KCS Board of Directors Declare Regular Dividend.

Business Editors

KANSAS CITY, Mo.--(BUSINESS WIRE)--May 2, 2002

The Board of Directors of Kansas City Southern (KCS) (NYSE:KSU) declared a regular dividend of 25 cents per share on the outstanding KCS preferred stock.

This dividend is payable on July 2, 2002, to preferred

At the KCS Annual Meeting of Stockholders on May 2, stockholders approved a change in the name of the corporation to "Kansas City Southern." The former name had been "Kansas City Southern Industries, Inc." (KCSI), which had been the corporation's name since 1962.

"KCSI was appropriate when our company had two distinct lines of business: transportation and financial services," stated Chairman, Chief Executive Officer & President Michael R. Haverty. "With the spin-off of Stilwell Financial in July 2000, we returned to our roots as a dedicated transportation company. The name Kansas City Southern better reflects our railroad concentration."

Shareholders also elected Rodney E. Slater, Partner at Patton Boggs LLP, and Byron G. Thompson, Chairman, Country Club Bank, to three-year terms on the KCS Board of Directors, and approved KPMG LLP as KCS' independent accountants for 2002.

This press release includes statements concerning potential future events involving the Company, which could materially differ from the events that actually occur. The differences could be caused by a number of factors including those identified in KCSI's December 31, 2000, Form 10-K and the current report on Form 8-K dated December 11, 2001, each filed by the Company with the Securities and Exchange Commission (SEC). The Company will not update any forward-looking statements in this press release to reflect future events or developments.