History of the Norfolk Southern Railway (NS)

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Historical Timeline of the Norfolk Southern (NS) Railway

1970s: The path to consolidation

  • 1974: Southern Railway acquires the original Norfolk Southern Railroad (a small regional railroad in Virginia and North Carolina).
  • Late 1970s: Informal talks begin between Norfolk and Western Railway and Southern Railway for a merger.
  • 1976: Conrail is formed from the bankrupt Northeastern railroads, creating a major rival in the Eastern US.
  • 1980: Southern and N&W formally agree to merge, responding to the creation of rival CSX Corporation. 

1980s: Formation and network optimization

  • 1982: Norfolk Southern Corporation formed June 1 by merger of Norfolk and Western Railway (N&W) and Southern Railway (SOU).
    • Leaders: Robert B. Claytor (CEO), Harold Hall (President).
  • 1985: Locomotives of both predecessor railroads repainted in a common NS paint scheme.
  • 1986: NS acquires North American Van Lines, diversifying into trucking.
  • 1987: NS becomes the first Class I railroad to move 1 million containers and trailers in one year.
  • 1988: NS opens new 21-story headquarters in Norfolk, VA.
  • Late 1980s: NS launches Thoroughbred Shortline Program, spinning off low-traffic track to regional carriers. 

1990s: Thoroughbred Quality and Conrail acquisition

  • 1990:
    • Southern Railway formally merges N&W’s operations and renames itself Norfolk Southern Railway.
    • Launches “Thoroughbred Quality Service” program to improve service reliability.
  • 1994: Registers over $1 billion in annual rail operations income for the first time.
  • 1996: Divests North American Van Lines to refocus on core rail business.
  • 1997: NS and CSX agree to jointly acquire Conrail.
  • 1998: Surface Transportation Board (STB) approves Conrail breakup.
  • 1999: NS begins operating its 58% share of the former Conrail network, expanding into the Northeast.
    • Conrail continues as a jointly owned switching and terminal railroad in New Jersey, Philadelphia, and Detroit. 

2000s: Consolidation and investments

  • 2004: Fully absorbs the Pennsylvania Lines LLC, the company that owned its portion of Conrail trackage.
  • 2005: Wick Moorman becomes CEO.
  • 2008: The Great Recession impacts financial performance, leading to cost-cutting measures.
  • Late 2000s: Continues investing in technology and infrastructure. 

2010s: Infrastructure upgrades and PSR introduction

  • 2010: Unveils the Heartland Corridor, a major double-stack intermodal route.
  • 2011: Launches the 21st Century Steam program, a limited steam excursion program.
  • 2012: Unveils a fleet of 20 “Heritage” locomotives painted in the schemes of its predecessor railroads.
  • 2013: James Squires becomes CEO.
  • 2016:
    • Canadian Pacific, led by Hunter Harrison, tries to acquire NS, but the deal is blocked by regulators and opposed by NS management and labor.
    • Consolidates from three to two operating regions as part of a strategic plan.
  • 2017: NS officially begins adopting Precision Scheduled Railroading (PSR) operating principles, influenced by Harrison’s success at rival railroads.
  • 2019: Focuses heavily on implementing PSR to improve efficiency and reduce its operating ratio. 

2020s: Safety concerns, leadership changes, and merger

  • 2020: Develops and deploys an autonomous track geometry measurement system.
  • 2021:
    • Opens a new 750,000-square-foot headquarters in Atlanta.
    • Alan Shaw becomes President.
  • 2022: Alan Shaw becomes CEO.
  • 2023: East Palestine, Ohio, derailment in February raises major safety concerns, leading to financial consequences and regulatory scrutiny.
    • NS faces intense public pressure and launches a multi-million-dollar fund to assist the community.
  • 2024:
    • Activist investor Ancora Holdings launches a proxy fight over safety and operational performance.
    • Ancora and NS reach a settlement involving board and committee changes.
    • The board terminates CEO Alan Shaw following an ethics investigation, appointing CFO Mark George as his replacement.
    • A federal judge gives final approval to a $600 million class-action settlement related to the East Palestine derailment.
  • 2025:
    • Union Pacific and Norfolk Southern announce a merger to create a coast-to-coast rail network.
    • The merger, valued at $85 billion, is subject to regulatory approval. 

Southern-Railroads.org Sources and Resources

The following are excellent resources for those of you wanting to explore and learn more about the Southern Railway and its predecessors. These sources of information also serve as reference and historical materials for Southern-Railroads.org. Much of the content on the website is verified across multiple sources.

3Cs Websites

Appalachian-Railroads.org | Clinchfield.org | Southern-Railroads.org