JR East Logs 70-B.-Yen Loss on Local Railways
Tokyo, July 28 (Jiji Press)--East Japan Railway Co. <9020>, or JR East, said Thursday that it logged a total of about 70 billion yen in loss from nonperforming local railway services with a small number of passengers in fiscal 2019.
The figure was for 66 sections with less than 2,000 passengers on average per kilometer per day on 35 lines in JR East's service areas in the year that ended in March 2020.
JR East announced for the first time financial conditions of its local railway services that are performing poorly due to a lack of passengers.
The company hopes to promote talks with local authorities in areas along the loss-making sections and other relevant parties on a review including whether they should be allowed to remain intact or scrapped.
The amount of loss came to 4.9 billion yen for the section between Murakami and Tsuruoka stations on the Uetsu line, 3.2 billion yen for the section between Higashi-Noshiro and Odate stations on the Ou line and 2.1 billion yen for the section between Aomori and Naka-Oguni stations on the Tsugaru line.
[Copyright The Jiji Press, Ltd.]