Norfolk Southern is the company behind the train derailment in Palestine, Ohio.
The derailment was one disaster after another. It resulted in contaminating water supplies and many residents leaving if they could.
Governor DeWine claimed the water supplies and town were safe alongside the EPA while residents put the company on blast on TikTok with videos that showed plants and livestock dying. Citizens as far as Canada took to the social media platform to show raindrops that werent entirely wiping away like rain.
The train accident happened in February. During the accident, 11 cars derailed that had hazardous materials. Some subsequently ignited, while others were set on fire.
Now, the rail operator is releasing how much the accident will cost them so far. The initial charge is a jaw-dropping $387 million. According to Fox News, CFO Mark George said the $387 million figure includes costs associated with the cleanup of the site, community support and restoration payments, legal and advisory expenses, and a preliminary estimate of claims and settlements. He added that a likely reimbursement to the government for oversight has also been factored into the total.
The companys first-quarter earnings did take this figure into account. However, they still raked in $3.13 billion for the first quarter, an increase from last year. The first three months last year brought in about $2.92 billion in profit for the railway company.
East Palestine residents have had concerns regarding environmental risks and their health since the incident. Norfolk Southerns CEO released a statement regarding their commitment to the town.
Per Fox News, From the beginning, we have been guided by one principle: we are going to do whatever it takes to make it right for East Palestine and the surrounding areas, CEO Alan Shaw told analysts and investors. We are claiming the site safely, thoroughly, and with urgency. We are assisting families, supporting local businesses and non-profits, and investing in long-term projects for the areas future prosperity.
However, the stock is still up, which many people see as a positive economic sign.
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