COMPETITION WATCH: Strike hits CNs bottom line

Avatar photo

MONTREAL, Que. — Canadian National (CN) Railway saw its first quarter earnings plunge 10% thanks largely to a strike by train crews and severe winter weather.

The company still recorded a profit of $324 million in the first three months of 2007, however. CN previously announced it expected a 5-10% drop in earnings compared to last year.

Revenue during the first quarter was $1.9 billion, up from $1.8 billion last year. Operating expenses were 6% higher, coming in at $1.3 billion. The railways operating ratio was 70.6%, 3.5% better than the first quarter of 2006.

CN said the strike cost the company $35 million in net income.

Avatar photo

Truck News is Canada's leading trucking newspaper - news and information for trucking companies, owner/operators, truck drivers and logistics professionals working in the Canadian trucking industry.

Have your say

This is a moderated forum. Comments will no longer be published unless they are accompanied by a first and last name and a verifiable email address. (Today's Trucking will not publish or share the email address.) Profane language and content deemed to be libelous, racist, or threatening in nature will not be published under any circumstances.