Norfolk Southern bill for East Palestine derailment reaches $2.2B
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Norfolk Southern reports that the fiery derailment and chemical spill has cost the railroad $2.2 billion in the nearly two years since several of their cars jumped the tracks in East Palestine.
According to the company’s fourth quarter 2024 earnings report, Norfolk Southern has accrued $1,026,000 in costs for environmental remediation and monitoring in 2023 and 2024, and an additional $1,166,000 for legal fees and community assistance.
Of that $2.2 billion total, insurance has paid $751 million, leaving a remaining impact of $1.4 billion as Norfolk Southern’s responsibility.
Included in those costs is the $600 million settlement offered to residents living around the derailment site.
Earlier this week, Norfolk Southern and East Palestine announced they had reached a $22 million settlement of the village's claims.
To date, the railroad has paid $771 million of its obligations.
After adjusting the results to exclude the impact of the East Palestine derailment, railway line sales, restructuring, and other charges, as well as shareholder advisory costs, Norfolk Southern reported a $1.1 billion income during the fourth quarter.