Michael J. Ward

CSX plans more cuts in response to slower freight volume

CSX railroad plans to continue cutting costs this year to deal with slowing freight volume and declining profits.

Executives at the Jacksonville, Florida, based railroad discussed their outlook Wednesday — one day after reporting a 19 percent drop in first quarter profit.

"I'm really pleased with how we responded," Chairman and CEO Michael Ward said.

CSX said it reduced expenses by about $270 million in the quarter, and plans additional cuts through the year. About 2,000 workers have been furloughed and about 400 of the railroad's locomotives are parked.

CSX said coal demand remains anemic, and it expects to haul roughly 25 percent less coal...