CSX Corporation (CSX) 2019 Q3 法說會逐字稿

Good afternoon, ladies and gentlemen, and welcome to the CSX Corporation Third Quarter 2019 Earnings Call. As a reminder, today's call is being recorded. (Operator Instructions) For opening remarks and introduction, I would like to turn the call over to Mr. Bill Slater, Chief Investor Relations Officer for CSX Corporation.

各位女士、各位先生，下午好，歡迎參加 CSX Corporation 2019 年第三季財報電話會議。提醒各位，今天的電話會議將被錄音。(接線員指示) 接下來進行開場致詞與介紹，我想把電話交給 CSX Corporation 投資人關係長 Bill Slater 先生。

Thank you, and good afternoon, everyone. Joining me on today's call is Jim Foote, President and Chief Executive Officer; Mark Wallace, Executive Vice President of Sales and Marketing; Kevin Boone, Chief Financial Officer; and Jamie Boychuk, Executive Vice President of Operations.

謝謝，各位下午好。今天與我一同參與電話會議的有：總裁暨執行長 Jim Foote；銷售與行銷執行副總裁 Mark Wallace；財務長 Kevin Boone；以及營運執行副總裁 Jamie Boychuk。

On Slide 2 is our forward-looking disclosure, followed by our non-GAAP disclosure on Slide 3.

投影片第 2 頁是我們的前瞻性聲明揭露，接著投影片第 3 頁是我們的非 GAAP 揭露。

With that, it's my pleasure to introduce President and Chief Executive officer, Jim Foote.

接下來，我很榮幸介紹總裁暨執行長 Jim Foote。

Good afternoon, and thank you, Bill. Before we begin the presentation, I'd like to first congratulate the over 21,000 strong CSX workforce for a great job in delivering a really good quarter. They again showed that they are the safest, most customer-focused and best operators in the industry. Breaking their own record with an all-time low operating ratio for a U.S. Class I railroad of 56.8% was no easy task. So hats off to all of them.

各位下午好，謝謝你，Bill。在開始簡報之前，我想先恭喜超過 21,000 名的 CSX 員工，在本季交出非常出色的成績。他們再次證明自己是業界最安全、最以客戶為中心、且營運表現最優秀的團隊。將營運比率刷新為 56.8%，創下美國一級鐵路（Class I）史上最低紀錄，絕非易事。因此向大家致敬。

I'd also like to mention several recent leadership announcements, beginning with the appointment of Kevin Boone to Chief Financial Officer and Jamie Boychuk to Executive Vice President of Operations. Both Kevin and Jamie are skilled leaders, who have played big roles in this company's transformation and are excellent additions to our executive team. I'm very pleased that Ed Harris will remain a key part of the executive team as we drive hard to get even better. CSX is lucky to have both Ed and Jamie, 2 of the best operators in our business.

我也想提及幾項近期的領導團隊任命，首先是任命 Kevin Boone 擔任財務長，以及 Jamie Boychuk 擔任營運執行副總裁。Kevin 與 Jamie 都是能力出眾的領導者，在公司轉型過程中扮演了重要角色，也是我們高階管理團隊的絕佳補強。我也非常高興 Ed Harris 將持續作為高階團隊的重要一員，協助我們全力以赴、再創佳績。CSX 很幸運能同時擁有 Ed 與 Jamie 這兩位本業務中最優秀的營運人才。

We also announced changes in sales and marketing, as Mark builds a new team that is intensely focused on identifying and capitalizing on opportunities to grow the top line.

我們也宣布了銷售與行銷方面的調整，Mark 正在打造一支全新團隊，專注於辨識並把握機會，以推動營收成長。

Adam Longson recently joined as Vice President of Energy. Adam's deep knowledge of the commodity market is a valuable addition.

Adam Longson 近期加入，擔任能源事業副總裁。Adam 對大宗商品市場的深厚了解，是非常有價值的補強。

The recent appointments of Farrukh Bezar as Senior Vice President of Marketing and Arthur Adams as Vice President, Merchandise Sales, demonstrates our commitment to working with our merchandise customers to find new and creative ways to first add value to our customers, which will then drive long-term profitable growth. CSX's service has never been this good. Now is the time to harvest the opportunities.

近期任命 Farrukh Bezar 擔任行銷資深副總裁，以及 Arthur Adams 擔任商品（Merchandise）銷售副總裁，展現我們致力於與商品客戶合作，尋找嶄新且具創意的方法，先為客戶創造價值，進而帶動長期且具獲利性的成長。CSX 的服務從未像現在這麼好。現在正是收割機會的時刻。

With that, let's turn to the presentation, beginning with Slide 5 and our financial results. The third quarter results are straightforward, with only a few unique items, which Kevin will point out.

接下來我們進入簡報，從投影片第 5 頁的財務結果開始。第三季結果相當明確，只有少數幾個特殊項目，Kevin 會加以說明。

Third quarter EPS increased 3% to $1.08 versus last year's figure of $1.05. Our third quarter operating ratio improved by 190 basis points to, as I said, a new record of 56.8%.

第三季每股盈餘（EPS）較去年 1.05 美元成長 3%，至 1.08 美元。第三季營運比率改善 190 個基點，正如我所說，創下 56.8% 的新紀錄。

Turning to Slide 6. Our improved service is driving industry-leading Merchandise volumes, as customers continue to trust CSX with a greater share of the freight. Despite the softer industrial economy, Merchandise volumes held flat. However, the strength of Merchandise was offset by declines in Coal, Intermodal and other revenue, resulting in a 5% decline in total revenue to $3 billion.

接著看投影片第 6 頁。我們改善的服務帶動業界領先的商品（Merchandise）運量，客戶持續更信任 CSX，將更多貨運份額交由我們承運。儘管工業景氣較疲弱，商品運量仍持平。然而，商品業務的強勁表現被煤炭、聯運（Intermodal）及其他收入的下滑所抵銷，使總營收下滑 5% 至 30 億美元。

I'm encouraged by the performance of our Merchandise franchise. Had it not been for the Philadelphia refinery explosion at the end of June, Merchandise volumes would have been up approximately 2% for the quarter versus declining industry volumes. In total, Merchandise revenue increased 1% on flat volumes, as pricing gains were partially offset by mixed headwinds.

我對我們商品業務的表現感到鼓舞。若非 6 月底費城煉油廠爆炸事件影響，本季商品運量原本約可成長 2%，相較之下產業運量則在下滑。整體而言，在運量持平下，商品營收成長 1%，因為定價提升的效益部分被組合不利因素所抵銷。

Intermodal declined -- revenue declined 11% on 9% lower volumes, much of this associated with the impact of lane rationalizations implemented last fall and early this year. We have now left the first round of lane rationalizations and lapped the final 5% of rationalizations at the beginning of next year.

聯運方面——營收在運量下滑 9% 的情況下下降 11%，其中很大一部分與去年秋季及今年初實施的路線精簡（lane rationalizations）影響有關。我們目前已完成第一輪路線精簡，並將在明年初完成最後 5% 精簡影響的年對年比較（lapped）。

Coal revenue decreased 12% on 9% lower volumes, with declines in both domestic and export markets due to lower natural gas prices and weaker export demand and lower benchmark prices.

煤炭營收在運量下滑 9% 的情況下下降 12%；由於天然氣價格較低、出口需求疲弱以及基準價格下滑，國內與出口市場皆出現下滑。

Finally, the decrease in other revenues was primarily driven by lower storage revenue at intermodal facilities and demurrage charges.

最後，其他收入的下滑主要是由聯運場站較低的倉儲收入以及滯期費（demurrage）所致。

Moving on to Slide 7. I am pleased with the continued positive momentum in our safety performance. Our FRA personal injury rate was again the best in the industry, and we further improved on last quarter's record FRA train accident results to set new company records for both fewest train accidents and the lowest accident rate. We still have opportunities to improve. Technologies such as the increased use of automated track inspection cars and drones are helping to identify small problems before they become big issues and are also improving our day-to-day execution across the network. We constantly strive to make the railroad as safe as it can be.

接著看投影片第 7 頁。我對我們安全表現持續的正向動能感到滿意。我們的 FRA 人身傷害率再次為業界最佳，且在上季創紀錄的 FRA 列車事故表現基礎上進一步改善，創下公司新紀錄：列車事故數最低、事故率也最低。我們仍有改善空間。例如更廣泛使用自動化軌道檢測車與無人機等技術，有助於在小問題變成大問題之前就加以辨識，也提升我們在整個路網的日常執行力。我們持續努力，讓鐵路系統盡可能安全。

Moving to Slide 8. Let's quickly review our operating performance. Velocity improved both sequentially and year-over-year. Dwell increased slightly for the quarter, but we see opportunities to improve this metric going forward.

接著看投影片第 8 頁，快速回顧營運表現。速度（Velocity）無論較前一季或較去年同期皆有所提升。本季停留時間（Dwell）略有增加，但我們看到未來仍有機會改善此指標。

We also set another fuel efficiency record. CSX is the only U.S. Class I railroad to operate below 1 gallon of fuel per 1,000 gross ton-miles. Not only does this reduce costs, but the environmental impact of this is significant. This has been partially enabled by the increased use of distributed power, which has been a focus of the operating team. This technology, which CSX had historically [not] deployed, allows us to disperse locomotives throughout the train, which improves fuel efficiency and enhances safety and reliability by reducing train separations. For the quarter, we averaged 87 distributed power trains per day, but we frequently operate with over 100.

我們也再度創下燃油效率紀錄。CSX 是唯一一家每 1,000 總噸英里（gross ton-miles）耗油量低於 1 加侖的美國一級鐵路公司。這不僅降低成本，對環境的影響也相當顯著。這部分得益於更廣泛使用分散式動力（distributed power），這一直是營運團隊的重點。這項技術過去 CSX 歷來[未]部署，能讓我們將機車分散配置於列車各處，提升燃油效率，並透過降低列車分離事件來強化安全性與可靠性。本季我們平均每日有 87 列採用分散式動力的列車，但我們也經常運行超過 100 列。

On Slide 9, most importantly, as we focus on running a better railroad, we're creating better service for our customers. We continue to improve trip plan compliance figures for both carload and intermodal customers, with 75% of Merchandise cars and 94% of intermodal containers hitting their hourly trip plan targets, both new quarterly records. We're now providing individualized real-time trip plan tracking to our intermodal customers and will be rolling that information out to Merchandise customers in the fourth quarter. These new tools again differentiate CSX from other rails, and our customers are very excited about the tool.

在投影片第 9 頁，最重要的是，當我們專注於把鐵路營運得更好時，也正在為客戶創造更好的服務。我們持續改善整車（carload）與聯運客戶的行程計畫達成率（trip plan compliance），其中 75% 的商品車輛與 94% 的聯運貨櫃達成其每小時行程計畫目標，兩者皆創下新的季度紀錄。我們目前已為聯運客戶提供個別化的即時行程計畫追蹤，並將於第四季把該資訊推廣至商品客戶。這些新工具再次讓 CSX 與其他鐵路公司有所區隔，客戶對此工具也非常期待。

I'll now hand it over to Kevin, who will take you through the financials.

接下來我把時間交給 Kevin，由他帶各位檢視財務內容。

Thank you, Jim. Before I get started, I want to thank Jim and the Board for their support and confidence. I'm excited to continue to work with this great team.

謝謝你，Jim。在開始之前，我要感謝 Jim 與董事會的支持與信任。我很期待能持續與這個優秀的團隊一起合作。

Turning to Slide 11. I'll walk you through the highlights of the summary income statement. As Jim mentioned, total revenue was down 5% in the third quarter, as the impact of intermodal and coal headwinds as well as lower fuel recoveries and other revenue more than offset the benefit of pricing gains across nearly all markets.

接著看投影片第 11 頁。我將帶各位快速瀏覽綜合損益表的重點。如 Jim 所提，第三季總營收下滑 5%，因聯運與煤炭的不利因素，以及燃油回收（fuel recoveries）與其他收入下降的影響，超過了幾乎所有市場定價提升所帶來的效益。

Expenses declined 8% year-over-year, really a great performance. The team continues to drive efficiency across all areas of our business. Overall, third quarter expense results reflect the company's sustained operating improvements, a significant progress in labor and asset efficiency.

費用年減8%，表現確實非常出色。團隊持續在我們業務的各個領域推動效率提升。整體而言，第三季費用結果反映公司持續的營運改善，在勞動力與資產效率方面取得顯著進展。

Before running through the expense line items, I want to note a couple of unique items in the quarter, including a $22 million impairment related to an intermodal terminal sale agreement and a net headwind of $15 million related to state fuel tax matters. These 2 items totaling $37 million impacted MS&O and fuel expense, respectively.

在逐項說明費用科目之前，我想先指出本季有幾項特殊事項，包括與一項聯運（intermodal）場站出售協議相關的2,200萬美元減損，以及與州燃油稅事項相關的1,500萬美元淨不利影響。這兩項合計3,700萬美元，分別影響MS&O與燃油費用。

Real estate saw $65 million in gains this quarter, an increase of $12 million year-over-year. We continue to see a pipeline of real estate opportunities, though the impact of these transactions will remain uneven from quarter-to-quarter and year-to-year.

本季不動產錄得6,500萬美元收益，年增1,200萬美元。我們仍持續看到不動產機會的案源管道，但這些交易的影響在各季與各年度之間仍將呈現不均衡。

Labor and fringe expenses were 8% lower, with average head count down 6%. Our ongoing refinement of the operating plan continues to drive savings from fewer crew starts, enabling a 9% year-over-year reduction in active train and engine employee base and driving a 6% improvement in crew utilization, as measured by gross ton-miles per active train and engine employee.

勞工與附加福利費用下降8%，平均人數下降6%。我們持續精進營運計畫，透過減少開班（crew starts）帶來節省，使在職列車與機車員工基數年減9%，並以每位在職列車與機車員工的總噸英里（gross ton-miles）衡量，帶動乘務員利用率提升6%。

T&E overtime and relief starts are also down 12% and 77% respectively as we operate more efficiently. As I mentioned on the second quarter call, overtime is a strong focus area across all operating departments. Through reward force efficiency and management execution, we reduced overtime across all operating departments by nearly 14% sequentially.

隨著我們營運更有效率，T&E加班與支援開班（relief starts）也分別下降12%與77%。如我在第二季電話會議中提到的，加班是所有營運部門的重點關注領域。透過人力效率提升與管理執行，我們使所有營運部門的加班較前一季下降近14%。

Additionally, the active locomotive count was down 11% year-over-year in the quarter. The smaller fleet combined with fewer cars online and freight car repair efficiencies helped drive an 8% year-over-year reduction in our mechanical workforce.

此外，本季在役機車數量年減11%。較小的車隊規模，加上線上車輛更少以及貨車維修效率提升，帶動我們機務（mechanical）人力年減8%。

Also while velocity on-time originations and on-time arrivals improved sequentially quarter-over-quarter, Jamie and the operating team are confident there remains additional opportunity to continue to improve train speed and dwell, which will further deliver cost savings.

另外，雖然速度、準點始發（on-time originations）與準點到達（on-time arrivals）較前一季有所改善，Jamie與營運團隊仍有信心，仍存在進一步提升列車速度與停留時間（dwell）的空間，這將帶來更多成本節省。

MS&O expense improved 12% or $59 million versus the prior year, driven by efficiency in operation support costs and savings related to lower volumes. We continue to see efficiencies attributed to lower active locomotive count driving savings in locomotive materials and maintenance costs. Freight car repair costs were also lower, driven by significantly fewer train accidents in the quarter.

MS&O費用較去年改善12%或5,900萬美元，主要由營運支援成本效率提升以及與較低運量相關的節省所帶動。我們持續看到因在役機車數量下降而帶來的效率，進而節省機車材料與維修成本。貨車維修成本也較低，主要因本季列車事故顯著減少。

In addition, we're intensely focused on driving engineering efficiency. This led to significant savings in the third quarter on materials, travel, vehicles and outside services. Our continued train plan refinements also drove savings in crew travel and repositioning expenses, which were down 10% year-over-year.

此外，我們也高度聚焦推動工程效率。這使第三季在材料、差旅、車輛與外包服務方面實現顯著節省。我們持續精進列車計畫也帶動乘務員差旅與調度（repositioning）費用節省，年減10%。

Fuel expense was down $45 million or 17% year-over-year in this quarter. These savings were driven by a 13% decrease in the per gallon price, record efficiency and lower volume. Our focus on utilization of distributed power and energy management software combined with train handing rules compliance drove another quarter of record fuel efficiency.

本季燃油費用年減4,500萬美元或17%。這些節省主要來自每加侖價格下降13%、創紀錄的效率以及較低運量。我們聚焦分散式動力（distributed power）運用與能源管理軟體，並結合列車操控規範遵循，推動本季再度創下燃油效率新高。

As I noted earlier, there was also a unique item related to state fuel tax matters that had a $15 million unfavorable impact in the quarter.

如我先前所提，另有一項與州燃油稅事項相關的特殊項目，於本季造成1,500萬美元的不利影響。

Looking at other expenses. Depreciation increased 1% due to the impact of larger net asset base. Going forward, we expect a sequential increase of approximately $15 million to depreciation in the fourth quarter, mainly related to group life depreciation study on equipment assets that occurs every 3 years. Losses associated with previous asset sales are amortized over the life of the remaining assets. This obviously has no impact to free cash flow.

再看其他費用。折舊因淨資產基礎較大之影響而增加1%。展望未來，我們預期第四季折舊將較前一季增加約1,500萬美元，主要與每3年進行一次、針對設備資產的群組年限折舊研究（group life depreciation study）相關。先前資產出售所產生的損失，會在剩餘資產的使用年限內攤銷。這顯然不會影響自由現金流。

Equipment rents expense increased 17%, as the impact of inflation and other items more than offset the benefit of lower volume-related costs and efficiency gains. As reduced dwell and improved days per load, we should see further improvement.

設備租賃費用增加17%，通膨與其他項目的影響，超過了運量下降帶來的成本降低與效率提升的效益。隨著停留時間（dwell）降低與每次裝載天數（days per load）改善，我們應可看到進一步改善。

Equity earnings increased $3 million in the quarter due to higher net earnings at our affiliates.

本季權益法收益增加300萬美元，主要因我們關聯企業的淨利較高。

Looking below the line. Interest expense increased primarily due to higher average debt balances. Income tax expense increased $13 million primarily due to [cycling] of 2018 benefits related to the settling of state tax matters. Absent the unique items, we would expect an effective tax rate of approximately 24.5% going forward.

再看線下項目。利息費用增加主要因平均負債餘額較高。所得稅費用增加1,300萬美元，主要因2018年與州稅事項結案相關的稅務利益進入比較基期循環（[cycling]）。若排除特殊項目，我們預期未來有效稅率約為24.5%。

Closing out the P&L. As Jim highlighted in his opening remarks, CSX delivered nearly $1.3 billion of operating income in the third quarter, in line with 2018 despite a weaker volume environment.

最後總結損益表。如Jim在開場致詞中強調，CSX第三季實現近13億美元的營業利益，儘管運量環境較弱，仍與2018年持平。

We also delivered a record operating ratio of 58.6% -- 56.8%, an improvement of 190 basis points; and earnings per share of $1.08, representing a 3% improvement over third quarter of 2018.

我們也創下58.6%的營業比率新高——為56.8%，改善190個基點；每股盈餘為1.08美元，較2018年第三季提升3%。

Turning to the cash flow side of the equation on Slide 12. We continue to invest in our core track infrastructure to provide safe and reliable train operations. Year-to-date, capital investment is down $49 million or 4% year-over-year. Overall, our reduced asset intensity has enabled us to sustain lower levels of capital investment without compromising safety or reliability. The level of PTC spending has also come down significantly in the last 2 years.

接著看第12頁的現金流部分。我們持續投資核心軌道基礎設施，以提供安全且可靠的列車營運。年初至今，資本投資年減4%或4,900萬美元。整體而言，我們降低資產密度，使我們能在不犧牲安全或可靠性的前提下，維持較低水準的資本投資。過去兩年PTC支出水準也大幅下降。

Free cash flow remains a focus for this team. Generating operating improvements while driving better capital efficiency has produced differentiated free cash flow growth. Growth in CSX's core operating cash flow generation, including improvements in working capital, drove a 15% increase in adjusted free cash flow to $2.8 billion through the third quarter.

自由現金流仍是本團隊的重點。在推動營運改善的同時提升資本效率，帶來具差異化的自由現金流成長。CSX核心營運現金流產生能力的成長（包含營運資金改善），帶動截至第三季的調整後自由現金流增加15%至28億美元。

Year-to-date, we have returned nearly $3.4 billion to shareholders, including approximately $2.8 billion in buybacks and $600 million in dividends. Dividend payments in the quarter reflect a 9% increase from $0.22 to $0.24 per share we announced in February this year, net of the lower share count.

年初至今，我們已向股東返還近34億美元，包括約28億美元的庫藏股回購與6億美元的股利。本季股利支付反映我們今年2月宣布每股股利由0.22美元提高至0.24美元、增幅9%，並已扣除股數減少的影響。

With that, let me turn it back to Jim for his closing remarks.

接下來，我把時間交回Jim做結語。

Great. Thank you, Kevin.

很好。謝謝你，Kevin。

Turning to Slide 14. Let's wrap this up by reviewing our outlook for the year.

請看第14頁。我們以回顧今年展望來做個總結。

Freight demand is generally in line with the expectations set out at the end of last quarter when we adjusted our forecast to reflect what we felt was a realistic view of softer underlying economic activity. Nothing in the industrial economy has really changed since then. Despite the swing from a plus 1% to 2% growth environment to a down 1% to 2% environment, we are maintaining our full year operating ratio guidance of below 60%, and we're still on course for record operating cash flow. These are impressive accomplishments.

貨運需求大致符合我們在上季末調整預測時所設定的預期，當時我們調整是為了反映我們認為較為務實的、基礎經濟活動轉弱的看法。自那時以來，工業經濟並沒有真正改變。儘管環境從1%至2%的成長轉為下滑1%至2%，我們仍維持全年營業比率低於60%的指引，且仍在創下營運現金流新高的軌道上。這些都是令人印象深刻的成就。

We have fundamentally changed CSX over the last 2 years, not just in how the company operates, but also the way we approach our business and our customers. We are encouraged by our customers' positive response to our improved service and are working tirelessly to find innovative new ways to better serve their needs.

過去兩年，我們從根本上改變了CSX，不僅在公司如何營運，也包括我們看待業務與客戶的方式。我們對客戶對我們服務改善的正面回應感到鼓舞，並不懈努力尋找創新的新方法，以更好地滿足他們的需求。

Despite the significant progress made to date, we are still -- there are still meaningful opportunities to operate more efficiently and reliably as we move towards our goal of being the best run railroad in North America.

儘管迄今已取得顯著進展，我們仍然——在朝著成為北美營運最佳的鐵路這一目標邁進的過程中，仍有相當大的機會能以更高效率、更高可靠性來營運。

Thank you, and now I'll turn it back to Bill.

謝謝，接下來我把時間交還給 Bill。

Thank you, Jim. (Operator Instructions) With that, we will now take questions.

謝謝你，Jim。(接線員指示) 接下來我們將開始提問。

(Operator Instructions) And our first question comes from Chris Wetherbee with Citi Research.

(接線員指示) 我們的第一個問題來自 Citi Research 的 Chris Wetherbee。

Maybe if we could start on sort of the OR, obviously significant progress here yet again in spite of meaningful volume declines. I guess when you think about sort of the outlook, maybe if we can go beyond sort of the near-term target of sub-60% and the efficiency and other opportunities that you've highlighted are still on the table, how can we start thinking about things, I guess, maybe putting your hat on, for 2020 and thinking about what the world may look like? Is this going to be more of a return to volume and maybe a little bit less operating ratio when we think about 2020 or maybe a little bit more operating ratio? Just want to get a sense of maybe how you're thinking about sort of guiding the business into 2020, which hopefully has a more stable volume outlook.

或許我們可以先從 OR（營運比率）談起，顯然即使在運量明顯下滑的情況下，你們這次又取得了顯著進展。我想當你們思考展望時，若能超越短期「低於 60%」的目標，以及你們提到的效率與其他仍可把握的機會，我們該如何開始思考——我想——也許換個角度，放眼 2020 年，想像那時的情況可能會是什麼樣子？當我們看 2020 年時，會不會更偏向運量回升，而營運比率可能稍微不那麼低？或者營運比率可能會稍微高一些？只是想了解一下，你們打算如何引導業務走向 2020 年——希望那時運量展望會更穩定。

Right, Chris. Well, first of all, we're not going to get into 2020 just yet. We'll ramp up the fourth quarter here, and then we'll start trying to give guidance. As to what 2020 is going to look like, I guess, only just 2 general comments, and then either maybe Kevin or Mark want to jump in with some additional commentary, but just 2 general comments. It's difficult, still very, very difficult to gauge where the overall economy is going. I think we feel very confident for the fourth quarter, as we called what we thought was a pretty soft outlook going forward. And so we're going to have to wait and see and start figuring out what the revenue is going to look like next year.

好的，Chris。首先，我們現在還不打算談 2020 年。我們會先把第四季推進，然後才會開始嘗試提供指引。至於 2020 年會是什麼樣子，我想先給兩點概括性的看法，之後 Kevin 或 Mark 也許會補充一些評論，但先講兩點。目前仍然非常、非常難以判斷整體經濟將走向何方。我想我們對第四季非常有信心，因為我們先前已指出未來的展望可能相當疲弱。因此我們必須再觀察，並開始釐清明年的營收會是什麼樣子。

But again, generally speaking, our plan is to grow this business. And to the extent that we can grow this business, we're going to do it. And then secondly, our plan is to run this company as efficiently as we possibly can, and we're going to continue to focus on that. So this is not a -- they are not mutually exclusive. We're going to do both at the same time, and that's what we've been showing we can do this year.

不過再說一次，整體而言，我們的計畫是擴大這項業務。只要我們能夠成長，我們就會去做。第二，我們的計畫是盡可能以最高效率來營運這家公司，我們會持續聚焦於此。所以這不是——兩者並非互斥。我們會同時做到兩件事，而這也是我們今年一直在證明自己做得到的。

Okay. That's very helpful. And if you'll allow me a quick follow-up sort of along those lines. You've made some changes within some of the sales positions of the business and seems like Merchandise is an interesting potentially big opportunity for you as you move forward. Can you talk a little bit about sort of the opportunities that you see, maybe put some sizing around some of them as we move forward 2020 and beyond just to kind of get a sense of what you see as the opportunity for CSX in Merchandise?

好的。這非常有幫助。如果可以的話，我想就這個方向快速追問一下。你們在業務的部分銷售職位上做了一些調整，而且看起來 Merchandise（綜合貨運）對你們而言是個很有趣、可能很大的機會。你能否談談你們看到的機會大概有哪些，也許就其中一些做個規模量化，展望 2020 年及之後，讓我們大概了解你們認為 CSX 在 Merchandise 方面的機會在哪裡？

Sure, Chris. It's Mark. Listen, this is not something that's new. We've been talking about it for quite some time now. As we look at the future of this business, we see a huge opportunity in our met Merchandise segment. It's 2/3 of our business. I think going back a quarter or 2 when we initially put Kevin as the Head of Marketing, we highlighted the fact that we were going to grow our marketing department, because traditionally, CSX did not have one, traditional marketing department. Kevin did a great job in the short time that he was there, bringing in some people, both externally and internally, looking at some things differently and focusing on growth. We've now with these recent additions moved Farrukh over as Senior VP of Strategy into the Head of Marketing Department. So he's going to carry on. And we've split out the sales and marketing roles from a lot of our Directors. Some people used to wear dual-headed hats. Now we've got Directors of Sales. And in Farrukh's group, we've got Directors of Marketing.

當然可以，Chris。我是 Mark。聽著，這不是什麼新鮮事。我們談這件事已經談了相當一段時間。當我們看這項業務的未來時，我們在我們的 met Merchandise（綜合貨運）部門看到巨大的機會。它占我們業務的 2/3。回到一兩季前，當我們一開始任命 Kevin 擔任行銷主管時，我們就強調過我們將擴編行銷部門，因為傳統上 CSX 並沒有——沒有傳統意義上的行銷部門。Kevin 在任內短時間內做得非常好，從外部與內部引進一些人才，以不同方式看待一些事情並聚焦成長。而在最近這些增補之後，我們已把 Farrukh 從策略資深副總裁調任為行銷部門主管。所以他會延續這項工作。我們也把許多總監的銷售與行銷職責拆分開來。過去有些人同時戴兩頂帽子。現在我們有銷售總監。而在 Farrukh 的團隊裡，我們有行銷總監。

And so as Jim said in his opening remarks, an intense focus on the marketing -- on the Merchandise sector. Clearly, if we look at the size of the opportunity in the North American spend for transportation every year, there is a lot of truck volume out there. And we believe that by renewing our focus on the Merchandise segment and looking for truck conversion opportunities, that we're going to go out and capture that market share. So a huge focus for us going forward and we're pretty excited by the work that's already been started.

因此如 Jim 在開場致詞中所說，我們會高度聚焦在行銷——聚焦在 Merchandise（綜合貨運）領域。很明顯地，如果我們看北美每年在運輸上的支出規模，外面有大量的卡車運量。我們相信，透過重新聚焦 Merchandise 部門並尋找卡車轉鐵路的機會，我們將走出去並取得那部分市占。所以這將是我們未來的重大重點，我們也對已經展開的工作感到相當振奮。

And our next question comes from Allison Landry with Crédit Suisse.

下一個問題來自 Crédit Suisse 的 Allison Landry。

Good job on the OR during the quarter. I wanted to ask about the Coal yields. They seem to have held up a little bit better sequentially than I would have expected, given the export benchmarks. So maybe if you could talk about the mix trends within this segment and the quarter and compare that to what you saw in the second quarter. And then if you could just maybe comment on how we should be thinking about Q4.

本季 OR（營運比率）表現得很好。我想問一下煤炭的單位收益（yields）。考量到出口基準價格，它們的環比表現似乎比我預期的更能撐住。所以也許你可以談談本部門本季的組合（mix）趨勢，並與你們在第二季看到的情況做個比較。另外也請你評論一下，我們應該如何看待第四季。

Let me highlight mix, Allison. I always get the mix questions. So let me address that overall, and we can get into Coal if you want. But overall, we experienced a negative mix within most of our business segments this quarter. And as I've talked about many, many times, and as usual, you see within each business segment, and again, in Coal, there was always ups and downs between the commodities that hold different RPUs, and we'll continue to see these mix issues quarter-over-quarter. And I don't -- we don't manage the business to solve for how mix falls in any given quarter, and we're focused on delivering long-term sustainable growth.

Allison，我先強調一下組合（mix）。我總是被問到 mix 的問題。所以我先從整體回應，若你想我們也可以再深入談煤炭。但整體而言，本季我們在多數業務部門都經歷了不利的組合變化。正如我多次提到的，一如往常，你會在每個業務部門內看到——同樣地，在煤炭也是——不同商品的 RPU（每單位收入）不同，商品之間總會有起伏，我們也會持續看到這些季度間的組合變化。而我不——我們不會為了某一季組合如何落點而去管理業務；我們專注於交付長期、可持續的成長。

But clearly, on the Coal side, we did have negative mix on Coal. A lot of that was the shorter-haul business to some utilities in the north. I think that was a phenomenon we saw in the second quarter, and we also had some growth to -- some shorter-haul growth to [mobile] out of the mines in Alabama. So -- and less going export, as the export volumes were impacted by the benchmarks.

不過很明顯地，在煤炭方面，我們確實出現了不利的煤炭組合。其中很大一部分來自於運距較短、運往北部一些公用事業（電力公司）的業務。我想這是我們在第二季看到的現象；同時我們也有一些成長——一些較短運距的成長，運往 [mobile]，來自阿拉巴馬州的礦區。所以——而出口占比更少，因為出口運量受到基準價格影響。

So as I said, a lot of mix issues going in overall in each of the commodities, but again, in Coal, just given the decline in some of the longer-haul exports and then we picked up some shorter-haul utility business. So that phenomena continued.

所以如我所說，整體而言，各項商品內部都有許多組合因素在變動；但就煤炭來看，主要是因為部分較長運距的出口下滑，同時我們承接了一些較短運距的公用事業業務。因此這個現象仍在延續。

Okay. Perfect. And do you have any thoughts on Q4, just given the one quarter look back in the benchmark for the export met?

好的。很好。那你對第四季有什麼看法嗎？考量到出口冶金煤（export met）的基準是以前一季回溯一季來看。

Well, I'll tell you, Q3, I would say that export, the met side, which again is 2/3 of our export coal. The business was soft, but the global steel markets continue to weaken with the industrial slowdown and some of the sourcing issues in Europe had impacted obviously the benchmark prices. As you know, the majority of our contracts we price quarterly. So in Q3, we were less impacted by price, because the price of the export, the met benchmarks, in Q2 were relatively strong. But as we move into Q4 and given where the benchmarks were in Q3 and where they are today of about $150, clearly there's going to be some RPU impact in Q4.

嗯，我跟你說，第三季（Q3），我會說出口、冶金煤那一塊（met），也就是我們出口煤的大約 2/3。業務偏弱，但全球鋼鐵市場在工業放緩下持續走弱，加上歐洲的一些採購/供應來源問題，顯然也影響了基準價格。如你所知，我們大多數合約是按季定價。所以在第三季，我們受價格影響較小，因為第二季（Q2）的出口冶金煤基準價格相對強勁。但進入第四季（Q4），考量第三季的基準水準以及目前大約 150 美元的價位，顯然第四季的每單位收入（RPU）會受到一些影響。

The next question comes from Todd (sic) [Tom] Wadewitz with UBS.

下一個問題來自 UBS 的 Todd（口誤）[Tom] Wadewitz。

It's Tom. I wanted to ask you on the overtime initiatives. Kevin, it sounds like you're getting a lot of traction on that pretty quickly, which is great. I wanted to see if you could give us kind of a ballpark of maybe on an annual basis how large is the opportunity for cost savings from reduced overtime. Is it $50 million? Is it just some kind of a ballpark for that. And perhaps how much of that you would have captured on run rate basis in the third quarter?

我是 Tom。我想問一下你們的加班（overtime）改善措施。Kevin，聽起來你們很快就取得了很大的進展，這很棒。我想看看你能否給我們一個大概的範圍：以年度來看，透過降低加班可節省的成本機會有多大？是 5,000 萬美元嗎？還是你能給一個大概的量級。另外，第三季以「運行率」（run rate）計算，你們大概已經捕捉到其中多少？

Yes. We haven't gotten real specific, but it's not single million digits, it's tens of millions of dollars that we execute across mechanical engineering and the T&E employees out on the field. So it's a large opportunity for us still going forward. We've just begun. And I'm sure Jamie can talk more to all the efforts that we've started probably in the late second quarter as we saw some of the volumes come down and started to focus on this item.

是的。我們還沒有講得非常具體，但不是幾百萬美元那種等級，而是數千萬美元的規模；我們會在機械工程以及現場的 T&E 員工（交通與設備/運輸與設備）範圍內推動執行。所以對我們來說，往後仍然是一個很大的機會。我們才剛開始。我相信 Jamie 也可以多談談：我們大概在第二季末看到一些運量下滑時就開始推動多項措施，並把焦點放在這個項目上。

Yes. On one of the -- obviously, where we've really seen some good traction is on that engineering and mechanical side. We have seen some traction on the transportation end but that's where our bigger opportunity is. And as the team spends time out in the field visiting locations and continuing to look for opportunities, that's one of the larger opportunities that we see out there still left on the table going forward.

是的。在其中一塊——很明顯，我們真正看到良好成效的是工程與機械端。運輸端也看到一些進展，但那裡才是我們更大的機會所在。而且當團隊花時間到現場拜訪各據點、持續尋找機會時，這仍是我們看到、未來還留在桌面上最大的機會之一。

But Tom, going back to the magnitude of the size, I think previously, I mentioned in many categories were 30%-plus overtime as a percent of straight time, so the opportunity is still pretty significant there.

但 Tom，回到規模大小，我想我之前提過，在很多類別中，加班占正常工時（straight time）的比例都超過 30%，所以那裡的機會仍然相當可觀。

Okay. And then I guess, a related question to that in that per worker comp and benefits in the quarter were a little bit lower than we expected, down about 2% year-over-year. Was that primarily a function of lower overtime? Was there something going on that incentive comp or something else in -- is that something we should model in fourth quarter in terms of lower per worker cost?

好的。那我想再問一個相關問題：本季每位員工的薪酬與福利比我們預期略低，同比下降約 2%。這主要是因為加班降低嗎？還是獎勵性薪酬（incentive comp）或其他因素在起作用——第四季在建模時，我們是否也應該假設每位員工成本會較低？

No. I'd say it was a combination. I think you got it right. Certainly, overtime played a factor in that. You did see slightly lower incentive comp year-over-year as well. We'll continue on a good trend here going forward.

不是。我會說是多種因素的組合。我想你判斷得沒錯。加班確實是其中一個因素。你也看到獎勵性薪酬同比略有下降。往後我們會持續維持這個良好的趨勢。

The next call comes from Ken Hoexter of Bank of America Merrill Lynch.

下一位提問者是美國銀行美林（Bank of America Merrill Lynch）的 Ken Hoexter。

Congrats on a solid operating ratio, great to see. Jim, maybe just your thoughts on -- if you're -- you mentioned that kind of nothing has changed in the outlook, but maybe get a little more specific if there is anything shifting in particular coal, metals, fertilizer taking a step down. Is there anything in the market that you look out that alters your view as you look out?

恭喜你們營運比率（operating ratio）表現穩健，很高興看到。Jim，也許談談你的看法——你提到展望基本沒有改變，但能否更具體一點：是否有任何項目在變化，特別是煤炭、金屬、化肥等出現下滑。市場上是否有任何你關注的事情，會改變你對未來的看法？

No. All of the external metrics, to try and get a sense for where the business is going, have seemed to somewhat stabilize at this lower, softer -- these numbers. It's -- my personal opinion is, it took a while for them to get there, and if they're going to turn around, it's going to take a while for them to turn back up. And while there is some sense -- more sense today of optimism than maybe there was 10 days ago, these metrics and these numbers are not going to turn around in a couple of weeks. So we see this kind of slow growth environment throughout the quarter. And as we get nearer to the end of the year, hopefully we can see -- have a little more light shown on the pathway beyond the end of this year and we'll be in a better -- to opine on it.

沒有。所有外部指標——用來判斷業務走向的那些——看起來都在這個較低、較疲弱的水準上某種程度趨於穩定。以我個人看法，它們花了一段時間才走到這裡；如果要反轉回升，也會需要一段時間才會回到上行。雖然今天相較於 10 天前，樂觀情緒似乎多了一些，但這些指標和數字不可能在幾週內就反轉。所以我們認為本季會處於這種緩慢成長的環境。而當我們更接近年底時，希望能更清楚看到跨過今年年底之後的路徑，屆時我們也會更有條件對此發表看法。

Appreciate that. And I guess for my follow-up then, since you're sticking with your 60% -- sub-60% OR, are you somewhat indicating a step-up in a hard fourth quarter margin? Or any reason you're not taking it down? Just given the run rate for the 3 quarters is sub-58%, yet you're not going to a sub-59% or even at a 58%. Are you indicating something is going to happen in the fourth quarter or are just being -- keeping a high number as a easy bogey?

了解，謝謝。那我的追問是：既然你們仍維持 60%——低於 60% 的營運比率（OR）目標，你是否在暗示第四季的利潤率會在艱難的第四季中有所上升？或者為什麼不把指引下修？畢竟前三季的運行水準是低於 58%，但你們沒有把全年目標調到低於 59% 甚至 58%。你是在暗示第四季會發生什麼事，還是只是把數字訂得高一點、當作比較容易達成的門檻（bogey）？

Boy, when we were in New York a couple of -- it was about 18 months ago, Kenny, when you -- I said we were going to get a 60% in 2020, I didn't hear you say, "Boy, that's an easy question." So yes, we're going to get to our target -- we said we would beat our target a year early and clearly had not put in our plan this kind of softening in the overall economy, not only in the U.S., but globally, impacting all of our business units here kind of at one time. So we're kind of -- are we being cautious? No, I think we're being -- we have the same realistic viewpoint of the economy today that we had 3 months ago when we told everybody we didn't see a hockey stick coming into the second half of the year in terms of growth.

哎呀，Kenny，當我們大概 18 個月前在紐約時，你——我說我們會在 2020 年達到 60% 時，我可沒聽到你說「哇，那是個很容易的問題」。所以，是的，我們會達到我們的目標——我們說過會提前一年超越目標，而我們的計畫顯然沒有把整體經濟這種走弱納入考量，不僅在美國，全球也一樣，幾乎同一時間影響到我們所有事業單位。所以我們算是在——我們是在保守嗎？不，我認為我們只是維持務實的經濟觀點，跟三個月前一樣；當時我們就告訴大家，我們不認為下半年成長會出現「曲棍球棒式」的急速上升。

You also have what is traditionally the fourth quarter from a seasonality perspective, we expect similar kinds of behavior on the cost side this year. So that's just -- I think it's just a realistic assumption as we always do. We hope we do better than that. But putting -- to say that we're going to have an annual operating ratio below 60% this year is a pretty good achievement in a difficult time.

另外，從季節性角度來看，第四季傳統上就是那樣，我們預期今年在成本端也會出現類似的表現。所以這只是——我認為這就是我們一貫採用的務實假設。我們希望能做得比這更好。但在艱難的時期，若能說今年全年營運比率低於 60%，那已經是相當不錯的成就。

I don't disagree, just you're 3 quarters in, you're already at 58%. So it just seemed like -- I didn't know if you were sending a signal that you expected a deterioration in fourth quarter beyond normal. But I appreciate the insight.

我不反對，只是你們已經走完三季，目前就已經在 58%。所以看起來有點像——我不確定你是否在釋放訊號，表示你預期第四季會出現超出正常季節性的惡化。不過我很感謝你的說明。

The next question comes from Amit Mehrotra with Deutsche Bank.

下一個問題來自德意志銀行（Deutsche Bank）的 Amit Mehrotra。

By the way, congrats, Kevin and Jamie, on the new appointments, well deserved. I wanted to ask a question about the operating ratio shockingly and just the company's ability to maintain or grow profits in a down revenue environment because this is supposed to be a business with theoretically high incrementals and decrementals. It's a capital-intensive business. So I'm just trying to understand how much runway you have on the cost and efficiency side, because you decided to put that in extra this time on the looking -- the forward-looking slide. And so I'm just trying to understand how much room there is on the cost and efficiency side that's going to allow you to continue to hold the line on profits or grow profits on a year-over-year basis in an environment where revenue continues to be challenging or down.

順帶一提，恭喜 Kevin 和 Jamie 新的任命，實至名歸。我想就營運比率（operating ratio）令人震驚的表現，以及在營收下滑的環境中公司維持或提升獲利的能力提個問題，因為理論上這應該是一門邊際增量與邊際減量都很高的業務。這是一門資本密集型的業務。所以我只是想了解，在成本與效率面你們還有多少「跑道」，因為這次你們在前瞻性的投影片上把這點額外放進去了。因此我想弄清楚，在成本與效率面究竟還有多少空間，能讓你們在營收持續具挑戰或下滑的環境下，仍能守住獲利底線或在年對年基礎上成長獲利。

Well, just a clarification, so I can answer the question correctly. I think our slide in terms of what we're talking about in terms of the efficiency and operating ratio is the exact slide that we used 3 months ago, and I think that's the exact slide we've used the quarter before that.

嗯，我先澄清一下，這樣我才能正確回答問題。我想我們談到效率與營運比率的那張投影片，跟我們 3 個月前用的是同一張，我也認為跟再前一季用的也是同一張。

Well, unless I'm mistaken, I think you added significant remaining opportunities to further improve -- I mean we're nitpicking here, but I think you added another bullet regarding efficiencies -- some service and efficiency, further improvement there.

嗯，除非我弄錯了，我覺得你們新增了「仍有顯著剩餘機會可進一步改善」——我的意思是我們在吹毛求疵，但我認為你們又加了一個關於效率的要點——一些服務與效率、在那方面的進一步改善。

Well, like I said, we're always trying to get better, and we believe there is a lot of opportunity out there for us to continue to get better. It'd be a hell of a lot better -- easier to get to a better number with a little bit more robust economic environment. So we're going to continue to always, always, always focus on efficiency in running the railroad in the best way we possibly can. And we believe that there are many, many opportunities out there for us to continue to do that. And I don't think that's anything different than I've ever said before in comment. In terms of other opportunities, yes, they might be a little more difficult to find, identify and execute on, but there are always tons of opportunities out there for us to get better. We've always believed that. We've always been optimistic and bold in our convictions of where we thought we could take the company. And I don't think anything has really changed.

嗯，就像我說的，我們一直都在努力變得更好，而且我們相信還有很多機會讓我們持續改善。如果經濟環境能更強勁一些，要達到更好的數字會好得多——也容易得多。所以我們會持續、永遠、永遠、永遠把重點放在效率上，以我們所能做到的最佳方式來營運鐵路。而且我們相信外面有很多很多機會，讓我們可以持續做到這一點。我不認為這跟我過去在評論中說過的有任何不同。至於其他機會，是的，它們可能更難去找、去辨識並執行，但外面永遠有大量機會讓我們變得更好。我們一直都這麼相信。我們一直對我們能把公司帶到哪裡抱持樂觀，並且對我們的信念很大膽。我不覺得有什麼真正改變。

So would you be -- Jim, would you be -- I'm just trying to understand this. And as a follow-up to this question, as you look out over the next 12 months, I know you are not talking about 2020, but just conceptually, given the opportunity you see on the cost side, could revenues -- if revenues are flat to down next year, do you think you could see year-on-year OR improvement in 2020?

所以你會不會——Jim，你會不會——我只是想理解這件事。作為這個問題的追問，當你展望未來 12 個月時，我知道你不是在談 2020 年，但就概念上而言，考量你在成本端看到的機會，如果明年營收持平到下滑，你覺得 2020 年有可能看到年對年營運比率（OR）改善嗎？

Well, again, we'll give you a more solid view of that at the end of the quarter. Aspirationally, do I think that this team can repeat the fantastic job they did this year with revenues? Again, as I said in my comments, we started the year thinking the revenues were going to be up as much as 2%. And now, we're saying the revenues could be down as much as 2%. And for us to have delivered this operating 56%-something in operating ratio was nothing short of amazing. Am I going to challenge the group and is this group going to accept the challenge to try to do the same thing again next year? I certainly hope so but in terms of putting it in the books and saying that that's our forecast, we're going to wait 3 months before we make that kind of bold statement.

嗯，再次強調，我們會在本季末給你們更扎實的看法。就目標而言，我認為這個團隊能重複今年在營收面所做的出色工作嗎？如同我在評論中說的，我們年初的想法是營收可能會成長多達 2%。而現在，我們說營收可能會下滑多達 2%。而我們仍能交出 56% 多的營運比率，簡直令人驚嘆。我會不會挑戰團隊、而這個團隊會不會接受挑戰，明年再做一次同樣的事？我當然希望如此，但就把它寫進帳本、說那就是我們的預測而言，我們會再等 3 個月，才會做出那樣大膽的表述。

Yes, that's very fair. My second question is just on the pricing environment. When I just look at revenue per RTM, kind of adjusted for other income and ex fuel, it continues to moderate. And I know it's not a perfect metric to -- or proxy for pricing, because there's a lot of stuff that goes into it, especially mix, but can you just talk about kind of when we should see revenue per RTM, what is that a proxy for? And can you we extrapolate that into the overall pricing environment, just making it harder to get pricing in the volume environment? Any comments around that would be helpful.

是的，這非常公平。我的第二個問題是關於定價環境。當我看每 RTM 的營收（大致調整其他收入並剔除燃料）時，它持續趨於溫和。我知道這不是一個完美的指標——或作為定價的代理變數（proxy），因為有很多因素會影響它，尤其是組合（mix），但你們能否談談我們何時應該看每 RTM 的營收，它究竟是什麼的代理？以及我們是否可以把它外推到整體定價環境，是否在目前的量能環境下讓取得定價變得更困難？任何相關評論都會很有幫助。

Yes. I mean it's Mark. Listen, I won't repeat what I told Allison when I talked about the mix. Clearly, that has a significant impact on the revenue per RTM. But let me address the pricing, because I always get this question on price. And let me be crystal clear here, we're not sacrificing volume for price or price for volume. And within Merchandise and Intermodal, our same-store sales pricing in Q3 was the strongest that we've seen in the past 3 years, and all our contracts that come up for renewal in the quarter, we exceeded our same-store sales pricing. So -- and we're going to continue to price to the value of the business and price to the value of the service that we provide, and -- but again, on RPU and then the revenue per RTM, you're always going to see these mix issues. So -- but don't read into it that it's a pricing issue, we're still continuing to generate the best price for the value of our product.

可以。我是 Mark。聽著，我就不重複我在談到組合時跟 Allison 說過的內容了。很明顯，這對每 RTM 的營收有顯著影響。但我來回應定價，因為我總是被問到價格。我在這裡講得非常清楚：我們不會為了價格犧牲量，也不會為了量犧牲價格。在商品（Merchandise）與聯運（Intermodal）業務中，我們第三季的同店銷售定價（same-store sales pricing）是過去 3 年來最強的，而且本季所有到期續約的合約，我們的定價都高於同店銷售定價。所以——我們會持續依據業務價值來定價、依據我們提供的服務價值來定價；但同樣地，在 RPU 以及每 RTM 的營收上，你總會看到這些組合因素的影響。所以——不要把它解讀成定價問題；我們仍在持續為我們產品的價值取得最佳價格。

Congrats on the great results.

恭喜有很棒的成果。

The next question comes from Brandon Oglenski from Barclays.

下一個問題來自 Barclays 的 Brandon Oglenski。

Congrats again, Kevin and Jamie, well deserved. So Jim, maybe just to clarify that last line, a question here, I think some investors have gotten really focused on maybe more glossy "PSR" presentations at your competitors and the -- maybe the common thought here is that CSX really has nothing more to go on precision scheduled railroading. So maybe in that context, you guys have head count down roughly in line with attrition this year. I think you're sticking with that. I mean should we be thinking that when we give back to a growth environment, there's still more to go on the cost side? Or can you scale into this new level of cost with a lot more growth? I guess how can you help us on that line?

再次恭喜 Kevin 和 Jamie，實至名歸。所以 Jim，也許先釐清你剛才最後那句話，我這裡有個問題：我想有些投資人非常聚焦在競爭對手那些可能更「光鮮」的「PSR」簡報上，而普遍的想法可能是 CSX 在精準排程鐵路（precision scheduled railroading）方面已經沒有更多可以做的了。所以在那樣的脈絡下，你們今年的人力編制下降大致與自然流失（attrition）一致。我想你們也會維持那樣。我的意思是，我們是否應該認為當我們回到成長環境時，成本端其實還有更多可以做？或者你們能在這個新的成本水準下，隨著更多成長而擴張（scale）？我想你們能否在這點上給我們一些指引？

Well, yes, we don't have good slogans, but we're working on making that -- fixing that whenever we can. What we're doing is, yes, I mean we're responding to a softer environment and are looking for every opportunity we can where we don't impact service or safety. And what we're doing here is that we're building in an enormous amount of operating leverage into this organization. So when the economy, not if, but when the economy begins to turn around and we begin to see a slight uptick and a better environment to work in, we're going to see the impacts of that leverage. And we're not going to -- we have tons -- we have -- like, the way we run the company today has created a tremendous amount of potential growth opportunity for us on the capital side, one, because we've freed up a tremendous amount of capacity because of the way we run the railroad today.

嗯，是的，我們沒有很好的口號，但我們正在努力，能修就修。我們正在做的是：是的，我們在回應較疲弱的環境，並在不影響服務或安全的前提下，尋找我們能找到的每一個機會。而我們在這裡所做的，是在這個組織中建立非常可觀的營運槓桿。所以當經濟——不是如果，而是當經濟開始回升，我們開始看到些微回溫、以及更好的作業環境時，我們就會看到這些槓桿的影響。而且我們不會——我們有大量——我們有——例如，我們今天的營運方式，已經在資本端為我們創造了巨大的潛在成長機會，第一，因為我們透過目前的鐵路營運方式釋放了大量的運能。

And we've said many times, we could probably put 30% growth into the organization without adding any additional capital. And the same is true on the operating side. We've got capacity on our existing trains today where we could put a lot of growth on the railroad incrementally and not have to start adding that expenses. And so both from a cash perspective and an operating perspective, I think we're well positioned to perform well in either direction, either in a soft environment or in a strong environment.

我們已多次表示，我們大概可以在不增加任何額外資本的情況下，讓組織承接約30%的成長。營運端也是同樣道理。以我們現有的列車來看，目前仍有產能，我們可以逐步把大量成長放到鐵路上，而不必開始增加那些費用。因此，無論從現金面或營運面來看，我認為我們都已做好準備，無論環境偏弱或偏強，都能有良好表現。

The next question is from Brian Ossenbeck with JPMorgan.

下一個問題來自摩根大通（JPMorgan）的 Brian Ossenbeck。

First one, just to follow up on the extra capacity theme. Mark, what are you thinking in terms of some of the bigger chunks of truckload conversion? And how have some of the larger shippers or maybe in some of the industries received better service, the better tools, increased visibility? How -- what's your sense as to when you can start to make some of those conversions even at a smaller scale?

第一個問題，想延續一下額外產能的主題。Mark，就一些較大規模的卡車運輸轉鐵路（truckload conversion）而言，你的想法是什麼？一些大型託運人或某些產業，對於更好的服務、更好的工具、能見度提升的反應如何？你怎麼看——你覺得何時能開始推動其中一些轉換，即使是較小規模的轉換？

Brian, we're seeing it today. We're seeing it every day. I would say I'm blessed and my team is blessed. The work that Ed and Jamie and their teams have done, Jamie deserves to be sitting at this table today, and the work that he's done over the last 2.5 years to really give us the service product that my team now has the ability to grow and sell. And we think tap into the truck conversion opportunities that this franchise has never been able to go after in the past is exciting. And so we're seeing those truck conversions today. We're seeing it across the board, all across our merchandise segments. Large things to talk about right now? No, but we're seeing incremental volumes from existing customers day in and day out. We're talking to customers who may be used to -- ship by rail but because of the poor service that they experienced over the last couple of decades, abandoned rail [as a thought] and have been using truck ever since. Those are the kinds of shippers that we're talking to, and we're penetrating that -- those markets and that business and we're being successful.

Brian，我們今天就看到了。我們每天都在看到。我會說我很有福氣、我的團隊也很有福氣。Ed 和 Jamie 以及他們團隊所做的工作，Jamie 今天值得坐在這張桌子旁；他在過去2年半所做的工作，真正讓我們擁有了服務產品，而我的團隊現在有能力去成長並銷售。而且我們認為，能切入這個特許經營（franchise）過去從未能追逐的卡車轉換機會，令人振奮。所以我們今天就看到那些卡車轉換。我們在各個面向都看到了，遍及我們所有的商品（merchandise）業務區隔。現在有什麼大型案子可以談嗎？沒有，但我們每天都從既有客戶那裡看到增量貨量。我們也在和一些客戶溝通——他們可能過去習慣用鐵路運輸，但因為過去幾十年經歷了糟糕的服務，便放棄了鐵路[作為一種選項]，從此一直使用卡車。我們正在接觸的就是這類託運人；我們正在滲透——進入那些市場與業務，而且我們正在取得成功。

Listen. We're also on the technology side, as Jim mentioned in his opening, trip plan compliance is a huge, huge game changer for our customers. They now -- and as we said, we rolled this out for intermodal on October 1, and our merchandise customers will see trip plan compliance visibility December 1 on ShipCSX. This is a game changer for them. They will see every car that they ship on CSX in every lane and our performance against the trip plans. We rolled this out a couple of weeks ago at our customer engagement forum, and I can tell you, customers are excited. So we've got great visibility into their service. No other railroad is doing this. We've got -- we're blessed with the great service that we've got that the operating team has worked very hard to deliver to us. And so right now it's for us to go out and identify that -- those opportunities and convert on them with the new team that I've put in place here over the past week.

聽著。另外在科技端，如 Jim 在開場提到的，行程計畫遵循（trip plan compliance）對我們的客戶而言是非常、非常重大的改變。他們現在——而且如我們所說，我們在10月1日已把這項功能在聯運（intermodal）上線；而我們的商品客戶將在12月1日於 ShipCSX 上看到行程計畫遵循的可視性。這對他們來說是顛覆性的改變。他們將能看到在 CSX 上所運送的每一節車廂（car），涵蓋每一條運輸走廊（lane），以及我們相對於行程計畫的表現。我們在幾週前的客戶互動論壇上推出了這項功能，我可以告訴你，客戶非常興奮。因此，我們對他們的服務有很高的可視性。沒有其他鐵路公司在做這件事。我們也——很有福氣能擁有這麼好的服務，營運團隊非常努力才把這樣的服務交付給我們。所以現在輪到我們走出去，找出那些——那些機會，並用我在過去一週於此建立的新團隊把它們轉化為成果。

Appreciate all the details there. Kevin, maybe a quick housekeeping for you. The other revenue line continues to come down for the reasons you mentioned on the demurrage and the storage. Is this the current run rate that you expect for the rest of this year? And just wondering, as shippers sort of figure out what to do with the new operating models that are being rolled out through the U.S., do you think this stays -- -- demurrage in general, do you think it stays structurally higher as some shippers just use the storage as part of the cost of doing business? Or do you think this eventually goes back to sort of where it was pre-PSR?

感謝你提供這麼多細節。Kevin，可能有個簡單的例行問題。其他收入（other revenue）那一行，基於你提到的滯期費（demurrage）與倉儲（storage）原因，仍在持續下降。這是否是你預期今年剩餘時間的目前運行水準（run rate）？另外想請教，當託運人逐步摸索如何因應在美國各地推行的新營運模式時，你認為這會維持————整體而言，滯期費是否會在結構上維持較高，因為有些託運人只是把倉儲當作營運成本的一部分？還是你認為最終會回到 PSR 推行前的大致水準？

Yes, I think -- look, I think we told you we expected this to come down and it's kind of trended in that direction. In terms of the run rate going forward, somewhere between the second quarter run rate and the third quarter is probably where we land. So -- and that $110 million to $120 million range is probably the new normal unless something dramatically changes from here. I might let Mark talk to the additional opportunities. But look, it's -- I think we expected this in the -- without something meaningfully changing from here, probably at these same run rates.

是的，我想——你看，我想我們告訴過各位我們預期這會下降，而它也確實朝那個方向趨勢發展。就未來的運行水準而言，大概會落在第二季與第三季的運行水準之間。所以——而且除非從現在起發生重大變化，約1.10億到1.20億美元的區間可能就是新的常態。我可能讓 Mark 談談額外的機會。但你看——我想我們原本就預期，在沒有任何實質改變的情況下，大概就會維持在這些相同的運行水準。

The next question comes from Scott Group with Wolfe Research.

下一個問題來自 Wolfe Research 的 Scott Group。

So I want to ask the productivity question maybe a little bit more directly. Do you think you can do another mid-single-digit reduction in head count from here? And then does a 57% OR with revenue down 5% give you more confidence that ultimately, you can run this business, not next year but longer term, at closer to mid-50s OR if you're growing revenue?

我想更直接地問一下生產力的問題。你認為從現在起，還能再做一次中個位數百分比（mid-single-digit）的員工人數縮減嗎？另外，在營收下滑5%的情況下仍做到57%的營運比率（OR），是否讓你更有信心：最終你們能把這門生意——不是明年，而是更長期——在營收成長時，把 OR 跑到更接近50%中段（mid-50s）的水準？

Scott, this is Kevin. Look, I know the focus has been on our head count. I know -- we report head count numbers every quarter. Labor represents roughly 35% of our cost base. There's a lot of other costs to go after as well. We're looking at those. I think you saw great improvement in MS&O, which is a huge cost line item for us. But there's other ways to reduce costs than pure head count reductions. We talked about over time, it's a huge, huge category for us. So we're getting -- there's a lot of other areas for us to go after than just simply head count. But if the volumes continue to be challenging, we'll look for new ways to drive costs down. If we run faster and take down dwell, the assets drop out and the costs go down significantly. So we'll look at every way to go out -- go after these costs.

Scott，我是 Kevin。你看，我知道大家的焦點一直放在我們的員工人數。我知道——我們每季都會揭露員工人數。人力約占我們成本基礎的35%。還有很多其他成本也可以著手。我們正在看那些。我想你也看到 MS&O 有很大的改善，這對我們來說是一個非常重要的成本項目。但降低成本的方法不只有單純裁減人頭。我們談過，長期來看，這對我們而言是一個非常、非常大的類別。所以我們——除了單純的人頭之外，還有很多其他領域可以著手。但如果貨量持續具挑戰性，我們會尋找新的方式來推動成本下降。如果我們跑得更快並降低停留時間（dwell），資產就會退出，成本也會顯著下降。所以我們會用各種方式去——去降低這些成本。

And the OR more broadly?

那更廣泛來看，關於 OR 呢？

Sorry?

抱歉？

And the OR. Scott, again, we're not going to get into 2020. As we've said, we think we have opportunities to continue to improve on the efficiency side. We said that we would improve on efficiency in a good environment and in a bad environment when we started the year, and we've done it. Some people didn't think we could, but we've shown the world that there's no limit to what hard work and ingenuity can produce.

關於 OR。Scott，再次說明，我們不會談2020年的情況。如我們所說，我們認為在效率面仍有持續改善的機會。我們在年初就說過，無論景氣好或壞，我們都會提升效率，而我們也做到了。有些人不認為我們能做到，但我們向全世界證明了：努力工作與創意巧思所能產生的成果沒有上限。

Okay. That's fair. And just, Jim, just one other. It's been a busy 3 months in Washington with rate case proposals and accessorial proposals and a lawsuit from you guys on one-man crews. Maybe just give us a lay of the land as you see it in D.C. And any of the proposals from the Board a real concern? Your thought -- maybe just some color on this lawsuit on the one-person crews, just D.C. Broadly as you see it.

好的。這樣說也合理。另外，Jim，再一個問題。華盛頓這三個月很忙，有關運價案件（rate case）提案、附加費（accessorial）提案，還有你們就單人列車乘務（one-man crews）提出的訴訟。可否就你在華府／D.C. 看到的情勢，給我們一個概覽？董事會（Board）的任何提案是否真的令人擔憂？以及你對這起單人乘務訴訟的看法——就你所見，整體 D.C. 的情況，能否補充一些背景？

Boy, I would not want to -- that's kind of open mic, let you know what my real thoughts are about what's going on in Washington, D.C. So I'll just stick with what's going on at the STB. The STB, after a number of years of not being really fully staffed, is stepping up and taking care of some issues that have been lingering out there for a long time, and I think that they're just doing their job. And they put forward some suggestions which have been kicked around for a long time in terms of is there a way to change, simplify, modify some of the procedural steps that shippers have to go through if they have complaints. And I think the industry, we have thoughts on what they want to talk about and the rest of the industry does as well. And I think we'll work through all of that in due course, and similarly on trying to begin to have some discussions at least about what revenue adequacy might be. That's a long-term process. So I just think that the STB is kind of working -- back to work. And being in a business and an industry that's regulated, you just work with the regulator in due course.

天啊，我可不想——那有點像開放麥克風，讓你們知道我對華盛頓特區正在發生的事情的真實想法。所以我就只談STB這邊的情況。STB在多年來人力編制一直未能真正補齊之後，現在正加緊處理一些已經懸而未決很久的議題，我認為他們只是在做他們的工作。他們也提出了一些建議，這些建議其實已經討論很久了，核心在於：是否有辦法改變、簡化或調整托運人若有申訴時必須走的某些程序步驟。我想我們這個產業對他們想談的內容有一些看法，產業其他公司也一樣。我想我們會在適當的時候把這些事情逐步處理；同樣地，也會嘗試至少開始就「收入充足性（revenue adequacy）」可能是什麼展開一些討論。那是一個長期的過程。所以我只是覺得STB算是在——回到工作狀態。而身處一個受監管的業務與產業，你就會在適當的時候與監管機關合作。

So I'm not freaked out about anything that's going on there. And hey, we're starting -- and your comment about litigation over labor negotiations, we're just now starting a long process to begin the new round of industry-wide bargaining, and everybody starts out trying to posture and get themselves in the right position. And so again, nothing out of the normal course of business there. So I think it's just business as usual, and we'll continue to remain vigilant and active in that area. But I send Nathan to D.C., I try not to go there unless I absolutely have to.

所以我對那邊正在發生的任何事情都不會大驚小怪。還有，你提到勞資談判引發訴訟的評論——我們現在才剛開始一個漫長的流程，準備展開新一輪全產業的集體談判，而一開始大家都會試著擺姿態，讓自己站在有利位置。所以同樣地，這也沒有什麼超出正常營運流程的地方。因此我認為一切就是照常運作，我們也會在這個領域持續保持警覺並積極參與。不過我會派Nathan去華盛頓特區，我自己除非非去不可，否則盡量不去。

The next question comes from Ben Hartford with Baird.

下一個問題來自Baird的Ben Hartford。

Jamie, maybe just some perspective on your view looking into 2020 from an ops perspective. This quarter, good progress on train velocity improvement, but dwell hours were flat. Any specific projects into 2020 that you have on the horizon that you think can really affect change particularly on the dwell hours side? I mean maybe talk us through how you see the next 12 months progressing from an operations point of view.

Jamie，想請你從營運角度談談你對2020年的看法。本季列車速度改善有不錯的進展，但停留（dwell）小時數持平。展望2020年，你們是否有任何具體專案在規劃中，能真正帶來改變，特別是在停留小時數這一塊？也請你談談，從營運觀點來看，未來12個月你預期會如何推進。

Yes, for sure. Thanks for the question, Ben. We -- the operating team is completely focused on controlling costs, but providing the best service, as Mark mentioned. And not only providing the best service, but doing it safely. So as we continue to assess the market conditions and making sure that we're nimble enough to make the moves that we need to heading into the next quarters, we're getting out there as an operating team, I've been able to work really close with the guys over the last couple of years and developed a fantastic team of railroaders out there.

是的，當然。謝謝你的問題，Ben。我們——營運團隊完全聚焦在控制成本，同時提供最佳服務，如Mark所提到的。而且不只是提供最佳服務，還要安全地做到。因此，當我們持續評估市場狀況，並確保我們足夠靈活、能在接下來幾季做出必要調整時，我們作為營運團隊也會走到第一線；過去幾年我能和現場的夥伴密切合作，建立了一支非常出色的鐵路人團隊。

And to your point, dwell is one of those metrics that isn't where we want it to be, particularly on the network side of dwell. And that comes along with car hire, and car hire is a big expense that we want to continue to work towards going into the next few quarters and just getting out in the field, being out there, traveling with the guys. I've spent the past couple of years really performing most of my work or a lot of my work here in the network center with the team. Now we're kind of spreading our wings and getting out there and working with those -- the operating guys in the ground and making sure that the team is taking a look at every opportunity we have out there to continue to bring those costs where they need to be. But ultimately, this is about providing the best service we can and giving our marketing team a product that they can go out there and continue to sell while we continue to drop those costs.

就你提到的，停留（dwell）是其中一項指標，目前還沒達到我們想要的水準，特別是網路端的停留。而這也會連動到車輛租用費（car hire）；車輛租用費是一項我們希望在未來幾季持續努力降低的大額費用，因此我們會更多走到現場、在外奔走、和夥伴一起出差。過去幾年我大多數——或相當多的工作——其實是在這裡的網路中心和團隊一起完成。現在我們算是展開翅膀，走出去，和那些——地面上的營運同仁一起工作，確保團隊檢視我們在外部每一個可以把成本降到應有水準的機會。但歸根結底，這是要提供我們能做到的最佳服務，並給行銷團隊一個他們可以拿去持續銷售的產品，同時我們也持續把成本降下來。

Any notable projects on the immediate horizon? Or is this going to be kind of iterative from here forward?

近期有什麼值得注意的專案嗎？還是說接下來會比較偏向持續迭代式的改善？

Look, there's a lot of projects out there with respect to getting out, as I mentioned, getting out in the ground and trying every -- minimum every 2 weeks, taking a team out, flying into different terminals. Last week, we made a trip over to St. Louis unannounced, sat down with the operating team and came up with some ideas on how we can move cars quicker, faster and reduce head count. So those opportunities are what we're going to continue to push and drive forward. The senior vice presidents, both Bob Frulla and Brian Barr, are traveling with me out there, and we're finding the external talent we have -- sorry, internal talent we have within our company and moving boxcar as quick as we can and most efficient. That's really what we're going to continue to do, pushing forward with the assets.

你看，確實有很多專案；就像我提到的，我們會走到現場，至少每兩週就帶一個團隊出去一次，飛到不同的場站（terminals）。上週我們未事先通知就去了聖路易斯，和營運團隊坐下來，想出一些點子，看看如何讓車輛移動得更快、更迅速，並降低人力編制。所以這些機會就是我們接下來會持續推動、持續往前驅動的重點。資深副總裁Bob Frulla和Brian Barr都跟我一起在外奔走；我們也在公司內部發掘——抱歉，是內部人才——並以最快、最有效率的方式推動箱型車（boxcar）的移動。這就是我們會持續做的事，持續推進資產運用。

Justin Long with Stephens.

Stephens的Justin Long。

Congrats on the quarter. Jim, you mentioned the industrial environment and your view that things really haven't changed relative to your expectations last quarter. But could you comment on what you're expecting on the retail side of the equation? And just curious to get any updated thoughts around peak season and maybe what intermodal volumes could look like once we lap all the rationalizations and start to see more normalized numbers in 2020?

恭喜本季表現。Jim，你提到工業環境，以及你認為相較於上季你的預期，情況其實沒有改變太多。但你能否談談你對零售端這一塊的預期？另外也想請教你對旺季的最新看法，以及一旦我們跨過所有理性化調整（rationalizations）的比較基期、在2020年開始看到更正常化的數字後，聯運（intermodal）量可能會是什麼樣子？

Yes, sure, Justin. And again, one of the reasons -- one of the issues we've been struggling with throughout the year is the fact that everything, whether it's the stock market, whether it's interest rates, whether it's all of these consumer-driven sides of the economy, were all doing so well. And we saw very early in the year that the industrial economy was separating and was not performing very well at all. And so last quarter when I said this was confusing, I think we had a pretty good sense of where things were going, and it's proving out as we move through the second half.

好的，當然可以，Justin。再說一次，我們今年一路以來——其中一個原因、其中一個讓我們困擾的點——是因為不管是股市、不管是利率，或是這些由消費者驅動的經濟面向，都表現得非常好。而我們在年初很早就看到，工業經濟正在分離出來，而且表現其實很不好。所以上一季我說這很令人困惑時，我想我們其實對事情的走向已經有相當不錯的掌握，而隨著我們進入下半年，情況也正在印證我們的判斷。

With that, I'll let Mark, who's totally on top of intermodal and what -- whether or not we're going to have a peak or not, to answer your other question.

接下來我讓Mark來回答你另一個問題；他對聯運業務非常熟悉，也最清楚我們到底會不會有旺季。

Justin, yes, I mean our expectations for peak are somewhat muted this year. I think we'll see a little bit of a bump, but not the traditional ball peak. And stuff is still coming into the -- sort of the consumer economy is still doing relatively well. So the apparel and the toys and the plastic Christmas trees and stuff are coming -- still coming in. But as we all know, intermodal carries a lot more than just that kind of stuff. They carry a lot of stuff that goes into the industrial economy: machinery and auto parts and a whole bunch of other stuff. So because of the economy -- the industrial economy, being soft and IDP being so weak, yes, it's affected a lot of the intermodal volumes.

Justin，是的，我們對今年旺季的預期相對保守一些。我想會看到一點點回升，但不會是傳統意義上的大旺季。而貨物仍在進來——也就是說，消費端經濟整體仍相對表現不錯。所以服飾、玩具、塑膠聖誕樹之類的東西仍在——仍在進口。但如大家所知，聯運承載的不只是這類商品。它也承載很多進入工業經濟的貨物：機械、汽車零件，以及一大堆其他東西。因此，由於經濟——工業經濟偏弱、IDP非常疲弱，確實影響了不少聯運量。

Fourth quarter, because of the economy and because of the consumer economy, we're hoping to have a relatively good post-Thanksgiving holiday peak, so into the Christmas time frame. Hopefully, people order a lot of stuff online, and we have the pleasure and the honor of moving a lot of that stuff.

第四季，基於整體經濟以及消費端經濟的狀況，我們希望在感恩節之後能有一個相對不錯的假期旺季，也就是一路延續到聖誕節那段期間。希望大家多在網路上下單，而我們也有幸、有榮幸能運送其中很多貨物。

So I think that'll help our intermodal volumes this quarter. But going into next year, as we said, we're not going to give you a lot of guidance there, but it really depends on what's driving the economy and where we are. But longer term, as we get through all these lane rationalizations and get through all this mess, in a good, solid economy, I would expect intermodal to do very well.

所以我認為這將有助於我們本季的聯運運量。但展望明年，如同我們所說，我們不會在這方面給出太多指引，因為這確實取決於推動經濟的因素以及我們所處的位置。但從長期來看，當我們完成所有這些路線精簡、走出這一團亂局之後，在一個良好且穩健的經濟環境下，我預期聯運會表現得非常好。

Okay. Great. And maybe as a quick follow-up for Kevin, gains on sale, there was a step-up relative to what we saw in the first half on just the quarterly run rate. Could you talk about what you're expecting from a gains on sale perspective in the fourth quarter? And then any early read on what we should be looking at in 2020?

好的。很好。另外也許快速追問 Kevin 一下，出售收益（gains on sale）相較於我們在上半年看到的水準，就單季的運行率而言是有所上升。你能談談你對第四季出售收益的預期嗎？以及對 2020 年我們應該關注什麼，有沒有任何初步看法？

Yes, I mean the $65 million was a little bit above the normal run rate that you've seen historically. I would expect something well below that in the fourth quarter, something more on the normalized range, in that mid-20s, low 20s range for the fourth quarter. We'll wait -- we'll hold off on 2020 to go through. We still have a great pipeline. Timing is always difficult to predict on when those transactions will hit, but I know Mark and his team continue to see a really good pipeline going forward.

是的，我的意思是，6,500 萬美元確實略高於你們過去歷史上看到的正常運行率。我預期第四季會遠低於這個水準，更接近常態區間，大約在 2,000 多萬到 2,500 萬美元、低 2,000 多萬美元的區間。至於 2020 年，我們先暫時不談，等我們走完相關流程再說。我們仍然有很好的案源（pipeline）。交易何時入帳的時點一向難以預測，但我知道 Mark 和他的團隊持續看到未來有非常不錯的案源。

Jordan Alliger with Goldman Sachs.

高盛（Goldman Sachs）的 Jordan Alliger。

Just a real quick question. I know it may be tough because of the demarketing of the lanes in intermodal. But I'm just curious, when you look at domestic versus the international intermodal, can you give a little color on both those pieces of business, relative order of magnitude, weakness or thereabouts?

我有個很快的問題。我知道由於聯運路線的去行銷（demarketing），可能會很難回答。但我只是好奇，當你們看國內聯運與國際聯運時，能否就這兩塊業務提供一些補充說明，例如相對規模、疲弱程度或其他情況？

Our international business has been stronger than the domestic business. So the domestic -- as I talked about just a minute ago, the domestic business has been impacted by a number of factors. The economy is certainly one of them. But I think clearly, a lot of capacity. We saw a very tight truck capacity last year. Clearly, a lot of new trucks came into the market. A lot of new drivers opened up a lot of additional capacity. And so I think intermodal has been competing with that truck capacity this year. Prices obviously -- I mean the truck spot prices have come down since -- from last year. They're still above sort of the 5-year average. But clearly, prices have come down. So I think the domestic business, while good, has just been soft and -- but our international business is still relatively okay.

我們的國際業務一直比國內業務更強。所以國內方面——如同我剛才提到的，國內業務受到多項因素影響。經濟當然是其中之一。但我認為很明顯的是，市場上有大量運能。我們去年看到卡車運能非常吃緊。很明顯地，市場上新增了很多新卡車。很多新司機也帶來了大量額外運能。因此我認為今年聯運一直在與這些卡車運能競爭。價格方面——我的意思是，卡車現貨價格自去年以來已經下滑。它們仍高於大約 5 年平均。但很明顯，價格已經下來了。所以我認為國內業務雖然不錯，但就是偏疲弱；不過我們的國際業務仍相對還可以。

Just a real quick follow-up, just for perspective. Do you have a sense for what proportion is just international versus domestic of the total carloads or revenue in the intermodal?

再很快追問一下，作為參考。你們是否掌握在聯運總車皮量或營收中，國際與國內各自大概占比多少？

Yes, it's about 50-50. It's about 50-50.

是的，大約各占一半。大約是 50-50。

Next question is from Fadi Chamoun.

下一個問題來自 Fadi Chamoun。

I always say 40%. So actually, it's a useful answer in the future.

我一向都說 40%。所以其實這個答案對我以後很有用。

Perfect.

完美。

Next is Fadi Chamoun with BMO Capital Markets.

下一位是 BMO 資本市場（BMO Capital Markets）的 Fadi Chamoun。

Just to follow up on this intermodal conversation. Maybe, one, I mean your service product is obviously getting a lot better and the network is highly efficient. And correct me if I'm wrong, in intermodal, you tend to have less capital intensity as far as how you run the business. Is there over the medium term given the truck opportunity a potential to reinvest kind of OR to accelerate growth? Or you don't think that's a needed strategy to grow intermodal?

延續剛才的聯運討論再追問一下。也許第一點，你們的服務產品顯然改善很多，網路也高度有效率。如果我沒理解錯，在聯運方面，就你們經營方式而言，資本密集度通常較低。那麼在中期來看，考量卡車市場的機會，是否有可能重新投入資本，例如在營運比率（OR）上做再投資以加速成長？或者你們不認為那是成長聯運所需要的策略？

Well, Fadi, it's Mark. This company has spent a lot of capital dollars over this year -- over the past decade or so to grow intermodal volumes, and it was not very successful. And so today, we have -- we've spent the last 1.5 years, 2 years reengineering the traditional hub and spoke intermodal franchise that was built over the past little while. So to answer your question, no, I don't believe and I don't think we believe that we need to spend any significant capital dollars to continue to grow our intermodal franchise.

嗯，Fadi，我是 Mark。這家公司在今年——更準確地說，在過去十年左右——投入了大量資本支出來成長聯運運量，但成效並不理想。因此今天，我們在過去 1.5 年到 2 年間，一直在重新設計（reengineering）這個在過去一段時間建立起來的傳統樞紐—輻射（hub and spoke）聯運體系。所以回答你的問題：不，我不相信、我們也不認為需要再投入任何重大的資本支出，就能持續成長我們的聯運業務。

The team's focus right now is about taking touches out of the system. As you know, the more you touch and handle an intermodal container, your costs go up and the profitability goes down. And so we're focused on streamlining that business and getting it as efficient as possible and bringing on additional capacity. Well we've got ample capacity now to grow intermodal. And when the volumes will return, to Jim's point, the economy will turnaround. And when intermodal volumes do come back, we have ample capacity in the network now without spending any additional capital to move that product.

團隊目前的重點是減少系統中的「接觸點」（touches）。如你所知，聯運貨櫃被觸碰與搬運得越多，成本就越高、獲利能力就越低。因此我們專注於精簡這項業務，使其盡可能有效率，並導入額外運能。不過我們現在已經有充足的運能來成長聯運。而運量何時回來，正如 Jim 所說，經濟會回升。當聯運運量回來時，我們目前的網路已有充足運能，無需再投入任何額外資本，就能承運這些貨量。

Okay. And just also a follow-up on the previous question. So if contract rates -- truckload contract rates stay flat or slightly down in the next 12 months, can you still grow domestic intermodal in the environment?

好的。另外也追問一下前一個問題。如果未來 12 個月卡車整車（truckload）合約運價持平或小幅下滑，在這樣的環境下你們仍能成長國內聯運嗎？

Well, our -- the majority of our Intermodal business is locked up in long-term contracts, Fadi. So we don't have any short-term opportunities to reprice a lot of the business. So again, a lot of the focus has been on the cost side and the efficiency side. But clearly, as the economy comes back and we handle more intermodal business and are handling it in a more efficient way, yes, I mean we'll -- we can grow the business that way.

嗯，Fadi，我們的聯運業務大多數都已透過長期合約鎖定。因此我們沒有太多短期機會去重新訂價大量業務。所以同樣地，很多重點一直放在成本端與效率端。但很明顯地，當經濟回升、我們承接更多聯運業務，且以更有效率的方式處理時，是的，我的意思是——我們可以透過這種方式成長業務。

The next question comes from Ravi Shanker with Morgan Stanley.

下一個問題來自摩根士丹利（Morgan Stanley）的 Ravi Shanker。

Just a clarification. At the start of the call, Jim, I think you said something along the lines of 5% rationalization in lanes. Can you just clarify that a little bit? Is this more intermodal lane rationalization in 2020? Is this what's left over from 2019 ones? What exactly were you implying?

我想釐清一下。在電話會議一開始，Jim，我想你提到類似「路線精簡 5%」之類的說法。你能再澄清一下嗎？這是指 2020 年還會有更多聯運路線精簡嗎？還是指 2019 年精簡後剩下的部分？你具體想表達的是什麼？

Ravi, it's Mark. Let me be clear and just so everybody has all the facts here. January of 2018, we began the rationalization of about 7% of the franchise. Last October, October 1 of last year, we took out an additional 3%, rationalized additional 3% of the lanes and then in January of this year, we did another 5%. And so we, to Jim's earlier comment, we will be lapping in the fourth quarter the 3% rationalization that we took out last year. And then in January, we'll be -- the lane rationalizations will be completely behind us.

Ravi，我是 Mark。我把話說清楚，讓大家都掌握完整事實。2018 年 1 月，我們開始精簡約 7% 的業務版圖（franchise）。去年 10 月，也就是去年 10 月 1 日，我們又再精簡了額外 3%，也就是再精簡 3% 的路線；接著在今年 1 月，我們又做了另外 5%。因此，呼應 Jim 先前的評論，我們在第四季將會與去年所精簡的 3% 形成同比基期（lapping）。而到 1 月時，路線精簡將會完全成為過去式。

Got it. So no more rationalizations in 2020?

了解。所以 2020 年不再找藉口了？

No.

對。

Okay. And just as a follow-up, thanks for the color on the export coal pricing and the quarterly reset into next quarter. I think in the past you guys have said that you have take or pays in the export coal business to a certain extent until your contracts renew. Is that, again, the same quarterly cadence you're talking about? Or is that more of an annual thing? And kind of did that have any impact in 3Q?

好的。另外追問一下，謝謝你們補充出口煤定價以及按季重設到下一季的細節。我記得過去你們曾提到，在出口煤業務上，在合約續約前你們在一定程度上有 take-or-pay（照付不議）條款。那這同樣是你剛提到的按季節奏嗎？還是比較偏年度的？另外，這在第三季有造成任何影響嗎？

No, both -- Ravi, both on the thermal side and on the met side, we have built into the contracts, contract minimums. So as I mentioned I think in Q2, given the weakness in API2 and everything that was going on globally with thermal coal, we're experiencing a slowdown in volumes and we saw our customers shipping at their contract minimums, that has not changed given the continued weakness in export coal benchmarks. I will say, and something that hasn't come up, we still expect our export coal volumes to hit sort of the 39 million to 40 million ton range for the year. Last year, we did about 43 million tons. But even with everything that's going on, we still expect to be between 39 million and 40 million this year.

沒有，Ravi，無論是動力煤端還是冶金煤端，我們都在合約中納入了合約最低量。所以如我在第二季提到的，鑑於 API2 走弱以及全球動力煤市場的各種情況，我們的量出現放緩，我們看到客戶以合約最低量出貨；在出口煤基準持續疲弱的情況下，這點沒有改變。我也補充一點（先前沒提到的）：我們仍預期今年出口煤量大致會落在 3,900 萬到 4,000 萬噸的區間。去年我們約 4,300 萬噸。但即便在目前這些情況下，我們仍預期今年會在 3,900 萬到 4,000 萬噸之間。

And Ravi, just to clarify, we didn't have any liquidated damages in the third quarter.

另外 Ravi，澄清一下，我們第三季沒有任何違約金（liquidated damages）。

Correct.

正確。

Understood. You articulated much better than I did in terms of the minimum volume shipped. So Mark, just to kind of -- I know you guys are not talking about 2020, but if the benchmark were to stay at current levels, you would expect that 40 million to be lower next year once the minimum shipment levels reset?

了解。你用「最低出貨量」的說法比我表達得清楚多了。那 Mark，我想再問一下——我知道你們不談 2020 年，但如果基準價格維持在目前水準，你會預期明年這個 4,000 萬噸會更低，因為最低出貨量水準會重設嗎？

If I could only predict what's going to happen to things that are completely out of my control, met benchmarks and API2s and -- I don't have a clue. I don't have a clue what's going to happen to the economy and I don't have a clue what's going to happen to export benchmarks. So I get on my hands and knees every night and pray. But clearly, yes, it's a headwind right now.

如果我能預測那些完全不在我掌控之內的事情——冶金煤基準、API2 等等——我也不知道。我不知道經濟會怎麼走，也不知道出口基準會怎麼走。所以我每天晚上都跪著祈禱。但很明顯，是的，這目前確實是個逆風。

You and me both, Mark. That's understandable.

我也是，Mark。可以理解。

Bascome Majors with Susquehanna Financial Group.

Susquehanna Financial Group 的 Bascome Majors。

Kevin, now that you're firmly in the CFO seat, can you share your priorities for the finance organization, be it balance sheet management, capital deployment? And over the next 2, 3 years, what could change and what definitely won't?

Kevin，既然你已經正式坐上 CFO 的位置，能否分享你對財務組織的優先事項，例如資產負債表管理、資本配置？未來 2 到 3 年，哪些可能會改變、哪些肯定不會？

Thank you for the question. My priority is cash. I think when we look across the organization, and I was talking to my team last week, sometimes we prioritized OE over capital, and I think we have a lot of ability to look at our capital spend and focus there and make that a lot more efficient. There's opportunities. Jamie and I now sit right across from each other. We're talking every day about -- and sharing information about where we see the opportunities, whether it's over time, like we mentioned time and time again, that was a new initiative, and he's working closer and closer with all the people in finance and just to uncover those opportunities.

謝謝你的問題。我的優先事項是現金。我認為當我們檢視整個組織時——我上週也跟團隊談到——有時我們把 OE（營運效率）放在資本之前；我覺得我們很有能力重新檢視資本支出，把重點放在那裡，並讓它更有效率。機會很多。Jamie 和我現在就坐在彼此對面。我們每天都在討論並分享我們看到的機會——不論是隨時間推進（就像我們一再提到的那樣），那是一個新倡議；他也正與財務部門的所有人合作得越來越緊密，以挖掘這些機會。

There's opportunities everywhere. There's small buckets that can add up to a lot of dollars over time. But that's my priority is really looking at particularly just the return on capital. If there's really high-return projects out there that we can invest in, we generate a lot of cash flow today, I would love nothing better for my organization to come with me with 20%-plus return projects that we can invest in our business to drive value over time. That's really where I'm focused on the next few months. Procurement also has been my area, and I know that, that group is doing a great job of finding additional cost savings from our suppliers, working with them. But we're not afraid of investing in the business going forward.

到處都有機會。有很多小項目，長期累積起來可以省下很多錢。但我的優先事項，確實是特別去看資本報酬率。如果有真正高報酬的專案可以投資——我們今天產生很多現金流——我最希望的是我的團隊能帶著 20% 以上報酬率的專案來，讓我們投資在業務上，長期創造價值。這是我接下來幾個月的重點。採購也一直是我負責的領域；我知道那個團隊在與供應商合作、尋找額外成本節省方面做得很好。但我們也不害怕在未來投資這個業務。

David Vernon from Bernstein.

Bernstein 的 David Vernon。

So Mark, I wanted to ask you the export coal question a little bit differently. If you think about 2Q to 3Q, did we see any weakness in the rates you guys were getting on the export shipments that you still retained? Or any sort of increase or decrease, just to kind of how that has moved? And just wondering kind of what percentage of the tonnage you guys are moving right now is hedged at prices from earlier in the year?

Mark，我想用稍微不同的方式問出口煤的問題。如果看第二季到第三季，我們是否看到你們仍保留的出口出貨，其運價/費率有任何走弱？或是有任何上升或下降，想了解一下變化情況。另外也想問，目前你們正在運輸的噸數中，大約有多少比例是以年初較早時點的價格做了避險？

Well, again, on the thermal side, these contracts -- our annual contracts for this year, they were negotiated late last year, early into 2019. So those -- well, they were set at -- they're tied to the benchmarks, and the benchmark for API2 was a lot higher at the beginning of the year, late last year. On the met side, as I said, they get repriced quarterly, most of them. Some of them are monthly, but the majority are quarterly. And as I said, in Q2, the benchmark prices was over $200. Q3, it fell to $160-ish. And so we're going to feel that impact heading into Q4.

嗯，再次說明，在動力煤端，這些合約——我們今年的年度合約——是在去年底到 2019 年初談定的。所以那些——嗯，它們是與基準連動的，而 API2 的基準在今年初、去年底時高得多。在冶金煤端，如我所說，多數是按季重新定價。有些是按月，但大多數是按季。如我所說，第二季基準價格在每噸 200 美元以上。第三季跌到約 160 美元。因此我們在進入第四季時會感受到那個影響。

But have -- did we see that from 2Q to 3Q? Or is this going to be showing up in 4Q?

但——我們在第二季到第三季之間就看到了嗎？還是會在第四季才反映出來？

No. We saw it -- on thermal on the volumes in Q3, and we saw it in volumes in met well.

有。動力煤方面我們在第三季的量看到了；冶金煤的量也看到了。

But not in the rate there, right?

但費率沒有變，對吧？

We saw some [impact on the rate].

我們看到一些[對費率的影響]。

Yes, yes, certainly.

是的，是的，當然。

At the beginning of the process where we're -- because of the lag, it's just the beginning of the process. And yes, we'll see more of it as we go into the fourth quarter and next year.

在我們——因為有滯後效應——這只是影響開始顯現的初期。是的，進入第四季以及明年，我們會看到更多。

The rates were set -- for thermal, the rates were set, and really it's been a volume play.

動力煤方面，費率是已經訂好的，實際上主要是量的問題。

Okay. And maybe just on the petroleum products business, can you give us a sense for what you're running right now in terms of the split between crude and NGLs? And for the crude shipments, kind of is this mostly Bakken origination coming into the East Coast? Like, what -- give us some idea of what the flow is on the crude that's still in the business?

好的。另外在石油產品業務上，你能否讓我們了解一下你們目前原油與 NGLs（天然氣液）的大致占比？至於原油運輸，這主要是從巴肯（Bakken）起運到東岸嗎？也就是說——請給我們一些概念，現在業務裡仍在運作的原油流向大概是什麼樣子？

Yes, I don't want to speak too specifically because others are listening, but we're moving crude today mostly from the Bakken. We've had, obviously, with the refinery explosion, and we've seen some slowdown there which has impacted us for the remainder of the year. But it's probably as much as I want to go. We -- I should mention, both on coal and on all the crude business, we brought in Adam, who's our new VP of Energy. He's taken a fresh look at all these portfolios and tasked with figuring this all in for us. Clearly, these are interesting commodities to manage, but Adam's a very, very smart guy and he's doing a great job looking at different things to help us out longer term. So look forward to updating everyone on the future on that.

是的，我不想講得太具體，因為其他人正在聽，但我們今天運送的原油主要來自巴肯（Bakken）。顯然，因為煉油廠爆炸事件，我們也看到那邊有些放緩，這在今年剩餘時間對我們造成了影響。不過我大概就說到這裡。我們——我應該提到，無論是煤炭還是所有原油業務，我們都引進了 Adam，他是我們新任能源事業副總裁。他以全新角度檢視這些投資組合，並負責把這些因素納入考量、替我們梳理清楚。很明顯，這些都是很有意思、也需要管理的商品，但 Adam 非常、非常聰明，他在檢視不同面向、協助我們長期改善方面做得非常出色。所以也期待未來再向各位更新相關進展。

Any split on the crude versus NGL?

原油和 NGL（天然氣液）之間有沒有拆分比例？

No, I don't want to get into that, not right now. We're not -- we won't [step down for it].

不，我現在不想談那個。我們不——我們不會[為此退讓]。

The last question today comes from Walter Spracklin with RBC Capital Markets.

今天最後一個問題來自 RBC Capital Markets 的 Walter Spracklin。

Jim, you made reference to some technological innovations that you might or are currently looking toward implementing. I know there's at least one other rail that's investing significantly in those technologies. How much would you say, and maybe this is a better question for Kevin, how much of your current CapEx envelope is dedicated to, let's call it, these pure technological innovation-type of projects? And what's your strategy there? Is it more to see what others develop and then if it works, we'll devote dollars to it? Or would you see yourselves adding more incremental dollars to your capital envelope to look for these technological innovation opportunities?

Jim，你提到一些你們可能或目前正在考慮導入的技術創新。我知道至少還有另一家鐵路公司正在大幅投資這些技術。你會怎麼說——也許這個問題更適合問 Kevin——你們目前的資本支出（CapEx）額度中，有多少是投入在我們姑且稱之為「純技術創新」類型的專案？你們的策略是什麼？是比較偏向先看別人開發什麼，等證明可行後再投入資金？還是你們會考慮在資本支出額度中再額外增加增量資金，去尋找這些技術創新機會？

Yes, Walter, thanks for asking the question. Right now our --you asked a bunch of questions. I'll try to answer them all. What we spend today out of the total amount is a very small amount, but it has a meaningful impact on what we do. In many respects, historically speaking, the rail industry, and CSX being no differently, we were kind of beholden to the supplier to come up with new ideas and new technology. I think now we work more collaboratively with the way to do things. And we talk amongst ourselves in the rail industry about what works and what doesn't work and how we can do things more effectively and efficiently and leverage technology, and technology is changing all the time. So clearly, new opportunities for us. So it probably -- number one, probably should and therefore probably will, that dollar amount that we spend on technology to help us run the railroad more efficiently will become bigger. But clearly, it's never going to get to the point where it's equal to what we spend on rail.

是的，Walter，謝謝你提這個問題。你剛剛問了好幾個問題。我會盡量全部回答。就我們目前在總額中投入的金額而言，占比非常小，但對我們的工作有實質影響。在很多方面，從歷史來看，鐵路產業——CSX 也不例外——我們某種程度上一直依賴供應商提出新點子與新技術。我認為現在我們更傾向以協作方式來推動做事的方法。我們也會在鐵路產業內部彼此交流，討論什麼有效、什麼無效，以及如何更有效率、更有效能地做事並運用科技，而科技也一直在變化。所以對我們而言，顯然有新的機會。因此第一點，這筆用於科技、用來讓我們更有效率地營運鐵路的支出金額，應該、也很可能會變得更大。但很明顯，它永遠不會大到與我們在鐵路本體上的支出相當。

So -- and we're all over everything, whether it's automated, artificial intelligence to help us do dispatching; using more and more technology in our locomotives, not just PTC, but other technologies that's available out there to help us do things more effectively and efficiently. I mean just this little amount, we've got 3 of these cars that are out there running around the railroad doing constant inspection of our rail and the subsystem and everything else. We've seen a big improvement in reducing our slow orders, our incidence of rail breakage, all of this because we catch it earlier than we would have if -- when we weren't doing as much. So we're leveraging the heck out of that as much as we can, and we're going to add more again next year and next year and next year and next year because it's hard to put a dollar value on what can happen if you have a big derailment associated with a rail break if you knew you had a railcar out there that could have found it before that happened. So we're all over it and we're going to continue to do that, and I would say, it will be in the -- it will creep up over time.

所以——我們幾乎什麼都在看，不管是自動化、用人工智慧協助我們做調度；在機車上使用越來越多的技術，不只是 PTC（正向列車控制），還有其他市面上可用的技術，來幫助我們更有效率、更有效能地做事。我的意思是，就這麼一小筆投入，我們已經有 3 輛車在鐵路線上到處跑，持續不斷地檢查我們的軌道、子系統以及其他一切。我們看到很大的改善：慢行命令（slow orders）減少、鋼軌斷裂發生率下降等等，因為我們比以前更早發現問題——如果我們沒有做這麼多，就不會那麼早抓到。所以我們會盡可能充分利用這些工具，而且明年、後年、再後年都會持續增加，因為很難用金額去衡量：如果你知道有一輛檢測車本來可以在事故發生前就找出問題，那麼一場因鋼軌斷裂導致的大型出軌事故可能造成的損失會是什麼。所以我們非常積極投入，並會持續這麼做；我會說，這部分占比會——會隨時間慢慢上升。

Looking at way out, is there anything -- and maybe, Jamie, you might have seen something that hasn't crossed Jim's desk yet, is there anything way on the horizon conceptual that if implemented, really could hit the ball out of the park here in terms of those type of disruptive technologies?

從更長遠來看，有沒有什麼——也許 Jamie，你可能看到一些還沒到 Jim 桌上的東西——在地平線上、概念層面的東西，如果能落地實施，真的能在這類顛覆性技術方面帶來巨大突破？

Look, no, I think a lot of the technology that we're on to, the only thing that I would really mention on top of those are train inspection portals. Not only are we looking at the track, we're also making sure that we X-ray vision and take camera footage of cars going by through inspection portals. But we've got a very strong IT development department within CSX, probably one of the most impressive I've seen in the industry. We are developing some yard intelligence, crew intelligence. The crew intelligence is really something that I truly believe, as we've been working on it for about a year now, almost done that project, that's going to allow us to look 12 to 24 hours in advance to make sure that our crews are lined up where they need to be and in position where they need to be.

你看，沒有，我認為我們正在推進的很多技術——我唯一想在上述之外特別提的，是列車檢測門架（train inspection portals）。我們不只看軌道，我們也透過檢測門架，對通過的車輛進行「X 光視覺」檢測並拍攝影像。不過 CSX 內部有一個非常強的 IT 開發部門，可能是我在這個產業裡見過最令人印象深刻的之一。我們正在開發一些場站智慧（yard intelligence）、乘務智慧（crew intelligence）。乘務智慧這件事，我真的相信——我們已經做了大約一年，這個專案也快完成了——它將讓我們能提前 12 到 24 小時檢視，確保我們的乘務人員在需要的地方就位、在需要的位置待命。

So as much as we balance the railroad, you've still got to worry about availability, and that crew intelligence and some of the yard intelligence that our team is working on here at CSX is going to really help us carry forward.

所以即使我們在平衡整個鐵路運作，你仍然必須關注可用性，而這套乘務智慧以及我們 CSX 團隊正在做的一些場站智慧，將會真正幫助我們持續向前推進。

I will turn the call back over to the speakers.

我把電話會議交回給發言人。

Thank you, everyone, for joining. I believe that concludes our call for today.

感謝各位參與。我相信今天的電話會議到此結束。

This concludes today's teleconference. Thank you for your participation in today's call, and you may disconnect your lines.

今天的電話會議到此結束。感謝各位參與今天的會議，您現在可以掛線。