Burlington Northern Santa Fe (BNI) 8-K Burlington Northern Santa Fe Reports

Exhibit 99.1

Investor Contact:	Marsha Morgan (817) 352-6452	FOR IMMEDIATE RELEASE
Media Contact:	Richard Russack (817) 867-6425

Burlington Northern Santa Fe Reports

Record Quarterly Revenue and EPS

• Record quarterly earnings of $0.96 per diluted share were 43 percent higher than second-quarter 2004 earnings of $0.67 per diluted share.

• Freight revenues increased 15 percent compared with second-quarter 2004 to a record of $3.04 billion, reflecting revenue increases in all four of the Company’s business groups.

• Record quarterly operating income of $710 million increased $202 million, or 40 percent, compared with the same 2004 period.

• Quarterly operating ratio decreased four percentage points to 76.7 percent from 80.7 percent in the second quarter of the prior year.

FORT WORTH, Texas, July 26, 2005 - Burlington Northern Santa Fe Corporation (BNSF) (NYSE: BNI) today reported all-time record earnings of $0.96 per diluted share, a 43 percent increase over second-quarter 2004 earnings of $0.67 per diluted share.

Commenting on BNSF’s second-quarter results, Matthew K. Rose, BNSF Chairman, President and Chief Executive Officer said, “The second quarter of 2005 was our thirteenth consecutive quarter of year-over-year volume increases and the Company’s sixth consecutive quarter of double-digit freight revenue growth. Also, we were able to continue lowering our operating ratio, compared to the same prior-year period, a trend we have been able to maintain for seven consecutive quarters.”

Second-quarter 2005 freight revenues increased $406 million, or 15 percent, to a quarterly record of $3.04 billion compared with 2004 second-quarter freight revenues of $2.64 billion. Revenue for the second quarter of 2005 included fuel surcharges of $234 million compared with $65 million in the second quarter of 2004.

-more-

Consumer Products revenues increased $201 million, or 19 percent, partially as a result of double-digit volume increases in international, truckload, automotive, and perishable sectors. Industrial Products revenues increased $98 million, or 16 percent, to $718 million reflecting strong demand in the building products, petroleum products, and construction products sectors. Agricultural Products revenues were up $69 million, or 16 percent, to $493 million, which included strong corn, soybean and wheat export moves to the Pacific Rim countries. Coal revenues rose $38 million, or 7 percent, to $591 million despite operational and maintenance disruptions caused by adverse weather conditions in the Powder River Basin.

Operating expenses for the second quarter of 2005 of $2.43 billion were $251 million, or 12 percent, higher than the same period in 2004, primarily driven by a 4-percent increase in gross ton-miles and 37 percent higher fuel prices after hedge benefit.

BNSF continues to leverage strong customer demands with operating a fluid rail network. In the second-quarter of 2005 this resulted in operating income of $710 million, a $202 million, or 40 percent, increase over the second quarter of 2004. In addition, the Company’s operating ratio decreased four percentage points to 76.7 percent from 80.7 percent in the same quarter of the prior year.

Dividend Increase

As announced July 21, 2005, the Board of Directors of the Company voted to increase its next quarterly dividend by 18 percent, or 3 cents per share, to 20 cents per share on outstanding common stock. This dividend will be payable on October 3, 2005, to shareholders of record on September 12, 2005. This equates to 80 cents per share on an annualized basis. This dividend increase is in addition to the 13-percent increase and 25-percent increase approved by the Board in July 2004 and July 2003, respectively.

BNSF’s subsidiary, BNSF Railway Company, operates one of the largest railroad networks in North America, with about 32,000 route miles covering 28 states and two Canadian provinces. The railway is among the world’s top transporters of intermodal traffic, moves more grain than any other American railroad, transports the components of many of the products we depend on daily, and hauls enough coal to generate about ten percent of the electricity produced in the United States. BNSF is an industry leader in Web-enabling a variety of customer transactions at www.bnsf.com.

Financial information follows.

2

Burlington Northern Santa Fe Corporation

Consolidated Income Information

(Dollars in millions, except per share data)

	Three Months Ended June 30,						Six Months Ended June 30,
	2005			2004			2005			2004
Operating revenues
Freight revenues	$	3,043		$	2,637		$	5,942		$	5,085
Other revenues		95			48			178			90
Total operating revenues		3,138			2,685			6,120			5,175
Operating expenses
Compensation and benefits		849			818			1,702			1,605
Purchased services		424			351			841			691
Depreciation and amortization		268			251			531			500
Equipment rents		218			197			431			384
Fuel		461			326			853			606
Materials and other		208			234			418			471
Total operating expenses		2,428			2,177			4,776			4,257
Operating income		710			508			1,344			918
Interest expense		112			101			221			203
Other expense, net		8			5			15			2
Income before income taxes		590			402			1,108			713
Income tax expense		224			153			421			271
Net income	$	366		$	249		$	687		$	442
Diluted earnings per share	$	0.96		$	0.67		$	1.79		$	1.18
Diluted average shares outstanding (in millions)		381.7			373.5			383.1			373.7
Operating ratio (a)		76.7	%		80.7	%		77.4	%		81.9	%

(a) Calculated as total operating expenses less other revenues divided by freight revenues.

3

Burlington Northern Santa Fe Corporation

Consolidated Balance Sheet Information

(Dollars in millions, except per share amounts)

	June 30, 2005			December 31, 2004
Assets
Current assets:
Cash and cash equivalents	$	79		$	322
Accounts receivable, net		290			181
Materials and supplies		378			339
Current portion of deferred income taxes		173			308
Other current assets		691			465
Total current assets		1,611			1,615
Property and equipment, net		26,179			25,814
Other assets		2,089			1,496
Total assets	$	29,879		$	28,925
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable and other current liabilities	$	2,432		$	2,251
Long-term debt due within one year		478			465
Total current liabilities		2,910			2,716
Long-term debt and commercial paper		6,291			6,051
Deferred income taxes		7,899			7,820
Casualty and environmental liabilities		906			941
Minimum pension liability		353			353
Employee separation costs		116			124
Other liabilities		1,658			1,609
Total liabilities		20,133			19,614
Stockholders’ equity:
Common stock and additional paid-in capital		6,508			6,304
Retained earnings		7,351			6,792
Treasury stock		(4,197	)		(3,741	)
Unearned compensation		(32	)		(43	)
Accumulated other comprehensive income (loss)		116			(1	)
Total stockholders’ equity		9,746			9,311
Total liabilities and stockholders’ equity	$	29,879		$	28,925
Book value per share	$	26.11		$	24.71
Common shares outstanding (in millions)		373.2			376.8
Net debt to total capitalization*		40.7	%		39.9	%

* Net debt is calculated as total debt less cash and cash equivalents, and capitalization is calculated as the sum of net debt and total stockholders’ equity.

4

Burlington Northern Santa Fe Corporation

Consolidated Cash Flow Information

(in millions)

	Three Months Ended June 30,						Six Months Ended June 30,
	2005			2004			2005			2004
Operating activities
Net income	$	366		$	249		$	687		$	442
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		268			251			531			500
Deferred income taxes		69			101			141			183
Employee separation costs paid		(7	)		(7	)		(15	)		(15	)
Long-term casualty and environmental liabilities, net		1			23			(33	)		32
Other, net		(3	)		(13	)		(24	)		(35	)
Changes in working capital		14			69			(14	)		(193	)
Net cash provided by operating activities		708			673			1,273			914
Investing activities
Capital expenditures		(472	)		(386	)		(798	)		(692	)
Other, net		(285	)		(97	)		(500	)		(269	)
Net cash used for investing activities		(757	)		(483	)		(1,298	)		(961	)
Financing activities
Net borrowings (repayments)		268			(140	)		225			233
Dividends paid		(64	)		(55	)		(128	)		(111	)
Purchase of BNSF common stock		(217	)		(90	)		(442	)		(172	)
Proceeds from stock options exercised		26			85			127			141
Other financing activities		—			1			—			2
Net cash provided by (used for) financing activities		13			(199	)		(218	)		93
(Decrease) increase in cash and cash equivalents		(36	)		(9	)		(243	)		46
Cash and cash equivalents:
Beginning of period		115			73			322			18
End of period	$	79		$	64		$	79		$	64

5

Burlington Northern Santa Fe Corporation

Consolidated Statement of Changes in Stockholders’ Equity

(Shares in thousands, dollars in millions, except per share data)

	Common Shares	Treasury Shares		Common Stock and Paid-in Capital		Retained Earnings			Treasury Stock			Unearned Compensation			Accumulated Other Comprehensive Income (Loss)			Total Stockholders’ Equity
Balance at December 31, 2004	517,275	(140,463	)	$	6,304	$	6,792		$	(3,741	)	$	(43	)	$	(1	)	$	9,311
Common stock dividends, $0.34 per share					—		(128	)		—			—			—			(128	)
Adjustments associated with unearned compensation, restricted stock	659	(118	)		26		—			—			11			—			37
Exercise of stock options and related tax benefit of $37	4,854	(278	)		178		—			(14	)		—			—			164
Purchase of BNSF common stock (a)	—	(8,693	)		—		—			(442	)		—			—			(442	)
Comprehensive income:
Net income					—		687			—			—			—			687
Gain on derivative instruments, net of tax expense of $74					—		—			—			—			117			117
Total comprehensive income																			804
Balance at June 30, 2005	522,788	(149,552	)	$	6,508	$	7,351		$	(4,197	)	$	(32	)	$	116		$	9,746

(a) Total-to-date share repurchases through June 30, 2005, were 142 million shares at an average price of $28.22 per share, leaving 8 million shares available for repurchase out of the 150 million shares authorized.

6

Burlington Northern Santa Fe Corporation

Operating Statistics

	Three Months Ended June 30,				Six Months Ended June 30,
	2005		2004		2005		2004
Cars/units (in thousands)		2,465		2,362		4,873		4,568
Average revenues per car/unit	$	1,234	$	1,116	$	1,219	$	1,113
Revenue ton miles (in millions)		147,101		142,625		292,922		276,909
Gross ton miles (in millions)		261,813		252,439		520,542		490,238
RTM/GTM		0.56		0.56		0.56		0.56
Freight revenue/thousand RTM	$	20.69	$	18.49	$	20.29	$	18.36
Operating expense/thousand RTM	$	16.51	$	15.26	$	16.30	$	15.37
Freight revenue/thousand GTM	$	11.62	$	10.45	$	11.42	$	10.37
Operating expense/thousand GTM	$	9.27	$	8.62	$	9.18	$	8.68
Compensation and benefits/thousand GTM	$	3.24	$	3.24	$	3.27	$	3.27
Average employees		39,632		37,819		38,977		37,177
Period end employees		40,023		37,990		40,023		37,990
Thousand RTM/average employee		3,712		3,771		7,515		7,448
Thousand GTM/average employee		6,606		6,675		13,355		13,187
Gallons of fuel used (in millions)		348		337		694		660
Average price per gallon of fuel (cents) (a)		132.5		96.7		122.9		91.8
GTM/gallon of fuel		752		749		750		743
Freight train miles (in millions)		41		39		83		76
GTM/freight train hours (in thousands)		121		129		124		131
Route miles operated		32,248		32,683		32,248		32,683

(a) Includes handling, taxes and hedge effect.

7

Burlington Northern Santa Fe Corporation

Revenue Statistics by Commodity

	Three Months Ended June 30,				Percent Change		Six Months Ended June 30,				Percent Change
	2005		2004				2005		2004
Revenues (in millions)
Intermodal	$	1,041	$	881	18.2	%	$	1,997	$	1,660	20.3	%
Automotive		104		80	30.0			196		155	26.5
Other Consumer Products		96		79	21.5			178		152	17.1
Total Consumer Products		1,241		1,040	19.3			2,371		1,967	20.5
Industrial Products		718		620	15.8			1,365		1,183	15.4
Coal		591		553	6.9			1,189		1,073	10.8
Agricultural Products		493		424	16.3			1,017		862	18.0
Total freight revenue		3,043		2,637	15.4			5,942		5,085	16.9
Other revenue		95		48	97.9			178		90	97.8
Total revenues	$	3,138	$	2,685	16.9	%	$	6,120	$	5,175	18.3	%
Cars/units(in thousands)
Intermodal		1,213		1,117	8.6	%		2,359		2,117	11.4	%
Automotive		47		41	14.6			90		80	12.5
Other Consumer Products		50		46	8.7			96		88	9.1
Total Consumer Products		1,310		1,204	8.8			2,545		2,285	11.4
Industrial Products		397		389	2.1			783		757	3.4
Coal		536		548	(2.2	)		1,090		1,069	2.0
Agricultural Products		222		221	0.5			455		457	(0.4	)
Total cars/units		2,465		2,362	4.4	%		4,873		4,568	6.7	%
Average revenue per car/unit
Intermodal	$	858	$	789	8.7	%	$	847	$	784	8.0	%
Automotive		2,213		1,951	13.4			2,178		1,938	12.4
Other Consumer Products		1,920		1,717	11.8			1,854		1,727	7.4
Total Consumer Products		947		864	9.6			932		861	8.2
Industrial Products		1,809		1,594	13.5			1,743		1,563	11.5
Coal		1,103		1,009	9.3			1,091		1,004	8.7
Agricultural Products		2,221		1,919	15.7			2,235		1,886	18.5
Average revenue per car/unit	$	1,234	$	1,116	10.6	%	$	1,219	$	1,113	9.5	%
Revenue ton miles (in millions)
Intermodal		30,315		27,969	8.4	%		59,250		53,309	11.1	%
Automotive		1,507		1,225	23.0			2,901		2,341	23.9
Other Consumer Products		3,553		3,248	9.4			6,697		6,239	7.3
Total Consumer Products		35,375		32,442	9.0			68,848		61,889	11.2
Industrial Products		27,185		26,551	2.4			52,862		51,284	3.1
Coal		58,918		58,645	0.5			117,879		112,317	5.0
Agricultural Products		25,623		24,987	2.5			53,333		51,419	3.7
Total revenue ton miles		147,101		142,625	3.1	%		292,922		276,909	5.8	%
Freight revenue per thousand ton miles
Intermodal	$	34.34	$	31.50	9.0	%	$	33.70	$	31.14	8.3	%
Automotive		69.01		65.31	5.7			67.56		66.21	2.0
Other Consumer Products		27.02		24.32	11.1			26.58		24.36	9.1
Total Consumer Products		35.08		32.06	9.4			34.44		31.78	8.4
Industrial Products		26.41		23.35	13.1			25.82		23.07	11.9
Coal		10.03		9.43	6.4			10.09		9.55	5.7
Agricultural Products		19.24		16.97	13.4			19.07		16.76	13.8
Freight revenue per thousand ton miles	$	20.69	$	18.49	11.9	%	$	20.29	$	18.36	10.5	%

8

Burlington Northern Santa Fe Corporation

Capital Expenditures and Track Maintenance

	Three Months Ended June 30,				Six Months Ended June 30,
	2005		2004		2005		2004
Capital expenditures (in millions)
Maintenance of way
Rail	$	69	$	63	$	106	$	114
Ties		91		71		153		139
Surfacing		54		47		82		74
Other		93		94		169		169
Total maintenance of way		307		275		510		496
Mechanical		34		17		63		31
Information services		16		15		34		25
Other		21		18		40		29
Total maintenance of business		378		325		647		581
New locomotive acquisitions		—		—		—		16
Terminal and line expansion		94		61		151		95
Total capital expenditures	$	472	$	386	$	798	$	692
Track maintenance
Track miles of rail laid
Maintenance of business		183		200		248		318
Expansion projects		57		37		78		37
Total		240		237		326		355
Cross ties inserted (thousands)
Maintenance of business		939		678		1,424		1,178
Expansion projects		134		94		190		102
Total		1,073		772		1,614		1,280
Track resurfaced (miles)		3,877		3,493		5,984		5,269

9