Horizon Lines Loses $10 Million In 1Q

CHARLOTTE, N.C. (AP) — Shipping, trucking, and logistics firm Horizon Lines Inc. said on Friday it lost $10 million during its first quarter on a combination of volume declines and antitrust legal expenses.

The loss of 33 cents per share for the quarter that ended March 22 compared with a profit of $726,000, or 2 cents per share, during the same period last year. Revenue fell almost 11 percent to $272.4 million, from $305.9 million a year ago.

The loss would have been $4.7 million, or 15 cents per share, after adjusting for antitrust legal expenses and a restructuring charge.

Chuck Raymond, the company's chairman, president, and chief executive, said volume declines were worse than the usual seasonal drop-off during the quarter "due to the continued sharp slowdown of our Hawaii market, ongoing economic stagnation in Puerto Rico, and a severe winter in Alaska." He said that was partially offset by revenue per container rates increased 3.3 percent, not counting fuel expenses.

The company said there are too many uncertainties to give specific 2009 financial guidance, but it said it expects earnings before interest, taxes, depreciation and amortization to be slightly below its 2008 results. It said it would revisit guidance at the end of the second quarter.

Horizon Lines shares fell 13 cents, or 3 percent, to $4.10 in morning trading.