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First publish date: 2006-04-25

NS to Revise Fuel Surcharge Program on July 1

Norfolk Southern Corporation announced that, effective July 1, 2006, Norfolk Southern will revise its fuel surcharge program for local and joint-line non-intermodal traffic originating and moving on Norfolk Southern-issued tariff and public quotes issued on or after July 1, 2006.

The fuel surcharge is based on the monthly average price of West Texas Intermediate Crude Oil (WTI Average Price), an industry standard for tracking oil prices. The traffic moving under these tariffs and quotes comprises approximately 6% of NS' total revenue base.

Fuel prices have reached a level that Norfolk Southern believes is likely to be sustained. Tariff prices, public quotes and the fuel surcharge are being adjusted to reflect this level.

The new fuel surcharge for public price authorities will be 0.3 percent of the line-haul freight charge for every $1.00 per barrel, or portion thereof, by which the WTI Average Price exceeds $64.00, starting at a WTI Average Price of $64.01.

This will replace the current fuel surcharge of 0.4 percent of the line- haul freight charge for every $1.00, or portion thereof, by which the WTI Average Price exceeds $23.00.


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