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Nov
11

Norfolk Southern opens new HQ in Atlanta

Rail News Home Norfolk Southern Railway 11/11/2021 Rail News: Norfolk Southern Railway
Guests attending a ribbon-cutting ceremony included Georgia Gov. Brian Kemp, U.S. Sen. Raphael Warnock (D-Ga.), Atlanta Mayor Keisha Lance Bottoms, NS CEO James Squires (shown holding scissors) and Atlanta civic and business leaders. Photo – Norfolk Southern's Facebook page

Norfolk Southern Corp. yesterday formally opened its new headquarters in Midtown Atlanta.

Guests who attended a ribbon-cutting ceremony included Georgia Gov. Brian Kemp, U.S. Sen. Raphael Warnock (D-Ga.), Atlanta Mayor Keisha Lance Bottoms and civic and business leaders from across the city, NS officials said in a press release.

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Oct
27

NS posts Q3 records for income, earnings, operating ratio

Rail News Home Norfolk Southern Railway 10/27/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. today reported third-quarter 2021 financial results, which included Q3 records for net income, diluted earnings per share, income from railway operations and operating ratio.Third-quarter net income was $753 million, diluted earnings per share was $3.06, income from railway operations was $1.1 billion and the operating ratio was 60.2%.Railway operating revenue increased 14% to $2.85 billion compared with Q3 2020.Railway operating expenses during the quarter rose 3% to $1.7 billion. Last year’s results included a $99 million impairment charge related to an equity method investment. Excluding the impairment charge, operating expenses were up 10% compared with adjusted operating expenses in Q3 2020, driven by higher fuel, purchased services and compensation and benefits expenses.The $1.1 billion in railway operations income was a 35% increase on a year-over-year basis. Excluding the effect of the impairment charge in Q3 2020, income from railway operations was up 21%.The operating ratio of 60.2% was an improvement of 630 basis points over Q3 2020. Excluding the effect of last year’s impairment charge, the operating ratio improved 230 basis points over the adjusted results for Q3 2020."Our team delivered a strong financial performance in the quarter, producing a number of third-quarter records," said NS Chairman, President and CEO James Squires in a press release. "The actions taken by our employees show our commitment to find sustainable solutions for our customers and shareholders in the face of significant supply chain disruptions."

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Oct
26

NS donates Southern Railway archives to Atlanta museum

Rail News Home Norfolk Southern Railway 10/26/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. has donated the full Southern Railway company archives, as well as $500,000, to the Atlanta History Center.The archives, which include hundreds of thousands of pages of documents — from photos to construction plans and reports — show the history of Atlanta’s transit growth from the 1840s to today. The $500,000 will help the museum digitize and preserve the collection. Southern Railway merged with Norfolk & Western in 1982 to create the present-day Norfolk Southern Railway. NS Chairman, President and CEO James Squires said the archives belong to Atlanta because of the history they represent."The history of Southern Railway is inseparable from the history of this region," Squires said in a press release. Decades of rail history is ultimately the reason Atlanta has grown into the city it is today, said Sheffield Hale, president and CEO of the Atlanta History Center."This collection is crucial to uncovering the many stories behind the city's transformation," Hale said. "We're excited to have the opportunity to preserve this history and make it publicly available for students and teachers, researchers, and those who are simply interested in Atlanta."

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Oct
25

NS mandates vaccination, sues unions

Rail News Home Norfolk Southern Railway 10/25/2021 Rail News: Norfolk Southern Railway
NS filed the suit against the International Association of Sheet Metal, Air, Rail, and Transportation Workers and two other unions that represent its employees. Photo – nscorp.com

Norfolk Southern Railway last week filed a lawsuit that seeks to stop several labor unions from suing over the Class I’s COVID-19 vaccine mandate.

Last week, NS, represented by Jones Day, field a petition in Chicago federal court claiming the unions’ objections to the vaccine requirement must be brought in arbitration and not in court, according to a Reuters report.

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Sep
10

Norfolk Southern donates funds to food banks

Rail News Home Norfolk Southern Railway 9/10/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Railway yesterday announced $400,000 in grants awarded to 31 food banks located across the states it serves.The funds will support local efforts to combat food insecurity, as well as other assistance initiatives supporting children, families and senior citizens. This latest set of grants builds on NS’s longstanding commitment of giving to these critical community organizations, NS officials said in a press release."Food insecurity impacts every community in our country and disproportionately children and senior citizens. Our role as a company is to move the goods that power the economy, and while a recovery is underway, many are still feeling the economic impact of the pandemic. Norfolk Southern is proud to partner with these food banks as a way to help make a difference by feeding and assisting those in need," said LaSandra Boykin, NS director of corporate giving.The complete list of food banks that received grants can be found on the donations can be found on the NS website.

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Aug
16

NS to reopen Pennsylvania intermodal facility

Rail News Home Norfolk Southern Railway 8/16/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Railway late last week announced plans to reopen its intermodal facility in Greencastle, Pennsylvania, to create capacity to support economic growth and help ease supply-chain congestion that has slowed the flow of commerce across all modes of the U.S. transportation sector.Effective Sept. 10, the railroad plans a gradual phase-in of business at the Franklin County Regional Intermodal Facility, starting with domestic intermodal traffic that currently moves between NS intermodal facilities in Memphis, Tennessee, and Rutherford in south-central Pennsylvania. Greencastle will provide additional terminal capacity and help to improve service as demand continues to grow, NS officials said in a press release."With strong growth in volume driven by e-commerce and a recovering economy, we believe the timing is right to bring our Greencastle facility back online," said Executive Vice President and Chief Marketing Officer Alan Shaw.NS opened the Greencastle facility in January 2013 as part of its Crescent Corridor initiative, a public-private partnership designed to convert freight from highway to rail to ease congested roadways and reduce carbon emissions while creating opportunities for jobs and economic development.Under the initiative, the railroad also constructed intermodal terminals in Birmingham, Alabama; Charlotte, North Carolina; and Memphis. The railroad idled the Greencastle terminal in 2019 for business reasons, while leaving open the possibility of resuming operations if market conditions changed, NS officials said.

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Aug
10

NS issues newly renamed corporate responsibility report

Rail News Home Norfolk Southern Railway 8/10/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. yesterday released its 14th annual corporate responsibility report, which now is named the environmental, social and governance (ESG) report to better reflect the company’s holistic commitment to sustainability.The Class I ramped up its sustainability efforts in 2020, in part by becoming the first major North American railroad to issue green bonds — which totaled $500 million — and establishing a science-based target for a 42% reduction in greenhouse-gas emissions intensity that’s consistent with the Paris Agreement on climate change, NS officials said in a press release.“At Norfolk Southern, sustainability is in our DNA — a part of everything we do as a company. From environmental stewardship to the safety and development of our entire team, we are in the business of a better planet, committed to bold leadership and deliberate action,” said NS Chairman, President and Chief Executive Officer James Squires.Some of the the milestones listed in the ESG report include:• spending $166 million with diverse suppliers;• making $13.1 million in total corporate contributions across the company’s 22 state footprint;• nearly doubling renewable energy usage to 18% in deregulated markets as of May 1, 2021, and establishing a new goal of using 30% clean energy by 2030;• diverting 81% of waste from landfills;• recycling 100% of old wood ties and more than 90% of steel ties;• recycling all 400 miles of rail replaced each year; and• reclaiming more than 6,200 tons of used oil.For more information about NS’ sustainability efforts, read this cover story in Progressive Railroading’s August issue.

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Jul
28

Norfolk Southern posts revenue, income, OR records in Q2

Rail News Home Norfolk Southern Railway 7/28/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. today reported second-quarter 2021 financial results, which included second-quarter records for net income and diluted earnings per share, and all-time quarterly records for operating ratio (OR) and income from railway operations.The company’s net income rose 109% to $819 million, or $3.28 diluted earnings per share (EPS), from $392 million, or $1.53 diluted EPS, in the same quarter a year ago. Income from railway operations climbed 91% to $1.2 billion.The Class I's OR improved to 58.3% in the quarter — a new record — from 70.7% a year ago. Q2 railway operating revenue of $2.8 billion increased 34%, driven by a 25% increase in volume and a 7% increase in revenue per unit. Railway operating expenses totaled $1.6 billion, an increase of 11%."Our team met the challenge for the second quarter head-on, delivering another solid performance of sequential operating ratio improvement, driving meaningful productivity into our business as revenue and volume rebounded from last year," said NS Chairman, President and Chief Executive Officer James Squires in a press release. 

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Jul
27

NS unveils science-based target to reduce GHG intensity

Rail News Home Norfolk Southern Railway 7/27/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. yesterday announced its science-based target to achieve a 42% reduction in Scope 1 and 2 greenhouse gas emissions (GHGs) intensity by 2034 from a 2019 base year.The commitment is another step in the company’s ongoing journey to build a more sustainable future, NS officials said in a press release.The Class I’s emissions reduction target has been approved by the Science Based Targets initiative (SBTi) and aligns with the goals of the Paris Agreement on climate change. Validation from the SBTi confirms that the company’s target is consistent with reductions required to keep warming to well-below 2°C above pre-industrial levels, NS officials said."Achieving our target will require continued investments in our locomotive fleet along with supplier engagement," said Josh Raglin, chief sustainability officer. "Our implementation of innovative technologies, sustainable operating practices and locomotive modernizations are part of our efforts to build a more sustainable transportation network."Locomotive fuel accounts for more than 90% of the railroad’s carbon emissions. NS set a fuel-efficiency goal as part of its 2015 strategic plan, targeting an 8.6% improvement by 2020. The company exceeded that goal with a 9.4% improvement, which resulted in savings of more than 130 million gallons of diesel and avoidance of about 1.3 million metric tons of emissions.NS' efforts to lower GHG emissions across the company include:
• $500 million of green bonds that recently were issued by the company to fund eligible green projects
• more than 700 locomotives that were retired in 2020, targeting older, less fuel-efficient models 
 
• a locomotive modernization program that involves converting older DC traction models to more reliable and efficient AC units, providing more pulling power with fewer locomotives

 • a program to equip locomotives with smart energy management technology that automatically matches horsepower to trailing tonnage and track terrain, maximizing fuel efficiency while using minimum horsepower 

 • a public-private partnership program to recycle older locomotives into low-emission “Eco” models to reduce emissions in urban communities on NS' network and enabling them to meet their Clean Air Act obligations 

• an initiative to replace diesel-powered overhead cranes with hybrid and fully electric cranes at intermodal facilities that's projected to reduce emissions at those terminals by approximately 75%.

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Jul
22

NS adjusts Chicago intermodal site to accommodate record demand

Rail News Home Norfolk Southern Railway 7/22/2021 Rail News: Norfolk Southern Railway
NS has reconfigured its Landers footprint to increase stacked container capacity by 60%. Photo – nscorp.com

In the wake of recent record demand, Norfolk Southern Railway is making several changes and upgrades at its Landers intermodal terminal in Chicago, the Class I announced in a customer advisory.

To increase capacity, NS has reconfigured its footprint to boost stacked container capacity by 60%. Reach-stackers — with three in service and three more coming — are being added to increase lift capacity by 40% an hour and reduce driver dwell for pickups, the NS advisory stated.

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Jun
22

NS honors chemical shippers for safe hazmat practices

Rail News Home Norfolk Southern Railway 6/22/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Railway has recognized 43 chemical customers who earned the Class I's 2020 Thoroughbred Chemical Safety Award for safely handling products regulated as hazardous materials.The companies are being honored for safely shipping or originating at least 1,000 carloads — a combined total of more than 156,000 carloads — over NS’s network without a single incident in 2020.As common carriers, NS and other U.S. railroads have obligations to provide transportation for companies that manufacture or use hazardous materials in their businesses, according to a new release. Typically, these products move in tank cars owned or leased by customers, who are responsible for maintaining the cars and ensuring they are properly secured for transit."Against the many challenges posed by a global pandemic in 2020, their safety achievement is even more commendable," said NS Chairman, President and Chief Executive Officer James Squires in the release. "It is a testament to their ongoing commitment to ensure the safety of employees, the communities we serve, and the environment."For more than 25 years, NS has recognized chemical manufacturers and plants who safely handle products that are vital to U.S. consumers and businesses, but also are regulated as hazardous materials. The Chemical Safety Award aims to promote safe rail-shipping practices.A list of this year’s winners is available here.

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May
14

Norfolk Southern elects board directors

Rail News Home Norfolk Southern Railway 5/14/2021 Rail News: Norfolk Southern Railway
NS Chairman, President and CEO James Squires Photo – nscorp.com

Norfolk Southern Corp. shareholders yesterday elected 13 directors for one-year terms expiring in 2022.

The following individuals were elected to the board, according to preliminary results: Thomas Bell Jr., Mitchell Daniels Jr., Marcela Donadio, John Huffard Jr., Christopher Jones, Thomas Kelleher, Steven Leer, Michael Lockhart, Amy Miles, Claude Mongeau, Jennifer Scanlon, James Squires and John Thompson.

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May
14

Guest Comment: James Squires on Why NS is ‘In the Business of a Better Planet’

The environmental advantage of steel wheels over their 18-wheel counterparts is well-known. Our fuel-efficient locomotives haul a ton of freight more than 440 miles on a single gallon of fuel. That’s one of the reasons our customers can reduce their carbon emissions by up to 75 percent when they choose rail over truck.

Managing modes of transportation is one of the most powerful tools shippers can use to reduce their carbon footprint. Our customers are increasingly looking to us for help making their supply chain greener. More than 25% of our customers have established public goals for carbon reduction through the CDP’s global disclosure system.

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May
13

NS issues green bonds to fund sustainable business initiatives

Rail News Home Norfolk Southern Railway 5/13/2021 Rail News: Norfolk Southern Railway
Last month, NS committed to establish a science-based target to lower its carbon emissions in accordance with the Paris Agreement on climate change. Photo – nscorp.com

Norfolk Southern Corp. yesterday closed a $500 million green-bond offering to fund investments to reduce the company’s carbon emissions and help customers reduce their supply-chain emissions.

NS is the first Class I in North America to issue green bonds, according to the railroad.

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Apr
28

NS posts higher Q1 profit, names Voyack VP of government relations

Norfolk Southern Corp. today reported first-quarter 2021 net income rose to $673 million, or $2.66 earnings per diluted share, compared with $381 million, or $1.47 per diluted share, for the year-earlier period.

Railway operating revenue of $2.6 billion increased 1%, or $14 million, compared with Q1 2020, driven primarily by a 3% increase in volume, NS officials said in a press release.

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Feb
19

Norfolk Southern drops plan for former brick company site in Atlanta

Rail News Home Norfolk Southern Railway 2/19/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. has dropped plans to build a rail transfer facility on the site of the former Chattahoochee Brick Co. in Atlanta, which has a tragic history of forced labor around the turn of the 20th century.NS terminated its plan after the city petitioned the Surface Transportation Board (STB) for a preliminary injunction against the project."We accepted from the beginning that we had a special responsibility to develop this site in a socially and environmentally responsible way, given the atrocities that once took place there," said NS Chairman President and Chief Executive Officer James Squires in a press release. "We believe our project presented an opportunity to create a long-overdue memorial to the painful legacy of the site, and at the same time reshape its future by building new river trails and putting the long-abandoned land back into productive use in a way that benefits the regional economy."The city's STB filing notes the site's "tremendous historical and cultural significance" to Atlanta, and that there's evidence indicating the site is a burial ground.Although NS officials believe the city's action lacks legal merit, they do not want to engage in protracted litigation if the city opposes the project, they said."We pride ourselves on being a good corporate citizen in the communities where we operate," said Squires. "In this case, that means walking away from the project despite our very best efforts to work with the community on the responsible development of the site."Throughout 2020, NS worked with local elected officials, held multiple meetings to listen to concerns of community stakeholders and incorporated that feedback into plans for the site, NS officials said.The company also engaged outside experts to perform an archaeological and historical survey, as well as archaeological excavation in certain areas. No evidence was found of a cemetery on the site, but given the site's tragic legacy, the company committed to exercise "great care" as development continued, NS officials said.NS will complete the necessary work to stabilize and secure the site and then withdraw, they added. 

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Jan
29

NS helped 86 shippers find, expand rail-served sites in 2020

Rail News Home Norfolk Southern Railway 1/29/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Railway today announced it assisted 86 businesses in locating new or expanded facilities on its network in 2020.Across 18 states, NS customers invested $1.8 billion to open 70 new plants and expand 16 rail-served facilities. The industrial development is expected to create more than 2,960 customer jobs and generate over 54,300 carloads of new volume annually for NS."Despite the impacts of COVID-19, rail-served industrial development in our service area remained steady overall throughout 2020," said Kathleen Smith, NS vice president of business development and real estate, in a press release. "We have a solid pipeline of business development opportunity in 2021 beyond across our automotive and industrial product markets."The largest industrial development projects last year include a medical products production facility in Linwood, North Carolina; a paper-packaging products plant in Palmyra, Pennsylvania; a roofing shingle manufacturing facility in Avery, Ohio; a grain-related expansion in Portage, Indiana; a steel mill expansion in Calvert, Alabama; and automotive-related projects in Tennessee, Alabama, West Virginia, Georgia and Pennsylvania.Over the past decade, NS has supported the location of 872 new or expanded facilities representing $58 billion in private investment along its network. 

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Jan
27

NS reports higher income, record operating ratio in Q4

Rail News Home Norfolk Southern Railway 1/27/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. today reported fourth-quarter 2020 net income increased 1% to $671 million, or $2.64 diluted earnings per share, from $666 million, or $2.55 per share, in the same quarter in 2019.The Class I's fourth-quarter railway operating revenue fell 4% to $2.6 billion, driven by a 1% decline in volume, lower fuel surcharges and differing business mix, NS officials said in a press release.Railway operating expenses were $1.6 billion, down 8%. Lower fuel costs, compensation and benefits and purchased services were partially offset by lower gains on property sales, company officials said.Income from railway operations climbed 2% to $1 billion. NS posted an operating ratio of 61.8% for the quarter, an all-time record, compared with 64.2% in the same 2019 period."As we take stock of what we achieved in 2020 while managing both the pandemic and energy market challenges, including the successful idling of four additional hump operations while driving productivity to record levels, we see much more opportunity ahead," said Chairman, President and Chief Executive Officer James Squires. "We have set the stage to drive further efficiency and profitable growth in 2021 through our precision scheduled railroading operating plan, which will deliver long-term value for both our shareholders and customers."NS also announced plans to spend about $1.6 billion on capital expenditures in 2021.  

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Jan
08

NS' Squires talks Atlanta move, PSR and economic recovery

Norfolk Southern Corp. officials expect to make the company's historic move to a new Atlanta headquarters in September, Chairman, President and Chief Executive Officer James Squires said earlier this week.

In a "fireside chat" held Tuesday with members of the National Railroad Construction and Maintenance Association (NRC), Squires said construction of the new campus is well underway.

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Oct
28

NS posts lower revenue, income, OR in Q3

Norfolk Southern Railway today reported third-quarter 2020 net income of $569 million and diluted earnings per share of $2.22, compared with net income of $657 million and diluted earnings per share of $2.49 in the same quarter a year ago.

This year's Q3 results included a previously announced $99 million non-cash impairment charge. Excluding the charge, adjusted Q3 net income was $643 million and adjusted diluted earnings per share were $2.51, NS officials said in a press release.

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