Can precision scheduled railroading save the railroads’ third-quarter profits?

By Joanna Marsh, Freight Waves; October 10, 2019

As the third-quarter earnings season kicks off next week for the Class I railroads, one question will be the degree to which the railroads’ safeguard themselves against lower volumes as a result of their cost-cutting measures via precision scheduled railroading (PSR).

Railroads such as Kansas City Southern (NYSE: KSU) have credited PSR, an operating model that seeks to streamline operations and schedules, enabling them to rein in costs, particularly in an environment where rail volumes have trended lower.

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