(CSX issued the following news release on April 18.)
JACKSONVILLE, Fla. — CSX Corporation today reported first quarter 2006 net earnings of $245 million, or $1.06 per share, a 56 percent increase in earnings per share from continuing operations versus the same quarter last year. Earnings per share from last year’s first quarter included a $1.88 per-share gain on the sale of the Company’s discontinued operations.
First quarter 2006 earnings were driven by stronger Surface Transportation results, which include the Company’s rail and intermodal businesses.
“CSX continued to improve its underlying business performance in a strong demand environment,” said Michael J. Ward, CSX Corporation chairman and chief executive officer. “Most notably, our rail operations showed solid improvements in safety, service and efficiency as we continued to execute the ONE Plan with consistency.”
The Company also remained on schedule with capacity expansions, announced last August, to further enable service improvement and volume growth in attractive corridors of the Northeast and Southeast markets. Approximately one third of the projects are underway and will be completed this year, with the balance to be completed in 2007.
“CSX employees continue to gain momentum in all of the critical areas of our strategy, from revenue improvement to operating discipline,” said Ward. “We will see growth in volumes and profitability as the rail renaissance unfolds, service levels continue to improve and our capacity expansions come online.”
CSX executives will provide additional perspective on the quarterly results in the Company’s earnings conference call, beginning at 8:30 a.m. Eastern Time tomorrow. Those interested in participating may dial 866-248-8494 and ask for the CSX earnings call. Participants should dial in 10 minutes prior to the call. A live webcast and presentation materials will also be available on the Company’s website at http://www.csx.com/ in the Investors section. Due to a difference in the transmission times between phone and internet, participants are encouraged to view the presentation in one mode only.
In addition, detailed financial information is contained in the CSX Flash report, which is also posted on the website and furnished on Form 8-K with the Securities and Exchange Commission (SEC).
CSX Corporation, based in Jacksonville, Fla., is one of the leading transportation companies, providing rail, intermodal and rail-to-truck transload services. The Company’s transportation network spans 21,000 miles with service to 23 eastern states and the District of Columbia, and connects to more than 70 ocean, river and lake ports. More information about CSX Corporation and its subsidiaries is available at the Company’s website, http://www.csx.com/ .