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Con-way Lowers Fourth-Quarter Guidance
Transportation firm Con-way Inc. late Wednesday lowered its fourth-quarter 2006 earnings guidance due to a projected tonnage decline.
The company said its income from continuing operations would be between 72 and 76 cents a share, down from previous guidance of 81 to 87 cents.The lowered guidance reflects a “projected tonnage decline in the high single digits at Con-way Freight, the company’s less-than truckload operating unit, which is slightly more than the earlier guidance,” the company said.The period compares to an exceptionally strong 2005 fourth quarter which posted a record tonnage gain, it added.Other factors included a reduction of $3.5 million, or 4 cents per share, due to higher than anticipated costs for vehicular casualty insurance expense in the quarter, and $1.5 million, or 2 cents a share, for a curtailment charge related to changes in the company’s pension plan.Con-way is ranked No. 6 on the Transport Topics 100 list of the largest U.S. and Canadian trucking companies.
