BNSF SEES SHARP DECLINES IN 4TH-QUARTER, YEAR-END EARNINGS
Burlington Northern Santa Fe Corp. said its net income fell 30.6 percent in the fourth quarter and 25.4 percent for 2001.
Fourth quarter net income was $177 million and included a $42-million after-tax charge for workforce reduction-related costs. Operating income was $472 million, excluding the charge, compared with $544 million for the year-earlier quarter.
Freight revenues for the fourth quarter were $2.27 billion, down 2 percent, though ton-miles improved 3 percent over the fourth quarter of 2000. Agriculture products increased 5 percent to $415 million, due largely to increases in demand for soybeans, wheat and flour. Coal revenues rose 3 percent to $546 million; industrial products fell 3 percent to $492 million; and consumer products were off 8 percent to $819 million, due largely to declines in automotive and intermodal shipments. The railroad did see a 9-percent rise in truckload business in the fourth quarter.
For the year, net income was $731 million, including the $42-million after-tax charge. Operating income was $1.76 billion, compared to $2.11 billion in 2000.
Freight revenues were $9.09 billion, slightly less than 1 percent below 2000.
'BNSF's continued focus is on revenue quality, operating expense deficiencies and free cash flow, while providing transportation services that consistently meet customers' expectations,' said Matthew K. Rose, president and chief executive officer.
