The Pittsburgh Post-Gazette reported that with the help of a $20 million dollar state grant, Norfolk Southern (NS) will develop a second freight route through Pittsburgh, Pennsylvania, that has the capability of supporting double-stack freight cars. The project has been in the works since last June, when a landslide from Mount Washington closed NS’s double-stack line for nearly two weeks. The second, alternative line will now exist as a backup line. A portion of the funds will be utilized for railroad bridge repair in the area.
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Tag: Norfolk Southern
Net Earnings: $455 million or $0.48 per share; down from $507 million or $0.52 per share
Revenue: Declined 8 percent
Operating Income: Declined 10 percent to $841 million
Operating Ratio: Increased 70 basis points to 69.0 percent
Click here to read CSX’s full earnings report
Net Earnings: $121 million or $1.12 per diluted share; down from $132 million or $1.20 per diluted share
Revenue: Decreased 4 percent to $605 million
Operating Income: Decreased 9 percent to $200 million
Operating Ratio: Increased to 66.9 percent
Click here to read Kansas City Southern’s full earnings report
Net Earnings: C$347 million (7 percent increase) or C$2.34 diluted earnings per share (a 15 percent increase); up from C$323 million or C$2.04 diluted earnings per share
Revenue: Decrease of 9 percent to C$1.55 billion
Operating Income: C$657 million, a decrease of 13 percent
Operating Ratio: 57.7 percent, lowest ever reported
Click here to read Canadian Pacific’s full earnings report
Net Earnings: $1.1 billion or $1.36 per diluted share (9 percent decline); down from $1.3 billion or $1.50 per diluted share
Revenue: $5.2 billion, down 7 percent
Operating Income: Declined 11 percent to $2.0 billion
Operating Ratio: 62.1 percent, up 1.8 points
Click here to read Union Pacific’s full earnings report
Net Earnings: C$972 million or C$1.25 per diluted share, as compared to 2015 3rd quarter of C$1,007 million or C$1.26 per diluted share
Revenue: Decreased 6 percent to C$3,014 million
Operating Income: Declined 5 percent to C$1,407 million
Operating Ratio: A record 53.3 percent, a 0.5-point improvement
Click here to read Canadian National’s full earnings report
Net Earnings: $460 million (2 percent increase) or $1.55 diluted earnings per share (4 percent increase); up from $452 million or $1.49 diluted earnings per share
Revenue: Declined 7 percent to $2.5 billion
Operating Income: Stayed at a steady $820 million
Operating Ratio: 67.5 percent, a 220 basis point improvement over 2015’s reported 69.7 percent in the third quarter
Click here to read Norfolk Southern’s full earnings report
Note: Operating ratio is a railroad’s operating expenses expressed as a percentage of operating revenue, and is considered by economists to be the basic measure of carrier profitability. The lower the operating ratio, the more efficient the railroad.
Railway Age reported that Norfolk Southern Corp. (NS) will downsize its Knoxville, Tenn. yard effective May 1. Approximately 135 positions will be eliminated. According to NS, this action is in response to lower traffic volumes. Read the entire story here.
WSLS.com reported that Norfolk Southern plans to cut 2,000 jobs in response to its fourth quarter profits sliding 29 percent amidst its attempts to ward off a takeover bid from Canadian Pacific.
Read the entire article here.
The Globe and Mail reported that a proxy fight is likely between Canadian Pacific and Norfolk Southern.
In a recent regulatory filing, NS said that the premium offered by CP in its proposal was too small and the merger and the voting trust proposed would not be approved by regulators.
Read the complete article here.
OMAHA, Neb. (AP)—U.S. News & World Report reported today that Norfolk Southern (NS) denied Canadian Pacific’s (CP) takeover offer, but it appears that CP persists, as they are reportedly set to bring their proposal to NS stakeholders.
Read the entire article at U.S. News & World Report Dec. 8.
Norfolk Southern (NYSE: NSC) announced that its board of directors has unanimously rejected Canadian Pacific’s (NYSE:CP) previously announced unsolicited, low-premium, non-binding, highly conditional indication of interest to acquire the Company for $46.72 in cash and a fixed exchange ratio of 0.348 shares in a new company that would own Canadian Pacific and Norfolk Southern.
After a comprehensive review, conducted in consultation with its financial and legal advisors, the Norfolk Southern board concluded that the indication of interest is grossly inadequate, creates substantial regulatory risks and uncertainties that are highly unlikely to be overcome, and is not in the best interest of the Company and its shareholders.
Read more from StreetInsider.com.
Canadian Pacific Railway Ltd., the second-biggest railroad in Canada, is exploring a takeover of U.S. carrier Norfolk Southern Corp. in a fresh attempt to consolidate the North American industry, according to people familiar with the matter. The shares surged on the news. Canadian Pacific is raising financing and has held early-stage merger talks with Norfolk Southern, which is valued at about $24 billion, said two of the people, who asked not to be identified because deliberations are private. Discussions are preliminary and talks may not progress or lead to a deal, they said. Representatives for Canadian Pacific and Norfolk declined to comment. A move for Norfolk Southern, the second-biggest railroad in the eastern U.S., would revive Canadian Pacific’s effort to build a transcontinental carrier after talks with CSX Corp. failed last year. In floating the idea of a CSX tie-up, Canadian Pacific Chief Executive Officer Hunter Harrison upended the long-held view in the industry that it was fruitless to even discuss another merger because regulators would object. Read more from Bloomberg Business.
CHICAGO – Norfolk Southern joined local and state officials to dedicate a new fleet of environmentally friendly, rail yard locomotives for Chicago today at its 47th Street intermodal facility.
The engines are branded “Eco” locomotives for their operating efficiencies in reducing emissions and fuel consumption. More than $19 million in grant funding through the federal Congestion Mitigation and Air Quality Improvement Program (CMAQ) made the $30 million public-private partnership to replace Norfolk Southern’s entire Chicago yard locomotive fleet possible. The new units feature a stylistic green paint scheme with an Illinois-shaped icon and the slogan “Working Together for a Cleaner State.”
“These locomotives will be rolling billboards in Chicago for years to come of one of the finest examples of collaboration between public and private partners to think and act big on diesel emission reduction technology,” said Norfolk Southern Vice President Mechanical Don Graab. “The bottom line is cleaner air quality for Chicago residents. We thank the Illinois Environmental Protection Agency, the Illinois Department of Transportation, and the Chicago Metropolitan Agency for Planning for their partnership in helping us achieve this goal for our locomotive fleet.”
Read more from Sys-Con Media.