The manufacturer is still producing new railcars but expects market conditions to be rough for a while.
The railcar lessor is looking for further add-ons to its fleet as competitors face pressure from the COVID-19 pandemic and the volatile crude oil market.
Multimillion-dollar backlog will help the rail equipment and locomotive manufacturer stay afloat, executives said.
The COVID-19 pandemic dented volume growth in the first quarter for the privately owned railroad.
The cuts to train starts are part of the railroad’s wider objective to implement precision scheduled railroading.
Like other railroads, Norfolk Southern is feeling the effect of lower rail volumes because of the coronavirus pandemic.
The effect that the coronavirus pandemic is having on rail volumes could get worse in the coming weeks before things get better, according to executives.
The railway managed to boost its first-quarter net income despite the February rail blockades and the COVID-19 pandemic.
The western U.S. railroad can deploy additional cost reduction measures, but how much cost savings it can realize from those measures will depend on how much rail volumes fall in the second quarter.
Despite lower revenues, the western U.S. railroad saw its first-quarter net income increase as the company trimmed quarterly expenses by 10%.
