Norfolk Southern revenues fall with economy
- January 28, 2010
Norfolk Southern reported a 32 percent drop in profit as volume across its business segments fell in the tight economy.
The railroad reported fourth-quarter net income of $307 million, compared with $452 million during the same period last year.
Norfolk Southern’s operating revenues were $2.1 billion, down 16 percent with the same quarter in 2008. For 2009, operating revenues fell 25 percent to $8 billion.
Fourth-quarter coal revenues fell 27 percent to $580 million and fell 27 percent to $2.3 billion for the year.
General merchandise fell 9 percent during the quarter to $1.1 billion. For the year, general merchandise revenues were down 24 percent from 2008 at $4.2 billion.
Intermodal revenues were $407 million, down 15 percent from the previous quarter. Intermodal revenues were down 26 percent from the previous year to $1.5 billion.
Company CEO Wick Moorman expects the company to continue to grow as the economy improves. Moorman says the company will invest $1.4 billion in 2010 on its rail network.