EXHIBIT 99.3


                REPORT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS



CSXT Trade Receivables Master Trust
c/o The Chase Manhattan Bank, as Trustee


We  have  examined  the  nine  monthly  CSXT  Trade  Receivables   Master  Trust
Certificateholders'  Distribution  Date  Statements  filed on Forms 8-K with the
Securities and Exchange  Commission during the nine-month period ended September
25, 1998 with respect to the 5.05% Trade Receivables Participation Certificates,
Series  1993-1  (the  "Statements")  prepared  by CSX  Transportation,  Inc.  as
Servicer,  in compliance  with Section  5.02(a) of the Series 1993-1  Supplement
dated as of October 28, 1993, as amended (the "Supplement"),  to the Amended and
Restated  Pooling  and  Servicing  Agreement  dated as of October 27,  1993,  as
amended (the "Agreement"),  among CSX Trade Receivables Corporation, Seller, CSX
Transportation,  Inc., Servicer, and The Chase Manhattan Bank (formerly known as
Chemical  Bank),  Trustee.  We have also  examined  CSX  Transportation,  Inc.'s
management's  assertion,  included in its representation  letter dated March 15,
1999 that the  servicing  has been  conducted in  compliance  with the terms and
conditions  as set forth in  Article  III,  Article IV and  Section  8.08 of the
Agreement.  CSX  Transportation,  Inc.'s management is responsible for preparing
the Statements in compliance  with the applicable  section of the Supplement and
also for the  Servicer's  compliance  with the  applicable  requirements  of the
Agreement.  Our responsibility is to express an opinion on the Statements and on
management's assertion about the Servicer's compliance based on our examination.

Our  examination  was  made in  accordance  with  standards  established  by the
American  Institute of Certified Public Accountants and,  accordingly,  included
examining,  on a test basis,  evidence  about the  Statements and the Servicer's
compliance  with the applicable  requirements  of the Agreement,  and performing
such other  procedures  as we  considered  necessary  in the  circumstances.  We
believe that our examination  provides a reasonable  basis for our opinion.  Our
examination does not provide a legal determination on the Servicer's  compliance
with applicable requirements of the Agreement.

In our opinion,  the Statements  referred to above are presented  fairly, in all
material  respects,  in accordance with Section  5.02(a) of the Supplement,  and
management's  assertion that the servicing has been conducted by the Servicer in
compliance with the terms and conditions as set forth in Article III, Article IV
and Section 8.08 of the Agreement  during the nine month period ended  September
25, 1998 is fairly stated, in all material respects.

We have also compared the mathematical  calculations of each amount set forth in
the Statements referred to above with the Servicer's computer reports which were
the source of such amounts and found them to be in agreement pursuant to Section
3.07(b) of the Agreement.

This  report  is  intended  solely  for the  information  and  use of CSX  Trade
Receivables  Corporation,  Seller, CSX Transportation,  Inc., Servicer,  and The
Chase Manhattan Bank, Trustee,  and is not intended to be and should not be used
by anyone other than these specified parties.


                                          /s/  ERNST & YOUNG, LLP
                                          -----------------------
                                          Ernst & Young LLP

March 15, 1999
Jacksonville, Florida

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