(The Associated Press circulated the following on April 14, 2009.)
NEW YORK — Railroad operator CSX Corp. expects double-digit declines in shipping volume to continue through the second quarter.
The Jacksonville, Fla.-based company said Wednesday in a conference call with analysts that sales will continue to be hurt as demand to ship goods by rail plummets. Railroads are hurting from stiff competition from trucking companies, which have slashed their rates to remain competitive, as well as overall economic weakness.
CSX Corp. reported on Tuesday its first-quarter earnings dropped 30 percent, as slowdowns in the housing, construction and automotive markets continued. The railroad transports everything from cars to toys, and its performance is considered an indicator of overall economic health.