by Karen Brune Mathis
Managing Editor
CSX Corp. Chair and CEO Michael Ward told a sellout Global Business Luncheon on Tuesday that the economy is improving, and that he would “feel pretty good” if he didn’t listen to news reports.
Ward told the 110 people attending the event at The River Club that business for the Jacksonville-based railroad, transportation and logistics company continues to improve.
Both second-quarter and third-quarter results this year are up over results from those quarters last year, he said.
“We find that to be heartening,” he said.
The lunch was co-hosted by the World Affairs Council of Jacksonville and the Gate Governors Club.
Ward briefly outlined the history of railroads, which he called “the Internet of the 1800s” because “it was how everything moved.”
Ward, whose speech was titled “The Resurgence of the American Railroad System,” talked about regulation, deregulation and how the advent of the interstate highway system in the 1950s and 1960s changed the way goods moved.
Since deregulation in 1980, railroads have become more efficient, moving more goods at a lower cost and with fewer employees, he said.
He also talked about challenges to the industry, including regulation and the general uncertainty facing all businesses. Business officials wonder what mandates and rules they might face from lawmakers, especially the federal government.
CSX is the largest Fortune 500 company based in Jacksonville. The railroad’s transportation network stretches 21,000 miles to 23 Eastern states, connects to more than 70 ocean, river and lake ports and operates an average of 1,200 trains a day.
CSX employs 30,000 people, including 3,500 in Jacksonville.
With annual revenues of $9 billion, CSX ranked No. 259 on the 2010 list of Fortune magazine’s 500 largest companies.
Other quotes from Ward’s speech included:
• Ward said safety was paramount at CSX, to the point that street crossing signals are supposed to be observed by employees, regardless of a seemingly safe traffic flow. “You never cross the street unless that sign says you can walk.”
• Saying that high-speed rail poses dangers to drivers who try to cross railroad tracks despite warning lights and crossing arms to beat the train, Ward stated the obvious: “Train against car, train always wins.”
• When Ward completed his speech, he asked for “questions, comments and good rumors.”
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