RailAmerica, Inc. Reports October 2009 Monthly Carloads

November 11, 2009 6:17 PM EST

JACKSONVILLE, Fla., Nov. 11 /PRNewswire-FirstCall/ -- RailAmerica, Inc. (NYSE: RA) today reported its freight carloads for the month ended October 31, 2009. Total carloads for October 2009 were 70,159, down 19.9% from 87,610 in October 2008. In the second quarter of 2009, the Company restructured a customer contract, which resulted in the Company recording the revenue derived from that contract as non-freight revenue instead of freight revenue and carloads. Excluding the effect of this contract, carloads were down approximately 15% for October 2009 compared to October 2008.

(Logo: http://www.newscom.com/cgi-bin/prnh/20091111/FL09693LOGO )

The Company had decreased shipments in October 2009 in nine out of twelve commodity groups compared to October 2008. Most of the decline was due to market conditions in the industrial products segment of the economy, lower housing starts and changes to a customer contract, as mentioned above. Economic impacts on industrial production accounted for much of the volume decrease of 6,637 carloads in four commodity segments - Waste & Scrap Materials; Chemicals; Pulp, Paper & Allied Products; and Metallic Ores & Metals. Reduced housing starts contributed to the 4,041 fewer carloads in the Non-Metallic Minerals and Products and Forest Products commodity groups. The impact of the restructured customer contract is reflected in the Other commodity group. Food or Kindred Products were impacted by the late corn harvest in the Midwest and fewer movements of livestock feed.

Three commodity segments showed year-over-year growth for October 2009 when compared to October 2008. Motor Vehicle volumes were up over 100% due to a new production facility that did not exist in 2008 and increased shipments in the Midwest. Coal movements were relatively flat when compared to last year, but reflect a small increase of Powder River Basin coal shipments. Petroleum volumes reflect increased LPG shipments.

RailAmerica, Inc. is the largest owner and operator of short line and regional freight railroads in North America, measured in terms of total track-miles, operating a portfolio of 40 individual railroads with approximately 7,500 miles of track in 27 U.S. states and three Canadian provinces.

Cautionary Note Regarding Forward-Looking Statements

Certain items in this press release and other information we provide from time to time may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including, but not necessarily limited to, statements relating to future events and financial performance. Words such as "anticipates," "expects," "intends," "plans," "projects," "believes," "may," "will," "would," "could," "should," "seeks," "estimates" and variations on these words and similar expressions are intended to identify such forward-looking statements. These statements are based on management's current expectations and beliefs and are subject to a number of factors that could lead to actual results materially different from those described in the forward-looking statements. RailAmerica, Inc. can give no assurance that its expectations will be attained. Accordingly, you should not place undue reliance on any forward-looking statements contained in this press release. Factors that could have a material adverse effect on our operations and future prospects or that could cause actual results to differ materially from RailAmerica, Inc.'s expectations include, but are not limited to, prolonged capital markets disruption and volatility, general economic conditions and business conditions, our relationships with Class I railroads and other connecting carriers, our ability to obtain railcars and locomotives from other providers on which we are currently dependent, legislative and regulatory developments including rulings by the Surface Transportation Board or the Railroad Retirement Board, strikes or work stoppages by our employees, our transportation of hazardous materials by rail, rising fuel costs, acquisition risks, competitive pressures within the industry, risks related to the geographic markets in which we operate; and other risks detailed in RailAmerica, Inc.'s filings with the Securities and Exchange Commission, including our prospectus filed with the Commission on October 13, 2009. In addition, new risks and uncertainties emerge from time to time, and it is not possible for RailAmerica, Inc. to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Such forward-looking statements speak only as of the date of this press release. RailAmerica, Inc. expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in its expectations with regard thereto or change in events, conditions or circumstances on which any statement is based.

RailAmerica, Inc.

Carload Comparisons by Commodity Group

Month Ended October 31, 2009 and 2008

                                                    OCTOBER
                                         -------------------------------
    Commodity Group                       2009        2008         % Chg
    --------------                       ------      ------        -----
    Coal                                 14,054      13,651          3.0%
    Agricultural Products                12,141      13,908        -12.7%
    Chemicals                             7,143       8,461        -15.6%
    Non-Metallic Minerals & Products      5,909       7,949        -25.7%
    Pulp, Paper & Allied Products         5,305       6,789        -21.9%
    Waste & Scrap Materials               4,964       5,981        -17.0%
    Food or Kindred Products              4,632       5,200        -10.9%
    Metallic Ores & Metals                3,996       6,814        -41.4%
    Forest Products                       3,980       5,981        -33.5%
    Petroleum                             3,443       3,401          1.2%
    Other                                 2,544       8,458        -69.9%
    Motor Vehicles                        2,048       1,017        101.4%
                                         ------      ------        -----
    TOTAL                                70,159      87,610        -19.9%

SOURCE RailAmerica, Inc.

Related Categories

Press Releases

Stocks Mentioned

Add Your Comment

Name

Subject

Body

Verification can't see the text?
click here to refresh the image.
what's this?