Norfolk Southern Corporation and Subsidiaries
Consolidated Statements of Income
(Unaudited)
($ millions except per share)
Years Ended
December 31,
-------------------
2000 1999
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RAILWAY OPERATING REVENUES $ 6,159 $ 5,242
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RAILWAY OPERATING EXPENSES:
Compensation and benefits 2,234 1,855
Materials, services and rents 1,445 1,274
Conrail rents and services 478 311
Depreciation 503 475
Diesel fuel 478 255
Casualties and other claims 142 138
Other 246 216
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Total railway operating expenses 5,526 4,524
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Income from railway operations 633 718
Equity in earnings of Conrail -- 49
Other income - net 168 115
Interest expense on debt (551) (531)
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Income before income taxes 250 351
Provision for income taxes 78 112
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NET INCOME $ 172 $ 239
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Earnings per share:
Basic $ 0.45 $ 0.63
Diluted 0.45 0.63
Norfolk Southern Corporation and Subsidiaries
Consolidated Balance Sheets
(Unaudited)
($ millions)
As of December 31,
------------------
2000 1999
---- ----
ASSETS
Current assets:
Cash and cash equivalents $ -- $ 37
Short-term investments 2 14
Accounts receivable, net 411 857
Due from Conrail 31 77
Materials and supplies 91 100
Deferred income taxes 182 134
Other current assets 132 152
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Total current assets 849 1,371
Investment in Conrail 6,154 6,132
Properties less accumulated depreciation 11,105 10,956
Other assets 868 791
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TOTAL ASSETS $18,976 $19,250
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LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 925 $ 818
Income and other taxes 251 163
Notes and accounts payable to Conrail 155 184
Other current liabilities 259 256
Current maturities of long-term debt 297 503
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Total current liabilities 1,887 1,924
Long-term debt 7,339 7,556
Other liabilities 1,131 1,101
Minority interests 50 50
Deferred income taxes 2,745 2,687
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TOTAL LIABILITIES 13,152 13,318
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Stockholders' equity:
Common stock $1.00 per share par value, 1,350,000,000
shares authorized; issued 405,421,447 shares and
404,309,672 shares, respectively 405 404
Additional paid-in capital 392 372
Accumulated other comprehensive income (6) (11)
Retained income 5,053 5,187
Less treasury stock at cost, 21,363,974 shares and
21,627,902 shares, respectively (20) (20)
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TOTAL STOCKHOLDERS' EQUITY 5,824 5,932
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TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $18,976 $19,250
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Norfolk Southern Corporation and Subsidiaries
Consolidated Statements of Cash Flows
(Unaudited)
($ millions)
Years Ended
December 31,
------------------
2000 1999
---- ----
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 172 $ 239
Reconciliation of net income to
net cash provided by operating activities:
Depreciation 517 489
Deferred income taxes 2 85
Equity in earnings of Conrail (21) (17)
Gains and losses on properties and investments (160) (62)
Changes in assets and liabilities
affecting operations:
Accounts receivable 446 (322)
Materials and supplies 9 (40)
Other current assets and due from Conrail 60 (50)
Current liabilities other than debt 220 259
Other - net 97 (48)
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Net cash provided by operating activities 1,342 533
CASH FLOWS FROM INVESTING ACTIVITIES:
Property additions (731) (912)
Property sales and other transactions 137 104
Investments, including short-term (77) (126)
Investment sales and other transactions 90 343
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Net cash used for investing activities (581) (591)
CASH FLOWS FROM FINANCING ACTIVITIES:
Dividends (306) (304)
Common stock issued - net 2 14
Proceeds from borrowings 1,055 1,110
Debt repayments (1,549) (730)
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Net cash provided by (used for)
financing activities (798) 90
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Net increase(decrease) in cash and
cash equivalents (37) 32
CASH AND CASH EQUIVALENTS:
At beginning of year 37 5
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At end of year $ -- $ 37
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SUPPLEMENTAL DISCLOSURES OF CASH FLOW
INFORMATION
Cash paid during the year for:
Interest (net of amounts capitalized) $ 543 $ 520
Income taxes $ 5 $ 16