CSX approves $2 billion buyback program; raises dividend 20%

[zardoz]

SAN FRANCISCO (MarketWatch) -- CSX Corp. (CSX) said Wednesday it has authorized the buyback of $2 billion of its common shares. The repurchase program is expected to be completed by the end of 2008, the Jacksonville, Fla.-based railroad and container transport company said. In addition, CSX said it has increased its quarterly dividend 20% to 12 cents a share. The dividend is payable on March 15 to shareholders of record as of March 1, the company said.

http://www.marketwatch.com/news/story/csx-approves-2-bln-buyback/story.aspx?guid=%7B35D72DAF%2D57BC%2D44A5%2D97FF%2DEA86CE3A02B5%7D

 

Perhaps it is a trend:

SAN FRANCISCO (MarketWatch) -- Union Pacific Corp. on Tuesday said its board has voted to authorize buying back of up to 20 million shares by the end of 2009. The board has also increased the quarterly dividend 17% to 35 cents per share. The transportation company said the dividend is payable April 2 to shareholders as of Feb. 28.

http://www.marketwatch.com/news/story/union-pacific-board-oks-buyback/story.aspx?guid=%7BB939F121%2D4F3B%2D46FB%2D9047%2D89AD9D823BDB%7D

[edbenton]

Maybe especally CSX should put 2 billion bucks into their RR instead of buying back shares instead.  UP could also do the same thing these 2 RR are on the lower end of earning the cost of capitol and need to improve and raising the dividend will not do that making improvements to the RR in motive power, capicity improvements and also manpower would do that.