8:29 PM EDT, October 23, 2012
Wall Street experts didn't expect good news and they were right.
On Tuesday Norfolk Southern released its third quarter report and it shows the company lost money across the board.
The third quarter report shows profits are down 27%.
Coal revenue is one reason. It dropped 22 percent.
Company executives say it's a weak market worldwide and they don't expect numbers to get much better in the coming months.
Norfolk Southern has responded by making cuts.
It has furloughed 234 employees and put another 200 workers on light duty.
Norfolk Southern has also put 200 locomotives in storage.
The CEO says they are carefully watching the company's expenses.
"We are very actively looking right now at our asset base and our personnel in terms of making sure that we don't have any more people or assets employed than we absolutely need to," says CEO Wick Moorman in a teleconference Tuesday afternoon.
There was some positive news in the report. Intermodal revenue is up slightly. That's where the railroad moves containers from ships and trucks.
Norfolk Southern is in the middle of a project to build four intermodal terminals. The latest opened in Alabama. It's designed to speed up shipments.
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