FEC SEES GROWTH IN INTERMODAL BUSINESS
The Florida East Coast Railway, the railroad subsidiary of St. Augustine, Fla.-based Florida East Coast Industries Inc., reported a 2.8-percent dip in operating profit, despite successful efforts to grow the company's intermodal business.
FECR saw revenues from rail operations fall 4.8 percent to $39.8 million. Intermodal revenues improved 13.1 percent to $15.5 million, partially offsetting a 14.6-percent drop in aggregate loadings or $1.4 million, off year-earlier levels of about $9.6 million. All other commodity levels, including automobiles, were comparable with year-earlier levels.
Railway operating expenses decreased 5.4 percent to $29.6 million. The railroad's operating ratio improved to 74.3 percent, from 74.9 percent.
FECR has worked with trucking its trucking sister company, Florida Express Carriers, to increase intermodal volumes. However FLX couldn't overcome sagging truckload operations and reported a $1 million loss, while revenues stayed flat at $7.6 million.