CSX Corp.'s Proposed Senior Unsecured Notes Assigned 'BBB+' Rating

NEW YORK (S&P Global Ratings) Oct. 13, 2016--S&P Global Ratings today assigned its 'BBB+' issue-level rating to Jacksonville, Fla.-based CSX Corp.'s proposed senior unsecured notes due 2026, 2046, and 2066. CSX will use the proceeds from these notes to fully redeem, upon completion of the offering, the company's outstanding 5.600% notes due May 1, 2017, 6.250% notes due March 15, 2018, and 7.375% notes due Feb. 1, 2019, and for general corporate purposes, which may include repurchases of CSX's common stock, capital investment, pension contributions, working capital requirements, improvements in productivity, and other cost reductions at CSX's major transportation units. Our rating on CSX reflects the U.S. freight railroad industry's favorable risk characteristics as well as the company's large and

...NEW YORK (S&P Global Ratings) Oct. 13, 2016--S&P Global Ratings today assigned its '###+' issue-level rating to Jacksonville, Fla.-based CSX Corp.'s proposed senior unsecured notes due 2026, 2046, and 2066. CSX will use the proceeds from these notes to fully redeem, upon completion of the offering, the company's outstanding 5.600% notes due May 1, 2017, 6.250% notes due March 15, 2018, and 7.375% notes due Feb. 1, 2019, and for general corporate purposes, which may include repurchases of CSX's common stock, capital investment, pension contributions, working capital requirements, improvements in productivity, and other cost reductions at CSX's major transportation units. Our rating on CSX reflects the U.S. freight railroad industry's favorable risk characteristics as well as the company's large and strategically important rail network and solid cash flow generation. Price competition from other railroads and trucking companies on selected commodities and the company's high capital spending...

Ratings Action