Struggling transport firm National Express has revealed that rail revenues were still under pressure despite signs of recovery elsewhere in the business.
The Edgbaston-based company, which handed back its loss-making East Coast Main Line franchise in November, has seen “reduced demand” for East Anglian services, where revenues are being supported by the Government.
But National Express added that its UK coach business had returned to growth in the final quarter of the year while bus revenues remained “resilient” in the face of higher regional unemployment.
The company has endured a turbulent 2009 with the loss of its East Coast deal, takeover approaches and a public row with its biggest shareholder, Spain’s Cosmen family.
Last week it raised £360 million in a rights issue and appointed Tube Lines boss Dean Finch as its new chief executive as it attempts to put a “challenging” year behind it.