A Leading North American

Transportation and Logistics

Company

INVESTOR PRESENTATION
NOVEMBER 2019

TSX: CNR NYSE: CNI

Forward-Looking Statements
Certain statements included in this presentation constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform
Act of 1995 and under Canadian securities laws, including but not limited to, statements with respect to CN’s operations, business opportunities and anticipated
financial performance, including diluted earnings per share (EPS) and adjusted diluted EPS growth, operating ratio, adjusted return on invested capital (ROIC), free cash
flow, dividends per share growth, and the related key assumptions. 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.

2019 key assumptions

CN has made a number of economic and market assumptions in preparing its 2019 outlook. The Company assumes that North American industrial production for the
year will increase in the range of 0.5 to one per cent, and assumes U.S. housing starts of approximately 1.25 million units and U.S. motor vehicle sales of
approximately 17 million units. For the 2018/2019 crop year, the grain crops in both Canada and the United States were in line with their respective three-year
averages. The Company assumes that the 2019/2020 grain crop in Canada will be in line with the three-year average and that the 2019/2020 grain crop in the United
States will be below the three-year average. CN assumes RTM volume growth in 2019 will be slightly negative compared to 2018. CN assumes continued pricing above
rail inflation. CN assumes that in 2019, the value of the Canadian dollar in U.S. currency will be approximately $0.75, and assumes that in 2019 the average price of
crude oil (West Texas Intermediate) will be in the range of US$55 to US$60 per barrel. In 2019, CN plans to invest approximately $3.9 billion in its capital program, of
which $1.6 billion is targeted toward track and railway infrastructure maintenance.
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; changes in business strategies; 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 at www.sedar.com as well as on the U.S. Securities and
Exchange Commission's website at www.sec.gov through EDGAR and available on CN's website at www.cn.ca/en/investor, 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.

2
Non-GAAP Measures
CN reports its financial results in accordance with United States generally accepted accounting principles (GAAP). CN also uses non-GAAP measures in this
presentation that do not have any standardized meaning prescribed by GAAP, including adjusted performance measures, free cash flow, adjusted debt-to-adjusted
EBITDA multiple, adjusted dividend payout ratio, return on invested capital (ROIC) and adjusted ROIC. These non-GAAP measures may not be comparable to similar
measures presented by other companies. For an explanation of adjusted dividend payout ratio, ROIC and adjusted ROIC, refer to the Appendix to this presentation. For
further details of the other non-GAAP measures, including a reconciliation to the most directly comparable GAAP financial measures, refer to the supplementary
schedules entitled Non-GAAP Measures for the 2019 Third Quarter Results and for the years 2013 to 2018, as well as the Company’s 2012 Q4 Financial Statements,
available at www.cn.ca/financial-results.

CN's full-year adjusted earnings per share (EPS) outlook excludes the expected impact of certain income and expense items. However, management cannot
individually quantify on a forward-looking basis the impact of these items on its EPS because these items, which could be significant, are difficult to predict and may
be highly variable. As a result, CN does not provide a corresponding GAAP measure for, or reconciliation to, its adjusted EPS outlook.
All amounts in this presentation are expressed in Canadian dollars, unless otherwise noted.

3
North American Rail Industry Landscape
Seven Class 1 railways in North America

• A backbone of the North American

economy and an enabler of trade
• US, Canada and Mexico represent ~500M in
population and GDP of US$24.3 Trillion

• Very high barriers to entry

• Significant capital cost to replicate rail
network
• Infrastructure owned by the railroads, except
in Mexico

• Current trends favoring rails

• Trucking regulations and driver shortage
• Growing environmental pressure
• Highway congestion and aging public
infrastructure

• Safety as a core value

• More than 99.999% of all hazmat moved by
rail reaches its destination without a release
cause by an incident (1)

• Sustainable way to move goods

• A freight train on average moves one ton of
freight more than 470 miles on one gallon
(200km on one liter) of fuel

(1) Source: Association of American Railroads (AAR)

4
CN at a Glance
TSX: CNR NYSE: CNI

• Backbone of the economy and enabler of trade $14B $85B

transporting goods for a wide range of
business sectors, ranging from resource Total revenues Latest market cap (1)
products to manufactured products to
consumer goods, across a rail network of
approximately 20,000 route-miles (32,000 km)
spanning Canada and mid-America
61.6% 15.7%
• Regarded internationally as one of the best-
performing transportation and logistics Operating ratio Adjusted ROIC (2)
companies; our commitment is to create value
for both customers and shareholders by
deepening customer engagement, leveraging
the strength of our franchise and delivering
Operational and Service Excellence
$2.5B $3.5B
Free cash flow (3) Capital investments
• 5 out of 6 CN employees participate in the
Company’s Employee Share Investment Plan
(ESIP) and collectively own over $600 million
worth of shares
25,720 6.0M
Note: As at or for the year ending December 31, 2018.
Employees (end of period) Carloads
(1) As at October 28, 2019.
(2) Please see the Appendix for an explanation of this non-GAAP measure.
(3) Please see website, Financial Results, www.cn.ca/financial-results, for an explanation of this non-GAAP measure.
5
 CN’s Strengths and Competitive Advantages
• Unique franchise with 3-coast access • West Coast trade benefitting from Canada
Transpacific partnership, East Coast trade from
• Strategic and accretive acquisition track record
Comprehensive Economic and Trade Agreement
• Network fluidity advantage around Chicago (CETA)
• Pioneers of Scheduled Railroading • High-quality management team with proven track
record
• Solid growth profile / consistent pricing above
rail inflation, disciplined and balanced • Best-in-class supply chain enabler
approach to capital allocation
• Transformative diverse talent
• Strong balance sheet

1 year 5 years 10 years Consistently Outpacing the Market

(cumulative total return over last 10 years)
11% 63% 447% CNR/447%

CNI /351%

S&P 500/259%

S&P TSX/103%
Jun-10

Jun-11

Jun-12

Jun-13

Jun-14

Jun-15

Jun-16

Jun-17

Jun-18

Jun-19
Oct-09

Oct-10

Oct-11

Oct-12

Oct-13

Oct-14

Oct-15

Oct-16

Oct-17

Oct-18

Oct-19
Feb-10

Feb-11

Feb-12

Feb-13

Feb-14

Feb-15

Feb-16

Feb-17

Feb-18

Feb-19
Aug-10

Aug-11

Aug-12

Aug-13

Aug-14

Aug-15

Aug-16

Aug-17

Aug-18

Aug-19
Dec-09

Apr-10

Dec-10

Apr-11

Dec-11

Apr-12

Dec-12

Apr-13

Dec-13

Apr-14

Dec-14

Apr-15

Dec-15

Apr-16

Dec-16

Apr-17

Dec-17

Apr-18

Dec-18

Apr-19
Source: Bloomberg

Index: Closing price October 2009 = 100

Assumes reinvestments of dividends 6
Executing our Strategic Game Plan
To deliver long-term profitable growth and create shareholder value

Driving shareholder value creation

$ Consistent capital allocation strategy with financial discipline
and flexibility to drive strong and sustainable ROIC

Implementing advanced technologies

to modernize Scheduled Railroading
At forefront of industry further enhancing safety, reliability and efficiency

Industry-leading long-term profitable growth

Multiple levers with solid pipeline to continue growing faster than the
economy at low incremental cost

Right talent to win

Action-oriented, deep bench with strong track
record and focus on continuous improvement

Our foundation
Service and operational excellence driven by culture of
continuous improvement and social responsibility;
pioneers of Scheduled Railroading with unique network

7
Our Foundation
Building blocks of our success

• Unparalleled three-coast network built

through accretive acquisitions
• Well diversified portfolio, customer base and
geographic exposure

• Pioneered Scheduled Railroading over

15 years ago
• Optimizing network to move customer goods
quicker – balancing operational and service
excellence

• Delivering responsibly with a strong

focus on ESG
• Culture of safety, efficiency, integrity and
diversity; part of the climate solution

8
Unparalleled Network Built Through Acquisitions
Solid track record of accretive inorganic growth

2019
FURTHER EXPANDING OUR REACH
TransX
H&R (subject to closing conditions) Prince Rupert
Massena rail line (subject to
regulatory review) Prince George

2009 Edmonton
Saskatoon
STRUCTURAL ADVANTAGE
IN CHICAGO Winnipeg
Vancouver
Elgin, Joliet and Eastern Railway

2006–2008 Montreal Halifax

SOLIDIFYING OUR REACH

Savage Alberta Railway
Mackenzie Northern Railway Toronto
Lakeland & Waterways Railway
Central Western Railway Chicago
Athabasca Northern Railway
Chemin de fer de la Matapédia et du Golfe
Ottawa Central Railway 1995
New Brunswick East Coast Railway 1998
Compagnie de Gestion de Matane 2001
Memphis
2004
1998–2004 2006-2007
BUILDING A THREE COAST ACCESS 2008
Illinois Central Railway 2009
Wisconsin Central Railway 2019
B.C. Railway New Orleans
Great Lakes Transportation

1995
SOLID CANADIAN FOOTPRINT
CN Network at privatization
9
 Well-Diversified Portfolio and Customer Base
Unique three coast network

Global West 26%

Domestic Canada 17%

Well-diversified portfolio
Other Revenues
Coal Transborder 35%
5%
Automotive
5% Southbound
Northbound
24%
11%
Global East 4%
6%
Metals and Intermodal
Minerals 25% Domestic U.S. 15%
11%
Forest Petroleum and TRAFFIC DENSITY LEGEND (1)
Products Chemicals GTMs per route mile

12% Grain and 20% Global South 3%

Over 100 million

Fertilizers 50-100 million

30-50 million
16% 10-30 million
Up to 10 million
Based on 2019 Q3 YTD revenues

(1) The map refers to traffic density based on annualized rates of Q3 2019 gross ton mile (GTM) production (million GTMs per route mile).

For more information on CN’s network, please visit www.cn.ca/en/our-services/maps-and-network. 10

Scheduled Railroading is
Our Foundation

• CN pioneered Scheduled Railroading over

15 years ago
• Optimizing the rail network to transport more
freight with the same amount of railcars and
locomotives
• Moving customer goods more efficiently by
increasing train lengths, speed and reducing dwell
time at yards

• Driving safety, service, productivity, asset

utilization and cost control
• Deploying technology – next strategic
driver of value
• Continuing to further advance our operational
model to the next level

• Continuing to be nimble on resource

allocation
• Rightsizing the railcars, locomotives and crews
according to the customer demand

11
Balancing Operational and Service Excellence

Operational Excellence – Adding capacity by Service Excellence - Delivering superior service

running heavier and longer trains by leveraging our supply chain approach

• Starts with an unwavering commitment to • Customer-centric metrics

safety
• Level of service agreements with ports and
• Fosters enhanced employee engagement terminal operators
• Targets continuous productivity
improvement • CustomerFIRST initiatives including a
greater focus on first-mile/last-mile service
• Anchored on data, fact-based dialogue and
a culture of execution • Visibility tools and enhanced
communication channels

12
Track Record of Profitable Growth Over the Years

Industry Revenue Ton Miles (RTMs)

(Index – 2012=100)
RTM
OR (2)
130 CAGR (1)

125
3.5% 56.1%
120
56.8%
115 2.2%
57.9%
110 1.8%
105 1.7%
59.5%
100

95 62.3%
-1.5%
90
-1.6% 64.9%
85

80
2012 2013 2014 2015 2016 2017 2018

NSC KSU UP CP CSX CN

Industry leading in volume growth and amongst the leaders in operating ratio

(1) RTM CAGR is calculated from 2012 to 2018.

(2) Operating Ratio (OR) as reported for Q3 2019 and based on the companies’ financial statements.
13
 Delivering Responsibly for a Sustainable Future
CN supports the United Nations Sustainable Development Goals (SDGs), which align with our vision for a sustainable world.
Our five sustainability pillars are aligned with the SDGs where we have the potential to make the greatest contribution. We are
committed to reporting our progress on these goals as we continue to evolve, transform and innovate our business

Environment Safety People Community Governance

Conduct our operations Be the safest railroad in Provide a safe, supportive Build safer, stronger Continuously improve
with minimal North America by and diverse work communities by investing our culture of integrity
environmental establishing an environment where our in community and ethical business,
impact, while providing uncompromising safety employees can grow to development, creating building trust and
cleaner, more sustainable culture and implementing their full potential and be positive socio-economic confidence with all our
transportation services a management system recognized for their benefits and ensuring stakeholders
to our customers. designed to minimize risk contributions to our open lines of
and drive continuous success communication
improvement

Take urgent action Build resilient Promote sustained, Make cities and Achieve gender
to combat climate infrastructure, promote inclusive and sustainable human settlements equality and empower
change inclusive and sustainable economic growth, full and inclusive, safe, all women and girls
and its impacts industrialization and productive employment resilient and
foster innovation and decent work for all sustainable

14
ESG Priorities
Delivering responsibly is at the heart of how CN is building for a sustainable future. It means moving customers’ goods
safely, being environmentally responsible, attracting and developing the best railroaders, helping build stronger communities
and adhering to the highest governance standards

Environmental Protection Social Responsibility Strong Governance

• Conduct our operations with • Run a safe operation with an • Continuously improve our culture of
minimal environmental impact uncompromising safety culture integrity and ethical business
conduct
• Drive emissions and energy • Provide a safe, supportive and
efficiency - reduced Greenhouse diverse work environment where • Align executive compensation with
Gas (GHG) emission intensity by our people can grow to their full shareholders
40% over the past 25 years potential
• Committed to diversity; signatory to
• Work with our customers to • Build stronger communities across the Catalyst Accord; member of
measure and help them reduce our network 30% Club
their transportation supply chain
GHG emissions by leveraging rail
for the long haul and trucking over
shorter distances.

Recent recognitions

15
A Strong Track Record of Fuel and Carbon Efficiency
CN is approximately 15% more carbon efficient then the industry average

Rail locomotive carbon emissions intensity vs Gross Ton

40%
Areas of Focus – Opportunities

Miles (GTMs) Locomotive emissions intensity

improvement over the last 25 years

19.0 600

18.0
500
17.0

16.0
400

GTM in Billions
15.0
tCO2e/GTM

14.0 300

13.0
200
12.0

11.0
100
10.0

9.0 0
1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018
tCO2e/ GTM Traffic Billion GTM

CN has set a science-based target for carbon emissions, it reflects a 29% reduction in
emissions per tonne kilometers by 2030 vs 2015
16
Continuing to Reduce Our Carbon Footprint

Fuel Efficiency GTMs (1)

Q3 2019 Fuel
Efficiency (1)

1.40 Worst
1.27

1.30 1.19

1.20 1.08

1.10 0.98

0.93
1.00

0.89
0.90 Best
2012 2013 2014 2015 2016 2017 2018

KSU NSC UP CSX CP CN

Industry leading in fuel efficiency

(1) Fuel consumed per 1,000 GTMs as reported for Q3 2019 and based on the companies’ financial statements.

17
Right Talent to Win
Action-oriented, deep bench with strong
track record

• Seasoned leadership team with an

average of 20+ years
• Onboarding experienced, external
talent to drive next wave of innovation
• Leveraging existing employee base
with new talent to value methodology

18
Highly Experienced Leadership Team
JJ Ruest Rob Reilly Ghislain Houle
President & Executive VP & Executive VP &
Chief Executive Chief Operating Chief Financial
Officer Officer Officer

• 23 years with CN • 30 years of experience in the rail industry • 22 years with CN

• Served as CMO for 8 years • Deep understanding of the intermodal • Qualified conductor and engineer
business at major ports & large terminals

Sean Finn Keith Reardon James Cairns

Executive VP Senior VP Senior VP
Corporate Services & Consumer Product Rail Centric Supply
Chief Legal Officer Supply Chain Chain

• 26 years with CN • 19 years with CN • 31 years with CN

• 11 years in current role • 7 years leading Intermodal at CN • Over 20 years in carload markets
• Operational experience

Michael Foster Kim Madigan Paul Butcher

Executive VP & Senior VP Human VP Investor Relations
Chief Information Resources
and Technology
Officer

• 23 years of experience in IT & logistics • 20 years with CN • 26 years with CN

• Joined CN in 2018 from FedEx • 10 years in current role • 10 years in investor relations

For more information on CN’s company officers, please visit www.cn.ca/company-officers.

19
Leveraging Strong Talent Pool
First railroad to implement talent to value methodology

Labour stability
Empowering • Seasoned scheduled railroaders and proven market makers each with over
internal
Canadiantalent 20 years of experience
unionized
workforce

Embracing • Challenging the art of what is possible

external talent • Bringing best in class ideas from other industries to further enhance our
world class model

20
Developing the Best Railroaders
Continuous
learning and 1.9 million hours in 2018, covering skills, re-certification, and various leadership
development programs as well as entry-level training

development
Ensuring continuous learning for our employees is critical to having a skilled, safe and
engaged labor force
Position Number of employees (1) Expiration
Labour Conductors and yard coordinators 3,630 July 22, 2019 (2)
stability Track forces 2,772 December 31, 2023

Shopcraft 2,043 December 31, 2022

Canadian
Locomotive engineers 2,094 December 31, 2022
unionized Clerical and Intermodal 1,789 December 31, 2022
workforce Signals and communications 733 December 31, 2021

U.S. unionized CN is part of a national labor relation council which works in collaboration with all the
railroads to provide a stable landscape to operate in the U.S.
workforce

(1) As at December 31, 2018. Excludes rail traffic controllers, special agents and other.
(2) Currently in negotiations, agreement still effective until it is renewed and is following usual process.
21
Creating a Diverse and Inclusive Work Environment

Strengthening our diversity Partnerships driving our Promoting cultural

commitment diversity objectives awareness

• Focus on minorities, women, • Partnered with PGNAETA (1) • Created a Diversity Task Force
persons with disabilities as and BCIT (2) to train Aboriginal and implemented a number of
well as Aboriginal peoples’ railway workers, hiring 70% of diversity initiatives
the graduates in 2018
• Looking to increase diversity at • Provided cultural awareness
more senior levels within our • Working closely with POWE (3), training and employee
Company, as our workforce women in engineering and sensitivity on Aboriginal
continues to turnover due to women building futures to issues, and held discussions
many retirements promote opportunities for on diversity at our “Working
women in non-traditional roles Together” initiative, enabling
employees to candidly discuss
diversity and the need for
inclusion and teamwork

38% 40% 30%

Of our directors are women; New employees in Canada and Increase of diversity hiring in
meeting CN’s policy of minimum 29% in U.S. represented by Canada, and doubled the number
Board representation diversity groups of women hired in both Canada
of 1/3 women and the U.S.
(1) Prince George Nechako Aboriginal Employment Training Association (PGNAETA).
(2) British Columbia Institute of Technology (BCIT).
(3) Promoting Opportunities for Women in Engineering (POWE).
22
Targeting Industry-
Leading Long-Term
Profitable Growth
Solid pipeline of growth opportunities
• Focused on consumer product and rail
centric supply chain organic
opportunities

• Disciplined acquisitions and strategic

partnerships

• Aiming to deliver compounded pricing

above rail inflation

23
Consumer Product Supply Chain Growth

• Multiple gateways and 3-coast access to 15 port terminals

• Extensive network reach with 23 intermodal terminals
• Best gateways in North America
• Port of Prince Rupert; exclusively served by CN and two days sailing advantage vs Los
Intermodal Angels or Long Beach; plans to increase capacity from 1.35M TEU (1) to 1.8M TEU by 2022
• Port of Vancouver; planned expansions from 2.75M TEU to 4.5M TEU by 2022
• Port of Halifax; exclusively served by CN and shortest sailing time from Europe; working
closely with PSA to enable growth on our underutilized Eastern Network
• Focused on road-to-rail conversion, with partnership to reach further markets

• 18 strategically located auto compounds covering 15 major metropolitan dealer markets

across North America
Automotive • New plant expansion plans/future product investments from Ford and Fiat Chrysler
Automobiles (FCA)
• Largest mover of Tesla’s in Canada

(1) TEU stands for Twenty-Foot Equivalent Unit which can be used to measure a ship’s cargo carrying capacity. The dimensions of one TEU are equal to that of a standard 20′
shipping container. 20 feet long, 8 feet tall. Usually 9-11 pallets are able to fit in one TEU.
24
Rail Centric Supply Chain Growth

• Significant investments by various stakeholders in Prince Rupert and Vancouver to expand

bulk capacity
Energy • New NGL (propane) export terminal capacity in Prince Rupert
• Clean energy segments growing (e.g. wind turbines, wood pellets, solar panels, lithium)

• 20 out of 21 new grain elevators built exclusively on CN’s network

• Solid CN franchise for forest product origination
Non-Energy • Reaching most important aluminum and steel production areas in North America
• Own and operate a fully integrated iron ore supply chain

25
Canadian West Coast Port Strategy
Vancouver – Investing to accommodate future growth
Customer investments – Over $1B in
private sector investments
1 Centerm – Planned increase in capacity from 600k TEU to
2
1.5M TEU (early 2022)
Vanterm - Planned increase in capacity from 850k TEU to
1.1M TEU (2020)

1 2 Neptune – Coal capacity from 12.2MT to 18.5MT (2021) and

Potash capacity from 6MT to 11.5MT (completed)
Fibreco (Grain / wood pellets) – added grain
B
Kinder Morgan – increased agriculture products through
A terminal
Cargill (Grain) – added third dumper
Richardson International Ltd (Grain) – Increased storage and
throughput 4-5MT capacity
G3 (Grain) – New grain terminal with 8MT capacity in 2020

3 Fraser Surrey Docks – DPW proposed acquisition of terminal

3 4 Deltaport – increased capacity from 1.3M TEU to 1.9M TEU

(completed) and plan to increase to 2.4M TEU

C
Rail investments (close to $300M jointly
funded by CN, Port of Vancouver and
Canadian Federal Government)

A 4.3 KM extension of double track (Q4-2021)

B Improving rail access to North Shore

• 5.8 km staging track, and tunnel ventilation
improvements (Q4 2020)
4 • Grade separation (Q1 2024)

C 5.6 km double track (Q2 2021)

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

26
Canadian West Coast Port Strategy
Prince Rupert – Served exclusively by CN
Customer terminal and logistics – Over $1B
in private and Canadian Federal
Government investments

1 1 Fairview Terminal (DPW) – Planned increase in capacity

from 1.35M TEU to 1.8M TEU (2022)

2 Vopak Pacific Canada – Planned bulk liquids terminal

scaling from 4 to 12 MMT (Ph. 1 for 2022)
Raymont Logistics – Interim agricultural products transload

3 Export Logistics (PRPA) – Planned permanent dry bulk, forest

C
products and intermodal transloading (2022)
4

4 Import Logistics (Metlakatla First Nation) – Planned import

value-added logistics support services (non- rail)

B 5 5 Pembina – Planned Liquefied Petroleum Gas (LPG) export

terminal with capacity of 25,000 barrels per day (2022)

Supporting road and rail infrastructure

investment – Over $250M jointly funded by
CN, PRPA and the Canadian Federal
2 Government

A New long siding for port area staging (2020)

3
B Zanardi Bridge, Rail and Causeway Expansion (2022)
A • New double track bridge over the Zanardi Rapids
• Two new dedicated leads to Ridley Island development
• Existing bridge rehabilitation

C Connector Road and Siding Project (2021)

• Two additional long sidings for intermodal support
• Connector Road directly linking current and planned
Ridley Island logistics with Fairview Terminal

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors. 27
 Canadian East Coast Port Strategy
Emulating the success of our Prince Rupert model

Sydney Leveraging our underutilized

Eastern network
Melford • East Coast port developments aim to
Quebec capture growth from ultra large container
Saint John Halifax
vessels
Montreal / Contrecœur • Canadian East Coast ports offer
competitive gateways for European and
Toronto Asian cargo
• Partnering with Eastern Canadian port
Detroit
operators to develop market competitive
Joliet
Chicago Existing Ports
end-to-end service to the U.S. Midwest

Decatur Potential New Ports

Indianapolis
Existing Port Expansion Recent developments
Target market • Halifax – working closely and strategically
with PSA, new operator of Halterm Terminal
• Quebec City – potential development of
new container terminal port in collaboration
with Hutchison Ports
Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important
risk factors.
28
2019 Market Outlook – Weakening Demand
Environment For the Rail Industry

Consumer Product Supply Chain Rail Centric Supply Chain

International intermodal market – focused on 2020 and beyond Coal

• Prince Rupert currently running at nameplate capacity (1.3-1.4 M • Strong growth in Canada - ramp up of Coalspur’s new mine
TEUs) with expansions planned for 2021 (250K TEUs) and 2022
(200k TEUs) • Weak U.S. thermal coal exports. Volumes well below 2018 levels

• Additional Cosco Vancouver business (started mid Q3) and The

ONE returning to CN (effective June 2020)
Grain
• Enhancing export capabilities - new grain source-load export
• Canadian grain harvest delayed due to poor weather conditions -
terminal in Regina (Nov 2019) and new plastic transload facility in
volumes pushed to 2020 as the harvest is quite late
Prince Rupert (Sept 2019). Phase 2 expansion in progress
• New CN-CSXT agreement for containers from NY/NJ/Philadelphia
to Montreal and Toronto (Q3 2019) Forest Product
Excess truck capacity impacting domestic intermodal volumes • Lumber in a secular shift in British Columbia. Several saw mills
• CargoCool and EMP growth outpacing the market substantially curtailed production given low lumber price and high stumpage fees

• Stronger E-commerce volumes now moving by rail

• Leverage TransX product suites to convert truck to rail intermodal Petroleum and chemicals
Automotive • Propane volume ramp up at the Altagas export facility in Prince
Rupert
• Vancouver autoport operational October 2019
• Uncertainty around crude by rail volumes. Difficult comps in Q4 2019
• Positive carload trend at CN-served OEM locations in Michigan and
Ontario • Solid market reach in refined petroleum. Connecting Alberta
production with desirable end markets
• New autoport facility near Minneapolis scheduled to open in Q3
2020 • Prince Rupert plastic export transload facility sold out the first month
of operation

Rail Centric Supply Chain is comprised of the following: Petroleum and Chemicals, Metals and Minerals, Forest Products, Coal, and Grain and Fertilizers.
Consumer Product Supply Chain is comprised of the following: Intermodal and Automotive.

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors underlying CN’s 2019 outlook.
29
 Leveraging our Unique Network
Key capacity expansions across our network

Prince Rupert

• Expansion of terminals
• Success of the supply chain and
collaboration with our partners to
compete in a global environment
• Consistent service provides Vancouver Regina Quebec
customers ability to grow their
business Montreal
Halifax
Saint John
• Investing in our inland terminals Brampton
supporting continued growth in key New Richmond, WI Milton
consumer growth markets
Malport
• New terminals
• To accommodate greater anticipated
demand
Port terminal expansions
• New automotive storefronts Inland terminal expansions
• Strengthening and growing our New intermodal terminal
relationships with our new Vancouver New automotive facilities
compound (operational)
• Extending our reach into new markets;
Minneapolis compound expected to Mobile
be completed in late 2020 New Orleans

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

30
International Intermodal –
Prince Rupert
Long term opportunity from
ongoing capacity expansion

• Currently operating at nameplate capacity of 1.35M TEUs

• Best West Coast gateway to North America
• 1-2 days closer sailing time
• Favorable roundtrip economics supported by export balance
• Close partnership between terminal and rail operations driving
efficiency and premium customer service
• 9 out of 10 major steamship lines now leveraging
Prince Rupert’s unique advantages

• Planned investments for Prince Rupert, jointly funded by

CN, Prince Rupert Port Authority (PRPA) and the Canadian
Federal government
• Additional 450,000 TEU capacity by 2022
• Including bulk expansions

Please see Forward-Looking Statements at the beginning of the presentation for a

summary of key assumptions and important risk factors.

31
International Intermodal – Vancouver
Joint investments by all supply chain stakeholders
• Significant terminal investments increasing
available capacity
• Rail-related investments in Vancouver, funded
by CN, Port of Vancouver and Federal North
Government, aligned to ensure gateway Vancouver
Lynn Creek Yard
fluidity

Centerm
Deltaport Vanterm
• 600K TEU capacity expansion completed in 2018 Vancouver Yard
– CN well-positioned to drive growth

Centerm
Lulu Island Yard
• Expansion project started Q3 2019 Vancouver
• Plan to increase annual container throughput Thornton Yard
capacity by 600K TEUs to 1.5M TEUs by early 2022 Vancouver
Intermodal
Fraser Surrey
Vanterm Terminal
Docks
• Planned expansion by 2020
• Plan to increase annual container throughput
capacity by 215K TEUs to 1.1M TEUs

CN
Please see Forward-Looking Statements at the beginning of the presentation CN Trackage Rights
for a summary of key assumptions and important risk factors.
Container terminals
Deltaport
CN Yard
32
International Intermodal – Port of Halifax
Feeding the eastern network

• Halterm Terminal now operated by PSA – a leading global port terminal operator
• Current capacity of 750K TEUs (utilized at around 20%)
• $250M of investments in the past 10 years:
• Longer and deeper piers
• Upgraded gates and marshalling areas

• 2019 investments - Super Post-Panamax ship-to-shore crane scheduled to be in service June 2020
and able to handle today’s largest vessels

• Additional investments in 2020 – Berth extension

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.
33
Recent Capacity Investments Enabling Service
Improvements in Domestic Intermodal
Wholesale
• Strengthening position through strong partnerships with industry leaders
• Courier traffic now back on CN
• Full membership in Equipment Management Pool (EMP) program
reducing empty container movements and extending our reach
• Integration of TransX best practices/cross-pollination:
• Efficient dispatching for better asset utilization
• Hands-on, personal customer service

Retail
• Strengthening position through door-to-door and CargoCool services
• Solid customer base and extensive network reach
Terminals
• Technology tools to improve asset utilization and productivity
• Vancouver Intermodal Terminal (VIT) returning capacity to domestic
intermodal now that Deltaport rail expansion is completed

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

34
Automotive
New storefronts and capacity expansions

• New auto compound in Vancouver providing ability to

drive growth in the area
• New auto compound in New Richmond, WI to access
Minnesota market with direct, single-line CN service
• New plant expansion plans/future product investments
from Ford and Fiat Chrysler Automobiles (FCA)
• Renewed and expanded agreement with GM
• First customer at the new automotive compounds in
Vancouver (October 2019) and New Richmond, WI (opening
in Q3 2020)

• AutoMobile International Terminal (2H 2020) – Roll-

on/Roll-off (RORO) terminal for imports and short sea
shipping from Mexico, conducive to CN rail network
to/from Canada and Midwest markets

Please see Forward-Looking Statements at the beginning of the presentation for a

summary of key assumptions and important risk factors.

35
Crude Oil
Best-in-class network from Western Canada to U.S. Gulf Coast

• Lack of U.S. Gulf Coast pipeline access and

growing production increases demand for
crude-by-rail
• Mindful of risk related to crude price
differentials and government interventions
• Working to create long term crude-by-rail
demand by promoting diluent recovery
capacity, bringing rail transportation costs in
line with new pipelines
• Advancing partnerships for CanaPuxTM pilot
and eventual full-scale deployment
• CanaPuxTM is a safe and innovative process for
transporting bitumen, formed by blending and
coating bitumen with polymer

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

36
Frac Sand and NGLs
Benefitting from our solid origin franchise in Wisconsin

• Great origination and termination frac sand

franchise
• Single-line efficient hook-and-haul
operation with long length of haul from
Wisconsin to Western Canada
• Mindful of risk related to local sourcing of
frac sand and demand volatility
• New Altagas propane export facility at
Prince Rupert (opened May 2019) – first
and only Canadian propane export
facilities, potential for others
• Providing Western Canadian propane
access to Asian markets
• CN direct access to NGL fractionation
capacity in Edmonton area
• Generating additional product that must
move by rail due to lack of pipeline capacity

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.
37
Coal & Petroleum Coke
CN exclusive export supply chains

• Unique single access to Ridley and Convent

Terminals, offering opportunities for strong
growth in export coal Fort McMurray

• Ramp-up of new Coal Spur (Vista) coal mine

(started in May 2019) with plan for 3M
tonnes annualized; potential to eventually
increase to the 6M to 10M tonnes range
• Heavy Canadian crude processes creating
increased petroleum coke volumes to
offshore markets through West Coast and
Gulf Coast gateways
• Sale of Ridely Terminal to the private sector
is positive for CN’s bulk export opportunities
and potential for commodity diversification
Coal Mines
• Planned investments at Port of Prince Rupert Export coal terminal
jointly funded by CN, PRPA and the Canadian
Federal government, supporting continued
expansion of this growing gateway

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

38
Refined Petroleum Products & Sulphur
Market disruption creating opportunities

• Growing demand for refined petroleum

products in Southern Ontario creating
opportunities to source refined petroleum
products from Alberta
• Unique CN reach from Alberta to
Southern Ontario

• Alberta oil sands production generating

increased sulphur volumes
• Unique CN reach from origin to export
facilities in Vancouver and the
St. Lawrence Seaway

Petroleum Products
Sulphur

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.
39
CN Serving the Majority of New Grain
Elevators Built in Canada since 2015

CN grain revenues Increased car spotting per week Increased customer participation
originating from Canada (1) for the 2019/2020 crop year in CN’s Western Canada fleet
67% 150 integration program

21 new grain elevators built on CN lines:

Waterfront export facilities
In operation 14 Ray-Mont Logistics Announced
20 CN Completed

exclusive Viterra
Announced 6
G3
GrainsConnect, Viterra
Shared 1 P&H G3
GrainsConnect
Grains Grains
Connect Connect ILTA
G3 P&H Viterra
G3
Other railroad 4 Fraser Grain Terminal,
Viterra
G3
P&H

G3, Fibreco P&H

G3
G3
Viterra

(1) Based on Q3 2019 revenues.

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.
40
Strategic Acquisitions and Partnerships
Building on our acquisition track record

Rail Centric Intermodal and Logistics Port Partnerships

Pursuing targets that help our customers get their products to market more efficiently, extend
our reach, and increase volume on our network

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

41
Disciplined Target Selection

Right Target to Financially Compelling Proven Track Record of ONE

Feed the Network and Executable Integration Goal

Creates incremental
rail volume
Determine standalone Deliver on expected
ROIC standalone return

Onboards talent
Identify revenue Driving shareholder
Realize synergies
and cost synergies value
Enables modal options &
complementary services
Consider required Cross-pollinate best
regulatory approvals practices
Extends physical &
commercial reach

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

42
 TransX – Recent Intermodal Transaction

Creating Incremental Onboarding Talent Enabling Extending Physical

Rail Volume Strong entrepreneurial Complementary and Commercial
management team with deep
Shifting over-the-road moves Services Reach
to rail and leveraging expertise in logistics,
Enhancing CN’s existing Deepening the temperature-
additional services to increase operations, dispatch and
intermodal supply chain controlled service offering
rail volumes temperature-controlled
solutions
supply chain

Broadening our intermodal services and solidifying our leadership as an end-to-end

transportation and logistics company

Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

43
Implementing Advanced
Technologies
Our next strategic driver of value

• Increasing speed to market, repeatable

and reusable
• Focused on key projects – from pilot to
implementation
• Autonomous track inspection program
• Automated inspection portals
• Handheld devices for mechanics and crew
• Enterprise automation
• Smart network (digital twin)

44
Information & Technology
Deploying advanced technologies to drive value

Autonomous Track Automated Inspection Handheld Technology

Inspection Program Portals for Conductors

Handheld Technology
Enterprise Automation for Car Mechanics Smart Network

1 Targeting cumulative
savings of $200–$400M
(1) (2)
2 Implementing technology as
a driver for safety, customer 3 Using advanced information
technology to take Scheduled
over 2020–2022 and shareholder value Railroading to the next level

(1) Please see website, CN’s 2019 Investor Day, www.cn.ca/en/investors/cn-investor-day, for additional information (Deploying Advanced Technologies –Our Next Strategic Driver of
Value –Michael Foster and Michael Farkouh).
(2) Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

45
Autonomous Track Inspection Program
Specially equipped railcars in regular train service at track speed with
the latest sensor and AI technology to fully automate track inspections

• Two geometry equipped inspection cars are now in service and gathering data on CN’s network

• Avoids slow speed hi-rail vehicles on the tracks performing manual/automated inspections

• Increases inspection frequency, quality and more accurate preventative maintenance to support our safety agenda

• Unlocks capacity and improves service reliability by reducing track disruptions

2 new fully equipped

inspection cars
Q4 2019 expected to be deployed 2021

6 laser & Lidar 2020 3 new fully equipped

equipped inspection cars
inspection cars expected to be deployed

46
 Automated Inspection Portals
High resolution imaging hardware coupled with
powerful machine learning software is changing
how we inspect our fleet
• Immediate benefits from reduction of mechanical manual roll-by
inspections at train departure from the yard, reducing initial train
start delays and improving yard capacity
• Future benefits from elimination of time consuming manual
Certified Car Inspections (CCI) assuming regulatory approval
• Contributing to improved border fluidity for intermodal trains by
ensuring manifest accuracy ahead of border crossing
• Increased frequency and improved quality of inspections, especially
on difficult parts of the railcar, including the undercarriage,
supporting our safety agenda

Full network buildout

5 portals built in Canada (additional ~10 portals)
17 algorithms developed Q3 2019 ~100 algorithms developed 2022

Q2 2019 2 portals installed 2021 Targeting

in the U.S. regulatory approval
for elimination of CCI

47
 Handheld Technology
A mobile foundation starting with 3 applications

Mobile Device for Mechanics (500 devices deployed)

• Increase data accuracy and scope of work billed
• Improve supervisors’ visibility of work progression and efficiency with remote
communication of instructions

Mobile Device for Train Crews (8,500 devices deployed)

• Speed up information flow to customers and increase accuracy and
completeness in reporting work performed
• Enable dynamic planning and work assignment, staying current on progress

Documentation on Mobile Devices

• Improve safety and productivity with easier navigation and access to operating
rules, customization of content and more robust update process

Full deployment of Car Enable digital reporting on

Repair Billing application Q4 2019 services to customers

Q3 2019 Full deployment of Electronic Operating Manual 2020

and the first phase of Mobile Reporting Services

Digitization of manual processes driving standardization,

improved productivity, reduced costs and better
revenue capture
48
Enterprise Automation
Using technology to automate and eliminate
manual and time consuming tasks

• Leveraging a variety of tools, such as Robotic Process

Automation (RPA), smart data capture, conversational
interfaces (chatbots), cognitive automation and agile
orchestration technologies
• Scalability at low incremental cost
• Enables employees to focus on value added tasks
• New Chief Digital Officer scaling up RPA digital lab,
accelerating digitization of labor intensive repetitive work
process

Assessing enterprise- Automating 10-15

wide opportunities processes across the
and prioritizing use network through a variety
cases Q3 2019 of automation tools

Q2 2019 Deploying RPA in Q4 2019

Service Delivery

49
Smart Network (Digital Twin)
An integrated digital scenario analysis and
simulation tool to improve insight and enhance
capacity planning relative to changing demand

• Simulates train movements on the network to gain insight on capacity,

cost and operational fluidity
• Anchored on simulation and a holistic view of network operations
• Stress testing scenario analysis will help identify options/trade-offs to
handle forecasted volume, including identification of specific pinch
points, on a more timely basis
• Particularly important given long lead times to bring new capacity online, such
as infrastructure construction, crews, and locomotives

Scenario capability for Locomotive and crew

main corridors Q4 2019 planning model in place 2021

Q3 2019 Integrated with modernized 2020 Full integrated

simulator engine network simulator

50
Driving Shareholder
Value Creation
Aiming for continued strong earnings
growth translating into solid Free Cash
Flow (FCF) generation
• Strong financial performance with industry-
leading margins and revenue growth

• Strong balance sheet and disciplined capital

allocation

• Solid historical Total Shareholder Return

(TSR)

51
Strong Track Record of Delivering Solid Results
▲8% ▲5% ▼ 20%
Revenues Q3 YTD 19 vs Net Income Q3 YTD 19 vs Free Cash Flow (1) Q3 YTD 19 vs
Q3 YTD 18 Q3 YTD 18 Q3 YTD 18

$M $M $M
Impacted by upfront
14,321 5,484 2,778 delivery of locomotives
12,611 12,037 13,041 2,373
2,520 2,514
11,333 4,328
10,513
3,538 3,640 1,881
3,185 3,343
1,499

CAGR 4% CAGR 7% CAGR 2%

2015 2016 2017 2018 Q3 YTD Q3 YTD 2015 2016 2017 2018 Q3 YTD Q3 YTD 2015 2016 2017 2018 Q3 YTD Q3 YTD
18 19 18 19 18 19

▲7% ▲14%
Diluted EPS Q3 YTD 19 vs Adjusted Diluted EPS (1) Q3 YTD 19 vs Adjusted ROIC (2)
Q3 YTD 18 Q3 YTD 18

$ per share $ per share

7.24

5.87
5.50 17.0%
4.39 4.67 4.62 4.99 15.8% 15.9%
4.31 4.44 4.59 4.56 15.7%
4.01

CAGR 10% CAGR 7%

2015 2016 2017 2018 Q3 YTD Q3 YTD 2015 2016 2017 2018 Q3 YTD Q3 YTD 2015 2016 2017 2018
18 19 18 19

(1) Please see website, Financial Results, www.cn.ca/financial-results, for an explanation of this non-GAAP measure.
(2) Please see the Appendix for an explanation of this non-GAAP measure.

For more financial information, please visit www.cn.ca/en/investors.

52
 Disciplined Approach to Capital Investments
Investing to support our business and committed to investing for the long-term

Capital Investments and Adjusted ROIC (1)

4,500
in $M & % respectively 35.0%

4,000
3,900
3,531 PTC (2)
30.0%

3,500

Capacity /
3,000

2,706 2,752 2,703 Growth 25.0%

Adjusted ROIC (1)
2,297
used to measure efficiency
2,500

2,017
2,000
1,825 Equipment of CN’s long-term capital
investment
20.0%

17.0%
16.2%
1,500

16.0% 15.8% 15.9% 15.7%

15.2%
1,000
Infrastructure 15.0%

maintenance
500

- 10.0%

(3)
2012 2013 2014 2015 2016 2017 2018 2019F
Capital investments as a percentage of revenues

18% 19% 19% 21% 23% 21% 25%

(1) Please see the Appendix for an explanation of this non-GAAP measure.
(2) Positive Train Control.
(3) Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors.

53
 2019 Network Infrastructure and High
Horsepower Locomotive Additions
Taverna – Prince Rupert
Prince Rupert 3 miles double track
1 new siding

New locomotive deliveries: Winnipeg – Edmonton

Edmonton 49 miles double track
Q1 063 P Taverna 34 miles completed

Q2 061 P
Vancouver Winnipeg
Q3 011 P Edmonton – Vancouver
Regina

18 miles double track

Q4 005 Chicago - Winnipeg
8 miles double track
Total 140 (~$500M (1) (2)) 1 new siding

Detroit

Legend New long siding / track Double track Double track completed Chicago

Supporting our solid pipeline of growth opportunities in diverse markets

(1) Estimated cost to purchase 140 locomotives in 2019.
(2) Please see Forward-Looking Statements at the beginning of the presentation for a summary of key assumptions and important risk factors. 54
 Rewarding Shareholders
Over $3.3B or ~82% of adjusted net income (1) returned to shareholders in 2018

Consistently increasing dividends Opportunistic share repurchases

• Dividend increased every year since • Over $22B of share repurchases since
1995 IPO 2000
• Targeting 35% adjusted dividend • Normal Course Issuer Bid (NCIB) of up
payout ratio (31% in 2018) (2) (3) to 22 million common shares from
February 1, 2019 to January 31, 2020
Annual dividend payout ($ per share) Amount spent on share repurchases
(adjusted for stock splits) (in $M)

2.15

2,000
2,000
2,000
1.82

1,750
1,584

1,505
1,483

1,420
1,418

1,400
1,400

1,271
1.00

1,021

913
0.07

0.51

273
656
203
529
-
1996

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019
…

19Q3YTD
2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018
(1) Please see website, Financial Results, www.cn.ca/financial-results, for an explanation of this non-GAAP measure.
(2) Please see the Appendix for an explanation of this measure.
(3) Please see Forward-Looking Statements at the beginning of the presentation.

55
 Maintaining a Strong
Balance Sheet
Prudent financial management

Adjusted debt-to-adjusted
EBITDA multiple (1)

1.94 1.90 1.96

1.85
1.71 1.74 1.77 1.75
1.63

2012 2013 2014 2015 2016 2017 2018 LTM (2) LTM (2)
ended ended
Sep 18 Sep 19

Investment Grade Credit Ratings

Moody’s A2
Dominion Bond Rating Service A
Standard & Poor’s A
(1) Please see website, Financial Results, www.cn.ca/financial-results, for an
explanation of this non-GAAP measure.
(2) LTM - Last 12 months. 56
 Latest 2019 Financial
Outlook
• Targeting to deliver adjusted diluted EPS growth
in the high single-digit range versus 2018
adjusted diluted EPS of $5.50 based on (1) (2):
• Slightly negative volume growth in terms of RTMs
• Overall pricing above rail inflation
• Canadian to U.S. dollar exchange rate of approximately
75 cents

• Aiming for a capital envelope at approximately

$3.9B for 2019

• Targeting an adjusted dividend payout ratio of

35% (3)

(1) Please see website, Third Quarter Results, www.cn.ca/financial-results, for an

explanation of this non-GAAP measure.
(2) Please see Forward-Looking Statements at the beginning of the presentation for a
summary of key assumptions and important risk factors underlying CN’s 2019
financial outlook.
(3) Please see Appendix for an explanation of this non-GAAP measure. Please see
Forward-Looking Statements at the beginning of the presentation.

57
Executing our Strategic Game Plan
To deliver long-term profitable growth and create shareholder value

Driving shareholder value creation

$ Consistent capital allocation strategy with financial discipline
and flexibility to drive strong and sustainable ROIC

Implementing advanced technologies

to modernize Scheduled Railroading
At forefront of industry further enhancing safety, reliability and efficiency

Industry-leading long-term profitable growth

Multiple levers with solid pipeline to continue growing faster than the
economy at low incremental cost

Right talent to win

Action-oriented, deep bench with strong track
record and focus on continuous improvement

Our foundation
Service and operational excellence driven by culture of
continuous improvement and social responsibility;
pioneers of Scheduled Railroading with unique network

58
Appendix

59
 Appendix: Financial Highlights
Consistently delivered 15%+ ROIC since 2012
Q3 Change
YTD Favorable
2012 2013 2014 2015 2016 2017 2018 CAGR 2019 (Unfavorable) (1)

Total revenues ($M) 9,920 10,575 12,134 12,611 12,037 13,041 14,321 6% 11,333 8%)

Operating income ($M) 3,552 3,819 4,498 5,155 5,032 5,243 5,493 8% 4,375 8%)

Diluted earnings per share ($) 3.06 3.09 3.85 4.39 4.67 7.24 5.87 11% 4.62 7%)

Adjusted diluted earnings per share ($) (2) 2.81 3.06 3.76 4.44 4.59 4.99 5.50 12% 4.56 14%)

Free cash flow ($M) (2) 1,661 1,623 2,220 2,373 2,520 2,778 2,514 7% 1,499 (20%)

Operating ratio (%) 64.2 63.9 62.9 59.1 58.2 59.8 61.6 61.4 20 bps

Adjusted operating ratio (2) 64.2 63.9 62.9 59.1 58.2 59.8 61.5 60.7 90 bps

Share repurchases ($M) 1,400 1,400 1,505 1,750 2,000 2,000 2,000 6% 1,271

Dividends per share ($) 0.75 0.86 1.00 1.25 1.50 1.65 1.82 16% 1.6125 18%

Adjusted debt-to-adjusted EBITDA multiple (times) (2) 1.71 1.74 1.63 1.77 1.85 1.75 1.94 1.96

Return on Invested Capital (ROIC) (%) (3) 17.3 15.4 16.6 16.8 16.0 22.4 16.7

Adjusted ROIC (%) (3) 16.0 15.2 16.2 17.0 15.8 15.9 15.7

(1) Q3 YTD 2019 vs Q3 YTD 2018.

(2) Please see website, Financial Results, www.cn.ca/financial-results, for an explanation of these non-GAAP measures.
(3) Please see the Appendix – Non-GAAP measures for an explanation of these non-GAAP measures.

60
 Appendix: Non-GAAP Measures
This presentation makes reference to non-GAAP measures that do not have any standardized meaning prescribed by GAAP,
including adjusted dividend payout ratio, ROIC and adjusted ROIC. These non-GAAP measures may not be comparable to
similar measures presented by other companies. These non-GAAP measures should not be considered in isolation or as a
substitute for financial measures prepared in accordance with GAAP.

Adjusted Dividend Payout Ratio

Management believes that the adjusted dividend payout ratio is a useful measure of the Company’s financial strength as it
demonstrates the sustainability of the Company’s dividend payments. The Company calculates the dividend payout ratio as
dividends divided by net income. The Company calculates the adjusted dividend payout ratio as dividends divided by adjusted
net income.

In $M, unless otherwise indicated 2012 2013 2014 2015 2016 2017 2018

Dividends 652 724 818 996 1,159 1,239 1,333

Net income 2,680 2,612 3,167 3,538 3,640 5,484 4,328

Dividend payout ratio (%) 24.3 27.7 25.8 28.2 31.8 22.6 30.8

Dividends 652 724 818 996 1,159 1,239 1,333

Adjusted net income (1) 2,456 2,582 3,095 3,580 3,581 3,778 4,056

Adjusted dividend payout ratio (%) 26.5 28.0 26.4 27.8 32.4 32.8 32.9

(1) Please see website, Financial Results, www.cn.ca/financial-results, for an explanation of this non-GAAP measure.

61
Appendix: Non-GAAP Measures (Continued)
ROIC and Adjusted ROIC
Management believes that 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.

In $M, unless otherwise indicated 2012 2013 2014 2015 2016 2017 2018

Net income 2,680 2,612 3,167 3,538 3,640 5,484 4,328

Interest expense 342 357 371 439 480 481 489
(1)
Tax on interest expense (91) (97) (102) (120) (125) (124) (116)
Return 2,931 2,872 3,436 3,857 3,995 5,841 4,701
Average invested capital 16,913 18,650 20,711 23,014 24,905 26,019 28,192
ROIC (%) 17.3 15.4 16.6 16.8 16.0 22.4 16.7
Adjusted net income (2) 2,456 2,582 3,095 3,580 3,581 3,778 4,056
Interest expense 342 357 371 439 480 481 489
(3)
Adjusted tax on interest expense (93) (95) (103) (116) (126) (124) (120)
Adjusted return 2,705 2,844 3,363 3,903 3,935 4,135 4,425
Average invested capital 16,913 18,650 20,711 23,014 24,905 26,019 28,192
Adjusted ROIC (%) 16.0 15.2 16.2 17.0 15.8 15.9 15.7
(1) The effective tax rates from 2012 to 2018 used to calculate the tax on interest expense are 26.7%, 27.2%, 27.4%, 27.4%, 26.1%, 25.8% and 23.8%, respectively.
Due to the negative effective tax rate reported by the Company in 2017, tax on interest expense for 2017 periods was calculated using an adjusted effective tax rate.
(2) Please see website, Financial Results, www.cn.ca/financial-results, for an explanation of this non-GAAP measure.
(3) The adjusted effective tax rates from 2012 to 2018 used to calculate the adjusted tax on interest expense are 27.3%, 26.6%, 27.7%, 26.5%, 26.2%, 25.8% and 24.5%, respectively.
62
Investor Relations Contacts

Paul Butcher
Vice President, Investor Relations
Paul.Butcher@cn.ca
514-399-0052

Michaël Archambault
Senior Manager, Investor Relations
Michael.Archambault@cn.ca
514-399-4654

For more information, please visit www.cn.ca/en/investors/investor-contacts.

TSX: CNR NYSE: CNI

63