ČD Cargo rumoured to be facing two-billion loss

The Czech state-owned railway transporter, ČD Cargo, will post a loss of nearly two billion crowns, or around 100 million US dollars, for the year 2012, the opposition Social Democrat shadow transport minister Milan Chovanec said. Mr Chovanec blamed the loss on the firm’s management which has not compensated decreasing numbers of cargo trains by single wagon shipments. Mr Chovanec also said the state-owned company was going to cut some 450 jobs by the end of the year, and another 2,000 jobs in 2013. The company refused comment, and said it would reveal its strategy before the end of the year. ČD Cargo employs around 9,500 workers. Last year, the firm posted a lost of 60 million crowns, down from over 850 million crowns in the previous year.