----

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**UNITED        STATES**

**SECURITIES        AND EXCHANGE COMMISSION**

**WASHINGTON,        D.C. 20549**

**FORM        10-Q**

| **x** | QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d)                  OF THE                  SECURITIES EXCHANGE ACT OF 1934 |
|-------|---------------------------------------------------------------------------------------------------------------------------|

**For        the quarterly period ended March 31, 2007**

| **o** | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)                  OF THE                  SECURITIES EXCHANGE ACT OF 1934 |
|-------|----------------------------------------------------------------------------------------------------------------------------|

**BNSF        RAILWAY COMPANY**

**(Exact        name of registrant as specified in its charter)**

| **Delaware**                                                                                            |   | **41-6034000**                                                                |
|---------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------|
| **(State                  or other jurisdiction****of                  incorporation or organization)** |   | **(I.R.S.                  Employer****Identification                  No.)** |

**2650        Lou Menk Drive**

**Fort        Worth, Texas**

**(Address        of principal executive offices)**

**76131-2830**

**(Zip        Code)**

**(800)        795-2673**

**(Registrant’s        telephone number, including area code)**

| Indicate                    by check mark whether the registrant (1) has filed all reports                    required to                    be filed by Section 13 or 15(d) of the Securities and Exchange                    Act of 1934                    during the preceding                |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 12                    months (or for such shorter period that the registrant was required                    to                    file such reports), and (2) has been subject to such filing requirements                    for the past 90 days.                                              |
|                                                                                                                                                                                                                                                                                              | **Yes  [x]  No  [  ]** |
|                                                                                                                                                                                                                                                                                              |
| Indicate                    by check mark whether the registrant is a large accelerated filer,                    an                    accelerated filer, or a non-accelerated filer. See definition                    of                    "accelerated filer and large accelerated filer" in |
| Rule                    12b-2 of the Exchange Act.                                                                                                                                                                                                                                                |
| **Large                    accelerated filer  [  ]  Accelerated                    filer  [  ]  Non-accelerated                    filer  [x]**                                                                                  |
|                                                                                                                                                                                                                                                                                              |
| Indicate                    by check mark whether the registrant is a shell company (as defined                    in                    Rule 12b-2 of the Exchange Act).                                                                                                                         |
| **Yes  [  ]  No  [x]**                                                                                                                                                                                                                                    |

|   | **Class**                                        |   | **Shares****Outstanding                    at****April                    16, 2007** |   |
|--------|--------------------------------------------------|--------|--------------------------------------------------------------------------------------|--------|
|   | Common                    stock, $1.00 par value |   | 1,000                    shares                                                      |   |

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Table              of Contents

**Tableof        Contents**

| ***PART                  I***  | ***FINANCIAL                  INFORMATION***                                                      | ***PAGE*** |
|--------------------------------|---------------------------------------------------------------------------------------------------|------------|
| Item                  1.       | Financial                  Statements.                                                            | 3          |
| Item                  2.       | Management’s                  Narrative Analysis of Results of                  Operations. | 24         |
| Item                  4T.      | Controls                  and Procedures.                                                         | 28         |
|                           |                                                                                              |       |
| ***PART                  II*** | ***OTHER                  INFORMATION***                                                          |       |
| Item                  1.       | Legal                  Proceedings.                                                               | 29         |
| Item                  6.       | Exhibits.                                                                                         | 29         |
| Signatures                     |                                                                                              | S-1        |
| Exhibits                       |                                                                                              | E-1        |

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Table              of Contents

**PART        I**

**FINANCIAL        INFORMATION**

**Item1.    Financial        Statements.**

**BNSF        RAILWAY COMPANY and SUBSIDIARIES**

**CONSOLIDATED        STATEMENTS OF INCOME**

**(In        millions)**

**(Unaudited)**

| **Three                                                      Months Ended March 31,** |   | **2007** |   | **2006**                                                                |   |
|---------------------------------------------------------------------------------------|--------|----------|--------|-------------------------------------------------------------------------|--------|
|                                                                                  |   |     |   | **(As                                                      Adjusted)a** |   |
|                                                                                  |   |     |   |                                                                    |   |   |   |
| Revenues                                                                              |   | $        | 3,601  |                                                                    | $      | 3,426 |   |
|                                                                                  |   |     |   |                                                                    |   |   |   |
| Operating                                                      expenses:              |   |     |   |                                                                    |   |   |   |
| Compensation                                                      and benefits        |   |     | 927    |                                                                    |   | 915 |   |
| Fuel                                                                                  |   |     | 652    |                                                                    |   | 561 |   |
| Purchased                                                      services               |   |     | 500    |                                                                    |   | 466 |   |
| Depreciation                                                      and amortization    |   |     | 307    |                                                                    |   | 289 |   |
| Equipment                                                      rents                  |   |     | 232    |                                                                    |   | 231 |   |
| Materials                                                      and other              |   |     | 280    |                                                                    |   | 167 |   |
| Total                                                      operating expenses         |   |     | 2,898  |                                                                    |   | 2,629 |   |
| Operating                                                      income                 |   |     | 703    |                                                                    |   | 797 |   |
| Interest                                                      expense                 |   |     | 21     |                                                                    |   | 32 |   |
| Interest                                                      income, related parties |   |     | (49    | )                                                                       |   | (33 | ) |
| Other                                                    expense, net                 |   |     | 8      |                                                                    |   |  8 |   |
|                                                                                  |   |     |   |                                                                    |   |   |   |
| Income                                                      before income taxes       |   |     | 723    |                                                                    |   | 790 |   |
| Income                                                      tax expense               |   |     | 279    |                                                                    |   | 301 |   |
| Net                                                      income                       |   | $        | 444    |                                                                    | $      | 489 |   |

*Accounting for Planned Major Maintenance            Activities*

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Table              of Contents

**BNSF        RAILWAY COMPANY and SUBSIDIARIES**

**CONSOLIDATED        BALANCE SHEETS**

**(Dollars        in millions)**

**(Unaudited)**

|                                                                                                                                                             |   | **March                                  31,** |   |   | **December                                  31,**   |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------------|--------|--------|-----------------------------------------------------|--------|
|                                                                                                                                                             |   | **2007**                                       |   |   | **2006**                                            |   |
|                                                                                                                                                             |   |                                           |   |   | **(As                                  Adjusted)a** |   |
| **ASSETS**                                                                                                                                                       |   |                                           |   |   |                                                |   |
| Current                                  assets:                                                                                                                 |   |                                           |   |   |                                                |   |
| Cash                                  and cash equivalents                                                                                                       |   | $                                              | 24     |   |                                                | $      | 20 |   |
| Accounts                                  receivable, net                                                                                                        |   |                                           | 511    |   |                                                |   | 871 |   |
| Materials                                  and supplies                                                                                                          |   |                                           | 506    |   |                                                |   | 488 |   |
| Current                                  portion of deferred income taxes                                                                                        |   |                                           | 339    |   |                                                |   | 337 |   |
| Other                                  current assets                                                                                                            |   |                                           | 421    |   |                                                |   | 285 |   |
| Total                                  current assets                                                                                                            |   |                                           | 1,801  |   |                                                |   | 2,001 |   |
|                                                                                                                                                             |   |                                           |   |   |                                                |   |   |   |
| Property                                  and equipment, net                                                                                                     |   |                                           | 28,146 |   |                                                |   | 27,871 |   |
| Other                                  assets                                                                                                                    |   |                                           | 2,109  |   |                                                |   | 1,815 |   |
| Intercompany                                  notes receivable                                                                                                   |   |                                           | 3,295  |   |                                                |   | 3,317 |   |
| Total                                  assets                                                                                                                    |   | $                                              | 35,351 |   |                                                | $      | 35,004 |   |
|                                                                                                                                                             |   |                                           |   |   |                                                |   |   |   |
| **LIABILITIES                                  AND STOCKHOLDER'S EQUITY**                                                                                        |   |                                           |   |   |                                                |   |   |   |
| Current                                  liabilities:                                                                                                            |   |                                           |   |   |                                                |   |   |   |
| Accounts                                  payable and other current liabilities                                                                                  |   | $                                              | 2,762  |   |                                                | $      | 2,920 |   |
| Long-term                                  debt due within one year                                                                                              |   |                                           | 184    |   |                                                |   | 173 |   |
| Total                                  current liabilities                                                                                                       |   |                                           | 2,946  |   |                                                |   | 3,093 |   |
|                                                                                                                                                             |   |                                           |   |   |                                                |   |   |   |
| Long-term                                  debt and commercial paper                                                                                             |   |                                           | 1,177  |   |                                                |   | 1,215 |   |
| Deferred                                  income taxes                                                                                                           |   |                                           | 8,243  |   |                                                |   | 8,293 |   |
| Casualty                                  and environmental liabilities                                                                                          |   |                                           | 872    |   |                                                |   | 830 |   |
| Pension                                  and retiree health and welfare liability                                                                                |   |                                           | 614    |   |                                                |   | 604 |   |
| Employee                                  separation costs                                                                                                       |   |                                           | 83     |   |                                                |   | 86 |   |
| Other                                liabilities                                                                                                                 |   |                                           | 1,280  |   |                                                |   | 1,171 |   |
| Intercompany                                notes payable                                                                                                        |   |                                           | 35     |   |                                                |   | 35 |   |
| Total                                  liabilities                                                                                                               |   |                                           | 15,250 |   |                                                |   | 15,327 |   |
| Commitments                                  and contingencies (see Notes 2, 4 and 5)                                                                            |   |                                           |   |   |                                                |   |   |   |
| Stockholder's                                  equity:                                                                                                           |   |                                           |   |   |                                                |   |   |   |
| Common                                  stock, $1 par value, 1,000 shares authorized;issued                                  and outstanding and paid-in capital |   |                                           | 6,286  |   |                                                |   | 6,286 |   |
| Retained                                  earnings                                                                                                               |   |                                           | 14,108 |   |                                                |   | 13,677 |   |
| Accumulated                                  other comprehensive loss                                                                                            |   |                                           | (293   | )      |                                                |   | (286 | ) |
| Total                                  stockholder's equity                                                                                                      |   |                                           | 20,101 |   |                                                |   | 19,677 |   |
| Total                                  liabilities and stockholder's equity                                                                                      |   | $                                              | 35,351 |   |                                                | $      | 35,004 |   |

*Accounting for Planned Major Maintenance Activities*

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**BNSF        RAILWAY COMPANY and SUBSIDIARIES**

**CONSOLIDATED        STATEMENTS OF CASH FLOWS**

**(Dollars        in millions)**

**(Unaudited)**

| **Three                              Months Ended March 31,**                                                                               |   | **2007** |      |    | **2006**                                        |   |
|---------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|-----------|---------|-------------------------------------------------|--------|
|                                                                                                                                        |   |     |      |    | **(As                              Adjusted)a** |   |
| **OPERATING                              ACTIVITIES**                                                                                       |   |     |      |    |                                            |   |
| Net                              income                                                                                                     |   | $        | 444       |    |                                            | $      | 489 |   |
| Adjustments                              to reconcile net income to net cash provided by operating                              activities: |   |     |      |    |                                            |   |   |   |
| Depreciation                              and amortization                                                                                  |   |     | 307       |    |                                            |   | 289 |   |
| Deferred                              income taxes                                                                                          |   |     | 66        |    |                                            |   | 66 |   |
| Employee                              separation costs paid                                                                                 |   |     | (6        | )       |                                            |   | (6 | ) |
| Long-term                              casualty and environmental liabilities, net                                                          |   |     | 42        |    |                                            |   | (18 | ) |
| Other,                              net                                                                                                     |   |     | 5         |    |                                            |   | (23 | ) |
| Changes                              in current assets and liabilities:                                                                     |   |     |      |    |                                            |   |   |   |
| Accounts                              receivable, net                                                                                       |   |     | 60        |    |                                            |   | (147 | ) |
| Change                              in accounts receivable sales program                                                                    |   |     | 300       |    |                                            |   | 150 |   |
| Materials                              and supplies                                                                                         |   |     | (18       | )       |                                            |   | (38 | ) |
| Other                              current assets                                                                                           |   |     | (149      | )       |                                            |   | (79 | ) |
| Accounts                              payable and other current liabilities                                                                 |   |     | (182      | )  |                                            |   | (229 | ) |
| Net                              cash provided by operating activities                                                                      |   |     | 869       |    |                                            |   | 454 |   |
| **INVESTING                              ACTIVITIES**                                                                                       |   |     |      |    |                                            |   |   |   |
| Capital                              expenditures                                                                                           |   |     | (578      | )       |                                            |   | (455 | ) |
| Net                                decrease in intercompany notes receivable                                                                |   |     | 22        |    |                                            |   | 576 |   |
| Other,                              net                                                                                                     |   |     | (265      | )       |                                            |   | (296 | ) |
| Net                              cash used for investing activities                                                                         |   |     | (821      | )       |                                            |   | (175 | ) |
| **FINANCING                              ACTIVITIES**                                                                                       |   |     |      |    |                                            |   |   |   |
| Payments                              on long-term debt                                                                                     |   |     | (44       | )       |                                            |   | (57 | ) |
| Net                              decrease in intercompany notes payable                                                                     |   |     | *–* |    |                                            |   | (226 | )  |
| Net                              cash used for financing activities                                                                         |   |     | (44       | )       |                                            |   | (283 | )  |
| Increase                              (decrease) in cash and cash equivalents                                                               |   |     | 4         |    |                                            |   | (4 | )  |
| Cash                              and cash equivalents:                                                                                     |   |     |      |    |                                            |   |   |   |
| Beginning                              of period                                                                                            |   |     | 20        |    |                                            |   | 24 |   |
| End                              of period                                                                                                  |   | $        | 24        |    |                                            | $      | 20 |   |
| **SUPPLEMENTAL                              CASH FLOW INFORMATION**                                                                         |   |     |      |    |                                            |   |   |   |
| Interest                              paid, net of amounts capitalized                                                                      |   | $        | 23        |    |                                            | $      | 24 |   |
| Income                              taxes paid, net of refunds                                                                              |   | $        | 254       |    |                                            | $      | 300 |   |
| Non-cash                              asset financing                                                                                       |   | $        | 15        |    |                                            | $      | 14 |   |

*Accounting for Planned Major Maintenance Activities*

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**BNSF        RAILWAY COMPANY and SUBSIDIARIES**

**CONSOLIDATED        STATEMENT OF CHANGES IN STOCKHOLDER'S EQUITY**

**(Dollars        in millions)**

**(Unaudited)**

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | **Common                                Stock and Paid-in Capital** |      |   | **Retained                                Earnings** |       |      | **Accumulated                                Other Comprehensive Loss** |   |       | **Total                                Stockholder’s Equity** |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------|-----------|--------|------------------------------------------------------|------------|-----------|-------------------------------------------------------------------------|--------|------------|---------------------------------------------------------------------|--------|
| Balance                                at December 31, 2006, as adjusted                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | $                                                                   | 6,286     |   |                                                 | $          | 13,677    | a                                                                  |   | $          | (286                                                                | )      |   | $ | 19,677 | a |
| Adjustment                                for the adoption of FASB Interpretation No. (FIN)                                48                                                                                                                                                                                                                                                                                                                                                                                                                |   | ** **                                                          | *–* |   |                                                 |       | (13       | )                                                                       |   | ** ** | *–*                                                           |   |   |   | (13 | ) |
| Comprehensive                                income:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   |                                                                |      |   |                                                 |       |      |                                                                    |   |       |                                                                |   |   |   |   |   |
| Net                                income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | ** **                                                          | *–* |   |                                                 |       | 444       |                                                                    |   | ** ** | *–*                                                           |   |   |   | 444 |   |
| Loss                                on derivative instruments and other items, net of                                tax benefit of                                $4                                                                                                                                                                                                                                                                                                                                                                        |   | ** **                                                          | *–* |   |                                                 | ** ** | *–* |                                                                    |   |       | (7                                                                  | )      |   |   | (7 | ) |
|        Total                                comprehensive income                                                                                                                                                                                                                                                                                                                                                                                                                                          |   |                                                                |      |   |                                                 |       |      |                                                                    |   |       |                                                                |   |   |   | 437 |   |
| Balance                                at March 31, 2007                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | $                                                                   | 6,286     |   |                                                 | $          | 14,108    |                                                                    |   | $          | (293                                                                | )      |   | $ | 20,101 |   |
|  a                                Prior year numbers have been adjusted for the retrospective                                adoption of                                FSP AUG AIR-1, *Accounting for Planned Major Maintenance                                Activities*. See Note of the Consolidated Financial                                Statements for additional                                information.                 |

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Table              of Contents

**BNSF                RAILWAY COMPANY                and SUBSIDIARIES**

**NOTES              TO CONSOLIDATED FINANCIAL              STATEMENTS              (Unaudited)**

**1.  Accounting          Policies and          Interim Results**

**Adoption          of New Accounting Pronouncements**

*Planned          Major Maintenance Activities*

*Accounting for Planned Major Maintenance          Activities*

| **Consolidated                        Statement of Income****Three                        Months Ended, March 31, 2006**  |   | As                        Reported |   | Impact                        of Adjustment |   | As                        Adjusted |
|--------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------|--------|---------------------------------------------|--------|------------------------------------|
| Depreciation                        and amortization                                                                           |   | $                                  | 277    |                                        | $      | 12                            |   | $ | 289 |
| Materials                        and other                                                                                     |   |                               | 180    | a                                      |   | (13)                               |   |   | 167 |
| Total                        operating expenses                                                                                |   |                               | 2,630  |                                        |   | (1)                                |   |   | 2,629 |
| Operating                        income                                                                                        |   |                               | 796    |                                        |   | 1                             |   |   | 797 |
| Income                        before income taxes                                                                              |   |                               | 789    |                                        |   | 1                             |    |   | 790 |
|                                                                                                                           |   |                               |   |                                        |   |                               |   |   |   |
| Income                        tax expense                                                                                      |   |                               | 300    |                                        |   | 1                             |   |   | 301 |
| Net                        income                                                                                              |   | $                                  | 489    |                                        | $      | –** **                  |   | $ | 489 |

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**BNSF                RAILWAY COMPANY and SUBSIDIARIES**

**                             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

| **Consolidated                        Balance Sheet****December                        31, 2006**  |   | As                        Reported |   | Impact                        of Adjustment |   | As                        Adjusted |
|---------------------------------------------------------------------------------------------------------|--------|------------------------------------|--------|---------------------------------------------|--------|------------------------------------|
| Property                        and equipment, net                                                      |   | $                                  | 27,626 |                                        | $      | 245                           |   | $ | 27,871 |
| Other                        assets                                                                     |   |                               | 1,906  |                                        |   | (91)                               |   |   | 1,815 |
| Total                        assets                                                                     |   |                               | 34,850 | a                                           |   | 154                           |   |   | 35,004 |
|                                                                                                    |   |                               |   |                                        |   |                               |   |   |   |
| Deferred                        income taxes                                                            |   |                               | 8,211  |                                        |   | 82                            |    |   | 8,293 |
| Other                        liabilities                                                                |   |                               | 1,231  |                                        |   | (60)                               |   |   | 1,171 |
| Total                        liabilities                                                                |   |                               | 15,305 | a                                      |   | 22                            |   |   | 15,327 |
|                                                                                                    |   |                               |   |                                        |   |                               |   |   |   |
| Retained                        earnings                                                                |   |                               | 13,545 |                                        |   | 132                           |   |   | 13,677 |
| Total                        stockholder's equity                                                       |   |                               | 19,545 |                                        |   | 132                           |   |   | 19,677 |
| Total                        liabilities and stockholder's equity                                       |   | $                                  | 34,850 | a                                      | $      | 154                           |   | $ | 35,004 |

| **Consolidated                      Statement of Cash Flows****Three                      Months Ended, March 31, 2006**  |   | As                      Reported |      | Impact                      of Adjustment |   | As                      Adjusted |
|--------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------|-----------|-------------------------------------------|--------|----------------------------------|
| Depreciation                      and amortization                                                                             |   | $                                | 277  |                                      | $      | 12                          |   | $ | 289  |
| Deferred                      income taxes                                                                                     |   |                             | 65   |                                      |   | 1                           |   |   | 66  |
| Operating                      activities other, net                                                                           |   |                             | (28)      |                                      |   | 5                           |   |   | (23) |
| Net                      cash provided by operating activities                                                                 |   |                             | 436  |                                      |   | 18                          |   |   | 454  |
|                                                                                                                           |   |                             |      |                                      |   |                             |   |   |   |
| Investing                      activities other, net                                                                           |   |                             | (278)     |                                      |   | (18)                             |   |   | (296) |
| Net                      cash used for investing activities                                                               |   | $                                | (157)     | a                                         | $      | (18)                             |   | $ | (175) |

*Uncertain        Tax Positions*

*Accounting for Uncertainty in Income Taxes—an        interpretation of FASB Statement No. 109, Accounting for Income Taxes*

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**BNSF                    RAILWAY COMPANY and SUBSIDIARIES**

**                                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

**2.  Hedging          Activities**

* Accounting for Derivative Instruments and Hedging          Activities, as amended,*

**Fuel**

***Total          Fuel-Hedging Activities***

|                                                          |   | **Three                            Months Ended****March                            31,** |   |
|---------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------|--------|
|                                                          |   | **2007**                                                                                  |   |   | **2006** |   |
| Hedge                            benefit                      |   | $                                                                                         | 27     |   |   | $ | 107 |   |
| Ineffective                            portion of open hedges |   |                                                                                      | (1     | ) |   |   | *–* |   |
| Tax                            effect                         |   |                                                                                      | (10    | ) |   |   | (41 | ) |
| Hedge                            benefit, net of tax          |   | $                                                                                         | 16     |   |   | $ | 66 |   |

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**BNSF            RAILWAY COMPANY and SUBSIDIARIES**

**                         NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

|                                                                     |   | **March                                31,** |    |   | **December                                31,** |   |
|--------------------------------------------------------------------------|--------|----------------------------------------------|---------|--------|-------------------------------------------------|--------|
|                                                                     |   | **2007**                                     |    |   | **2006**                                        |   |
| Short-term                                fuel-hedging asset             |   | $                                            | – |   |                                            | $      | 13 |   |
| Long-term                                fuel-hedging asset              |   |                                         | 6       |   |                                            |   | – |   |
| Short-term                                fuel-hedging liability         |   |                                         | (7      | )      |                                            |   | (2 | ) |
| Ineffective                                portion of open hedges        |   |                                         | 2       |   |                                            |   | 1 |   |
| Tax                                effect                                |   |                                         | – |   |                                            |   | (4 | ) |
| Amount                                included in AOCL, net of tax       |   | $                                            | 1       |   |                                            | $      | 8 |   |
|                                                                     |   |                                         |    |   |                                            |   |   |   |
| Settled                                fuel-hedging contracts receivable |   | $                                            | 27      |   |                                            | $      | 37 |   |

***New          York Mercantile Exchange (NYMEX) #2 Heating Oil (HO)          Hedges***

|                                                                        |   | **Quarter                                            Ending** |              |   |                                                         |       |
|-----------------------------------------------------------------------------|--------|---------------------------------------------------------------|-------------------|--------|--------------------------------------------------------------|------------|
| **2007**                                                                    |   | **June                                            30,**       |              |   | **September                                            30,** |       |   | **December                                            31,** |   |   | **Total** |   |
| **HO                                            Swaps**                     |   |                                                          |              |   |                                                         |       |   |   |   |   |   |   |
| Gallons                                            hedged (in millions)     |   |                                                          | 17.85             |   |                                                         |       | 18.90 |   |   |   | 18.90 |   |   |   | 55.65 |   |
| Average                                            swap price (per gallon)  |   | $                                                             | 2.06              |   |                                                         | $          | 2.11 |   |   | $ | 2.17 |   |   | $ | 2.11 |   |
| Fair                                            value (in millions)         |   | $                                                             | (3                | )      |                                                         | $          | (3 | ) |   | $ | (3 | ) |   | $ | (9 | ) |
| **HO                                            Collars**                   |   |                                                          |              |   |                                                         |       |   |   |   |   |   |   |   |   |   |   |
| Gallons                                            hedged (in millions)     |   |                                                          | 9.45              |   |                                                         | ** ** | ***–*** |   |   | ** ** | ***–*** |   |   |   | 9.45 |   |
| Average                                            cap price (per gallon)   |   | $                                                             | 1.95              |   |                                                         | $          | **– ** |   |   | $ | **– ** |    |   | $ | 1.95 |   |
| Average                                            floor price (per gallon) |   | $                                                             | 1.79              |   |                                                         | $          | **– ** |   |   | $ | **– ** |   |   | $ | 1.79 |   |
| Fair                                            value (in millions)         |   | $                                                             | **– ** |   |                                                         | $          | **– ** |   |   | $ | **– ** |   |   | $ | **– ** |   |

***West                            Texas Intermediate (WTI) Crude                            Oil Hedges***

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**BNSF                                RAILWAY COMPANY and SUBSIDIARIES**

**                                             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)–(Continued)**

|                                                               |   | **Quarter                            Ending** |   |   |                                    |
|--------------------------------------------------------------------|--------|-----------------------------------------------|--------|--------|-----------------------------------------|
| **2008**                                                           |   | **March                            31,**      |   |   | **June                            30,** |   |   | **September                            30,** |   |   | **December                            31,** |   |   | **Total** |
| **WTI                            Swaps**                           |   |                                          |   |   |                                    |   |   |   |   |   |   |   |   |   |
| Barrels                            hedged (in thousands)           |   |                                          | 290    |   |                                    |   | 260 |   |   |   | 230 |   |   |   | 230 |   |   |   | 1,010 |
| Equivalent                            gallons hedged (in millions) |   |                                          | 12.18  |   |                                    |   | 10.92 |   |   |   | 9.66 |   |   |   | 9.66 |   |   |   | 42.42 |
| Average                            swap price (per barrel)         |   | $                                             | 63.69  |   |                                    | $ | 63.77 |   |   | $ | 63.70 |   |   | $ | 63.70 |   |   | $ | 63.72 |
| Fair                            value (in millions)                |   | $                                             | 2      |   |                                    | $ | 2 |   |   | $ | 1 |   |   | $ | 1 |   |   | $ | 6 |

|                                                               |   | **Quarter                            Ending** |        |   |                                    |
|--------------------------------------------------------------------|--------|-----------------------------------------------|-------------|--------|-----------------------------------------|
| **2009**                                                           |   | **March                            31,**      |        |   | **June                            30,** |   |   | **September                            30,** |   |   | **December                            31,** |   |   | **Total** |
| **WTI                            Swaps**                           |   |                                          |        |   |                                    |   |   |   |   |   |   |   |   |   |
| Barrels                            hedged (in thousands)           |   |                                          | 100         |   |                                    |   | 100 |   |   |   | 100 |   |   |   | 70 |   |   |   | 370 |
| Equivalent                            gallons hedged (in millions) |   |                                          | 4.20        |   |                                    |   | 4.20 |   |   |   | 4.20 |   |   |   | 2.94 |   |   |   | 15.54 |
| Average                            swap price (per barrel)         |   | $                                             | 65.10       |   |                                    | $ | 65.10 |   |   | $ | 65.10 |   |   | $ | 65.00 |   |   | $ | 65.08 |
| Fair                            value (in millions)                |   | $                                             | <1  |   |                                    | $ | <1  |   |   | $ | <1  |   |   | $ | <1  |   |   | $ | 2 |

|                                                               |   | **Quarter                            Ending** |    |   |                                    |
|--------------------------------------------------------------------|--------|-----------------------------------------------|---------|--------|-----------------------------------------|
| **2010**                                                           |   | **March                            31,**      |    |   | **June                            30,** |   |   | **September                            30,** |   |   | **December                            31,** |   |   | **Total** |
| **WTI                            Swaps**                           |   |                                          |    |   |                                    |   |   |   |   |   |   |   |   |   |
| Barrels                            hedged (in thousands)           |   |                                          | 70      |   |                                    |   | – |   |   |   | – |   |   |   | – |   |   |   | 70 |
| Equivalent                            gallons hedged (in millions) |   |                                          | 2.94    |   |                                    |   | – |   |   |   | – |   |   |   | – |   |   |   | 2.94 |
| Average                            swap price (per barrel)         |   | $                                             | 64.80   |   |                                    | $ | – |   |   | $ | – |   |   | $ | – |   |   | $ | 64.80 |
| Fair                            value (in millions)                |   | $                                             | – |   |                                    | $ | – |   |   | $ | – |   |   | $ | – |   |   | $ | – |

**  Interest                  Rate**

*** Cash                  Flow Interest Rate                  Hedges***

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**BNSF                      RAILWAY COMPANY and SUBSIDIARIES**

**                                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

**3.    Accounts                Receivable, Net**

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**BNSF                  RAILWAY COMPANY and SUBSIDIARIES**

**                               NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

**4.  Debt**

**Guarantees**

|                                                                                                                     |   | **Guarantees**                                                                                     |   |                                                            |   |
|--------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------|--------|
|                                                                                                                     |   | **BNSF                              Railway****Ownership                              Percentage** |   | **Principal****Amount                              Guaranteed** |   | **Maximum****Future                              Payments** |   | **Maximum****Recourse****Amount** | **a**  | **Remaining                              Term****(in                              years)** |   | **Capitalized                              Obligations** | **b** |
| Kinder                              Morgan Energy Partners, L.P.                                                         |   | 0.5%                                                                                               |   | $                                                               | 190    |   | $ | 190 |   | $ | ***–*** |   | Termination                              of Ownership |   | $ | – |   |
| Kansas                              City Terminal Intermodal Transportation Corporation                                  |   | 0.0%                                                                                               |   | $                                                               | 59     |   | $ | 87 |   | $ | 87 |   | 11 |   | $ | 32 |   |
| Westside                              Intermodal Transportation Corporation                                              |   | 0.0%                                                                                               |   | $                                                               | 42     |   | $ | 65 |   | $ | – |   | 16 |   | $ | 34 |   |
| The                              Unified Government of Wyandotte County/Kansas City,                              Kansas |   | 0.0%                                                                                               |   | $                                                               | 13     |   | $ | 20 |   | $ | – |   | 16 |   | $ | 11 |   |
| Various                              lessors(Residual                              value guarantees)                     |   | 0.0%                                                                                               |   |                                                            | N/A    |   | $ | 271 |   | $ | 271 |   | Various |   | $ | 68 | c |
| All                              other                                                                                   |   | 0.0%                                                                                               |   | $                                                               | 7      |   | $ | 8 |   | $ | 3 |   | Various |   | $ | – |   |

*Guarantor’s Accounting and Disclosure Requirements for                Guarantees*

***Kinder                  Morgan Energy Partners, L.P.***

***Kansas                  City Terminal Intermodal Transportation Corporation***

***Westside                  Intermodal Transportation Corporation and The Unified Government                  of***

***Wyandotte                  County/Kansas City, Kansas***

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**BNSF                    RAILWAY COMPANY and SUBSIDIARIES**

**                                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

***Residual                  value guarantees (RVG)***

***All                  other***

***Indemnities***

**5.                      Commitments and Contingencies**

**Personal                  Injury**

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**BNSF                    RAILWAY COMPANY and SUBSIDIARIES**

**                                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

***Asbestos***

|                                                         |   | **Three                                  Months Ended****March                                  31,** |    |
|--------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------|---------|
|                                                         |   | **2007**                                                                                              |    |   | **2006** |   |
| Beginning                                  balance           |   | $                                                                                                     | 306     |   |   | $ | 326 |   |
| Accruals                                                     |   |                                                                                                  | – |   |   |   | – |   |
| Payments                                                     |   |                                                                                                  | (5      | ) |   |   | (4 | ) |
| Ending                                  balance at March 31, |   | $                                                                                                     | 301     |   |   | $ | 322 |   |

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**BNSF                      RAILWAY COMPANY and SUBSIDIARIES**

**                                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

|                                                                               |   | **Three                                    Months Ended****March                                    31,** |   |
|------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------|--------|
|                                                                               |   | **2007**                                                                                                  |   |   | **2006** |   |
| Claims                                    unresolved at beginning of period        |   |                                                                                                      | 1,975  |   |   |   | 2,121 |   |
| Claims                                    filed                                    |   |                                                                                                      | 139    |   |   |   | 211 |   |
| Claims                                    settled, dismissed or otherwise resolved |   |                                                                                                      | (173   | ) |   |   | (179 | ) |
| Ending                                    balance at March 31,                     |   |                                                                                                      | 1,941  |   |   |   | 2,153 |   |

***Other                  Personal Injury***

*Reasonable Estimation of the Amount of Loss*

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**BNSF                    RAILWAY COMPANY and SUBSIDIARIES**

**                                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

|                                                         |   | **Three                                  Months Ended****March                                  31,** |   |
|--------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------|--------|
|                                                         |   | **2007**                                                                                              |   |   | **2006** |   |
| Beginning                                  balance           |   | $                                                                                                     | 439    |   |   | $ | 422 |   |
| Accruals                                                     |   |                                                                                                  | 47     |   |   |   | 49 |   |
| Payments                                                     |   |                                                                                                  | (52    | ) |   |   | (39 | ) |
| Ending                                  balance at March 31, |   | $                                                                                                     | 434    |   |   | $ | 432 |   |

|                                                                               |   | **Three                                    Months Ended****March                                    31,** |   |
|------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------|--------|
|                                                                               |   | **2007**                                                                                                  |   |   | **2006** |   |
| Claims                                    unresolved at beginning of period        |   |                                                                                                      | 3,130  |   |   |   | 3,617 |   |
| Claims                                    filed                                    |   |                                                                                                      | 921    |   |   |   | 876 |   |
| Claims                                    settled, dismissed or otherwise resolved |   |                                                                                                      | (829   | ) |   |   | (957 | ) |
| Ending                                    balance at March 31,                     |   |                                                                                                      | 3,222  |   |   |   | 3,536 |   |

***BNSF                  Insurance Company***

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**BNSF                    RAILWAY COMPANY and SUBSIDIARIES**

**                                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

**Environmental**

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**BNSF                    RAILWAY COMPANY and SUBSIDIARIES**

**                                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

|                                                         |   | **Three                                  Months Ended****March                                  31,** |   |
|--------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------|--------|
|                                                         |   | **2007**                                                                                              |   |   | **2006** |   |
| Beginning                                  balance           |   | $                                                                                                     | 318    |   |   | $ | 370 |   |
| Accruals                                                     |   |                                                                                                  | 67     |   |   |   | (2 | ) |
| Payments                                                     |   |                                                                                                  | (15    | ) |   |   | (22 | ) |
| Ending                                  balance at March 31, |   | $                                                                                                     | 370    |   |   | $ | 346 |   |

|                                                                            |   | **Three                                          Months Ended March 31,** |   |
|---------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------|--------|
|                                                                            |   | **BNSF                                          Railway Sites**           |   |   | **Superfund                                          Sites** |   |
|                                                                            |   | **2007**                                                                  |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
| Number                                          of sites at beginning of period |   |                                                                      | 375    |   |   |   | 369 |   |   |   | 20 |   |   |   | 20 |   |
| Sites                                          added during the period          |   |                                                                      | 5      |   |   |   | 8 |   |   |   | – |   |   |   | – |   |
| Sites                                          closed during the period         |   |                                                                      | (12    | ) |   |   | (3 | ) |   |   | – |   |   |   | – |   |
| Number                                          of sites at March 31,           |   |                                                                      | 368    |   |   |   | 374 |   |   |   | 20 |   |   |   | 20 |   |

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**BNSF                        RAILWAY COMPANY and SUBSIDIARIES**

**                                     NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

**Other                      Claims and Litigation**

**6.  Employee                  Separation                  Costs**

|                                                             |   | **Three                                  Months Ended March 31,** |   |
|------------------------------------------------------------------|--------|-------------------------------------------------------------------|--------|
|                                                             |   | **2007**                                                          |   |   | **2006** |   |
| Beginning                                  balance at January 1, |   | $                                                                 | 107    |   |   | $ | 132 |   |
| Accruals                                                         |   |                                                              | 2      |   |   |   | – |   |
| Payments                                                         |   |                                                              | (6     | ) |   |   | (6 | ) |
| Ending                                  balance at March 31,     |   | $                                                                 | 103    |   |   | $ | 126 |   |

**Conductors,                    Trainmen and Locomotive Engineers**

**Consolidation                    of Clerical Functions**

**Other                    Employee Separation Costs**

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**BNSF                    RAILWAY COMPANY and SUBSIDIARIES**

**                                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

**7.    Employment                    Benefit Plans**

*Employers' Accounting for                    Defined Benefit Pension and Other Postretirement Plans*
*an amendment of                    FASB Statements No. 87, 88, 106 and 132(R)*

|                                                            |   | **Pension                                  Benefits** |    |   | **Retiree                                  Health and Welfare Benefits** |   |
|-----------------------------------------------------------------|--------|-------------------------------------------------------|---------|--------|--------------------------------------------------------------------------|--------|
| **Net                                  Periodic Benefit Cost**  |   | **2007**                                              |    |   | **2006**                                                                 |   |   | **2007** |   |   | **2006** |   |
| Service                                  cost                   |   | $                                                     | 6       |   |                                                                     | $      | 6 |   |   | $ | 1 |   |   | $ | 1 |   |
| Interest                                  cost                  |   |                                                  | 24      |   |                                                                     |   | 24 |   |   |   | 4 |   |   |   | 3 |   |
| Expected                                  return on plan assets |   |                                                  | (26     | )      |                                                                     |   | (24 | ) |   |   | – |   |   |   | – |   |
| Loss                                  component                 |   |                                                  | 9       |   |                                                                     |   | 11 |   |   |   | 1 |   |   |   | 1 |   |
| Prior                                  service credit component |   |                                                  | – |   |                                                                     |   | – |   |   |   | (2 | ) |   |   | (2 | ) |
| Net                                  periodic benefit cost      |   | $                                                     | 13      |   |                                                                     | $      | 17 |   |   | $ | 4 |   |   | $ | 3 |   |

**8.    Uncertain                  Tax Positions**

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**BNSF                    RAILWAY COMPANY and SUBSIDIARIES**

**                                 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) –(Continued)**

**9.    Related                  Party Transactions**

**10.    Report                  of Independent Registered Public Accounting Firm**

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**Report                  of Independent Registered Public Accounting Firm**

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**Item2.    Management’s                    Narrative Analysis of                    Results of Operations.**

**Results                    of Operations **

***Three                    Months Ended March 31, 2007, Compared with Three Months Ended                    March 31,                    2006***

***Revenues***

|                                                    |   | **Revenues****(in                                millions)** |   |   | **Cars                                / Units****(in                                thousands)** |   |   | **Average                                Revenue****Per                                Car / Unit** |   |
|---------------------------------------------------------|--------|--------------------------------------------------------------|--------|--------|--------------------------------------------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------|--------|
|                                                    |   | **2007**                                                     |   |   | **2006**                                                                                         |   |   | **2007**                                                                                            |   |   | **2006** |   |   | **2007** |   |   | **2006** |   |
|                                                    |   |                                                         |   |   |                                                                                             |   |   |                                                                                                |   |
| Consumer                                Products        |   | $                                                            | 1,312  |   |                                                                                             | $      | 1,250  |                                                                                                |   |   | 1,276 |   |   |   | 1,286 |   |   | $ | 1,028 |   |   | $ | 972 |   |
| Industrial                                Products      |   |                                                         | 845    |   |                                                                                             |   | 841    |                                                                                                |   |   | 390 |   |   |   | 411 |   |   |   | 2,167 |   |   |   | 2,046 |   |
| Coal                                                    |   |                                                         | 760    |   |                                                                                             |   | 680    |                                                                                                |   |   | 594 |   |   |   | 582 |   |   |   | 1,279 |   |   |   | 1,168 |   |
| Agricultural                                Products    |   |                                                         | 625    |   |                                                                                             |   | 597    |                                                                                                |   |   | 247 |   |   |   | 242 |   |   |   | 2,530 |   |   |   | 2,467 |   |
| Total                                Freight Revenues   |   |                                                         | 3,542  |   |                                                                                             |   | 3,368  |                                                                                                |   |   | 2,507 |   |   |   | 2,521 |   |   | $ | 1,413 |   |   | $ | 1,336 |   |
| Other                                Revenues           |   |                                                         | 59     |   |                                                                                             |   | 58     |                                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                Operating Revenues |   | $                                                            | 3,601  |   |                                                                                             | $      | 3,426  |                                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

*Consumer                  Products*

*Industrial                  Products*

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*Coal*

*Agricultural                  Products*

*Other                  Revenues*

***Expenses***

*Compensation                  and benefits*

*Fuel*

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*Purchased                  services*

*Depreciation                  and amortization*

*Equipment                  rents*

*Materials                  and other*

*Income                  taxes*

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**Forward-Looking                  Information**

**Economic                  and                  industry conditions:**

**Legal                  and                  regulatory factors:**

**Operating                  factors:**

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**Item4T.    Controls                  and                  Procedures.**

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**BNSFRAILWAY                  COMPANY and SUBSIDIARIES**

**PART                  II **

**OTHER                  INFORMATION**

**Item                  1.    Legal Proceedings.**

*Ray Ridgeway, et al. v. Burlington Northern Santa Fe                  Corporation and The Burlington Northern and Santa Fe Railway Company*

**Item6.    Exhibits.**

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**SIGNATURES**

**Pursuant                  to the requirements of the Securities Exchange Act of 1934, the                  registrant has                  duly caused this report to be signed on its behalf by the undersigned                  thereunto                  duly authorized.**

| BNSF                                RAILWAY COMPANY(Registrant) |
|-----------------------------------------------------------------|
|                                                            |   |   |
| By:                                                             |   | /s/    Thomas                                N. Hund         |
|                                                            |   |  **Thomas                                N. Hund****Executive                                Vice President and Chief Financial Officer****(On                                behalf of the Registrant and****as                                principal financial                                officer)** |

| Dated:  April                            25, 2007 |
|-------------------------------------------------------------|

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**BNSFRAILWAY                  COMPANY and SUBSIDIARIES**

**Exhibit                  Index**

|   |   |   |                                                                                                                                                                    |   | Incorporated                            by Reference(if                            applicable) |
|--------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------|
|   |   |   | Exhibit                            Number and Description                                                                                                               |   | Form                                                                                           | File                            Date | File                            No. | Exhibit |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |
|   | 3.1    |   | Restated                            Certificate of Incorporation of BNSF Railway Company,                            dated January 17,                            2005. |   | 10-Q                                                                                           | 7/26/2005 | 001-06324 | 3.1 |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |
|   | 3.2    |   | By-Laws                            of BNSF Railway Company, as amended August 30, 2005.                                                                                 |   | 10-Q                                                                                           | 10/25/2005 | 001-06324 | 3.1 |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |
|   | 12.1   |   | Computation                            of Ratio of Earnings to Fixed                            Charges.*                                                               |   |                                                                                           |   |   |   |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |
|   | 31.1   |   | Principal                            Executive Officer’s Certifications Pursuant to                            Section 302 of the Sarbanes-Oxley Act of 2002.*    |   |                                                                                           |   |   |   |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |
|   | 31.2   |   | Principal                            Financial Officer’s Certifications Pursuant to                            Section 302 of the Sarbanes-Oxley Act of 2002.*    |   |                                                                                           |   |   |   |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |
|   | 32.1   |   | Certification                            Pursuant to 18 U.S.C. § 1350 (Section 906                            of the Sarbanes-Oxley Act of 2002).*                 |   |                                                                                           |   |   |   |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |
|   |   |   |                                                                                                                                                                    |   |                                                                                           |   |   |   |

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