(Source: Freight Waves, April 29, 2020)
CHATTANOOGA, Tenn. — The costs associated with Norfolk Southern’s actions to divest a portion of its locomotive fleet resulted in lower net profits for the company in the first quarter. First-quarter net income was $381 million, or $1.47/diluted share, compared with $677 million, or $2.51/diluted share, in the first quarter of 2019. The 2020 first-quarter results take into account a $385 million non-cash locomotive rationalization charge related to the ongoing disposition and marketing of excess locomotives, Norfolk Southern (NS) said. NS attributed its decision to divest a portion of its locomotive fleet to its deployment of precision scheduled railroading (PSR), an operating model that seeks to streamline operations.
Full story: Freight Waves