Total carloads for May 2006 were 103,464, down 5.6% from 109,648 in May 2005. The sale of the San Luis and Rio Grande Railroad and the three Alberta properties net of the impact of the acquisition of the Alcoa railroads and the Fremont line in Michigan accounted for a decrease of 1,339 of the carloads. On a "same railroad" basis, May 2006 carloads decreased 4.6% to 100,060 from 104,905 in May 2005. Ten out of fourteen commodity groups had decreased shipments in May 2006. The 4,845 carload decrease was derived primarily from lower shipments of petroleum products, metals, paper products and bridge traffic. The Company's Southern Ontario Railway had a 2,233 carload decline in the month of May. The majority of this decline was caused by a Native Indian blockade in Caledonia, Ontario, which is preventing traffic from moving southward on the Hagersville Subdivision. This primarily impacted shipments of petroleum products and metals. Shipments of paper products continue to be negatively impacted by a work stoppage at a shipper's facility in Nova Scotia.
For the five months ended May 31, 2006, total carloads decreased 2.8% to 536,108 from 551,519 in 2005. On a "same railroad" basis for the same period, carloads were 517,927 down 1.9% from 527,940 in 2005. "Same railroad" totals exclude carloads associated with railroads, or portions of railroads, sold or acquired by the Company after January 1, 2005.
Historically, the Company has found that carload information may be indicative of freight revenue on its railroads, but may not be indicative of total revenue, operating expenses, operating income or net income.
