Transportation conglomerate CNF said it sill expects to post a profit in the first quarter this year despite the slow economy and flat tonnage demand at its trucking subsidiaries.
CNF said it expects first-quarter earnings to be 26 to 30 cents per share, which includes a roughly eight-cent per share payment from the Air Transportation Safety and System Stabilization Act passed in the wake of the September 11 attacks.
CNF shut down its Emery cargo airline operation, which had already been grounded over safety concerns, because of the economic fallout on the air cargo industry in the weeks following the attacks.
Palo Alto, CA-based CNF said results from its third party logistics subsidiary Menlo Worldwide, excluding the stabilization payment, are only expected to slightly improve from those in the first quarter of 2002.
The weak economy has also affected its LTL trucking division, Con-Way Transportation Services, though it expects strong first-quarter profits.