Canadian National Railway : Data Supplement 2020 - GRI and SASB Index

2020

Data Supplement GRI and SASB Index

DELIVERING RESPONSIBLY

OUR REPORTING

About this Report

Transparent reporting is part of our commitment to be open about our business and to communicate our progress with focus, clarity and comparability.

• About this Report Our Priorities

DATA TABLES

GRI INDEX

SASB INDEX

OUR SUSTAINABILITY COMMITMENT

CONTACT

We welcome comments, questions and feedback on this report. Please contact:

Chantale Després

Assistant Vice-President, Sustainability [e-mail]

Canadian National Railway Company 935 de La Gauchetière Street West Montreal, Quebec H3B 2M9

P.O. Box 8100

Montreal, Quebec H3C 3N4 1-888-888-5909

Our Approach and Scope

The scope of information covered in this supplement relates to our operations in Canada and the U.S., in the 2017 to 2020 calendar years, unless otherwise noted. We issue our full Delivering Responsibly Sustainability Report on a biennial basis. This year we will be issuing our eighth report. All reports can be accessed at www.cn.ca/delivering-responsibly.

Reporting Standards

This report has been prepared in accordance with the Global Reporting Initiative (GRI) Standards: Core option. The GRI is an independent institution that provides a standard framework for sustainability reporting across companies and industries.

This report has also been prepared in accordance with the Rail Transportation Sustainability Accounting Standard developed by the Sustainability Accounting Standards Board (SASB). SASB connects businesses and investors on the financial impacts of sustainability.

We also provide information to the CDP, the Dow Jones Sustainability Index (DJSI) and other organizations that assess our sustainability performance. An index of our

conformance to the GRI Standards: Core option and

SASB: Rail Transportation Sustainability Accounting Standard reporting requirements and references to other relevant information sources can be found at www.cn.ca/delivering-responsibly.

External Assurance

We are dedicated to continuously improving our sustainability reporting and believe that independent assurance leads to quality and process improvements. Our environmental data related to GHG emissions from Scope 1 (locomotive emissions), Scope 2 (electricity consumption) and Scope 3 (locomotive fuel production, purchased goods and services, capital goods, and upstream transportation and distribution) were verified by PricewaterhouseCoopers to a limited level of assurance in accordance with the International Standards on Assurance Engagements 3410, Assurance Engagements on Greenhouse Gas Statements ("ISAE 3410"), issued by the International Auditing and Assurance Standards Board with guidance

for the validation and verification of greenhouse gas assertions. The statements can be found at www.cn.ca/delivering-responsibly.

	2020			2021
	Task Force on Climate-related			CDP Climate Change
	Financial Disclosures Report			Response
	DELIVERING RESPONSIBLY			DELIVERING RESPONSIBLY

Delivering

Responsibly

2020

2020

Sustainability

Data Supplement

Report

GRI and SASB Index

Delivering Responsibly is at the heart of how CN is building for a sustainable future. It means moving

DELIVERING RESPONSIBLY

DELIVERING RESPONSIBLY

our customers' goods safely and efficiently, in an environmentally responsible manner, attracting,

developing and retaining diverse talent, helping build safer, stronger communities, while adhering to the

Sustainability Report

Data Supplement

TCFD Report

CDP Response

highest ethical standards.

GRI and SASB Index

CN | 2020 DATA SUPPLEMENT / GRI AND SASB INDEX |

OUR REPORTING

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OUR REPORTING

About this Report

Our	We apply the principles of materiality and stakeholder inclusiveness to prioritize the topics
Priorities	priorities, refine our reporting, and inform the evolution of our sustainability programs.
	that matter most to our business and our stakeholders - helping us to focus our strategic

> Our Priorities

DATA TABLES

GRI INDEX

SASB INDEX

OUR SUSTAINABILITY COMMITMENT

Identifying our Material Topics

In 2020, we received input from 378 stakeholders using an electronic survey to understand the sustainability topics that most influence their decisions or perspectives of CN. Diverse groups were engaged, including employees, suppliers, governments, railway associations, customers, investors, unions, Aboriginal peoples, community groups, and NGOs. The selection and identification of stakeholders considered their geographic representation and their influence and interest in our business. We also engaged with our executive management to further inform the sustainability topics prioritization process.

The most important topics are plotted on our prioritization matrix and are covered in our 2020 full Delivering Responsibly Sustainability Report.

We also identified where the impacts could occur within and outside of our business. The diagram below provides an overview of where our impact could occur along the value chain.

WHERE IMPACTS CAN OCCUR ALONG CN'S VALUE CHAIN

OUR PRIORITIZATION MATRIX

HIGHER

Operational Safety

Community Investments

Climate

Stakeholders

Change

Socio-economic Benefits

Stakeholder Outreach and

Safety Culture and

Engagement

CN's

Management

Customer Service and

Workplace

Satisfaction

on

Health and Safety

Contaminant Air Emissions

Employee Engagement

Influence

Workforce

Talent Development

Clean-up and

Business Continuity

Cost Efficiency

Remediation

Indigenous Peoples

Shareholder Returns

Planning

Risk and Crisis Management

Responsible Procurement

Ethics and

LOWER

Technology and Digitization

Waste Management

Cybersecurity and

Compliance

Diversity and Inclusion

Data Privacy

LOWER

Impact on CN's Business

HIGHER

Financial

Safety

Environment

Economic and

People

Supply Chain

Customers

Governance

Viability

Community

Management

Impact

Our	CN's Corporate Office	CN's Transportation	Our	Broader Community
Suppliers	Buildings and Rail Yards	Services and Operations	Customers	and Ecosystem

CN | 2020 DATA SUPPLEMENT / GRI AND SASB INDEX | OUR REPORTING

02

OUR REPORTING

DATA TABLES

• About CN Environment Safety People
  Community and Economy

GRI INDEX

Data Tables

The following data covered in this report applies to CN and its subsidiaries. CN subsidiaries are listed in the 2020 Annual Information Form on page 3.

Data	Measurement	2020	2019	2018	2017	GRI	SASB
ABOUT CN
ACTIVITY MEASURES
Carloads transported	Number (thousands)	5,595	5,912	5,976	5,737	201-1	000.A
Intermodal units transported(a)	Number (thousands)	2,582	2,618	2,634	2,514	201-1	000.B
Route miles (includes Canada and the U.S.)	Number	19,500	19,500	19,500	19,500	201-1	000.C
Revenue ton miles (RTMs) (b)	Million	230,390	241,954	248,383	237,098	201-1	000.D
Gross ton miles (GTMs)(c)	Million	455,368	482,890	490,414	469,200	201-1	-

1. Intermodal units transported are a subset of the carloads transported.
2. Revenue ton miles (RTMs) refers to the movement of one revenue-producing ton of freight over a distance of one mile. RTMs are calculated by multiplying the weight in tons of the shipment lading being transported (or "tons of lading carried in the Carload") by the number of miles that the shipment (or Carload) is transported on company lines. The tare weight of the car is excluded.
3. Gross ton miles (GTMs) refers to the movement of one ton of freight or equipment over one mile. GTMs are calculated by multiplying the trailing train weight by the distance the train moved.

SASB INDEX

OUR SUSTAINABILITY COMMITMENT

OUR BUSINESS AT A GLANCE

CN is a leading North American transportation and logistics company, and our 19,500-milenetwork spans Canada and Mid-America,connecting ports on three coasts. We offer fully integrated rail and other transportation services, including intermodal, trucking, freight forwarding, warehousing and distribution. Serving exporters, importers, retailers and manufacturers, we move raw materials, intermediate goods and finished products to market,

fostering the prosperity of the markets we serve.

REVENUES BY COMMODITY GROUP	REVENUES BY GEOGRAPHIC FLOW
(% of total revenues)	(% of freight revenues)
	pCONSUMER PRODUCT SUPPLY CHAIN	p % Overseas
		p 1% Transborder
	p% Intermodal
	p1% Canadian domestic
	p % Automotive
	p 1% U.S. domestic
	pRAILCENTRIC SUPPLY CHAIN
	p1% Petroleum and chemicals
	p1% Grain and fertilizers
	p1% Forest products
	p1% Metals and minerals
	p% Coal
	pOTHER
	p % Other revenues

2020 HIGHLIGHTS

>300M

TONS OF CARGO MOVED

$2.9B

CAPITAL INVESTMENTS

19,500

ROUTE MILES

$13.8B

REVENUES

24,381

EMPLOYEES

(end of period)

9

PORTS SERVED

CN | 2020 DATA SUPPLEMENT / GRI AND SASB INDEX | DATA TABLES

03

OUR REPORTING

DATA TABLES

About CN

• Environment Safety People
  Community and Economy

GRI INDEX

SASB INDEX

OUR SUSTAINABILITY COMMITMENT

Data	Measurement	2020	2019	2018	2017	GRI	SASB
ENVIRONMENT
EMISSIONS
Total GHG emissions (Scopes 1 and 2)(a) (b) (c)	Metric tonnes of CO2e	5,397,665	5,936,535	5,965,175	5,671,982	-	-
Direct GHG emissions (Scope 1) (b)	Metric tonnes of CO2e	5,234,302	5,771,894	5,776,183	5,499,641	305-1	110a.1
Rail locomotives(d)	Metric tonnes of CO2e	4,475,588	4,962,923	5,095,382	4,865,352	305-1	110a.1
Intermodal CNTL trucks	Metric tonnes of CO2e	126,361	140,760	149,620	149,669	305-1	110a.1
Intermodal TransX trucks	Metric tonnes of CO2e	155,152	132,518	N/A	N/A	305-1	110a.1
Marine vessel fleet	Metric tonnes of CO2e	155,596	191,557	192,860	187,093	305-1	110a.1
On Company Service fleet	Metric tonnes of CO2e	73,211	95,552	95,664	90,211	305-1	110a.1
Intermodal equipment	Metric tonnes of CO2e	69,344	60,834	62,323	57,185	305-1	110a.1
Miscellaneous fuel emissions	Metric tonnes of CO2e	179,052	187,749	180,334	150,130	305-1	110a.1
Indirect GHG emissions (Scope 2)(c) (e)	Metric tonnes of CO2e	163,363	164,641	188,992	172,341	305-2	-
Other indirect GHG emissions (Scope 3)(f)	Metric tonnes of CO2e	2,304,935	2,778,723	2,488,659	2,768,395	305-3	-
GHG emission intensity(g)
Total GHG emissions (by rail freight revenue)	Metric tonnes of CO2e per thousand dollars	0.41	0.42	0.44	0.46	305-4	-
	of rail freight revenue
Total GHG emissions (by employee)	Metric tonnes of CO2e per full-time employee	227	222	235	246	305-4	-
Impact of service
Rail emission intensity(h)	Metric tonnes of CO2e per million GTMs	9.83	10.28	10.39	10.37	-	110a.1
CNTL truck emission intensity	Metric tonnes of CO2e per thousand	1.14	1.21	1.21	1.23	-	110a.1
	kilometres travelled
TransX truck emission intensity(i)	Metric tonnes of CO2e per thousand	0.82	1.31	N/A	N/A	-	110a.1
	kilometres travelled
Marine vessel emission intensity	Metric tonnes of CO2e per million net ton miles	16.43	16.63	16.20	16.37	-	110a.1
Target
Measure (GHG emission intensity)(j)	Metric tonnes of CO2e per million GTMs	11.24	11.61	N/A	N/A	-	110a.2
GHG science-based target progress(k)	% of progress towards target	7.4%	N/A	N/A	N/A	-	110a.2
ENERGY
Total direct and indirect energy consumed within	Megawatt hours	20,177,551	22,164,802	22,149,870	20,972,206	302-1	-
the organization(c) (m) (l)
Total direct energy consumed (c) (m)	Megawatt hours	19,620,400	21,597,440	21,558,096	20,427,005	302-1	-
Diesel (used for locomotives) (m)	Megawatt hours	16,317,548	18,179,235	18,637,602	17,754,169	302-1	110a.3
Diesel (other)	Megawatt hours	2,279,991	2,346,748	1,858,793	1,796,043	302-1	110a.3
Natural gas	Megawatt hours	701,688	709,613	702,780	532,195	302-1	110a.3
Other fuels (propane, gasoline, kerosene, stove oil,	Megawatt hours	321,173	361,845	358,920	344,599	302-1	110a.3
furnace oil)
Total indirect energy consumed - electricity (c)	Megawatt hours	557,151	567,362	591,775	545,201	302-1	-
Total renewable energy consumed(c) (n)	Megawatt hours	435,954	468,759	444,660	466,293	302-1	110a.3
Total non-renewable energy consumed(c) (m)	Megawatt hours	19,741,598	21,696,043	21,705,210	20,505,914	302-1	-
Energy intensity(o)	Megawatt hours per million CDN dollars	1.53	1.56	1.63	1.71	302-3	110a.3
	of rail freight revenue
CN | 2020 DATA SUPPLEMENT / GRI AND SASB INDEX | DATA TABLES							04