Slide 1: Forward-Looking Statements
Forward-Looking Statements This information and other statements by the company may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act with respect to, among other items: projections and estimates of earnings, revenues, margins, volumes, rates, cost
Slide 2: Executive Summary
Executive Summary Michael Ward Chairman and Chief Executive Officer Third quarter performance . . . Volume 1,712K Revenue $2,939M Operating Income $933M Operating Ratio 68.3% EPS $0.52 Earnings Per Share Revenue declines 9% — Lower fuel recovery, volume and mix more than offset pricing gains $0.52
Slide 3: Financial Review
Financial Review Frank Lonegro Executive Vice President Chief Financial Officer Third quarter earnings summary . . . Third Quarter Results Dollars in millions, except EPS 2015 2014 Variance Revenue $ 2,939 $ 3,221 (9%) Expense 2,006 2,245 11% Operating Income $ 933 $ 976 (4%) Interest Expense (136)
Slide 4: Overall outlook for fourth quarter is down
Overall outlook for fourth quarter is down Outlook Markets Drivers Intermodal Ongoing success with H2R conversions and customer growth Favorable Automotive Auto volumes projected to increase with NALVP Agricultural Products Capacity to capture full domestic harvest, global market challen
Slide 5: Financial wrap-up
Financial wrap-up . . . Solid third quarter financial performance — Strong pricing, aligning costs with softer demand environment, and efficiency Expect fourth quarter EPS to be slightly down — Coal and crude headwinds increasing, with domestic coal down about 20% Targeting mid single digit fu
Slide 6: Relentless pursuit of excellence
Relentless pursuit of excellence . . . 11