The nation's railroads had their worst year in decades in 2009, a dramatic reminder of the brutality with which the recession damped demand for coal, lumber and other goods that make up the backbone of the economy.

Freight trains carried 20% less cargo last year than in 2008, according to a report by the Assn. of American Railroads, and the industry shed nearly 21,000 jobs.

The 12-month period was the slowest since the association began keeping records in 1988.

Among the most dramatic declines was a 33% drop in lumber and wood products carried by train, a key indicator of demand for new construction. Trains carried 34% fewer motor vehicle parts and 8% less coal. Source

Taken over a two-year period that included all of 2008 and 2009, the declines were even more dramatic, according to the report: a 48% drop in the transportation of motor vehicle parts; a 49% drop in metallic ore and metals; and a 47% drop in lumber and wood products.