CSX Corp.'s Proposed Senior Unsecured Notes Due 2029 and 2048 Rated 'BBB+'

NEW YORK (S&P Global Ratings) Nov. 7, 2018--S&P Global Ratings today assigned its 'BBB+' issue-level rating to U.S. railroad CSX Corp.'s proposed senior unsecured notes due 2029 and 2048. The company will use the proceeds from these notes for general corporate purposes, which may include share repurchases and capital spending. Our issuer credit rating on CSX reflects our favorable view of the North American freight railroad industry, given the limited competition from alternative modes of commercial freight transport, the formidable barriers to entry, and its moderate cyclicality. Our rating is also based on the company's strong competitive position, extensive rail network, diverse revenue streams, and strong operating efficiency. ISSUE RATINGS--SUBORDINATION RISK ANALYSIS Capital structure CSX's capital structure consists primarily of

...NEW YORK (S&P Global Ratings) Nov. 7, 2018--S&P Global Ratings today assigned its '###+' issue-level rating to U.S. railroad CSX Corp.'s proposed senior unsecured notes due 2029 and 2048. The company will use the proceeds from these notes for general corporate purposes, which may include share repurchases and capital spending. Our issuer credit rating on CSX reflects our favorable view of the North American freight railroad industry, given the limited competition from alternative modes of commercial freight transport, the formidable barriers to entry, and its moderate cyclicality. Our rating is also based on the company's strong competitive position, extensive rail network, diverse revenue streams, and strong operating efficiency. ISSUE RATINGS--SUBORDINATION RISK ANALYSIS Capital structure + CSX's capital structure consists primarily of senior unsecured debt and a modest amount of secured debt, most of which was issued at its subsidiaries. Analytical conclusions + We rate the company's...

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