince Rupert, BC 16.0 1) Alabama State Docks – Mobile, AL 14.0 2) 2days to Asia Terminal – Vancouver, BC12.5 1) Supply chain advantage to the Asian market through our exclusiveFour Rivers Terminal – Chiles, KY 10.0 2) access to Ridley Terminal at the Port of Prince Rupert1) Million metric tonnes 2) Million short tons 7export terminals CN’s high capacity export terminals create direct access for 13 mines and seven petroleum coke-producing facilities 54TOGETHER INTO OUR NEXT CENTURY

Halifax ready to serve Dubuque Conneaut Chicago Pittsburgh Springfield in the coal market to better coal and was the first to bring Chiles Calvert City had purchased three coal mines in Memphis in 2016, and opened the Brule Convent quality product to the market with PrinceBrule Tumbler Ridge George Grande Hinton Valley Cardinal Winnipeg Moncton Thunder BayQuebec Montreal Saint John Toronto EastDetroit Canadian coal mines Joliet global demand CN’s customers monitor fluctuations East St. Louisanticipate future demand. Conuma Grand RiversCoal saw the potential for Canadian Mound City Metropolisback idled production. Conuma the northeastern British Columbia mine in 2016, the Wolverine mine in 2017 and the Willow Creek mine in 2018, offering a suite of sought after coal products to discerning Mobile steel producers. CST Coal followed suit by purchasing the Grand Cache Coal New Orleansasset and focusing on bringing the reopening of the mine at the end of 2018. CN 2019 INVESTOR FACT BOOK55 Chetwynd Willow Creek RupertWolverine Trend PrinceGrande Prairie Cache Vista Coal Edmonton River VancouverCalgary WESTERN CANADIAN COAL MINES Conuma Coal (Willow Creek, Brule, Wolverine) Anglo American (Trend) CST Coal (Grande Cache) Coalspur (Vista) Teck (Cardinal River) Westmoreland (Coal Valley)

growth from our customers. As part of projects to extend the life of the mine. in excess of 200 railcars due to the Outlook Vancouver and Ridley corridors to handle of new Alternating Current (AC) traction Canadian coal on the move modernization is driving the demand for for maximum flexibility between different Growing terminal capacity export opportunities. coal with lower sulfur content is being 2Markets Overview Markets OperationsFinancials Coal Canadian Coal in Review EFFICIENCY IN THE CORE OF OUR WORLDWIDE SUPPLY CHAIN Efficiency through terminals are currently undergoing or withstood the fluctuations of the market long-train operations foreseeing plans to increase their terminaland has been in continuous production CN has the capability of running trainscapacity, which in turn will supportfor over 40 years, with planned capital construction of longer rail siding and useour capital projects, CN invested on the locomotives and Distributed Power. CN’sthe increase traffic of coal trains.CN is experiencing a resurgence in train sets are modular in size, allowing Canadian coal. Continuing global mines. CN’s conventional train size isThe export Canadian coal market issteel and power. There is a balanced 108 to 116 cars long, yet can be easilyrejuvenated. High quality metallurgicaldemand for metallurgical and thermal combined to run trains up to 218 railcarsand thermal coal make Canadian supplycoal, and both are expected to grow long. There is a reduction in number of desirable on the seaborne market. Insteadily in the near future. Canadian coal loading days as a result of longer trains,Western Canada, metallurgical mineswill have its position in the market place thereby increasing the efficiency of have restarted and a new thermal mineas a source for high quality, lower sulfur terminals and overall throughput. is about to open.production and CN’s franchise is well-For Canadian coal, high calorific valuepositioned to take advantage of these CN serves all three Canadian coal exportadopted over lower quality coals in terminals on the West Coast. NeptuneAsia. Westmoreland’s Coal Valley has and Westshore in Vancouver, and Ridley 56TOGETHER INTO OUR NEXT CENTURY Through CN’s access to Ridley Terminals at the Port of Prince Rupert, customers can access global markets. CN is well-positioned to take advantage of Canadian coal export opportunities CN-SERVED COAL MINES IN CANADA Estimated Capacity Company MineType(million tonnes) Status CoalspurVista Thermal WestmorelandCoal Valley Thermal ConumaBruleMetallurgical CST CanadaGrande Cache Coal Metallurgical TeckCardinal RiverMetallurgical ConumaWolverineMetallurgical Anglo AmericanTrend Metallurgical ConumaWillow CreekMetallurgical 7.0 4.0 2.5 2.0 2.0 1.7 1.5 1.5 Opening Operating Operating Operating Operating Operating Idle Operating

terminals, equipped with loop tracks to domestic thermal coal annually, with the domestic and export coal are stable. into vessels, have the ability to receive up our domestic tonnage. CN acts as the restructured and are holding production 2018, CN moved 10.4 million tons of power plants in the U.S. Midwest and supply and a promotion of pricing Terminal and Port of Mobile to utility producers favoured the higher priced rule was passed in 2018 by the U.S. Petroleum coke opportunities Illinois Basin coal. dioxide emissions, thereby setting the is well-positioned to assist refineries in been challenged; with 30-year lows U.S. export pricing has improved since export markets, and continues to gain global oversupply of coal and further carloads of petroleum coke by marketing U.S. Coal in Review SERVING BOTH DOMESTIC AND EXPORT MARKETS Domestic demand coal by rail (Convent, LA and Mobile, AL).Outlook CN handles over 13 million tons of Based on throughput capacity, theseU.S. market conditions for both Powder River Basin representing 100% of unload unit trains for stockpile or directlySeveral domestic producers have delivering carrier handling coal-servedto 20 million tons of coal annually. Inin check, resulting in a reduction of Southeast. Due to economic factors,export coal to both Convent Marinediscipline. The Affordable Clean Energy export market in 2018, which resultedcustomers in Europe and Asia.Environmental Protection Agency, in tougher competition to moveallowing each state to regulate carbon Production of petroleum coke is on the stage for a more stable long-term Export demand rise as a result of continued increased usemarket for coal. Similarly, the U.S. export market hasof heavy crude slates by refineries. CNFor the export market to Europe, in commodity pricing stemming from amoving petroleum coke to domestic andhistoric lows in 2016. exacerbated by the strong U.S. dollar.market share. Since 2015, CN has tripled CN’s all-rail supply chain directly serves the water-served terminals with the ability only Gulf Coast terminals that can receiveto receive petroleum coke by rail. serves the expanding export market from Illinois Coal Basin. CN 2019 INVESTOR FACT BOOK57 Foresight’s Sugar Camp mine, with its capacity of 13.5 million tons, Increase export coal in the U.S. Gulf Coast CN U.S. EXPORT TONS TO GULF COAST (tons in millions) 10.4 2014 2015 2016 2017 2018 8.58.3 7.1 4.7

of adverse growing conditions in recent commercial fleet integration programs requirements of our Canadian and U.S. conditions, demonstrating the power of products, such as car auctions. affect Canadian, U.S. and global markets, Evolution in approach and genetics. At the same time, CN which we operate. To respond to enhancing projects in Western Canada Growth in CN’s car spotting program of farmers, retailers and traders, we take customers’ needs. exceeded the proportional growth in technology and competitive edge. As Emphasis on priority car past decade, reflecting a more efficient in the U.S. Corn Belt remaining viable, With the desire to assist our customers approach to car supply and planning to do so. Changes in the regulatory every factor that may affect our grain toward a model where over 90% of car to the investment climate for CN and we as our fleet or external factors such a variety of CN commercial products. acquiring new generation high capacity 2Markets Overview Markets OperationsFinancials Grain and Fertilizers EVOLUTION AND INNOVATION IN THE GRAIN SUPPLY CHAIN Innovation in crop production and handling starts can be found at every point in the grain supply chain. CN has a central role to play in delivering crops to end-users across North America and DAVID PRZEDNOWEKaround the world, with our approach to business evolving with Director, Sales & Marketingthe changing Prairie grain handling landscape. Western Canadian grain production We offer a variety of products to Helping our customers win has held up remarkably well in the face meet different needs, from export and CN is aware of the distinct needs and years, particularly drought and dry to year-round support, to single-use grain partners, economic factors that improved crop management technologies and the regulatory environments in has been investing strongly in capacity-to grain fleet changing market trends and the needs to meet increasing crop size and our during the post-harvest peak hascareful consideration of our capacity, Western Canadian crop production in the an example, with the demand for potash supply agreements and productive end-to-end supply chain.we successfully developed supply chain Considering that grain sales contracts areConcurrently, our approach to carsolutions to support our customers to entered into well in advance of shipment,management and planning has evolved,gain market share through our routing security of priority car supply to meetwith steady growth in the use of shipper-advantage around Chicago using the demand is critical to grain shippers of controlled private cars to move grainformer EJ&E lines. every size. Over the last few years, CN’sin lanes where it is operationally efficient has changed significantly, movingframework have brought greater certaintyto achieve their goals, we examine supply is secured by shippers by usingare modernizing our hopper car fleet, operations, be it internal factors such hopper cars with greater carrying capacity.as extreme weather conditions. For more information please visit www.cn.ca /grain and www.cn.ca /fertilizer 58TOGETHER INTO OUR NEXT CENTURY

U.S. Grain – Domestic 5% U.S. Grain – Exports p p 831 865 CN 2019 INVESTOR FACT BOOK59 Business unit overview and market drivers p 14% Canadian Grain – Commercial 19% p 9% Fertilizers – Other KEY FACTSCOMMODITIESMARKET DRIVERS • Regulated Canadian grain GRAIN GRAIN accounts for roughly over 7% of • Wheat, oats, barley, peas, corn,• Weather conditions, seeded and CN’s total revenueethanol, dried distillers grain, canolaharvested acreage, mix of grain • CN’s U.S. grain franchise isseed and canola products, soybeanscrops and crop yield, size and quality concentrated in Illinois, Iowa, and soybean productsof individual crops, international Michigan and WisconsinFERTILIZER market conditions • CN competes directly with barges• Potash, ammonia nitrate, urea,FERTILIZER on the Mississippi River in the U.S.phosphate fertilizers • Input prices, demand, government policies, international competitive issues Metrics 2,214607 602 619 63256,123 REVENUESCARLOADSRTMs AVERAGE LENGTH ($ millions)(thousands)(millions)OF HAUL (miles) 2,35764057,819905 905 1,986 2,071 2,098808 2014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 2018 2018 vs. 2014 CAGR +4.4% -0.3% +3.0% +2.9% 51,326 50,001 51,485 2018 COMMODIT Y BREAKDOWN (% of revenues) p 40% Canadian Grain – Regulated$2,357M p 13% Fertilizers – Potash2018 REVENUES

U.S. Gulf Region to domestic flows from ethanol Regina 1 Intermodal terminals 1 Completed new grain elevators Canadian grain Fertilizers – potash competitive advantage for customers to meet growing demand in new grain hopper cars 2Markets Overview Markets OperationsFinancials Grain and Fertilizers Supply Chain at a Glance HELPING OUR CUSTOMERS FEED THE WORLD Prince Rupert CN believes in a collaborative approach to grain transportation, from shipping export Prince George grain, potash and processed products from the Edmonton Prairies to ports in Prince Rupert, Vancouver, Thunder Bay, the St. Lawrence Seaway, and the VancouverSaskatoon plants, corn processing facilities and canola/ Calgary soybean crush plants. Key advantagesCN’S GRAIN AND FERTILIZER SUPPLY CHAIN With our reach to ports on three coasts, CN facilitates aU.S. grain1 Announced new grain elevators key markets in Asia and Latin AmericaFertilizers – other s Waterfront export facilities CN has access to the terminal in Duluth, MN and delivery of Ports served by CN grain and processed grain products to barge loading facilities along the Mississippi and Illinois Rivers Stuffing facilities in the Prairies and other locations that load grain products into containers ready for export shipment are available to CN 1,000 CN is investing in new cars that are shorter and can carry a higher payload 20 new grain elevators Grain elevators are built on CN lines, 19 of which are exclusive to CN 60TOGETHER INTO OUR NEXT CENTURY

Capacity-enhancing Joliet Vancouver and Fraser Grain Jackson support the growth of Canada’s GrainsConnect P&HILTA G3, Fibreco G3G3 Winnipeg Moncton Thunder Bay QuebecHalifax Saint John Duluth Montreal Chippewa Falls Minneapolis/St. PaulToronto Arcadia ChicagoDetroit projects in Western Canada Decatur Nameplate grain handling capacity on the Canadian West Coast is increasing dramatically to meet the continued growth of demand in the Pacific Basin. State of the art export terminals, such as G3 Canada Limited’s Memphisfacility on the North Shore of Terminal on the Fraser River, are directly served by CN and are the first new grain export terminals to be built on the West Coast since the 1960s. Mobile These assets will improve overall New Orleansefficiency at destination and grain export program. CN 2019 INVESTOR FACT BOOK61 Ray-Mont Logistics Viterra G3 GrainsConnect, Viterra G3 P&H Viterra Fraser Grain Terminal, Viterra G3P&H G3 Viterra NEW GRAIN ELEVATORS BUILT ON CN LINES

elevators, many with loop track designs, in Western Canada has advanced rapidly evolving and increasing in size and scale receiving and loading operations. grain handling and trading margins. exported in containers resulting from the increased movement of processed grain network in part to support growth in at CN’s Prince Rupert corridor is networks are being modernized by origin is evolving as CN implements a Ray-Mont Logistics’ transload facility in new entrants to the market, such as improve overall velocity, especially along receiving unit train-sized shipments of and Edmonton. Our initiatives include container stuffing, and has fundamentally +40% remote-controlled switch technology chain. Other container stuffing facilities advance of crew arrival. facilitate more efficient rail operations INCREASE IN CROP SIZE 2Markets Overview Markets OperationsFinancials Grain and Fertilizers Grain in Review SUSTAINING THE GROWTH OF A RAPIDLY EXPANDING GRAIN INDUSTRY Investment at origin their grain handling footprint to supportEvolution and growth of and destination their global customer network. Thesecontainerized grain supply chain The expansion of grain handling network new generation high-throughput The containerized grain supply chain is in recent years, fueled mainly by strongpresent opportunities for faster graindue to the diversity of commodities being Growth in canola crushing and other CN has placed great emphasis on ever-changing demands of consumers. new processing capacity is fueling the investments in our Western CanadianIncreased grain handling infrastructure products on CN’s network. Elevatorgrain handling volumes. Technology at facilitating overall grain handling capacity. well-established grain companies, with more efficient hook and haul model to the Port of Prince Rupert is capable of GrainsConnect Canada, building out our busy corridor between Winnipeggrain and processed grain products for improved track configuration, efficient changed the canola meal pellet supply and ensuring trains can be aired-up in continue to invest in infrastructure to SINCE 2005and move more product to destination. 62TOGETHER INTO OUR NEXT CENTURY PICTURED: GrainsConnect Canada has built four new generation high throughput elevators on the CN network in Western Canada complete with loop tracks.

intermodal containers, representing continues to evolve, consistently in Western Canada. Working closely this program from our Saskatoon hub containerized grain. In 2019, our supply shortlines to expand our reach to feed program in Saskatchewan. crop enhancements are promoting CN is evolving along with North America. CN’s strategy to move CN monitors geopolitical factors is free to set freight rates for western including our car auction and fleet production and trade flows of biofuels Transportation Agency (CTA) determines strong and reliable operational influenced by government policy. statutory formula that takes into account to meet export sales. We are bringing commodities such as corn. movements in that crop year, and a CTA-products for container stuffing. CN’s source loading program for With the boost in corn consumption incremental capacity to move grain,since the mid-2000s, our U.S. grain exceeding 1 million tonnes annuallyfranchise shifted to a balance between with our steamship line partners,exports and year-round corn and has experienced higher volume of soybean demand. chain partner will open its InterMobil terminal in Regina, increasing the 25 to 50-car loaders for operationalOutlook capacity of CN’s overall source loadingefficiency. We also work closely with Improved agronomic practices and export demand.ongoing crop yield improvement in the U.S. grain market Regulatory environment to a commercial framework with Expansion in the grain barge fleet, A segment of Canadian grain is subjectmost of our grain customers and our along with increased availability of truck to regulation under Canadian legislation,commitment to working with all and rail grain-receiving capability alongbut grain exported to the U.S. aresupply chain members provide a very the Mississippi River, has altered tradeexcluded. Railroads are subject to aconstructive backdrop for grain flows and influenced transportationmaximum revenue entitlement for shipments into the future. supply and demand economics.regulated grain shipments. Each railroad CN’s commercial freight solutions,grain shipments, but the Canadianthat can affect grain demand. The integration programs, combined with total revenue, which is based on alike ethanol continue to be strongly performance, give customers certaintyvolume and length of haul of grainSteady growth is expected for other other freight products to market that fit determined railway input price index. Ray-Mont Logistics’ transload facility in Prince Rupert is capable of receiving unit train-sized shipments of grain and grain Photo from Ray Mont Logistics CN 2019 INVESTOR FACT BOOK63 Canadian crop production TOTAL CANADIAN GRAIN PRODUCTION FOR THE 2000 –2018 CROP YEARS* (million metric tonnes) 77 72 72 71 5657 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 * Total production of six majors plus peas and lentils Source: Statistics Canada, March 2019 60 63 64 5351 53 50 50 53 46 48 41 31

volumes of potash are currently sold were shipped through terminals in Potential new producers in Canada continue with their 201620172018E 2019F 2020F 2021F CAGR China 14.33 15.64 14.93 14.90 15.60 15.70 1.8% 2Markets Overview Markets OperationsFinancials Grain and Fertilizers Fertilizers in Review COMMITMENT TO OUR FERTILIZER CUSTOMERS CN is growing with Canpotex The majority of Canadian export production. land mean that crop yield improvements of Canpotex’s supply chain and, as their underscoring CN has been able to increase our market Until recently, all of Canpotex’s exports ancouver, BC (170-car unit trains), and Portland, OR (130-car unit trains). SASKATCHEWAN POTASH PRODUCTION CONTINUES TO GROW As an important plant nutrient, potash is a key player to improve crop quality and increase food production. development plans, keeping in mind of the long-term global demand and pricing of potash. GLOBAL POTASH DEMAND (M tonnes) 2021F vs 2016 India 3.75 4.56 4.60 4.65 4.70 4.74 4.8% Brazil 9.21 10.17 10.90 11.00 11.25 11.38 4.3% SE Asia 6.26 6.98 7.50 7.13 7.28 7.44 3.5% Source: Argus Media, February 2019 64TOGETHER INTO OUR NEXT CENTURY Saskatoon CoryPatience Lake VanscoyColonsay Allan Lanigan Regina Esterhazy Belle Plaine Rocanville SASKATCHEWAN POTASH MINES 1 Existing Potash Mines 1 Existing Potash Mines with Expansion Plans 1 Potential New Mines PICTURED: A fully loaded potash train moves westbound on CN’s line. Photo by CN Employee Tim Stevens Positive long-term fundamentals for potash Canada is the largest global producer of potash and Saskatchewan is the center for Western Canadian CN serves or has access to most of the major potash mines in Saskatchewan. The majority of Canadian potash moves by rail to markets in the U.S. or to ports for export through Canpotex to overseas markets. Potash demand continues to grow worldwide and Canada has a strong competitive position in global markets. Growing population and limited arable will play a critical role in meeting the increasing demand for food, solid demand for fertilizers. CN is well-positioned to benefit from an increase in demand through our broad North American franchise and connections to key ports to reach growth areas such as China, Brazil, India and Southeast Asia. th sh sh V rough Canpotex. CN is an integral part are of the global potash market grows, are with them.

the length of some rail sidings from production, fertilizer application is Global demand for potash is expected to farmers expect. CN serves several working with Canpotex and potential new U.S., and ships various forms of nitrogen, market share as global food production core agricultural and industrial markets. viable, it is considered a mature market. Outlook reduce production costs, Canada has As these terminals run into capacity constraints and to provide Canpotex with additional flexibility, a third export option became critical to Canpotex’s growth plans. In 2016, export capacity opened up at the potash terminal at the Port of Saint John, NB. CN worked with Canpotex to develop the potential of Saint John as a third export terminal for Canpotex, providing them with a competitive advantage into Brazil, one of the fastest growing fertilizer regions in the world. The fit was perfect. CN had already invested to implement long-train operations in Eastern Canada by doubling 6,000 to 12,000 feet, acquiring new Alternating Current traction locomotives and expanding the use of Distributed Power. By taking advantage of available capacity in Eastern Canada and coordinating with the Port of Saint John,Replacement capacity for phosphate CN now runs a new standard of to serve the Western Canadian market 205-car unit trains at 23,000 tonnesis expected to come from production from Saskatchewan to the East Coast.from the U.S. and overseas, such as Morocco and Russia. CN has opportunities Fertilizer demand grows to capitalize from the development of With limited arable acreage andfertilizer distribution facilities on increasing pressure on agriculturalour network. critical to achieve the quality and yieldscontinue to grow and CN will continue fertilizer producers in Canada and the producers in Canada to help them capture phosphate and potash fertilizers to increases. While the U.S. market remains However, as Saskatchewan producers Nutrien, which resulted from the Agrium an opportunity to capture market share and PotashCorp of Saskatchewan mergerfrom imports entering the U.S. from in 2018, made a decision to convertRussia, Belarus, Israel and others. CN its phosphate facility in Redwater, AB,is well-positioned to assist our customers to produce more ammonium sulfate.increase their penetration of the Nutrien already operates a large nitrogen U.S. market. plant at the Redwater site, and this move is expected to increase the site’s ammonium sulfate capacity to 700,000 tonnes per year. CN 2019 INVESTOR FACT BOOK65 A Century of Stories Aerial view of CN trains being loaded at an International Minerals and Chemical Corporation potash mine in Esterhazy, SK, in 1969. The potash terminal located at Port Saint John, NB provides Canpotex with an east coast port option for better access to Central and South America, Africa and Europe.

CN to deliver additional value by providing trucking division (CNTL), a centralized we aim to render the highest level of containers and 9,500 chassis (excluding services to our customers. Service level Two distinct markets CN intermodal is comprised of these an abundant supply of 40-foot containers and all port authorities and terminal are moved off the ports in a timely container traffic on behalf of ocean are fundamental to CN’s compelling service meet vessel schedules, and processing Domestic – includes retail channels operations, fast and consistent rail service in our inland terminals. With the investments in our 20 inland and the U.S. as well as transborder shipments between Canada, the U.S. important U.S. markets in the Midwest, will allow us to broaden our supply chain CN’s terminal partners at CN-served ports Chicago, and match-back programs to same objective of increasing capacity to services to our customers, from the 2Markets Overview Markets OperationsFinancials Intermodal OFFERING THE BEST OF BOTH WORLDS TO OUR CUSTOMERS Our close and collaborative partnerships with customers and supply chain partners have enabled the sustainable growth of our intermodal business. CN leverages the advantages of and ongoing investments in our network to provide continuous improvement and enable our customers to reach new markets. Collaboration is key investment in our network and services,Our business is enhanced by CN’s As ONE TEAM of intermodal experts,including the acquisition of TransX, allowssupporting infrastructure, including a cost-effective transportation and logisticsnew market opportunities for our customers. dispatch group, a fleet of over 10,300 agreements are in place between CNTransX), a logistics management team and operators we serve. Our collaborativetwo groups:from CN’s Domestic Repositioning Program. approach ensures that import productsInternational – handles import/export The benefits of CN intermodal fashion, exports are delivered on time to carriers (also known as steamship lines).Various contributing factors to our success of our trucking partners are expeditedin Canada, wholesale channels in Canadaoffering, including fluid terminal to all major Canadian markets and terminals with further expansions in 2019, and Mexico. The acquisition of TransXquick and easy access in and around undertake strategic investments with the focus and to continue to offer the bestimprove roundtrip economics. meet our customers’ needs. Ongoingfirst mile to the last mile. 66TOGETHER INTO OUR NEXT CENTURY A Century of Stories CN’s intermodal service has come a long way since the days of drive on/drive off Piggyback freight service. Photo: Toronto, ON, in 1956.

• CargoCool® has one of Canada’s• Global trade patterns • North American industrial • Only railroad provider of Mobile production • Dedicated customer service desk CN 2019 INVESTOR FACT BOOK67 Business unit overview and market drivers p 33% Domestic KEY FACTSCOMMODITIESMARKET DRIVERS • CNTL is one of Canada’s largestINTERNATIONAL • North American economy and trucking companies• Import and export containerized consumer spending traffic largest reefer fleets DOMESTIC • Consumer products for large retailers Transport Trays (MTT)• Raw materials, manufactured goods and consumer products for wholesale trucking and logistics clients Metrics 2,514 1,777 1,822 2,748 2,086 REVENUESCARLOADSRTMs AVERAGE LENGTH ($ millions)(thousands)(millions)OF HAUL (miles) 3,465 2,634 59,356 60,120 1,841 1,848 1,826 49,581 52,144 2014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 2018 2018 vs. 2014 CAGR +6.0% +6.0% +4.9% +0.7% 53,056 2,232 2,163 3,200 2,896 2,846 2018 COMMODIT Y BREAKDOWN (% of revenues) p 67% International$3,465M 2018 REVENUES

products to our customers. With our 23 intermodal Vancouver CN’S INTERMODAL SUPPLY CHAIN 1 Logistics parks from the cost and environmental savings rail delivers, which is Domestic With CNTL, CN pairs the efficiency of rail with the added flexibility 2Markets Overview Markets OperationsFinancials Intermodal Supply Chain at a Glance DELIVERING BEST-IN-CLASS SERVICEPrince Rupert The intermodal journey harnesses the global reach of vessels, the speed and efficiency of trains Prince George and the locality of trucking. CN’s intermodal franchise aims to be a true supply chain enabler Edmonton and provide efficient and innovative transportation CalgarySaskatoon terminals located near ports and large urban centers, we, along with our supply chain partners, can access markets in North America and beyond. Key advantages CN’s intermodal service allows our customers to benefit International 1 Intermodal terminals four times more fuel-efficient than trucking alone. Ports served by CN of trucking to better serve our local and regional customers. Sailing from Asia, Prince Rupert is two days faster and Vancouver is one day faster than shipping to Los Angeles or Long Beach. Europe is closer to the Port of Halifax than other U.S. East Coast ports. 10,300 containers1) Including both domestic and CargoCool containers, facilitating CN’s objective to grow 9,500 chassis1) Enabling efficient delivery to the end market MEXICO 1) As at December 31, 2018 68TOGETHER INTO OUR NEXT CENTURY

Quebec Saint John Montreal Memphis capacity in the busiest global trade Mobile expected by the end of 2020. New Orleans double tracking a four-kilometer Yard Thornton Lulu Island DocksIntermodal import/export AND YARDS SERVED BY CN Winnipeg Moncton Thunder Bay Halifax Duluth Chippewa FallsToronto Arcadia Port infrastructure Detroit project in Canada’s Joliet largest marine port Chicago Decatur Indianapolis CN understands the importance of improving rail congestion issues, overall freight traffic and container dwell times at the Port of Vancouver. CN reached an agreement with the Government of Canada and the Port Metro Vancouver to upgrade key infrastructure necessary to increase export gateway of Canada. The north shore capacity projects, Jacksonamounting to $214M, include staging track and tunnel improvements with completion The south shore capacity projects, amounting to $85M, consist of section of rail with completion expected by the second half of 2021. CN 2019 INVESTOR FACT BOOK69 North Vancouver Lynn Creek Yard Centerm Vanterm Vancouver Vancouver Yard Yard Double-trackingFraser SurreyVancouver to expandingTerminal terminals DeltaportVANCOUVER’S PORTS, TERMINALS CN CN Trackage Rights Container Terminals CN Yard

we are able to provide full transportation expansion plans in the next few years, increase our international footprint. DAN BRESOLIN plans to expand from 1.8M TEUs to 2.4M by 2020 and Centerm in Vancouver to Gateway terminal expansions CN has exclusive access to the Port of Prince Rupert, the fastest-growing port by 2022. to connect and grow the menu of some of the shortest transit times to OF PRINCE RUPERT BY 2021 and their increasing vessel sizes. We are of its proximity to Asia. DP World’s 2Markets Overview Markets OperationsFinancials Intermodal International Intermodal in Review A TRUE SUPPLY CHAIN ENABLER Through our market reach that gives850,000 twenty-foot equivalent units us direct access to 15 port operations(TEUs) to 1.35M TEUs, will further including the major ports of Vancouver,expand to handle 1.6M TEUs by 2021 Prince Rupert, Montreal, Halifax,and 1.8M TEUs by 2022. Saint John, New Orleans and Mobile, Other ports have further capacity services to global ocean carriers andincluding Deltaport in Vancouver with Assistant Vice-President, Intermodal increase from 900K TEUs to 1.5M TEUs 1.6M TEUs in North America. Prince Rupert offersCN continues to evaluate new markets ANTICIPATED ANNUAL CAPACITYkey markets like Chicago as a resultoptions for the ocean carrier community Prince Rupert Terminal, which recentlywell-positioned to handle the resulting expanded from an annual capacity of additional volumes from these expansion 70TOGETHER INTO OUR NEXT CENTURY PICTURED: CN connects Prince Rupert, North America’s first dedicated ship-to-rail container terminal, through our coast-to-coast rail network.

of demand with our capital investments locomotives and inland terminal Terminal expansions consist of increased 33% of 2018 international intermodal improving Central Canada’s access to key Growth in our international intermodal with the opening of Malport. Terminal gateways we serve. advantages linked to our rail access to three North American coasts. Future Memphis, Montreal and Vancouver. In Our role as a true supply chain enabler our steamship line partnerships not privately owned East Regina intermodal line container capacity with grain shipper import/export customers, but also opportunities to our customers. experienced by CN’s grain and specialty trade volumes. Canadian trade is expected to economics by enhancing revenues and demand, CN is planning to develop other if global economic conditions are securing exports from the Prairies and to accommodate growing traffic volumes, projects by building capacity aheadCN continues to align our capacity in double track in Western Canada,with port terminal expansions capacity projects.to meet projected increases in Inland terminal expansionsU.S.-destined volumes. ground storage, additional intermodal container handling equipment and gate automation. Toronto, which representedproviding needed inland terminal capacity,Outlook volumes, added 30% more capacitytransborder markets as well as the coastalfranchise is supported by our competitive expansions are also in progress in the key growth markets of Detroit, Chicago,Intermodal export growth expansions of CN-served ports and 2019, CN will have exclusive access to the paired with our ability to align steamshiponly provide new opportunities for our terminal to provide other export marketdemand resulted in significant growth position us to benefit from additional To accommodate greater anticipatedcrop franchise. To improve round-trip inland terminals throughout the network cost control, our ocean carrier partnersremain stable, with potential upside in particular a new logistics hub in grain shippers are using otherwise emptystrengthen materially. Milton, ON. The facility would benefit our containers to grow their export supply customers and the regional economy bychain and create surge capacity during periods of peak demand. CN 2019 INVESTOR FACT BOOK71 Photo from Vancouver Fraser Port Authority Seizing opportunities to increase exports from Vancouver to Asia Western Canadian ports play an important role in connecting Canada to Asia. SM Line, a South Korean container carrier which operates a fleet of 21 container vessels, launched its Pacific Northwest service in 2018. SM Line chose CN as its Canadian rail partner and landed its first vessel, which has capacity up to 6,000 TEUs, at Fraser Surrey Docks in Vancouver in May 2018. Since beginning its Western Canada operations, volume levels have increased with approximately 80% of their imports destined to Canada and the balance is U.S.-destined freight.

Director of Marketing, Domestic portfolio businesses. In 2018, CN became a full container program with Union Pacific 2Markets Overview Markets OperationsFinancials Intermodal Domestic Intermodal in Review INNOVATING TO CREATE FLEXIBILITY AND SUSTAINABILITY cargo line 40-foot containers in domestic GARY CROWTHER community for specialized services to network drives our areas of focus, which NEXT GENERATION CARGOCOOL® DOMESTIC CONTAINERS ADDED 10,300 UNITS 72TOGETHER INTO OUR NEXT CENTURY PICTURED: Leveraging our total intermodal portfolio to provide solutions for our Domestic customers, including our DRP program. 100 units CONTAINERS AND 992 NEW IN 2018, RESULTING IN OUR INTERMODAL FLEET OF CN’s domestic intermodal network is a unique combination of rail service, trucking, warehousing and distribution. As we support both retail beneficial owners directly as well as the wholesale community, our domestic intermodal business is evenly balanced between these two markets. We direct our supply chain perspective on collaboration with our customers and key partners. Enhancing the value that CN provides to our customer and their supply chains continues to be our focus. Accommodating growth CN’s domestic intermodal franchise is comprised of a highly diversified of products and markets for customers across North America. We continue to expand our franchise, focusing on the development of new markets, products and services. Over the years, we have become the largest user of steamship repositioning programs, diversified our network through improvements to our Mexico service, and continue to develop the automotive market. Our collaboration with the wholesale reach U.S. market beyond the CN rail includes the expansion of our CargoCool® program and ongoing innovations in our key retail, manufacturing, less-than-truckload and full-load wholesale partner member of the Equipment Management Pool (EMP) domestic and Norfolk Southern.

marketing initiatives and new innovative and transborder road-to-rail conversion. and the continued growing demand for crops, CN encourages more grain shippers EMP program, multiple service offerings increased demand in domestic intermodal export grain intermodal program. To in the long-haul trucking industry been invested by CN over the last few CN began to increase support in the CN expects economic indicators that In 2018, CN added another 100 next of an intermodal terminal in Regina, SK housing starts, to remain positive. Our containers, bringing the CargoCool fleet of CN’s rail and terminals operations, the acquisition program for these reefer CargoCool® CN is the first railroad to introduce a partners to provide supply chain solutions. We integrate CN’s philosophy of working In 2018, revenues contributed in excessCN is able to offer seamless offline service closely with all our partners within our of $200 million. CN has been successfulto our customers thanks to the flexible domestic intermodal franchise byin expanding our service offering from nature of intermodal and CN’s extended leveraging our competitive advantagesfrozen to fresh food, and our aim is to trucking arm. to co-market new supply chain optionsuse our experience and capabilities in the with our strategic partners by developingcold supply chain to penetrate other Outlook new markets and working with existinghigh-value, service-sensitive segments,Continued growth is expected for CN’s customers, including commodity-basedsuch as pharmaceuticals and cosmetics.domestic intermodal franchise, driven in segments like grain to drive strategicGiven the growing global population part by strength in domestic Canadian product offerings. For grain and specialtyfrozen processed food, CN anticipatesAdditionally, full partnership in the and steamship lines to participate in our services. Over $20 million had alreadyto/from Mexico and capacity challenges position ourselves for continued growth, years to increase CargoCool capacity.are expected to contribute positively. Saskatchewan market with the creationgeneration 53-foot refrigeratedencourage growth, such as stabilizing in 2018 set to be in service in 2019. to over 800 units, with plans to continueoutlook leverages the service excellence units in 2019 to handle future growth. as well as the extended abilities of our refrigerated program operating in Canada,CN’s CargoCool provides superior reach, the U.S. and Mexico that offers traceabilitycompetitive transit times, critical remote and post-audit capability. CN CargoCoolmonitoring through ReeferTrak©, and provides a fast, convenient, cost-competitiveseamless customs services that ensure our and eco-friendly approach to movingcustomers’ cargo gets to the right place at temperature sensitive goods.the right time at the right temperature. CN 2019 INVESTOR FACT BOOK73 Expanding our intermodal supply chain services with TransX With our drive to provide optimal and sustainable shipping solutions across North America, CN acquired TransX, our supply chain partner for many years. With this acquisition, CN will continue to deepen our supply chain focus and to offer the best services to our customers, from the first mile to the last mile. This transaction will support further expansion in the service-sensitive refrigerated transportation business and the safe and efficient movement of our customers’ goods, helping them win in their markets.

2Markets Overview Markets Operations Financials Automotive EXTENDING OUR AUTOMOTIVE SUPPLY CHAIN REACH Connecting to the automotive world is an exciting challenge. Can we reach farther? How responsive can we be to consumer preference? How can we help our customers grow their market? CN’s goal is to provide consistent and reliable service through proactive communication and continuously deliver. WILLIAM (BILL) REICHARD Assistant Vice-President, Automotive Driving supply chain efficiencies CN delivered 2.4 million finished vehicles of various shapes and sizes in 2018, including commercial vans, SUVs, crossovers and sedans. CN continues to invest in equipment and infrastructure to drive growth, meet customer expectations and be responsive to the changing sales mix in the automotive market. CN is investing in and delivering multi-configuration auto rack cars to accommodate changes in consumer demand and shipping requirements. CN also participates in dedicated fleets of specialized equipment to ship larger, high-roof automobiles. Since 2017, we have added 20% capacity to our bi-level fleet as a response to the growth in SUV and light truck volumes. At our auto compounds, we have invested heavily in track and infrastructure to increase railcar spotting, reduce switching and dwell times, and create the ability to offload and reload vehicles quickly. An electronic gate program that provides haul-away carriers quicker entry and exit is also being implemented. In the auto parts business, we transload 40-foot import containers into 53-foot containers to minimize the empty flow of equipment to and from Western Canada and Detroit. Capitalizing on market opportunities Over the years, CN’s market share in Canada has grown and we are well-positioned to support the importing and exporting of vehicles to and from the Pacific Rim and Europe, as well as opportunities in the U.S. and Mexico. With a new auto compound in the Port of Mobile in 2020, we expect opportunities for north to south traffic for short sea options to handle volumes from Mexico. We invested in our port facility in Halifax, NS in 2018 for more ground capacity. Vehicle traffic at the facility has grown 16% over the last three years. With the new Comprehensive Economic Trade Agreement (CETA) between Canada and Europe, CN is strategically aligned to support growth between the two continents. For more information on CN’s automotive operations, please visit www.cn.ca /automotive 74 TOGETHER INTO OUR NEXT CENTURY A Century of Stories A brand new 1957 Chevy Bel Air is unloaded through the wide end-doors of a bi-level auto carrier, a CN innovation, in Moncton, NB, in 1956.

712 75 CN 2019 INVESTOR FACT BOOK Business unit overview and market drivers p 6% Auto Parts KEY FACTSCOMMODITIESMARKET DRIVERS • 2.4 million finished vehicles• Finished vehicles• Automotive production and sales in handled annually • Auto partsNorth America • 18 automotive compound facilities • Global and North American • Originating 18 North American vehicleautomotive sales assembly plants and ports • Consumer confidence and • 6,200 multi-level railcars in CN’s fleet disposable income • Average age of vehicles in North America • Price of fuel Metrics 730 REVENUESCARLOADSRTMs AVERAGE LENGTH ($ millions)(thousands)(millions)OF HAUL (miles) 825 830261 268 2634,257766802 762 2014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 20182014 2015 2016 2017 2018 2018 vs. 2014 CAGR +7.6% +3.5% +5.3% +1.7% 3,581 3,725 3,884 3,159 229 241 759 719 620 2018 COMMODIT Y BREAKDOWN (% of revenues) p 94% Finished Vehicles$830M 2018 REVENUES

2Markets Overview Markets Operations Financials Automotive Supply Chain at a Glance CONNECTING THE AUTOMOTIVE MARKET Prince Rupert CN serves a total of 18 vehicle assembly plants and ports, accounting for 25% of North American production, across the three coasts. We take a balanced approach to efficiently move eastbound and westbound traffic for optimal fleet utilization. Our network allows us to distribute finished vehicles and auto parts to major population centers in Canada and Central U.S. Edmonton Saskatoon Vancouver Calgary Key advantages CN’S AUTOMOTIVE SUPPLY CHAIN 1 Automotive facilities 1 Assembly plants 1 Parts plants CN’s unique three-coast network enables imports and exports Finished vehicles Auto parts of finished vehicles and production/aftermarket parts globally CN’s intermodal service offers an efficient transport option Ports served by CN of auto parts from domestic and international suppliers CN arranges all aspects of the automotive supply chain including ocean, rail, truck, transload, customs, customer service and billing 18 automotive compounds Enabling CN to accommodate higher volume of vehicles and securing capacity 6,200 railcars CN’s fleet of multi-level cars, helping CN to stay responsive to greater demand 76 TOGETHER INTO OUR NEXT CENTURY

3 Flat Rock Ford 8 London 10 7 6 Milton 1 3 St. John’s Moncton Winnipeg Thunder Bay Halifax Quebec Charny Saint John Montreal Toronto Sarnia ONE TEAM. ONE GOAL. A robust launch Detroit Windsor Chicago Markham Planning a new vehicle launch is a process that starts long before production at the assembly plant. Three years ago, CN and Ford Motor Co. collaborated to develop a rail supply chain to support the launch of the all new Ford Ranger. CN helped design a solution for inbound parts and an offsite rail loading facility for finished vehicle distribution. Our ONE TEAM approach helped achieve a robust launch. CN’s operational dedication in support of plant production and outbound distribution illustrates our commitment to our customer partners. Memphis Canton Nissan Jackson Mobile New Orleans 77 CN 2019 INVESTOR FACT BOOK 1 Lansing GM 2 Flint Truck GM 11 4 Dearborn Truck Ford 5 Windsor FCA 9Toronto Port Huron 2 Sarnia Detroit 5 Chicago4 6 Ingersoll GM 7 Woodstock Toyota 8 Cambridge Toyota 9 Brampton FCA 10 Oakville Ford 11 Oshawa GM

2Markets Overview Markets Operations Financials Automotive Finished Vehicles and Auto Parts in Review EFFICIENCY IN THE NORTH AMERICAN SUPPLY CHAIN Growing demand for finished vehicles Spring marks the peak season for sales and vehicle shipments in the finished vehicle business. During this period, the availability of both railcars and compound space can become very tight. CN is continually looking for ways to generate the required capacity to handle the business in the most efficient manner any time in the year. As a result, CN continues to invest in infrastructure, rolling stock and technology to enable growth in the dynamic automotive business. Investing to accommodate growth CN’s franchise is geared to SUV and light truck production, which currently accounts for 70% of all finished vehicle sales in North America. To accommodate expected light vehicle sales, CN has invested 20% more capacity to our bi-level fleet since 2017. CN also has a fleet of multi-purpose railcars that can be changed from bi-level to tri-level depending on consumer demand. To generate greater efficiencies within the existing footprint of our auto compounds, CN is implementing geographic baying of vehicles, which lets haul-away drivers load vehicles and exit the compounds more quickly. Improving service to customers CN understands the importance of quality and fast transit times for our automotive customers as well as ensuring faster asset turns on our multi-level fleet. We continuously seek innovative solutions and are redesigning our train service in certain corridors to take advantage of direct service for a quality and consistent ride. Continuing plans to support capacity CN has invested more than $34 million in the last two years into automotive facilities. Significant improvements at Calgary, Halifax, Montreal and Toronto have helped to support the growth in our automotive business. $34M INVESTED IN OUR AUTO COMPOUNDS TO SUPPORT GROWTH PICTURED: CN’s Halifax auto compound provides post-production services, such as installation of stereos, wheel locks and more for distribution. 78 TOGETHER INTO OUR NEXT CENTURY

The automotive market will look very different in the next few years. Our team at CN is well-positioned to capitalize on these changes. Moving auto parts to market A large number of auto parts originate overseas in containers, including Mexico. CN moves auto parts for customers in box cars, as well as domestic and international containers. Because of our network reach to Canadian ports and our majority share of production facilities serving Canada, CN is well-positioned to participate in the end-to-end supply chain. CN has the majority share of steamship lines calling on Canadian ports. We handle: • Containerized parts for import/export through Prince Rupert, Vancouver, Montreal, Halifax and Mobile and New Orleans; and • 53-foot domestic containers throughout North America direct and through our transload operations, converting 40-foot to 53-foot containers where it adds value to our customers. CN’s intermodal service has the flexibility and fleet capacity to handle growth. Managing global shipments of auto parts Through CN Supply Chain, we offer services to manage the movement of auto parts from origin supplier to the destination production plant. CN handles all aspects of the supply chain, including the ocean, rail, truck, transload, customs, customer service and billing. For time-sensitive, high-value auto parts shipped in containers, dedicated customer service is provided by CN’s Auto-Desk. We manage the supply chain to accommodate the “just-in-time” inventory strategy of automotive manufacturers. Roughly 2,000 shipments per week en route to North America are tracked by the Auto-Desk, ensuring the expeditious transfer of parts to production plants. Outlook North American light vehicle sales have flattened since the peak at 21 million units in 2016. Sales are expected to continue around the 20 million unit mark with consumer preference mainly for SUVs and light trucks. CN maintained its share of finished vehicle volumes including new pieces of traffic secured in 2018. Our focus will be on further nurturing our market reach through partnerships and developing new facilities to increase our share. Manufacturing volumes of auto parts are expected to follow finished vehicle production and stabilize at peak 2016 levels. CN has the robust international and domestic intermodal franchise required to capture a greater participation in the auto parts market. 2,000 SHIPMENTS OF AUTOMOTIVE PARTS PER WEEK EN ROUTE TO NORTH AMERICA 20 10% A mix of bi-level and tri-level auto carriers, which are protected by full enclosures and side screening, are being loaded with SUVs. 150 79 CN 2019 INVESTOR FACT BOOK North American SUV and light truck sales outpace cars NORTH AMERICAN LIGHT VEHICLE SALES 2012-2018 (millions) 2570% 60% 50% 1540% 1030% 20% 5 00% 2012 2013 2014 2015 2016 2017 2018 p Cars p SUVs / light trucks — % SUVs / light trucks vs. cars Source: IHS

3Operations Overview Markets Operations Financials Operational Overview PURSUING OPERATIONAL AND SERVICE EXCELLENCE As the pioneers of Scheduled Railroading, our operating model is still based on this strong foundation. Along with our well-established supply chain strategy, we focus on operating safely and efficiently while providing a high level of service to our customers. We operate with a disciplined mindset whereby CN handles individual rail shipments according to a specific trip plan to meet our customer commitments. Our aim is to run more efficient trains, produce higher network velocity and reduce dwell times at terminals and yards. We understand the importance of balancing our drive for productivity with enhanced customer service. Working as ONE TEAM with customers and supply chain partners, we strive for one goal: continuous improvement of information sharing, problem solving and execution. CN is making record capital investments to improve the safety and resiliency of the network as well as increase capacity to enable growth. Technology has an important role to play in CN’s future. We are leveraging recent advancements to improve inspection technology for our trains and tracks. We are also providing mobile devices to our carmen and conductors as well as developing smart network planning solutions and autonomous detection systems to digitize operations and drive safety and productivity improvements. ~20,000 ROUTE MILES 1,550 HIGH HP LOCOMOTIVES 93,000 RAILROAD-CONTROLLED ACTIVE CARS ON ANY GIVEN DAY 7,250 BRIDGES OWNED AND MAINTAINED BY CN For up-to-date weekly key operating metrics, please visit www.cn.ca/investors/ key-weekly-metrics 80 TOGETHER INTO OUR NEXT CENTURY

We invest in our network to Hay River enhance safety and fluidity Fort Nelson Prince Rupert to enable growth. Fort McMurray Prince George Edmonton Sept-Îles Baie-Comeau Kamloops Calgary Matane Saskatoon Winnipeg Vancouver Hearst Moncton Regina Thunder Bay Quebec Montreal Saint John Halifax Auburn Duluth TRAFFIC DENSITY LEGEND Sault Ste. Marie Green Toronto Stevens Point GTMs per route mile Chippewa Falls Over 100 million 50–100 million 30–50 million 10–30 million Up to 10 million Shortline partners Minneapolis/St. Paul Bay Worcester New London Sarnia Fond du Lac Buffalo Arcadia Detroit Conneaut Sioux City Toledo Joliet East Peoria Pittsburgh Omaha Chicago Indianapolis Decatur Springfield East St. Louis Ports served by CN Memphis Jackson Mobile Pascagoula Baton Rouge Gulfport New Orleans Regional performance WESTERN REGION (millions of GTMs per route mile) 674 EASTERN REGION (millions of GTMs per route mile) SOUTHERN REGION (millions of GTMs per route mile) REGIONAL GTMs (% of 2018 total GTMs) p 50% Western 634 p 23% Eastern p 27% Southern 363 348 341 332 311 304 307 309 296 280 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 81 CN 2019 INVESTOR FACT BOOK 580 590 569

3Operations Overview Markets Operations Financials Western Region BUILDING FOR THE FUTURE CN is building for the future with large capital investments in long-term safety and capacity to meet growing traffic across the region. CN invested $1.3 billion in Western Canada in 2018 and plans to invest another $1.1 billion in 2019, including key track expansion projects and new equipment to help us deliver superior service to our grain, forest products, intermodal and industrial customers. In partnership with labor unions, new conductor’s skills development and assessment continues for six months after qualification. Employees return to the CN Campus training facility throughout their careers for refreshers and to train on new technology. JAMES THOMPSOM Vice-President, Western Region Energy customers are expanding Two new propane export terminals at the Port of Prince Rupert, one operational in 2019 and the other expected to open in 2020, will be exclusively served by CN from northwest of Edmonton. There are also three new petrochemical plants announced in this region. Western Canadian coal opportunities continue with the opening of three mines in 2018 and 2019. KEY ADVANTAGES Access to fastest growing port – Exclusively served by CN, the Port of Prince Rupert, the closest port to Asia, offers offers a one to two-day transit advantage versus the Ports of L.A./Long Beach. Investing in safety We are leveraging recent advancements to improve inspection technology for our trains and tracks. Our new Automated Inspection Portals (AIPs) feature ultra-high-definition cameras and infrared lighting that capture a 360° view of a train travelling through the portal. In 2019, seven AIPs are expected to be operational throughout our network: 4 in Winnipeg, 1 in Toronto, 1 in Fulton and 1 in Memphis. We are adding autonomous track inspection cars to improve inspection reliability, provide richer data analytics, generate predictive models and drive preventative maintenance. We are also providing mobile devices to our carmen and conductors to make it easier for them to access operating and safety rules and documents. We are continuing to expand our fleet of air repeater cars that help maintain air pressure in the train brake lines during bitterly cold weather. Low grades – CN enjoys the lowest grades of any railroad through the Rockies, allowing us to deliver our customers’ cargo more safely and efficiently while maximizing train length and fuel productivity, even in winter. Improving service to grain customers We are leveraging our investments in longer sidings, high-horsepower locomotives and new-generation grain hopper cars with up to 10% more capacity per car to increase capacity and improve service to our grain customers. Our partners are investing as well. Grain terminals are enhancing throughput by constructing new elevators with long loop track designs. In fact, 80% of grain elevators built since 2015 and to be built in Western Canada will be on CN’s network. Increased capacity – In 2018 and 2019, CN is investing at a record pace to serve our customers with more efficient long-train operations by extending sidings and doubling sections of track to create more places where trains can meet. 82 TOGETHER INTO OUR NEXT CENTURY

CN’s energy customers in the Alberta Heartland are expanding Increased demand from propane shippers is supporting the development of two new propane export terminals at the Port of Prince Rupert, one opened in 2019 and the other expected in 2020. With the collaboration of our supply chain partners, these new terminals will be exclusively served by CN unit trains from production facilities in the Alberta Heartland northwest of Edmonton. In this region, there are also three new petrochemical plants announced for completion in the 2021-23 timeframe. These developments are expected to increase the number of CN carloads moving from the Alberta Heartland to the Port of Prince Rupert. WESTERN REGION FACILITIES Hay River Fort Nelson Prince Rupert Fort McMurray Prince George Edson i Main yard Hump yard Car / locomotive repair shop p CN Campus training facility 1 Automotive 1 Logistics park 1 Metals and minerals Ports served by CN Edmonton North Battleford 1 CargoFlo® 1 Forest products Kamloops Ashcroft distribution centre 1 Intermodal terminal Saskatoon Calgary Vancouver Regina Bienfait Thunder Bay Winnipeg Atikokan 83 CN 2019 INVESTOR FACT BOOK KEY FACTS • The ports of Vancouver and Prince Rupert are dynamic gateways to international trade, offering shorter transit times to Asia. • Winnipeg is home to Symington Yard, our only hump yard in Western Canada, and Transcona Shops, our railcar and locomotive repair facility. • CN’s Claude Mongeau National Training Centre delivers railroader train-ing focused on instilling a strong safety culture. PICTURED: Jasper, AB Photo by CN Employee Tim Stevens

3Operations Overview Markets Operations Financials Eastern Region PREPARING FOR THE NEXT WAVE OF GROWTH Reaching service-sensitive markets CN is focused on growing through supply chain innovation and strategic investments. To create more efficient solutions for our customers for the long-term, we invest time and capital, especially for those who compete in service-sensitive markets like automotive and consumer goods. In 2018, CN took over three shortlines in the Greater Toronto and Hamilton Area (GTHA) to improve access to key transborder markets and coastal gateways. The GTHA is the fastest growing area in Canada, with a population expected to grow to 10 million by 2041. To respond to the projected growth in customer demand, CN needs to expand. CN plans to invest $250 million to build the Milton Logistics Hub, key to connect Canada and the GTHA with international markets. The project is being assessed through a comprehensive federal review process, which strongly encourages public participation. A decision on the project is expected to be made in early 2020 followed by a two-year construction period. The Milton Logistics Hub is expected to drive economic, environmental and social benefits across Canada. More information on the project is available at www.cnmilton.com. As we expect solid freight volumes in the years ahead, CN is investing $886 million in 2019 in Eastern Canada, improving network safety, capacity and fluidity. With this expectation, our strategy includes acquisitions that can drive incremental volumes onto our underutilized network from Halifax all the way to Chicago with the potential to develop a Prince Rupert model of the East. DOUG MACDONALD Vice-President, Eastern Region KEY ADVANTAGES A top employer in Montreal CN was recognized as one of Montreal’s top employers of 2019 by Canada’s Top 100 Employers for the third consecutive year. We were chosen for our commitment to employee development and community involvement. Our people are what differentiate CN as a world-class transportation company. Giving back to the communities we work in is not a slogan, it is a way of doing business for CN, and our employees take that to heart. Also recognized as one of Canada’s Best Diversity Employers in 2019, CN employs close to 3,000 people in the Montreal region and nearly 8,700 in all of Eastern Region. Port of Halifax advantage – CN is the only railroad to serve all major ports in Eastern Canada, including the Port of Halifax, which has the shortest transit time from Europe on the Eastern Seaboard and is only two days by rail from Toronto. Expansive reach – CN’s Eastern Region extends from Winnipeg through Canada’s industrial heartland in Ontario, deep into the metals, minerals and timber-producing regions of northern Quebec, continuing east into the Maritimes and the Port of Halifax. Flexible distribution Investing for tomorrow CN continues to invest in new equipment and major facilities such as the Brampton Intermodal Terminal and MacMillan Yard near Toronto. Over the past few years, CN invested in our main line corridor in Northern Ontario by installing sections of double track and extending sidings to accommodate longer, more efficient trains. network – CN’s extensive network of intermodal terminals, autoports and transload facilities enables non-rail-served shippers and receivers to benefit from rail transportation’s cost and environmental advantages. 84 TOGETHER INTO OUR NEXT CENTURY

Replicating Prince Rupert’s success in the East CN has helped to create the fastest growing container terminal on the West Coast (Fairview in Prince Rupert) and, thanks to our action-oriented approach to growing volumes on our eastern network, CN is well-positioned to replicate this success at the Port of Halifax. With the fastest transit times from Europe of any port on the East Coast, the Port of Halifax is a growing force in global trade. Via CN, the only rail connection from the Port of Halifax, the port is just two days from hubs like Toronto and Montreal, giving cargo ready access to major markets in Canada and the U.S. Midwest. EASTERN REGION FACILITIES St. John’s KEY FACTS i Main yard Hump yard Car / locomotive repair shop 1 Automotive • CN’s corporate headquarters is located in Montreal, QC Eastern Region is home to CN’s two largest inland intermodal terminals (Brampton and Montreal) and our largest classification yard (MacMillan Yard near Toronto) CN serves four deep water ports in the Eastern Region: Halifax, Saint John, Montreal and Quebec Hearst Moncton Winnipeg Quebec • Charny Montreal Halifax Saint John 1 CargoFlo ® 1 Forest products Sault Ste. Marie Brockville distribution centre 1 Intermodal terminal Brampton Sarnia 1 Logistics park 1 Metals and minerals Ports served by CN Toronto Hamilton • Windsor 85 CN 2019 INVESTOR FACT BOOK PICTURED: CN is the sole railroad to serve the Port of Halifax, which is just two days by rail from Toronto.

3Operations Overview Markets Operations Financials Southern Region NETWORK OPTIMIZED FOR SPEED AND MARKET OPPORTUNITY CN’s Chicago advantage CN’s acquisition in 2009 of the former Elgin, Joliet and Eastern (EJ&E) network that encircles Chicago has allowed our trains to bypass congestion on the inner city corridors. This has created an important competitive advantage for CN with the ability to reduce overall delivery times by 24 to 36 hours. CN is the only railroad in Chicago not heavily reliant on belt roads to deliver traffic to interchange points. Our trains now move twice as fast through Chicago, giving us a minimum 24-hour advantage over the competition. The integration of the former EJ&E network involved investing hundreds of millions of dollars on infrastructure improvements, including upgrades for capacity of the former EJ&E’s Kirk Yard in Gary, IN. With this investment in Kirk Yard, automotive and intermodal traffic can be streamlined at Markham Yard and manifest traffic classified at Kirk Yard, enabling us to keep our dwell time to a minimum and increase velocity. at Ranier, MN to expedite customs inspections and avoid bottlenecks in transborder shipments. In five key states on our network, CN performed work to lengthen existing sidings to improve network capacity and added strategic yard capacity to seize energy market opportunities. DEREK TAYLOR Vice-President, Southern Region KEY ADVANTAGES Optimizing for speed CN constantly monitors terminal and network capabilities and capacities to improve customer service and end-to-end supply chain speed. We optimize the routing of customer commodities and traffic by sending customer freight to areas in our network designed to handle that type of commodity. For example, we developed the export coal supply chain between Southern Illinois and a Baton Rouge area shipping terminal. This optimization results in faster train speed from origin to destination, improving the overall speed of customers’ goods through the supply chain, therefore supporting our customers to be more efficient and competitive. CN looks forward to maximizing future opportunities to leverage our Chicago and three-coast advantage. This includes projects on the former EJ&E to match existing traffic levels and prepare for future growth through this critical area. Chicago outer belt – With the full integration of the former EJ&E network, CN has the ability to link all five of our rail lines entering Chicago from all directions into one seamless system, resulting in higher throughput and capacity. Energy market opportunity – CN is prepared to seize the overall demand in North American energy markets. Leveraging CN’s Chicago,three-coast advantage and capacity improvements on the Midwest division has created a dependable supply chain between the ports on the three coasts. Investing in our network As a true backbone of the economy, CN continues to build for the future with strategic capital investments in safety and capacity. These improvements will continue to improve the velocity and the resiliency of our network. In recent years, CN invested in additional track and intermodal container lifting capabilities Building for the future – CN is investing to optimize the overall capacity and speed of our U.S. network with the intent to capture new market opportunity. The combination of an optimized network and operational acumen will set up CN for future success. 86 TOGETHER INTO OUR NEXT CENTURY

Positive Train Control is on track The U.S. federal government has mandated installation of Positive Train Control (PTC) on certain rail lines. CN is progressing on track with targets filed with the Federal Railroad Administration (FRA), including training employees, equipping locomotives, installing radio towers, and completing track segments. All PTC equipment has been installed and all employees have been trained. Efforts are currently focused on testing and implementation on each required subdivision. Over 50% of all PTC mandated track miles are currently in service running PTC. In total, CN plans to invest U.S.$1.5 billion to implement PTC on approximately 3,500 route miles of track by 2020. SOUTHERN REGION FACILITIES Duluth Proctor Chippewa Falls Arcadia KEY FACTS Stevens Point About one-third of our rail network and employees are located in Southern Region Roughly one out of every four CN carloads originates, terminates or travels through the Chicago hub Homewood, a Chicago suburb, is home to CN’s U.S. corporate headquarters and a US$25-million state-of-the-art training centre, which opened in 2014 • Battle Creek Fond du Lac Detroit Markham Flat Rock • Joliet Gary Chicago Decatur • Indianapolis i Main yard Hump yard Car / locomotive repair shop p CN Campus 1 Automotive 1 Logistics park 1 Metals and minerals Ports served by CN 1 CargoFlo® 1 Forest products Memphis distribution centre 1 Intermodal terminal Jackson training facility Mobile New Orleans 87 CN 2019 INVESTOR FACT BOOK PICTURED: Joliet lift bridge, Joliet, IL CN bypasses congestions through downtown Chicago by traveling around the perimeter of Chicago over the former EJ&E.

4FFininaanncciaialsls Overview Markets Operations Financials Financial Overview BUILDING ON A STRONG FOUNDATION Formulating compelling business plans, investing capital in innovations to drive growth and efficiencies, and making the right financial decisions to support these initiatives determine a company’s success in the long haul. Over our 100-year history, CN’s success is supported by a track record of consistently strong financial performance underpinned by long-term growth, enabling sustainable shareholder value creation. We are proud of our achievements: amongst the best industry operating ratio, solid returns on invested capital1), and 23 consecutive years of increasing dividends to reward our shareholders. With Scheduled Railroading embedded in our DNA, CN is building on this foundation, and continues to focus on executing our strategies and initiatives with the same drive and discipline. Pursuing organic and inorganic growth to extend the reach of our network with revenue opportunities, deploying technologies to improve cost efficiency, and continuing to add capacity on our unique three coast network—we believe these initiatives differentiate CN in the North American transportation and logistics industry. We have accomplished a great deal in our 100 years and we expect to continue to share our future successes with our shareholders as we move forward into our next century. GHISLAIN HOULE Executive Vice-President and CFO $14,321 M TOTAL REVENUES $3,333 M TOTAL SHARE REPURCHASES AND DIVIDENDS PAID $2,514 M FREE CASH FLOW 1) For more information on our financial results, please visit www.cn.ca/investors/ financial-results 1) See section entitled Non-GAAP Measures for an explanation of these non-GAAP measures. 88 TOGETHER INTO OUR NEXT CENTURY

Quarterly Consolidated Statements of Income Unaudited ($ millions, unless otherwise indicated) 2017 2018 Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year 89 CN 2019 INVESTOR FACT BOOK REVENUES 3,206 3,329 3,221 3,285 13,041 3,194 3,631 3,688 3,808 14,321 OPERATING EXPENSES Labor and fringe benefits Purchased services and material Fuel Depreciation and amortization Equipment rents Casualty and other 6596076056652,536 7146487077912,860 4404324244731,769 4814784855271,971 3423293123791,362 3934364374661,732 3233263163161,281 3233303303461,329 101103107107418 113112127115467 11711778120432 140108110111469 Total operating expenses1,982 1,914 1,842 2,060 7,798 2,164 2,112 2,196 2,356 8,828 Operating income 1,224 1,415 1,379 1,225 5,243 1,030 1,519 1,492 1,452 5,493 Interest expense Other components of net periodic benefit income Other income (122)(123)(119)(117)(481) (122)(124)(121)(122)(489) 79808076315 77767673302 215412 62294893376 Income before income taxes1,183 1,373 1,345 1,188 5,089 991 1,700 1,495 1,496 5,682 Income tax recovery (expense) (299)(342)(387)1,423395 (250)(390)(361)(353)(1,354) Net income884 1,031 958 2,611 5,484 741 1,310 1,134 1,143 4,328 Operating ratio61.8% 57.5% 57.2% 62.7% 59.8% 67.8% 58.2% 59.5% 61.9% 61.6% EARNINGS PER SHARE ($) Basic1.161.361.283.507.28 1.001.781.551.575.89 Diluted1.161.361.273.487.24 1.001.771.541.565.87 WEIGHTED AVERAGE NUMBER OF SHARES (millions) Basic761.3756.1751.1746.2753.6 741.2736.0732.7728.4734.5 Diluted764.5759.7755.0750.0757.3 744.2739.1736.2731.3737.7 Dividends declared per share ($)0.41250.41250.41250.41251.6500 0.45500.45500.45500.45501.8200

4Financials Overview Markets Operations Financials Quarterly Consolidated Balance Sheets Unaudited ($ millions) 2017 2018 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 1) In the fourth quarter of 2018, the Company changed its presentation with respect to the settlement of equity-settled awards when purchasing shares on the open market, on a retrospective basis. Comparative balances have been reclassified to conform to the current presentation. See Note 14 – Share Capital in the Company’s 2018 Annual Consolidated Financial Statements available on CN's website, www.cn.ca/investors, for additional information. 90 TOGETHER INTO OUR NEXT CENTURY ASSETS Current assets Cash and cash equivalents Restricted cash and cash equivalents Accounts receivable Material and supplies Other current assets 26513110970 242394317266 459461482483 483485492493 903899973984 1,0391,0781,1271,169 412453422424 521558563557 270213137229 396327262243 Total current assets2,309 2,157 2,123 2,190 2,681 2,842 2,761 2,728 Properties Pension asset Intangible and other assets 33,68633,65633,46034,189 34,69535,47935,88037,773 1,0611,1601,260994 1,1121,2161,304446 274272261256 270268264267 Total assets37,330 37,245 37,104 37,629 38,758 39,805 40,209 41,214 LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities Accounts payable and other Current portion of long-term debt 1,6431,7331,7531,903 1,8071,9721,9962,316 1,5631,8151,7232,080 2,5552,4581,8231,184 Total current liabilities 3,206 3,548 3,476 3,983 4,362 4,430 3,819 3,500 Deferred income taxes Other liabilities and deferred credits Pension and other postretirement benefits Long-term debt SHAREHOLDERS’ EQUITY Common shares1) Common shares in Share Trusts Additional paid-in capital1) Accumulated other comprehensive loss Retained earnings1) 8,5868,6308,6066,953 7,1527,3207,4577,480 605589568590 598566556501 690685678699 701704700707 9,3618,7428,6918,748 9,3579,41610,07111,385 3,6353,6253,6133,613 3,5893,6293,6243,634 (113)(113)(113)(168) (137)(137)(137)(175) 390404415434 406393401408 (2,357)(2,416)(2,522)(2,784) (2,615)(2,467)(2,534)(2,849) 13,32713,55113,69215,561 15,34515,95116,25216,623 Total shareholders’ equity14,88215,05115,08516,656 16,58817,36917,60617,641 Total liabilities and shareholders' equity 37,330 37,245 37,104 37,629 38,758 39,805 40,209 41,214

Quarterly Consolidated Statements of Cash Flows Unaudited ($ millions) 2017 2018 Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year 1) In the first quarter of 2019, the Company began presenting Pension income and funding as a separate line on the Consolidated Statements of Cash Flows. Previously, Pension income and funding was included in Other operating activities, net. Comparative figures have been adjusted to conform to the current presentation. 91 CN 2019 INVESTOR FACT BOOK OPERATING ACTIVITIES Net income Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization Deferred income taxes Pension income and funding1) Gain on disposal of property Changes in operating assets and liabilities: Accounts receivable Material and supplies Accounts payable and other Other current assets Other operating activities, net1) 8841,0319582,6115,484 7411,3101,1341,1434,328 3233263163161,281 3233303303461,329 145134129(1,603)(1,195) 115114172126527 (108)(53)(51)(74)(286) (68)(52)(36)(53)(209) ––––– –(223)(36)(79)(338) (31)(6)(91)3(125) (34)(26)(57)26(91) (50)(44)26(2)(70) (96)(33)(4)13(120) 13910259118418 (201)216(30)394379 (71)448(61)(80) (25)1858(37)14 2511124189 –28333899 Net cash provided by operating activities1,256 1,505 1,406 1,349 5,516 755 1,682 1,564 1,917 5,918 INVESTING ACTIVITIES Property additions Disposal of property Other investing activities, net (396)(675)(724)(878)(2,673) (425)(840)(1,002)(1,264)(3,531) ––––– –15440–194 (12)(19)(20)(14)(65) (8)(22)(17)(20)(67) Net cash used in investing activities(408) (694) (744) (892) (2,738) (433) (708) (979) (1,284) (3,404)

4Financials Overview Markets Operations Financials Quarterly Consolidated Statements of Cash Flows (cont.) Unaudited ($ millions) 2017 2018 Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year 92 TOGETHER INTO OUR NEXT CENTURY FINANCING ACTIVITIES Issuance of debt Repayment of debt Change in commercial paper, net Settlement of foreign exchange forward contracts on debt Issuance of common shares for stock options exercised Withholding taxes remitted on the net settlement of equity settled awards Repurchase of common shares Purchase of common shares for settlement of equity settled awards Purchase of common shares by Share Trusts Dividends paid ––493423916 1,286–1,1378453,268 (10)(29)(25)(777)(841) (431)(600)(991)(371)(2,393) 89(112)(260)662379 (25)45121(348)99 (3)7(34)15(15) (12)19311553 1313122058 8511727103 (52)-(3)(2)(57) (34)(12)(3)(2)51 (499)(505)(539)(473)(2,016) (615)(385)(521)(479)(2,000) (19)(1)(2)(3)(25) –(12)(3)(1)(16) –––(55)(55) –––(38)(38) (313)(310)(309)(307)(1,239) (336)(334)(332)(331)(1,333) Net cash used in financing activities(794) (937) (667) (497) (2,895) (159) (822) (644) (683) (2,308) Effect of foreign exchange fluctuations on cash, cash equivalents, restricted cash, and restricted cash equivalents(2)(6)42(2) 92(11)–– Net increase (decrease) in cash, cash equivalents, restricted cash, and restricted cash equivalents Cash, cash equivalents, restricted cash, and restricted cash equivalents, beginning of period 52 (132) (1) (38) (119) 172 154 (70) (50) 206 672724592591672 553725879809553 Cash, cash equivalents, restricted cash, and restricted cash equivalents, end of period 724 592 591 553 553 725 879 809 759 759 Cash and cash equivalents, end of period Restricted cash and cash equivalents, end of period 2651311097070 242394317266266 459461482483483 483485492493493 Cash, cash equivalents, restricted cash, and restricted cash equivalents, end of period 724 592 591 553 553 725 879 809 759 759 SUPPLEMENTAL CASH FLOW INFORMATION Interest paid(134)(110)(129)(104)(477) (140)(95)(164)(89)(488) Income taxes paid(164)(169)(165)(214)(712) (275)(179)(215)(107)(776)

Quarterly Financial and Statistical Data Unaudited 2017 2018 Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year 1) Based on Federal Railroad Administration (FRA) reporting criteria. Statistical operating data, key operating measures and safety indicators are unaudited and based on estimated data available at such time and are subject to change as more complete information becomes available. Definitions of these indicators are provided on our website, www.cn.ca/glossary. 93 CN 2019 INVESTOR FACT BOOK REVENUES ($ millions) Petroleum and chemicals Metals and minerals Forest products Coal Grain and fertilizers Intermodal Automotive 5845495325432,208 5646166658152,660 3613893963771,523 3884474573971,689 4474644404371,788 4224905084661,886 129126135145535 142175169175661 6075304925852,214 5395915686592,357 7428158278163,200 8148638978913,465 205238194188825 197236199198830 Total rail freight revenues Other revenues 3,075 3,111 3,016 3,091 12,293 3,066 3,418 3,463 3,601 13,548 131218205194748 128213225207773 Total revenues 3,206 3,329 3,221 3,285 13,041 3,194 3,631 3,688 3,808 14,321 STATISTICAL OPERATING DATA Gross ton miles (GTMs) (millions) Revenue ton miles (RTMs) (millions) Carloads (thousands) Route miles (includes Canada and the U.S.) Employees (end of period) Employees (average for the period) 116,235 117,195 118,171 117,599 469,200 113,040 123,540 123,042 130,792 490,414 59,77658,78959,05659,477 237,098 57,18563,02161,64266,535 248,383 1,3681,4241,4841,4615,737 1,4081,5061,5251,5375,976 19,60019,50019,50019,50019,500 19,50019,50019,50019,50019,500 22,54923,08923,42823,94523,945 24,81225,65426,14325,72025,720 22,39622,85823,18323,85923,074 24,46725,27525,90526,04725,423 KEY OPERATING MEASURES Rail freight revenue per RTM (cents) Rail freight revenue per carload ($) GTMs per average number of employees (thousands) Operating expenses per GTM (cents) Labor and fringe benefits expense per GTM (cents) Diesel fuel consumed (US gallons in millions) Average fuel price ($/US gallon) GTMs per US gallon of fuel consumed 5.145.295.115.205.18 5.365.425.625.415.45 2,2482,1852,0322,1162,143 2,1782,2702,2712,3432,267 5,1905,1275,0974,92920,335 4,6204,8884,7505,02119,290 1.711.631.561.751.66 1.911.711.781.801.80 0.570.520.510.570.54 0.630.520.570.600.58 113.2108.9107.1112.2441.4 112.8113.7113.4122.8462.7 2.762.652.562.982.74 3.163.373.423.353.32 1,0271,0761,1031,0481,063 1,0021,0871,0851,0651,060 SAFETY INDICATORS1) Injury frequency rate (per 200,000 person hours) Accident rate (per million train miles) 1.891.541.722.161.83 2.141.621.601.901.81 1.541.612.032.181.83 2.172.481.901.562.02

4Financials Overview Markets Operations Financials Non-GAAP Measures This document makes reference to non-GAAP measures that do not have any standardized meaning prescribed by GAAP and therefore, may not be comparable to similar measures presented by other companies. From management’s perspective, these non-GAAP measures are useful measures of performance and provide investors with supplementary information to assess the Company’s results of operations and liquidity. These non-GAAP measures should not be considered in isolation or as a substitute for financial measures prepared in accordance with GAAP. Adjusted performance measures Management believes that adjusted net income, adjusted earnings per share, adjusted operating income and adjusted operating ratio are useful measures of performance that can facilitate period-to-period comparisons, as they exclude items that do not necessarily arise as part of CN’s normal day-to-day operations and could distort the analysis of trends in business performance. Management uses adjusted performance measures, which exclude certain income and expense items in its results that management believes are not reflective of CN’s underlying business operations, to set performance goals and as a means to measure CN’s performance. The exclusion of such income and expense items in these measures does not, however, imply that these items are necessarily non-recurring. The following table provides a reconciliation of net income and earnings per share, as reported for the periods specified, to the adjusted performance measures presented herein: Unaudited ($ millions, except per share data) 2014 2015 2016 2017 2018 Year ended December 31 1) The tax effect of adjustments reflects tax rates in the applicable jurisdiction and the nature of the item for tax purposes. 94 TOGETHER INTO OUR NEXT CENTURY Net income Adjustments: Operating expenses Other income Income tax expense (recovery)1) 3,167 3,538 3,640 5,484 4,328 –––– 27 (80)–(76)– (338) 84217(1,706) 39 Adjusted net income3,095 3,580 3,581 3,778 4,056 Basic earnings per share Impact of adjustments, per share 3.86 4.42 4.69 7.28 5.89 (0.09)0.05(0.08)(2.26) (0.37) Adjusted basic earnings per share3.77 4.47 4.61 5.02 5.52 Diluted earnings per share Impact of adjustments, per share 3.85 4.39 4.67 7.24 5.87 (0.09)0.05(0.08)(2.25) (0.37) Adjusted diluted earnings per share3.76 4.44 4.59 4.99 5.50

The following table provides a reconciliation of operating income and operating ratio, as reported for the periods specified, to the adjusted performance measures presented herein: Unaudited ($ millions, except percentage) Year ended December 31 2014 2015 2016 2017 2018 1) Operating ratio is defined as operating expenses as a percentage of revenues. For the year ended December 31, 2014, the Company reported adjusted net income of $3,095 million, or $3.76 per diluted share, which excludes a gain on disposal of the Deux-Montagnes subdivision, including the Mont-Royal tunnel, together with the rail fixtures, of $80 million, or $72 million after-tax ($0.09 per diluted share) in the first quarter. For the year ended December 31, 2015, the Company reported adjusted net income of $3,580 million, or $4.44 per diluted share, which excludes a deferred income tax expense of $42 million ($0.05 per diluted share) in the second quarter, resulting from the enactment of a higher provincial corporate income tax rate. For the year ended December 31, 2016, the Company reported adjusted net income of $3,581 million, or $4.59 per diluted share, which excludes a gain on disposal of track leading into Montreal’s Central Station, together with the rail fixtures, of $76 million, or $66 million after-tax ($0.09 per diluted share) in the fourth quarter, and a deferred income tax expense of $7 million ($0.01 per diluted share) in the second quarter, resulting from the enactment of a higher provincial corporate income tax rate. For the year ended December 31, 2017, the Company reported adjusted net income of $3,778 million, or $4.99 per diluted share, which excludes a net deferred income tax recovery of $1,706 million ($2.25 per diluted share) consisting of the following: and Jobs Act and a deferred income tax expense of $50 million ($0.07 per diluted share) resulting from the enactment of higher provincial corporate income tax rates; in the third quarter, a deferred income tax expense of $31 million ($0.04 per diluted share) resulting from the enactment of a higher state corporate income tax rate; in the second quarter, a deferred income tax recovery of $18 million ($0.02 per diluted share) resulting from the enactment of a lower provincial corporate income tax rate; and in the first quarter, a deferred income tax recovery of $5 million ($0.01 per diluted share) resulting from the enactment of a lower provincial corporate income tax rate. • • • in the fourth quarter, a deferred income tax recovery of $1,764 million ($2.33 per diluted share) resulting from the enactment of the U.S. Tax Cuts • 95 CN 2019 INVESTOR FACT BOOK Operating income Adjustment: Operating expenses 4,498 5,155 5,032 5,243 5,493 –––– 27 Adjusted operating income4,498 5,155 5,032 5,243 5,520 Operating ratio1) Impact of adjustment 62.9% 59.1% 58.2% 59.8% 61.6% –––– (0.1)-pts Adjusted operating ratio 62.9% 59.1% 58.2% 59.8% 61.5%

4Financials Overview Markets Operations Financials Non-GAAP Measures (cont.) Adjusted performance measures (cont.) For the year ended December 31, 2018, the Company reported adjusted net income of $4,056 million, or $5.50 per diluted share, which excludes employee termination benefits and severance costs related to a workforce reduction program of $27 million, or $20 million after-tax ($0.03 per diluted share) in the fourth quarter and gains on disposals of property of $338 million, or $292 million after-tax ($0.40 per diluted share), consisting of the following: in the fourth quarter, a gain previously deferred on the 2014 disposal of a segment of the Guelph subdivision located between Georgetown and Kitchener, Ontario, together with the rail fixtures and certain passenger agreements, of $79 million, or $70 million after-tax ($0.10 per diluted share); in the third quarter, a gain on disposal of property located in Montreal, Quebec of $36 million, or $32 million after-tax ($0.04 per diluted share); and in the second quarter, a gain on transfer of the Company’s capital lease in the passenger rail facilities in Montreal, Quebec, together with its interests in related railway operating agreements, of $184 million, or $156 million after-tax ($0.21 per diluted share), and a gain on disposal of land located in Calgary, Alberta, excluding the rail fixtures, of $39 million, or $34 million after-tax ($0.05 per diluted share). • • • Free cash flow Management believes that free cash flow is a useful measure of liquidity as it demonstrates the Company’s ability to generate cash for debt obligations and for discretionary uses such as payment of dividends, share repurchases, and strategic opportunities. The Company defines its free cash flow measure as the difference between net cash provided by operating activities and net cash used in investing activities; adjusted for the impact of business acquisitions, if any. The following table provides a reconciliation of net cash provided by operating activities as reported to free cash flow for the periods specified: Unaudited ($ millions) 2014 2015 2016 2017 2018 Year ended December 31 96 TOGETHER INTO OUR NEXT CENTURY Net cash provided by operating activities Net cash used in investing activities 4,381 5,140 5,202 5,516 5,918 (2,161)(2,767)(2,682)(2,738) (3,404) Free cash flow 2,220 2,373 2,520 2,778 2,514

Adjusted debt-to-adjusted EBITDA multiple Management believes that the adjusted debt-to-adjusted earnings before interest, income taxes, depreciation and amortization (EBITDA) multiple is a useful credit measure because it reflects the Company’s ability to service its debt and other long-term obligations. The Company calculates the adjusted debt-to-adjusted EBITDA multiple as adjusted debt divided by adjusted EBITDA. The following table provides a reconciliation of debt and net income to the adjusted measures presented below, which have been used to calculate the adjusted debt-to-adjusted EBITDA multiple: Unaudited ($ millions, unless otherwise indicated) 2014 2015 2016 2017 2018 As at and for the year ended December 31 1) The Company adopted Accounting Standards Update 2016-02: Leases and related amendments (Topic 842) in the first quarter of 2019. The Company now includes operating lease liabilities, as defined by Topic 842, in adjusted debt and excludes operating lease cost, as defined by Topic 842, in adjusted EBITDA. Comparative balances previously referred to as present value of operating lease commitments and operating lease expense have not been adjusted and are now referred to as operating lease liabilities and operating lease cost, respectively. See Note 2 – Recent accounting pronouncements in the Company’s 2019 unaudited Interim Consolidated Financial Statements available on CN’s website, www.cn.ca/investors, for additional information. 97 CN 2019 INVESTOR FACT BOOK Debt Adjustments: Operating lease liabilities, including current portion1) Pension plans in deficiency 8,372 10,427 10,937 10,828 12,569 607607533478 579 400469442455 477 Adjusted debt 9,379 11,503 11,912 11,761 13,625 Net income Interest expense Income tax expense (recovery) Depreciation and amortization 3,167 3,538 3,640 5,484 4,328 371439480481 489 1,1931,3361,287(395) 1,354 1,0501,1581,2251,281 1,329 EBITDA Adjustments: Other income Other components of net periodic benefit income Operating lease cost1) 5,781 6,471 6,632 6,851 7,500 (107)(47)(95)(12) (376) (126)(111)(280)(315) (302) 201204197191 218 Adjusted EBITDA Adjusted debt-to-adjusted EBITDA multiple (times) 5,749 6,517 6,454 6,715 7,040 1.63 1.77 1.85 1.75 1.94

4Financials Overview Markets Operations Financials Non-GAAP Measures (cont.) Return on invested capital (ROIC) and adjusted ROIC Management believes ROIC and adjusted ROIC are useful measures of the efficiency in the use of capital funds. The Company calculates ROIC as return divided by average invested capital. Return is defined as net income plus interest expense after tax, calculated using the Company’s effective tax rate. Average invested capital is defined as the sum of total shareholders’ equity, long-term debt and current portion of long-term debt less cash and cash equivalents, and restricted cash and cash equivalents, averaged between the beginning and ending balance over a twelve-month period. The Company calculates adjusted ROIC as adjusted return divided by average invested capital. Adjusted return is defined as adjusted net income plus interest expense after-tax, calculated using the Company’s effective tax rate, excluding the tax effect of adjustments used to determine adjusted net income. The following table provides a reconciliation of net income and adjusted net income to return and adjusted return, respectively, as well as the calculation of average invested capital, which have been used to calculate ROIC and adjusted ROIC: Unaudited ($ millions, except percentage) As at and for the year ended December 31 2014 2015 2016 2017 2018 1) The effective tax rates from 2014 to 2018 used to calculate the tax on interest expense are 27.4%, 27.4%, 26.1%, 25.8% and 23.8%, respectively. Due to the negative tax rate reported by the Company in 2017, tax on interest expense for 2017 was calculated using an adjusted effective tax rate. 2) See section entitled Adjusted Performance Measures for an explanation of this non-GAAP measure. 3) The adjusted effective tax rates from 2014 to 2018 used to calculated the adjusted tax on interest expense are 27.7%, 26.5%, 26.2%, 25.8% and 24.5%, respectively. 98 TOGETHER INTO OUR NEXT CENTURY Net income Interest expense Tax on interest expense 1) 3,1673,5383,6405,484 4,328 371439480481 489 (102)(120)(125)(124) (116) Return 3,436 3,857 3,995 5,841 4,701 Average total shareholders' equity Average long-term debt Average current portion of long-term debt Less: Average cash, cash equivalents, restricted cash and restricted cash equivalents 13,21214,21014,89615,749 17,149 7,3058,4079,2179,098 10,067 7839931,4661,785 1,632 (589)(596)(674)(613) (656) Average invested capital 20,711 23,014 24,905 26,019 28,192 ROIC16.6% 16.8% 16.0% 22.4% 16.7% Adjusted net income 2) Interest expense Adjusted tax on interest expense 3) 3,0953,5803,5813,778 4,056 371439480481 489 (103)(116)(126)(124) (120) Adjusted return Average invested capital 3,363 3,903 3,935 4,135 4,425 20,71123,01424,90526,019 28,192 Adjusted ROIC16.2% 17.0% 15.8% 15.9% 15.7%

Labour Relations Data Table Our commitment to our employees and our employees’ unions is to maintain our positive relationships that will enable us to build and sustain regular and on-going dialogue with union leaders to work with them on issues of mutual interest. We strive to reach consensus whenever we can, and when we cannot, we use traditional and alternative forms of dispute resolution to peacefully resolve our differences. Canada As at the end of 2018, CN employed a total of 17,976 employees in Canada, of which 13,778 were unionized. United States As at the end of 2018, CN employed a total of 7,744 employees in the U.S., of which 6,425 were unionized. UNIONIZED EMPLOYEES: CANADA AND U.S. As at December 31, 2018 Number Expiration CN WORKFORCE As at December 31, 2018 Canada U.S. Total 1) In negotiations. 99 CN 2019 INVESTOR FACT BOOK All employees Unionized employees Non-unionized employees 17,9767,74425,720 13,7786,42520,203 4,1981,3195,517 CANADA Conductors and Yard Coordinators Track Forces Shopcraft Locomotive Engineers Clerical and Intermodal Signals and Communications Rail Traffic Controllers Special Agents Other 3,63022/07/2019 2,77231/12/2023 2,04331/12/2022 2,09431/12/2022 1,78931/03/20191) 73331/12/2021 18031/12/2022 6531/12/2023 472– UNITED STATES Enginemen, Conductors and Yard Coordinators Track Forces Locomotive Engineers Shopcraft Signals and Communications Clerks Other 1,799N /A 1,338N /A 1,108N /A 1,070N /A 399N /A 268N /A 443N /A

4Financials Overview Markets Operations Financials Shareholder and Investor Information Transfer agent and registrar Computershare Trust Company of Canada Offices in: Montreal, QC; Toronto, ON; Calgary, AB; Vancouver, BC Telephone: 1-800-564-6253 www.investorcentre.com/service Investor relations Paul Butcher Vice-President, Investor Relations Telephone: 514-399-0052 Fax: 514-399-5985 Michaël Archambault Senior Manager, Investor Relations Telephone: 514-399-4654 Fax: 514-399-5985 Email: investor.relations@cn.ca Co-transfer agent and co-registrar Computershare Trust Company, N.A. Attn: Stock Transfer Department Overnight mail delivery: 250 Royall Street Canton, MA 02021 Regular mail delivery: P.O. Box 43078 Providence, RI 02940-3078 Telephone: 303-262-0600 or 1-800-962-4284 Mailing address CN Investor Relations 935 de La Gauchetière St. W. 16 Floor th Montreal, QC H3B 2M9 www.cn.ca/investors Shareholder services Shareholders with questions concerning their shares should contact: Computershare Trust Company of Canada Shareholder Services 100 University Avenue, 8th Floor Toronto, ON M5J 2Y1 Telephone: 1-800-564-6253 www.computershare.com 100 TOGETHER INTO OUR NEXT CENTURY DESIGN: CAPSULE CREATIVE WWW.CAPSULECREATIVE.CA

KEEPING INVESTORS UP-TO-DATE CN Investor Relations understands the importance of communicating the CN story and the most current and timely information to our shareholders, the financial community and other stakeholders. The Investors section of our website holds a wealth of information to keep investors and potential investors informed and up-to-date. Weekly key metrics Current stock information Latest financial results and reports Upcoming webcasts and events www.cn.ca/investors Our executive team is regularly interacting with the investment community through our quarterly investor call and industry conferences. We provide a comprehensive schedule of upcoming investor events on our website, including webcast information. Don’t miss out on the latest news and events from CN. www.cn.ca/investors/ webcasts-and-events We understand the importance of accessing the latest and historical financial and other company reports, including the Investor Fact Book, Annual Report and Sustainability Report. Each month, we update our Investor Presentation to showcase our commitment to share our great CN story. www.cn.ca/investors/ reports-and-archives We have a host of tools that provides helpful data about CN’s common shares on the Toronto Stock Exchange (TSX: CNR) and the New York Stock Exchange (NYSE: CNI). These tools include: stock information, interactive charts, stock price history and splits, an investment calculator and dividends. www.cn.ca/investors/ stock-information CN reports our performance measures weekly. These measures represent some of the key indicators of railroad performance. We report both key weekly volumes dates for RTMs and carloads, and key weekly operating metrics, such as car velocity and through network train speed. www.cn.ca/investors/ key-weekly-metrics

“In 2019, as we celebrate CN's 100th anniversary, we take the opportunity to look back on how far we've come: from a collection of disparate railways and life as a Crown corporation helping to build a nation, to our privatization in 1995 and growth through Mid-America to the Gulf of Mexico. As we look forward to our next 100 years, CN is well-positioned to lead the industry in safety, sustainability, innovation and growth.” JJ RUEST President and CEO PICTURED: Photo by CN employee J. Norman Lowe (1953 to 1988), showcasing the innovation in CN locomotives through the years, from wood burning to steam to diesel. STAY CONNECTED WITH CN: www.cn.ca facebook.com/CNrail twitter.com/CNRailway linkedin.com/company/cn