2017-11-06T14:30:28-06:00 2016-12-31 420714325 RSM US LLP 9737 WASHINGTONIAN BLVD 400 GAITHERSBURG MD 208787340 990 2016-01-01 536000125 ASSOCIATION OF AMERICAN RAILROADS ASSO 2026392114 425 THIRD STREET SW NO 1000 WASHINGTON DC 20024 JEFFREY D MARSH SR. VP, FINANCE & CFO 2026392114 2017-11-06 1 WILLIAM E TURCO CPA P00369217 3012963600 108.171.131.188 2017-11-06 14:01:16 ES P B807BA4C69A73CA6C24C1450FD5847F62F078646 C19F5D3F195EC13517A150B69ABBCB37DF598FBC 2016 2018-03-14 21:41:22Z EDWARD R HAMBERGER 425 THIRD STREET SW NO 1000 WASHINGTON DC 20024 65165572 0 X WWW.AAR.ORG X 1934 DC TO PROMOTE THE COMMON INTERESTS OF RAILROADS. 11 10 104 10 92066 33576 0 0 60251508 56600645 24326 -41534 3483757 3071912 63759591 59631023 2441437 1443291 0 0 22372089 20954767 0 0 0 36499652 35746256 61313178 58144314 2446413 1486709 23979295 25518641 46399491 45801469 -22420196 -20282828 AAR PROMOTES A SAFE AND EFFICIENT NORTH AMERICAN RAIL SYSTEM WITH PRINCIPAL ACTIVITIES IN AREAS SUCH AS STANDARDS, OPERATIONS, SAFETY, SECURITY, PUBLIC AFFAIRS AND PUBLIC POLICY. 0 0 STRATEGIC RESEARCH INITIATIVES (SRI):SRI PRIORITIES ARE SHARPLY FOCUSED ON CURRENT AND FUTURE FREIGHT RAILROAD INDUSTRY ISSUES ASSOCIATED WITH SAFETY, EFFICIENCY, AND RELIABILITY. SRI PROJECTS INCLUDE INITIATIVES ADDRESSING THE PREVENTION OF RAIL FAILURES, THE DETECTION OF PROBLEMS WITH ROLLING STOCK, AND OPERATING WITH HEAVY AXLE LOADS. THE PROGRAM CONTINUED TO BE INVOLVED IN PRODUCT AND PROCESS DEVELOPMENT AND IMPLEMENTATION. INTEGRATED COMMUNICATIONS CAMPAIGN:A PROGRAM OF MEDIA OUTREACH, ADVERTISING AND DIGITAL MEDIA THAT FOCUSES ON (1) HOW THE FREIGHT RAIL INDUSTRY CONSISTENTLY AND EFFICIENTLY DELIVERS ECONOMIC AND ENVIRONMENTAL BENEFITS TO AMERICANS, (2) HOW RAILROADS USE MODERN TECHNOLOGY TO IMPROVE SAFETY AND PROVIDE PUBLIC BENEFITS INCLUDING A SAFE, FUEL EFFICIENT WAY TO MOVE GOODS AND CONNECT US TO THE GLOBAL ECONOMY, AND (3) PRESERVING BALANCED REGULATION OF THE FREIGHT RAIL INDUSTRY. PRESERVING BALANCED REGULATION:A PROGRAM TO PROMOTE THE BALANCED REGULATORY STRUCTURE REQUIRED TO ALLOW RAILROADS THE OPPORTUNITY TO ACHIEVE A REASONABLE RATE OF RETURN AND TO CONTINUE THEIR SUBSTANTIAL INVESTMENT IN THE NORTH AMERICAN RAIL NETWORK. SUCH REINVESTMENT IS CRITICAL IF RAILROADS ARE TO BE ABLE TO ADDRESS THE CAPACITY CHALLENGES THAT INCREASED RAIL DEMAND FOR TRANSPORTATION BRINGS. 0 0 0 1 0 0 0 1 0 1 1 0 1 1 1 0 1 0 0 1 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 64 0 1 104 1 1 1 0 0 0 0 0 X 11 10 1 0 0 0 1 0 1 1 1 0 0 1 1 1 1 1 1 1 1 0 DC X JEFFREY MARSH SVP FINANCE ADMIN & CFO 2026392118 425 THIRD STREET SW NO 1000 WASHINGTON DC 20024 JOSEPH H BOARDMAN DIRECTOR UNTIL 09/01/16 1.00 X 0 0 0 KEITH CREEL DIRECTOR 1.00 X 0 0 0 CARL ICE DIRECTOR 1.00 X 0 0 0 LUC JOBIN DIRECTOR 1.00 X 0 0 0 CLAUDE MONGEAU DIRECTOR UNTIL 07/01/16 1.00 X 0 0 0 MICHAEL J WARD DIRECTOR 1.00 X 0 0 0 JOHN C HELLMANN DIRECTOR 1.00 X 0 0 0 PETER K MILLS DIRECTOR UNTIL 12/31/16 1.00 X 0 0 0 PATRICK OTTENSMEYER DIRECTOR 1.00 X 0 0 0 DAVID L STARLING DIRECTOR UNTIL 07/01/16 1.00 X 0 0 0 JAMES SQUIRES DIRECTOR 1.00 X 0 0 0 DAVID FINK DIRECTOR UNTIL 12/31/16 1.00 X 0 0 0 LANCE FRITZ DIRECTOR 1.00 X 0 0 0 EDWARD HAMBERGER PRESIDENT 39.00 1.00 X X 1820241 0 1023546 MICHAEL J RUSH SVP-SAFETY & OPERATIONS 39.00 1.00 X 379338 0 126285 JEFFREY D MARSH SVP-FINANCE & CFO 36.00 4.00 X 451091 0 206653 PATRICIA M REILLY SVP-COMMUNICATIONS 39.00 1.00 X 469145 0 135728 JOHN T GRAY SVP-POLICY & ECONOMICS 39.00 1.00 X 522208 0 56253 KATHY D KIRMAYER SVP-LAW & GENERAL COUNSEL 39.00 1.00 X 531706 0 52447 IAN N JEFFRIES SVP-GOVERNMENT AFFAIRS 40.00 X 487144 0 61018 JOHN F WETZEL VP-GOVERNMENT AFFAIRS 40.00 X 254537 0 109026 JANET L BARTELMAY CORPORATE SECRETARY 39.00 1.00 X 272500 0 125630 WILLIAM C THOMPSON PROGRAM MANAGER 40.00 X 283441 0 77182 DANIEL SAPHIRE ASSOCIATE GENERAL COUNSEL 40.00 X 245576 0 103448 TIMONTHY J STRAFFORD ASSOCIATE GENERAL COUNSEL 40.00 X 240869 0 46129 KELLEY FRENCH DONLEY AVP-MEMBER SERVICES 40.00 X 237297 0 82491 JAMES P GRADY JR AVP-TECHNICAL SERVICES 40.00 X 235050 0 48459 6430143 0 2254295 49 0 1 0 TRANSPORTATION TECHNOLOGY CENTER INC 55500 DOT RD PO BOX 11130 PUEBLO CO 810010130 TESTING & RESEARCH 14024053 SUBJECT MATTER 1121 14TH ST NW WASHINGTON DC 20005 PAID MEDIA CONSULTING + ADVERTISING 4724117 GIBSON DUNN & CRUTCHER LLP 1050 CONNECTICUT AV NW WASHINGTON DC 20036 LEGAL CONSULTING 1283976 COMPASS LEXECON 230 STATE ST 9TH FLOOR BOSTON MA 02109 REGULATORY/ECONOMIC CONSULTING 971254 CALIFORNIA ENVIRONMENTAL ASSOCIATES 423 WASHINGTON ST 3RD FL SAN FRANCISCO CA 94111 ENVIRONMENTAL/REGULATORY CONSULTING 856898 36 MEMBERSHIP DUES 900099 48323061 48323061 USER FEES 900099 4020105 4020105 INDUSTRY SUPPORT 900099 3448825 3448825 LICENSING 900099 377729 377729 PUBLICATIONS 900099 308266 307331 935 122659 114946 7713 56600645 95344 95344 77730 0 77730 77730 77730 5397671 5531659 2890 -133988 -2890 -136878 -136878 INTERCO COST SHARE 900099 2451009 2414960 36049 OTHER REVENUE 900099 354438 354438 ERIP/RET COST REIM 900099 141366 141366 47369 47369 2994182 59631023 59148323 92066 390634 X 1443291 7161380 9538215 1319522 1369527 1566123 2004856 146518 512080 8825207 4677136 853722 318169 1931162 818113 7229 807804 201004 INCOME TAX/DEFERRED TAX 11470 INTERCOMPANY EXPENSES 14084516 OTHER EXPENSES 535479 BAD DEBT 10908 883 58144314 6937269 6577539 819902 1000288 666078 424659 6047231 3292812 2817742 2754419 1019611 1016370 8970899 8970899 2747794 4774467 23979295 25518641 6060630 5143062 1902387 1940542 687734 294910 37748740 38422955 46399491 45801469 X -22420196 -20282828 -22420196 -20282828 23979295 25518641 X 1486709 150821 499838 X 0 1 X 1 0 0 0 1 48323061 4716531 766082 5482613 5363859 118754 0 1 X 3039183 1363869 1675314 1035258 779486 255772 1972790 1149457 823333 2754419 8970899 C 8970899 CUSTODIAL FUNDS 294910 DEFERRED TAX ASSET 40876 INVESTMENTS RELATED TO SUPP. EMPLOYEE BENEFIT PLANS 4145757 OTHER POST-EMPLOYMENT BENEFITS 292924 4774467 CURRENT PORTION-OPEB LIABILITY 119000 ACCRUED PENSION COST 27535859 SERP OBLIGATION 5759499 DEFERRED RENT PAYABLES 3495112 DUE TO SUBSIDIARIES 1358708 CAPITAL LEASE OBLIGATION 154777 38422955 X PART IV, LINE 2B: CUSTODIAL FUNDS ARE CARRIED AS AN ASSET AND AS AN OFFSETTING LIABILITY IN THE ASSOCIATION'S BALANCE SHEET. THE ASSOCIATION ACTS AS CUSTODIAN AND AGENT ON BEHALF OF CERTAIN RAILROAD INDUSTRY RELATED ORGANIZATIONS FOR WHICH THE ASSOCIATION PROVIDES BOOKKEEPING SERVICES. PART X, LINE 2: AAR IS EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501(C)(6) OF THE IRC. HOWEVER, AAR IS SUBJECT TO FEDERAL INCOME TAXES FOR ACTIVITIES THAT ARE UNRELATED TO ITS TAX-EXEMPT FUNCTION. RRF IS INCORPORATED UNDER IRC SECTION 501(C)(3) AS A TAX-EXEMPT ORGANIZATION AND IS FURTHER CLASSIFIED AS A PUBLIC CHARITY UNDER SECTION 509(A)(1) OF THE IRC; HOWEVER, RRF IS SUBJECT TO FEDERAL INCOME TAXES FOR ACTIVITIES THAT ARE UNRELATED TO ITS TAX-EXEMPT FUNCTION. AAR AND RRF, AS TAX-EXEMPT ORGANIZATIONS, FILE SEPARATE INFORMATION RETURNS, FORM 990-RETURN OF ORGANIZATION EXEMPT FROM INCOME TAX, AND TO THE EXTENT OF ANY UNRELATED ACTIVITIES TO THEIR TAX-EXEMPT FUNCTION, FILE FORM 990-T-RETURN OF ORGANIZATION BUSINESS INCOME TAX RETURN. TTCI AND RAILINC FILE SEPARATE FEDERAL AND STATE INCOME TAX RETURNS. ACCORDINGLY, AMOUNTS REPORTED IN THE ACCOMPANYING CONSOLIDATED FINANCIAL STATEMENTS REPRESENT THE COMBINED INCOME TAX ACCOUNTS OF AAR, TTCI, RAILINC AND RRF. DEFERRED TAX ASSETS AND LIABILITIES ARE RECOGNIZED FOR THE FUTURE TAX CONSEQUENCES ATTRIBUTABLE TO DIFFERENCES BETWEEN THE CONSOLIDATED FINANCIAL STATEMENT CARRYING AMOUNTS OF EXISTING ASSETS AND LIABILITIES AND THEIR RESPECTIVE TAX BASES AND OPERATING LOSS AND TAX CREDIT CARRYFORWARDS. DEFERRED TAX ASSETS AND LIABILITIES ARE MEASURED USING ENACTED TAX RATES EXPECTED TO APPLY TO TAXABLE INCOME IN THE YEARS IN WHICH THOSE TEMPORARY DIFFERENCES ARE EXPECTED TO REVERSE. IF APPROPRIATE, DEFERRED TAX ASSETS ARE REDUCED BY A VALUATION ALLOWANCE, WHICH REFLECTS EXPECTATIONS OF THE EXTENT TO WHICH SUCH ASSETS WILL BE REALIZED. THE ASSOCIATION FOLLOWS THE CODIFICATION TOPIC, INCOME TAXES, WHICH ADDRESSES THE DETERMINATION OF WHETHER TAX BENEFITS CLAIMED OR EXPECTED TO BE CLAIMED ON A TAX RETURN SHOULD BE RECORDED IN THE CONSOLIDATED FINANCIAL STATEMENTS. UNDER THIS GUIDANCE, THE ASSOCIATION MAY RECOGNIZE THE TAX BENEFIT FROM AN UNCERTAIN TAX POSITION ONLY IF IT IS MORE LIKELY THAN NOT THAT THE TAX POSITION WILL BE SUSTAINED ON EXAMINATION BY TAXING AUTHORITIES, BASED ON THE TECHNICAL MERITS OF THE POSITION. THE TAX BENEFITS RECOGNIZED IN THE CONSOLIDATED FINANCIAL STATEMENTS FROM SUCH A POSITION ARE MEASURED BASED ON THE LARGEST BENEFIT THAT HAS A GREATER THAN 50% LIKELIHOOD OF BEING REALIZED UPON ULTIMATE SETTLEMENT. THE GUIDANCE ON ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES ALSO ADDRESSES DE-RECOGNITION, CLASSIFICATION, INTEREST AND PENALTIES ON INCOME TAXES AND ACCOUNTING IN INTERIM PERIODS. MANAGEMENT EVALUATED THE ASSOCIATION'S PRECONSOLIDATED TAX POSITIONS AND CONCLUDED THAT THE ASSOCIATION HAS TAKEN NO UNCERTAIN TAX POSITIONS THAT REQUIRE ADJUSTMENT TO THE CONSOLIDATED FINANCIAL STATEMENTS TO COMPLY WITH THE PROVISIONS OF THIS GUIDANCE. GENERALLY, THE ASSOCIATION IS NO LONGER SUBJECT TO INCOME TAX EXAMINATIONS BY THE U.S. FEDERAL, STATE OR LOCAL TAX AUTHORITIES FOR YEARS BEFORE 2013. NORTH AMERICA 0 0 PROGRAM SERVICES TRAVEL, MEETING, LODGING, REGISTRATION FEES AND SALARY AND FRINGE 26393 RUSSIA AND NEIGHBORING STATES 0 0 PROGRAM SERVICES TRAVEL, MEETING, LODGING, REGISTRATION FEES AND SALARY AND FRINGE 8049 0 0 0 0 0 0 34442 0 34442 0 0 0 0 0 0 1 AMERICAN ACTION NETWORK 1747 PENNSYLVANIA AVENUE NW 5TH FLOOR WASHINGTON DC 20006 270730508 501(C)(6) 100000 PROGRAM SUPPORT AMERICAN CHEMISTRY COUNCIL 700 2ND ST NE WASHINGTON DC 20002 530104410 501(C)(6) 7500 EVENT SUPPORT CONGRESSIONAL BLACK CAUCUS FOUNDATION 1720 MASSACHUSETTS AVENUE NW WASHINGTON DC 20036 521160561 501(C)(3) 8500 EVENT SUPPORT CONGRESSIONAL HISPANIC CAUCUS INSTITUTE 1128 16TH STREET NW WASHINGTON DC 20036 521114225 501(C)(3) 7500 EVENT SUPPORT CONGRESSIONAL INSTITUTE INC 1700 DIAGONAL ROAD STE 730 ALEXANDRIA VA 22314 521504189 501(C)(4) 25208 PROGRAM SUPPORT COALITION AGAINST BIGGER TRUCKS LLC 1001 N FAIRFAX ST STE 505 ALEXANDRIA VA 22314 943229678 501(C)(4) 500000 PROGRAM SUPPORT GORAIL 425 THIRD ST SW STE 940 WASHINGTON DC 20024 352226505 501(C)(4) 312500 PROGRAM SUPPORT REPUBLICAN MAIN STREET PARTNERSHIP 325 7TH STREET NW STE 610 WASHINGTON DC 20004 591828852 501(C)(4) 10000 PROGRAM SUPPORT METROPOLITAN PLANNING COUNCIL 140 SOUTH DEARBORN SUITE 1400 CHICAGO IL 60603 362382849 501(C)(3) 20000 PROGRAM SUPPORT NCSL FOUNDATION FOR STATE LEGISLATURES 7700 EAST FIRST PLACE DENVER CO 80230 742232576 501(C)(3) 7500 PROGRAM SUPPORT RAILROAD RESEARCH FOUNDATION 425 THIRD ST SW WASHINGTON DC 20024 522344655 501(C)(3) 25000 PROGRAM SUPPORT SURFACE TRANSPORTATION POLICY PROJECT 750 FIRST ST NE SUITE 1130 WASHINGTON DC 20002 521864166 501(C)(3) 50000 PROGRAM SUPPORT TRANSPORTATION RESEARCH BOARD NATIONAL ACADEMY OF SCIENCES WASHINGTON DC 20055 530196932 501(C)(3) 32500 PROGRAM SUPPORT UNIVERSITY OF ILLINOIS 205 N MATHEWS AVE NEWMARK URBANA IL 61801 376006007 501(C)(3) 176000 PROGRAM SUPPORT 8 6 PART I, LINE 2: AAR AWARDS ASSISTANCE TO ORGANIZATIONS RECOGNIZED AS TAX-EXEMPT UNDER IRC SECTION 501(C) OR AS A COLLEGE OR UNIVERSITY. X X X 1 1 X X X X X 0 1 0 EDWARD HAMBERGER PRESIDENT 969951 0 830769 0 19521 0 986064 0 53864 0 2860169 0 0 0 MICHAEL J RUSH SVP-SAFETY & OPERATIONS 286674 0 86626 0 6038 0 122345 0 11131 0 512814 0 0 0 JEFFREY D MARSH SVP-FINANCE & CFO 343042 0 104705 0 3344 0 179867 0 36156 0 667114 0 0 0 PATRICIA M REILLY SVP-COMMUNICATIONS 355211 0 107254 0 6680 0 132781 0 12226 0 614152 0 0 0 JOHN T GRAY SVP-POLICY & ECONOMICS 342691 0 160025 0 19492 0 31506 0 32545 0 586259 0 0 0 KATHY D KIRMAYER SVP-LAW & GENERAL COUNSEL 403221 0 126000 0 2485 0 21550 0 40183 0 593439 0 0 0 IAN N JEFFRIES SVP-GOVERNMENT AFFAIRS 372121 0 114000 0 1023 0 22083 0 46826 0 556053 0 0 0 JOHN F WETZEL VP-GOVERNMENT AFFAIRS 205005 0 45119 0 4413 0 106409 0 6483 0 367429 0 0 0 JANET L BARTELMAY CORPORATE SECRETARY 219403 0 49564 0 3533 0 113402 0 18046 0 403948 0 0 0 WILLIAM C THOMPSON PROGRAM MANAGER 230116 0 28354 0 24971 0 51765 0 28285 0 363491 0 0 0 DANIEL SAPHIRE ASSOCIATE GENERAL COUNSEL 208423 0 33735 0 3418 0 100558 0 7664 0 353798 0 0 0 TIMONTHY J STRAFFORD ASSOCIATE GENERAL COUNSEL 197899 0 42539 0 431 0 20953 0 31098 0 292920 0 0 0 KELLEY FRENCH DONLEY AVP-MEMBER SERVICES 201018 0 33371 0 2908 0 60260 0 27884 0 325441 0 0 0 JAMES P GRADY JR AVP-TECHNICAL SERVICES 192929 0 36094 0 6027 0 33690 0 17417 0 286157 0 0 0 PART I, LINE 1A TRAVEL FOR COMPANIONS: EDWARD R. HAMBERGER RECEIVED A NON-TAXABLE SPOUSAL TRAVEL DUE TO ACTIVE PARTICIPATION IN BUSINESS EVENT. HOUSING ALLOWANCE: WILLIAM C. THOMPSON - $14,307 - TAXABLE NONTAXABLE SOCIAL CLUB DUES: EDWARD R. HAMBERGER - $12,701 IAN JEFFRIES - $6,540 JANET L. BARTELMAY - $720 WILLIAM C. THOMPSON - $636 JAMES P. GRADY JR. - $400 PART I, LINE 4B THE FOLLOWING INDIVIDUALS PARTICIPATE IN A SERP: EDWARD R. HAMBERGER - $950,431 JEFFREY D. MARSH - $122,340 PATRICIA M. REILLY - $86,635 FORM 990, PART I, PART VI, AND PART VII - BOARD COUNT A TOTAL OF FOURTEEN PERSONS SERVED ON THE BOARD OF DIRECTORS DURING THE CALENDAR YEAR. THOSE FOURTEEN ARE SHOWN IN PART VII OF FORM 990. AS OF DECEMBER 31, 2016 THERE WERE A TOTAL OF ELEVEN VOTING BOARD MEMBERS SERVING THE ORGANIZATION AS DISCLOSED IN PART VI, LINES 1A AND PART I, LINES 3. FORM 990, PART VI, SECTION A, LINE 2 EDWARD HAMBERGER, JANET BARTELMAY AND KATHRYN KIRMAYER - BUSINESS RELATIONSHIP FORM 990, PART VI, SECTION A, LINE 6 ORGANIZATION'S MEMBERS AAR MEMBERS INCLUDE THE MAJOR FREIGHT RAILROADS OF THE UNITED STATES, CANADA AND MEXICO, AS WELL AS SMALLER RAILROADS THAT PROVIDE FREIGHT OR PASSENGER SERVICES THROUGHOUT NORTH AMERICA. IN ADDITION, AMTRAK IS A FULL MEMBER OF AAR. AAR HAS THREE CLASSES OF MEMBERSHIP: (1) FULL MEMBERSHIP IS AVAILABLE TO U.S. RAILROADS, (2) SPECIAL MEMBERSHIP IS AVAILABLE TO CANADIAN AND MEXICAN RAILROADS, AND (3) ASSOCIATE MEMBERSHIP IS AVAILABLE TO NON-CLASS 1 RAILROADS AND RAILROAD SUPPLIERS. AAR'S FULL MEMBERS HAVE VOTING RIGHTS AS PRESCRIBED IN THE AAR BY-LAWS. FORM 990, PART VI, SECTION A, LINE 7B AAR CORPORATE DOCUMENTS ALLOW FOR DECISIONS TO BE APPROVED BY MEMBERS TO THE EXTENT PROVIDED BY LAW. ALL MATTERS ARE SUBJECT TO APPROVAL IN ACCORDANCE WITH STATE/LOCAL LAW. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 IS REVIEWED IN DETAIL BY THE ORGANIZATION'S CFO, PRESIDENT AND GENERAL COUNSEL PRIOR TO FILING. A COPY OF THE 2016 FORM 990 WAS MADE AVAILABLE TO EACH MEMBER OF THE ORGANIZATION'S GOVERNING BODY FOR REVIEW PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C AN ANNUAL WRITTEN CONFIRMATION OF COMPLIANCE WITH THE ORGANIZATION'S CONFLICT OF INTEREST POLICIES IS REQUIRED FROM ALL AAR EMPLOYEES AND DIRECTORS. THE ANNUAL CONFLICT OF INTEREST DISCLOSURES OF EMPLOYEES ARE REVIEWED BY THE DIRECTOR OF HUMAN RESOURCES OR GENERAL COUNSEL. THE DISCLOSURES OF THE OFFICERS,INCLUDING PRESIDENT, AND CEO, ARE REPORTED TO THE GENERAL COUNSEL. DISCLOSURES OF THE GENERAL COUNSEL ARE REPORTED TO THE CEO. IN THE EVENT OF AN ACTUAL OR POTENTIAL CONFLICT, AAR WOULD INVESTIGATE AND TAKE APPROPRIATE ACTION TO AVOID AN ACTUAL OR POTENTIAL CONFLICT. SUCH ACTION WOULD INCLUDE THAT THE CONFLICTED PERSON DOES NOT PARTICIPATE IN THE REVIEW, RESOLUTION PROCESS, OR ANY DELIBERATION/DECISION MAKING RELATED TO THE MATTER. FOLLOW UP ACTIONS ARE TAKEN AS NEEDED BY AAR GENERAL COUNSEL OR THE CEO. FORM 990, PART VI, SECTION B, LINE 15 COMPARABILITY DATA IS PREPARED BY AN INDEPENDENT COMPENSATION CONSULTANT FOR EXECUTIVE (CEO AND VICE PRESIDENTS) COMPENSATION. THAT INFORMATION IS PROVIDED ANNUALLY TO THE ORGANIZATION'S GOVERNANCE COMMITTEE AS PART OF ITS ANNUAL BUDGET DELIBERATIONS. EXECUTIVE SALARIES ARE REVIEWED AND ANY MERIT ADJUSTMENTS FOR THAT FISCAL YEAR ARE DETERMINED AS PART OF THE ANNUAL BUDGETARY PROCESS. CONTEMPORANEOUS MINUTES OF GOVERNANCE COMMITTEE MEETINGS ARE MAINTAINED. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC TO THE EXTENT REQUIRED BY LAW. FORM 990, PART IX, LINE 11G OTHER FEES 4,230,299. ECONOMIC REGULATION 4,594,908. FORM 990, PART XI, LINE 9: UNRECOGNIZED CHANGE, DEFINED BENEFIT PLAN OBLIGATIONS 499,838. RAILROAD RESEARCH FOUNDATION 425 THIRD ST SW SUITE 910 WASHINGTON DC 20024 522344655 RESEARCH DE 501(C)(3) LINE 7 ASSOCIATION OF AMERICAN RAILROADS 1 RAILPAC 425 THIRD ST SW SUITE 1000 WASHINGTON DC 20024 000280743 POLITICAL ACTIVITIES DC 527 ASSOCIATION OF AMERICAN RAILROADS 1 AAR RETIREE LIFE INSURANCE TRUST 425 THIRD ST SW SUITE 1000 WASHINGTON DC 20024 521161363 PROVIDES RETIREE LIFE INSURANCE TO PLAN PARTICIPANTS DC 501(C)(9) ASSOCIATION OF AMERICAN RAILROADS 1 TRANSPORTATION TECHNOLOGY CENTER INC 55500 DOT ROAD PUEBLO CO 81001 841440384 RESEARCH & TESTING DE ASSOCIATION OF AMERICAN RAILROADS C 34695705 37588825 1.00000 1 RAILINC CORPORATION 7001 WESTON PARKWAY SUITE 200 CARY NC 27513 522131600 IT & SVCS DE ASSOCIATION OF AMERICAN RAILROADS C 65110214 36866977 1.00000 1 0 1 0 1 1 0 0 0 0 1 1 1 1 1 1 0 1 1 1 RAILINC CORPORATION L 1541200 COST RAILINC CORPORATION M 65109 COST RAILINC CORPORATION Q 436653 COST RAILINC CORPORATION S 4160364 COST TRANSPORTATION TECHNOLOGY CENTER INC L 903003 COST TRANSPORTATION TECHNOLOGY CENTER INC M 14026906 COST TRANSPORTATION TECHNOLOGY CENTER INC Q 1229708 COST RAILPAC R 61682 COST FORM 990, PART V THE TRANSACTION CORRESPONDING WITH LINES 1D AND 1E INVOLVES AN UNSECURED LINE OF CREDIT WHICH WAS CO-SIGNED BY ORGANIZATIONS RELATED TO THE ASSOCIATION OF AMERICAN RAILROADS. THE $4 MILLION UNSECURED LINE OF CREDIT HAD AN ORIGINAL EXPIRATION DATE OF JULY 31, 2008 AND THE AGREEMENT WAS SUBSEQUENTLY RENEWED MOST RECENTLY DURING 2016, WITH A MATURITY DATE OF JULY 31, 2017. UNDER THE LINE OF CREDIT FACILITY, SUNTRUST BANK WILL ALLOW ADVANCES AT ANY TIME PROVIDED NO SIGNIFICANT DETERIORATION IN THE FINANCIAL CONDITION OF THE CO-BORROWERS HAS OCCURRED. AS OF DECEMBER 31, 2016, NO AMOUNTS HAD BEEN WITHDRAWN ON THE LINE OF CREDIT.