Kansas City Southern Executive Committee of the Board of Directors Declares Cash Dividends on the 4.25% Redeemable Cumulative Convertible Perpetual Preferred Stock and 4% Non-Cumulative Preferred Stock

Business Wire, July 26, 2004

KANSAS CITY, Mo. -- Kansas City Southern (KCS) (NYSE:KSU) Executive Committee of the Board of Directors declared a cash dividend of $5.3125 per share on its outstanding 4.25% Redeemable Cumulative Convertible Perpetual Preferred stock. This dividend will be payable on August 16, 2004, to stockholders of record at the close of business on August 2, 2004.

The Executive Committee also declared a cash dividend of $.25 per share on the outstanding 4% Non-Cumulative Preferred stock. This dividend will be payable October 5, 2004, to stockholders of record at the close of business on September 13, 2004.

KCS is comprised of, among others, The Kansas City Southern Railway Company ("KCSR") and equity investments in Grupo TFM, Southern Capital Corporation ("Southern Capital") and Panama Canal Railway Company ("PCRC").