1. Incentive compensation – dollar amount for base salary, incentives, pensions, etc. (similar to DEF14A for public company) for executive committee and board of directors?
   The board of directors are paid $50 per board meeting.
2. Cotton Belt economics – Can you please help answer my questions? Return, Cost, Funding – Is this cost $1.135 billion? 80% debt funding? What are current forecasts from revenue for this project, the cotton belt?
   The Cotton Belt Corridor Regional Rail Project has a capital budget of $1.243 billion. As part of the financing plan for this project, we have arranged for a $908 million loan from the U.S. Department of Transportation. Passenger revenue is projected at $3.5 million annually.
3. Financial projections for $1.135 billion project.
   
   1. Revenue - # Passengers (Ridership) * Revenue Per Ride. What are the forecasts? Also, do you have forecast of actual # of passengers that will use it per day?
      Passenger revenue: #3.5 million annually. Boardings are forecast at 5,630 at the beginning of revenue service. Many riders will make one-way trips to DFW Airport.
   2. Operating Costs (excluding additional corporate overhead) This is cost to run train (labor, diesel, etc.)
      Operating costs (reflected in the commuter rail line item in the DART FY 2019 Twenty-Year Financial Plan) total $17.2 million annually. This includes maintenance and administrative costs.
   3. Gross Profit
      Please note, public transportation does not operate at a profit. Externalities, including the beneficial impact of congestion mitigation, improved air quality and economic development, support tax funding.
   4. Selling, General, Admin – What is the cost increase?This amount is included in 3.b.

e. EBITDA

Please note, public transportation does not operate at a profit. Externalities, including the beneficial imp[act of congestion mitigation, improved air quality and economic development, support tax funding.

f. Maintenance Capital – What is the annual maintenance capital? – ex: spares, etc. to maintain the fleet

This amount is included in 3.b.
g. Interest expense - $908 million * what interest?

The $908 million loan from the U.S. Department of Transportation has an interest rate of 2.98%.

1. 1.35 million riders – are these really rides or one-way trips?
   Boardings are forecast at 5,630 per day at the beginning of revenue service.
   Many riders will make one-way trips to DFW Airport.
2. Is the capital cost really $840 per way? (i.e. - $1.135 billion/1.35 million rides)
   Capital cost is $1.243 billion. Ridership forecast is 2.054 million annually.
3. Using O & M and excluding the massive interest burden - $20 million O & M / 1.35 million rides (One-way) = 16 subsidy per ride. Add on top of this $908 million debt @ sat 4% than additional $36 million or $27 per ride. Implies $49per ride? Is this right?
   The subsidy per boarding is $6.67. ($17.2 million operating costs less $3.5 million passenger revenue divided by 2.054 million trips)