CSX CFO Reviews Market Environment and Earnings Growth Expectations for 2015
JACKSONVILLE, Fla. - March 4, 2015 - CSX (NYSE: CSX) Chief Financial Officer Fredrik Eliasson today discussed the drivers of a decade of strong financial performance for the company, updated its first-quarter market outlook and discussed earnings expectations for 2015 at the JP Morgan Aviation, Transportation and Industrials Conference in New York City.
At the conference, Eliasson highlighted the company's sustained record of superior shareholder value creation over the past decade, which leveraged its network reach and balanced portfolio of business to overcome the global recession and transition in the energy markets. This performance provides a strong foundation for 2015 as CSX expects its merchandise and intermodal markets to continue to grow faster than the overall economy.
At the same time, Eliasson indicated that CSX's domestic coal volume is now expected to decline at least 5 percent, reflecting the relatively mild winter weather and low natural gas prices. He also noted that as oil prices remain low, the company expects growth in crude oil shipments to be more moderate than originally expected.
"We continue to expect strong earnings growth in the first quarter as merchandise and intermodal customers see growth opportunities and recognize the value and efficiency of freight rail service," Eliasson said. "By leveraging price and efficiency gains combined with expected volume increases, we continue to target double-digit earnings growth for the full-year 2015, though achieving that goal will be more challenging with the expected decline in coal movements."
Eliasson also reinforced the foundation of the company's strategy for creating superior shareholder value is delivering service excellence for its customers. That allows CSX to maximize its three key value levers: growing its merchandise and intermodal business faster than the economy, pricing above inflation and driving efficiency in operations.
About CSX Disclosures and the Company
This announcement, as well as additional financial information, is available on the company's website at http://investors.csx.com. CSX also uses social media channels to communicate information about the company. Although social media channels are not intended to be the primary method of disclosure for material information, it is possible that certain information CSX posts on social media could be deemed to be material.
Therefore, we encourage investors, the media, and others interested in the company to review the information we post on Twitter (http://twitter.com/CSX) and on Slideshare (http://www.slideshare.net/HowTomorrowMoves). The social media channels used by CSX may be updated from time to time.
More information about CSX Corporation and its subsidiaries is available at www.csx.com and on Facebook (http://www.facebook.com/OfficialCSX).
CSX, based in
, is a premier
transportation company. It provides
rail, intermodal and rail-to-truck transload services and solutions to
customers across a broad array of markets, including energy, industrial,
construction, agricultural, and consumer products. For nearly 190 years, CSX has played a
critical role in the nation's economic expansion and industrial
development. Its network connects every
major metropolitan area in the eastern Jacksonville,
Florida United States, where nearly
two-thirds of the nation's population resides.
It also links more than 240 short-line railroads and more than 70 ocean,
river and lake ports with major population centers and farming towns alike.
David Baggs, Investor Relations
Melanie Cost, Corporate Communications