Watco Selects Wi-Tronix Solution to Reduce Fuel Cost and Improve Operational Efficiency

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Wi-Tronix, LLC announced that Watco Companies, Inc. is deploying Wi-Tronix's suite of locomotive remote monitoring solutions on its Southern Kansas and Oklahoma Railroad (SKOL) and Arkansas Southern Railroad (ARS) locomotive fleets.

The Wi Tronix system supplies Watco timely and accurate information to all levels of our organization. This allows Watco to make proactive decisions that support our operating plan and provide outstanding customer satisfaction.

Wi-Tronix, LLC announced today that Watco Companies, Inc. is expanding the deployment of Wi-Tronix's suite of locomotive remote monitoring solutions. Watco's South Kansas and Oklahoma Railroad (SKOL) and Arkansas Southern Railroad (ARS) locomotive fleets will be outfitted with Wi-Tronix Wireless Processing Units (Wi-PU) and Wi-FuelSensors beginning in April 2008. Wi-Tronix solutions are currently deployed on Watco's Eastern Idaho Railroad and Austin Western Railroad.

The Wi-Tronix solution provides Watco an immediate return on investment in several areas. The Wi-Tronix Wi-PU continuously monitors locomotive operation and allows Watco to identify operational improvements that result in fuel savings and extend equipment life. The real-time alerting capabilities of the Wi-Tronix system pin-points areas for improvement so that cost savings can be quickly implemented. The Wi-Tronix solution has enabled Watco to identify and eliminate the primary cause of excessive traction motor wear significantly reducing costly traction motor replacements. Wi-Tronix is placing valuable information at the fingertips of Watco's management team resulting in a significant reduction in operating cost.

Watco is improving its' operational efficiency through the use of the Wi-Tronix Wi-Tracker and Wi-DownloadER solutions. Watco and Wi-Tronix have collaborated to create systems that further automate their car reporting system. Not only does this system reduce costly manual car reporting, it also improves the timeliness and accuracy of the information resulting in improved customer service. The Wi-Tronix system provides detailed insight on locomotive utilization and the execution of daily operations. Terry Towner, President and Chief Operating Officer of Watco Companies stated, "The Wi Tronix system supplies Watco timely and accurate information to all levels of our organization. This allows Watco to make proactive decisions that support our operating plan and provide outstanding customer satisfaction."

About the Wi-Tronix Solution:
Wi-Tronix turnkey mobile-asset management solutions provide an immediate and positive impact to the bottom line. Wi-Tronix technology is either deployed or in the process of being deployed on over 2,200 mobile platforms.

Reduce Fuel Cost: Monitoring and improving the techniques used by locomotive operators can reduce fuel consumption by 5-10%. The on-board Wi-Tronix system continuously monitors and analyzes operating parameters using customizable rules to log and report inefficient operations. With fuel at record high prices, it is critical to identify and correct wasteful operating practices in order to reduce fuel costs and improve operating margins.

Improved Locomotive Utilization: The Wi-Tronix Wi-Tracker maximizes locomotive utilization and fuel savings. Wi Tracker provides a full suite of indispensable tools such as: statistics on utilization, engine shutdown and duty cycle, fuel monitoring using geo-fencing, locomotive fault and exception-based alerting, mapping and more. Up-to-the-minute GPS tracking information enables network planners to improve operating margins through better utilization of valuable capital assets.

Greater Productivity and Safety: The Wi-Tronix Wi-DownloadER saves countless hours of invaluable time with immediate remote access to download data from any source such as locomotive event recorders, engine control systems and remote control systems. The Wi-Tronix system also monitors for operator actions associated with emergency conditions and unsafe operation. The exact time, duration, start and stop location and operator actions are captured and appropriate customer representatives are immediately alerted via email and text messaging.

Proven Reliability and Ruggedized On-Board Platform: The Wi-Tronix Wireless Processing Unit (Wi-PU) is the ruggedized on-board foundation for Wi-Tronix turnkey solutions. The Wi-PU provides Communication Management Unit (CMU) functionality, on-board subsystem interfaces and real-time analysis of operational parameters. The Wi-PU's proven performance is well suited for the punishing environmental conditions encountered on mobile platforms such as locomotives and mining vehicles. The Wi-PU is modular and can be configured for a customer's specific communication and interface needs. Available options include cellular, WLAN and satellite. A wide array of Input/Output, serial, Ethernet, video and user interface options are available.

About Wi-Tronix, LLC:
Wi-Tronix, LLC, headquartered in Bolingbrook, Illinois, provides products and services to wirelessly monitor high-value mobile assets used in rail, marine and other commercial and industrial operations. Wi-Tronix's mission is to enable businesses to improve the operational efficiency, service reliability and safety of high-value mobile assets. For additional information visit the Wi-Tronix website at http://www.wi-tronix.com.

About Watco Companies, Inc.:
Watco Companies, Inc. (Watco), a Pittsburg, Kansas, based company, operates 17 railroads in 15 states. Watco operates the Alabama Southern, Austin Western, Arkansas Southern, Eastern Idaho, Great Northwest, Kansas and Oklahoma, Kaw River, Louisiana Southern, Mission Mountain, Mississippi Southern, Palouse River and Coulee City, Pennsylvania Southwestern, South Kansas and Oklahoma, Stillwater Central, Timber Rock, Vicksburg Southern and Yellowstone Valley Railroads. Watco also operates industrial switching locations and mechanical locomotive shops across the United States and is the owner of Millennium Rail, Inc. and Reload Inc. More information about Watco and its subsidiaries can be found at http://www.watcocompanies.com.

Wi-Tronix, the Wi-Tronix logo, Wi-PU, Wi Tracker and Wi-DownloadER are registered trademarks or trademarks of Wi Tronix, LLC. All other trademarks are property of their respective companies.

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