Providence and Worcester Railroad Company Announces Dividend

    WORCESTER, Mass.--April 30, 2003--Providence and Worcester Railroad Company (AMEX: PWX) announced that, at its regular quarterly meeting on April 30, 2003, the Board of Directors of the declared a dividend of $.04 per share on the outstanding Common Stock of the Company, payable May 22, 2003 to shareholders of record on May 8, 2003.

    This release contains "forward-looking statements" within the meaning of section 21E of the Securities and Exchange Act of 1934, as amended. These forward-looking statements represent the Company's present expectations or beliefs concerning future events. The Company cautions that such statements are necessarily based on certain assumptions which are subject to risks and uncertainties, including, but not limited to, changes in general economic condition, and changing competition which could cause actual results to differ materially from those indicated herein. Further information on these risk factors is included in the Company's filings with the Securities and Exchange Commission.