How the Pandemic Derailed Amtrak From Its Hopeful Path to First-Time Profits
Photo Credit: Amtrak's new Acela fleet, shown here in testing this year, may enter service on the Northeast Corridor in 2021 with the capacity to travel at speeds up to 165 mph. Amtrak swung to a loss of $801 million in the fiscal year that ended September 30. Amtrak
Skift Take
Amtrak had been on track to notch its first operating profit in its 50 years. But the not-so-novel-anymore coronavirus has dashed the hopes of the U.S. national passenger rail system. President-elect Joe Biden is a fan of Amtrak but might have limited options to ride to the rescue.
Amtrak boss Bill Flynn isn't the only travel CEO steeling themself for a wretched Christmas. But given that he's only seven months into the job, Flynn has had a particularly rough ride. Flynn revealed Monday during a press conference that Amtrak would not break even next year due to the coronavirus flaring in the U.S.
"We had brought our loss [for 2019] down to less than $30 million," Flynn said, noting that it had its best fiscal year in five decades despite transporting a record number of passengers.
But then the pandemic struck. Amtrak's ridership has since been hovering at about 25 percent of pre-pandemic levels.
Amtrak swung to a loss of $801 million in the fiscal year that ended September 30. The railway generated operating revenue of $2.3 billion in the period, down 3
