Norfolk Southern Statement on Charges


July 26, 2007

Norfolk Southern Statement on Misdemeanor Charges Filed by Pennsylvania
Attorney General and McKean County District Attorney in Connection
with June 30, 2006, Derailment and Sodium Hydroxide Release in McKean
County

HARRISBURG, PA. – Norfolk Southern acknowledges receipt of three
misdemeanor charges filed today by the Attorney General for the
Commonwealth of Pennsylvania and the McKean County District Attorney in connection
with the June 30, 2006, derailment and sodium hydroxide release in
McKean County, Pa. Under certain applicable Pennsylvania environmental and
aquatic resource protection statutes, charges may be brought,
regardless of fault or intent, when there is a non-permitted discharge of
certain materials or a discharge into a stream. These charges will not have
a material financial effect on Norfolk Southern, and the company
expects to work with the relevant authorities to reach a satisfactory
resolution of these charges.

In the year that has passed since the incident, Norfolk Southern has
spent nearly $4 million on its environmental response and to restore the
area and waterways impacted by the incident. The company’s site
restoration activities were completed during the week of June 18.

The areas impacted by the incident have significantly recovered.
Numerous fish, including native brook trout, have been observed in the
portion of Portage Creek adjacent to and downstream of the derailment site.
The Pennsylvania Fish and Boat Commission stocked trout in Portage Creek
and the Driftwood Branch this past spring in the portions of these
streams that historically have been stocked, and recent survey work
conducted on the Driftwood Branch documents the presence of large numbers and
diverse species of fish.

Following is a summary of the railroad’s response efforts:

--Removed more than 4,600 cubic yards of material containing residual
concentrations of sodium hydroxide from the east and west sides of the
track and replaced with clean material and topsoil;

--Stabilized and restored sections of Portage Creek and Big Fill
Hollow, which included planting 290 wetland and upland trees, 368 wetland
shrubs, 1,944 live stake trees, and more than 5,000 individual wetland
grass sedges. In addition, nearly 1.5 acres of land were seeded and
mulched;

--Conducted a survey of aquatic life in Portage Creek, which indicated
that it currently meets designated and existing uses as exceptional
value waters in accordance with regulatory criteria established by the
Department of Environmental Protection;

--Installed 37 groundwater monitoring wells and 46 soil borings,
collected 5,300 pH and temperature readings from surface water and seeps, and
performed more than 6,000 conductivity tests to define the extent of
potential soil impacts, and

--Tested more than 100 residential water sources in two separate
sampling periods, which in all instances confirmed that applicable standards
were being met.

Norfolk Southern is optimistic that all other proceedings connected to
the June 30, 2006, incident will be resolved in the near future.
 



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