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The FedEx/UPS of the rail world: Imagine the massive logistics network and transportation capabilities of FedEx or UPS, but focused on moving heavy, bulk, and containerized freight across a vast railroad system in the eastern U.S. and Canada.

Maersk for North American land freight: Similar to how Maersk dominates global ocean shipping for containers and bulk cargo, CSX is a major player providing the essential rail-based freight transportation across a large part of the North American continent.

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• Rail Freight Transportation: The core service involving the movement of various commodities, such as chemicals, agricultural products, automotive components, and coal, across its extensive rail network.
• Intermodal Transportation Services: Transporting manufactured consumer goods in containers and trailers, integrating rail with other modes of transport through a network of terminals.
• Drayage Services: Providing pickup and delivery services for intermodal shipments, completing the crucial first or last mile of transport.
• Rail-to-Truck Transfers: Services that facilitate the transfer of products from rail cars to trucks, enabling connections for customers not directly served by rail.
• Distribution and Storage Services: Offering facilities and logistics support, particularly for the automotive industry, including distribution centers and storage locations.

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• Companies in **heavy industries** such as electricity-generating power plants, steel manufacturers, and other industrial plants that transport bulk commodities like coal, coke, and iron ore.
• Manufacturers and distributors in sectors that produce **chemicals, agricultural and food products, automotive components and vehicles, minerals, forest products, fertilizers, and metals and equipment**.
• Companies involved in the **automotive industry**, utilizing CSX for distribution and storage.
• Businesses transporting **manufactured consumer goods** through intermodal containers, including those requiring drayage services for pickup and delivery.
• Companies involved in **exporting commodities**, such as coal, to deep-water port facilities.
• Businesses needing **intermodal transfer services**, such as moving products like plastics and ethanol from rail to trucks for non-rail served locations.

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• Wabtec Corporation (WAB)
• Caterpillar Inc. (CAT)
• The Greenbrier Companies (GBX)
• Trinity Industries, Inc. (TRN)

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Steve Angel, President and Chief Executive Officer

Steve Angel was appointed President and Chief Executive Officer of CSX, effective September 28, 2025. He brings over 45 years of experience leading large, public companies. Before joining CSX, Angel served as CEO of Linde plc from 2018 to 2022 and as its Chairman since 2022. Prior to that, he was CEO of Praxair, Inc. from 2007 to 2018. His career also includes over 22 years in various management positions at General Electric, where he worked directly with locomotive and rail operations.

Kevin Boone, Executive Vice President and Chief Financial Officer

Kevin Boone is the Executive Vice President and Chief Financial Officer of CSX, a position he assumed on October 29, 2025. In this role, he oversees all financial operations, corporate communications, investor relations, procurement, tax, and treasury. Boone previously served as Executive Vice President and Chief Commercial Officer, leading CSX's Sales and Marketing organization for four years. He also held the CFO role for two years during the COVID-19 pandemic. Before joining CSX in 2017, Boone spent 18 years in the investment industry, with roles at Janus Capital, Morgan Stanley, and Merrill Lynch, focusing on finance, accounting, and mergers and acquisitions.

Mike Cory, Executive Vice President and Chief Operating Officer

Mike Cory serves as Executive Vice President and Chief Operating Officer at CSX. He is responsible for overseeing CSX's operations strategy and coordinating all aspects of the company's Transportation, Mechanical, and Engineering department performance.

Stephen Fortune, Executive Vice President and Chief Digital and Technology Officer

Stephen Fortune is the Executive Vice President and Chief Digital and Technology Officer for CSX. He is responsible for leading CSX's technology strategy development, supporting business growth through innovative digital solutions, and overseeing all aspects of the company's information technology systems operations.

Maryclare Kenney, Senior Vice President and Chief Commercial Officer

Maryclare Kenney is the Senior Vice President and Chief Commercial Officer, a role she was promoted to on October 29, 2025. She has been a pivotal leader in CSX's commercial operations for nearly 14 years, driving growth across various business segments. Her previous roles at CSX include responsibilities across Merchandise Sales and Marketing, TRANSFLO, Automotive, and TDSI, and she previously led Intermodal and Automotive. Before joining CSX in 2011, Kenney held sales leadership and strategy roles at PepsiCo and served seven years in the U.S. Army, achieving the rank of captain.

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Key Risks to CSX Corporation (CSX)

• Operational Disruptions and Network Resilience: CSX faces significant risks from operational disruptions, including severe weather events like hurricanes and harsh winters, and major infrastructure projects. These events can lead to network congestion, service slowdowns, and challenges such as locomotive or crew shortages, directly impacting operating efficiency, service levels, and shipment volumes. For example, in the first quarter of 2025, CSX incurred approximately $45 million in costs due to network disruptions and severe winter weather. Major construction, such as the Howard Street Tunnel project, has forced rerouting and constrained the railroad's ability to respond to other challenges, diminishing network flexibility.
• Fluctuations in Freight Demand and Commodity Markets: The company's financial performance is closely tied to overall economic health and the demand for key commodities. CSX is navigating an industrial slowdown, with overall revenue dipping, and faces a persistently weak coal market, which has contributed to below-par revenues and a decline in operating income. While intermodal volume growth is a long-term positive, it is a lower-margin business and may not fully offset the weakness in higher-margin carload segments. Macroeconomic uncertainties and commodity market swings pose ongoing challenges to revenue generation.
• Regulatory and Legal Environment: As a major transportation company, CSX is subject to extensive government regulation and compliance requirements from various federal, state, and local agencies. Changes in legislation or regulations can impact the company's earnings and its ability to independently negotiate prices. Furthermore, CSX faces environmental liabilities and legal risks that could significantly affect its financial health, requiring continuous vigilance and adaptability.

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• Autonomous Trucking: The development and commercialization of autonomous long-haul trucking technology represents a clear emerging threat. Should autonomous trucks significantly reduce labor costs and improve efficiency for road freight, they could make trucking a much more cost-competitive option against rail for various types of cargo, especially for intermodal shipments and longer hauls, potentially eroding rail's traditional cost advantages.
• Declining Demand for Coal: CSX's business includes the transportation of coal to electricity-generating power plants and for export. There is an accelerating global trend towards decarbonization, with many power plants transitioning away from coal to cleaner energy sources like natural gas and renewables. This structural shift in the energy market poses a significant and ongoing threat to a substantial segment of CSX's freight volume and revenue.

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1. Intermodal Growth and Network Enhancements

   CSX anticipates positive volume growth driven by its intermodal segment, which is expected to see mid-single-digit growth and offset weaknesses in other areas. A significant contributor to this growth is the modernization of Baltimore's Howard Street Tunnel, which is projected to enable double-stack intermodal service by Q1 2026. This project will enhance network capacity along the I-95 corridor, improving intermodal fluidity and creating new growth opportunities. Furthermore, the company's network strength and new business wins are expected to support intermodal expansion.

2. Strategic Infrastructure Investments and Acquisitions

   CSX is making strategic investments to expand its network and capacity. The acquisition of Genesee & Wyoming Inc.'s Meridian & Bigbee Railroad aims to improve East-West traffic routes and strengthen partnerships, such as with CPKC. The company invested $2.5 billion in 2024 to bolster its infrastructure, which includes maintenance and enhancements to support future demands. These investments are designed to unlock new markets and drive incremental growth.

3. Increased Demand from Infrastructure-Related Shipments

   CSX is well-positioned to benefit from ongoing infrastructure project activity across its service area, which is driving demand for essential materials such as cement and aggregates. The expansion of its 'Select Site' program, which added 16 new rail-served properties in 2024 and diversified new customer facilities in early 2025, further aims to attract and support businesses seeking rail connectivity, thereby bolstering future freight volumes.

4. Pricing Power and Operational Efficiencies

   While not solely a revenue growth driver, CSX's focus on achieving "inflation-plus pricing" in the medium to long term and implementing new structures to enhance pricing is expected to contribute to higher revenue per unit. The company aims for a 200-300 basis point operating margin expansion in 2026, driven by workforce optimization, over 100 cost-efficiency initiatives, and improved asset utilization. These efficiencies can allow for more competitive service offerings and potentially lead to increased volumes and better revenue realization.

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Share Repurchases

• CSX repurchased shares worth $1.39 billion in 2025.
• The company repurchased shares totaling $2.23 billion in 2024.
• Share repurchases amounted to $3.48 billion in 2023.

Share Issuance

• No significant share issuances by CSX were reported over the last 3-5 years; the number of shares outstanding has generally declined due to repurchases.

Inbound Investments

• No significant inbound investments made in CSX by third-parties were reported for the last 3-5 years.

Outbound Investments

• No significant strategic outbound investments in other companies by CSX were reported for the last 3-5 years. CSX's financial statements show investments in affiliates and other companies totaling $2.634 billion in 2025 and $2.520 billion in 2024.

Capital Expenditures

• CSX's capital expenditures were $2.942 billion in 2025 and $2.939 billion in 2024.
• For 2026, CSX expects total capital expenditures to be below $2.4 billion, which is described as a substantial reduction from the prior year.
• The primary focus of capital expenditures includes safety, reliability, and growth projects, with key infrastructure investments such as the completion of the Howard Street Tunnel expected to enhance intermodal fluidity and generate annual savings, and the rebuilding of the Blue Ridge Subdivision to improve network resiliency.