Norfolk Southern Selects Fayette County Site for New Memphis Regional Intermodal Terminal, Supporting Crescent Corridor Initiati
July 16 2009 - 3:00PM
PR Newswire (US)
NORFOLK, Va., July 16 /PRNewswire-FirstCall/ -- Norfolk Southern
announced today that it will construct a new intermodal terminal in
Rossville, Tenn., in Fayette County, to serve the Memphis region,
as part of the railroad's Crescent Corridor initiative to establish
a high-speed intermodal rail route between the Mid-South and Gulf
Coast and the Northeast. The $129 million facility, in which
freight is transferred between truck and rail, will occupy a
570-acre site and is expected to open in January 2012. Norfolk
Southern's Crescent Corridor initiative is a multistate network of
infrastructure improvements and other facilities intended to
enhance Norfolk Southern's 2,500-mile rail network that supports
the supply chain from the Gulf Coast, Birmingham and Memphis to
Philadelphia and the New York metropolitan area and enable it to
handle more freight traffic faster and more reliably. The railroad
is in the process of implementing Corridor projects, including
straightening curves, adding passing tracks, improving signal
systems, and building new terminals. Altogether, nearly $2.5
billion in Crescent Corridor projects have been identified, and
based on the public benefits that stand to be derived in the form
of highway congestion relief, NS plans to implement the Crescent
Corridor initiative through a series of public-private
partnerships. If and when the Crescent Corridor initiative is fully
implemented, it is anticipated that more than one million
truckloads of freight will be absorbed from the highways to the
rails annually, saving the U.S. more than 170 million gallons of
fuel per year. "Because of its strategic location and growing
intermodal demands in the South, the Memphis regional terminal will
be an anchor for the Crescent Corridor, and the new facility will
help make possible truck-competitive freight transportation between
the South and major Northeast markets," said Norfolk Southern CEO
Wick Moorman. "We commend Gov. Phil Bredesen and the Tennessee
Department of Economic and Community Development for their
collective vision and partnership in recognizing the economic
development opportunities and job growth potential this project
brings to Tennessee." Annual benefits to Tennessee as a result of
the Crescent Corridor are expected to include more than half a
million trucks diverted to rail, nearly 27 million gallons of fuel
saved, carbon dioxide reductions of almost 300,000 tons, close to
$17 million in annual congestion savings, avoidance of an estimated
$23 million in accident costs, and the creation of more than 5,100
jobs. "The Greater Memphis Region is home to the world's largest
cargo airport and one of the nation's biggest cargo river ports.
The Crescent Corridor and the Memphis intermodal terminal will
expand the role of freight rail, further enhancing our
competitiveness and spurring economic growth," said Gov. Bredesen.
"I appreciate all those who have worked in partnership to bring the
benefits of this project to Fayette County, the Greater Memphis
Region and the state of Tennessee." The Memphis terminal also will
represent opportunities for economic development and job growth for
Marshall County, Miss., and the State of Mississippi. Annual
benefits to Mississippi as a result of the Crescent Corridor are
expected to include more than half a million trucks diverted to
rail, 8.5 million gallons of fuel saved, carbon dioxide reductions
of 94,000 tons, close to $6 million in annual congestion savings,
avoidance of more than $7 million in accident costs, and the
creation of more than 1,000 jobs. "Mississippi is pleased to
participate in this five-state effort, through the Crescent
Corridor, to improve the national freight transportation network,
and I am enthusiastic about the economic development opportunities
it will bring," said Mississippi Gov. Haley Barbour. "Working
together in a partnership with Norfolk Southern, we are laying the
groundwork for thousands of new jobs in logistics at a critical
time for the American economy." NS conducted an extensive site
search of the Memphis region for a suitable location. Site
selection was given careful and exhaustive consideration to
minimize impacts on surrounding communities, roadway facilities,
and the environment. For commercial purposes, it was imperative
that the site be located along the Norfolk Southern main line east
of Memphis. The Memphis regional intermodal facility will have the
capacity to handle more than 327,000 containers and trailers
annually. There will be a paved area to park 2,177 trailers and
containers mounted on chassis. The terminal will utilize the latest
in gate and terminal automation technology, which will reduce the
waiting time to get into the terminal, thereby reducing emissions.
Four trains will serve the terminal daily. Further, the location
selected will allow for adjacent economic development
opportunities, including the development by others of an integrated
logistics park and possible industrial park. This would add
significant employment opportunities to Fayette County, the Memphis
region, and Marshall County. Rail intermodal traffic uses one-third
of the fuel required by long-haul trucks on the highway and greatly
reduces congestion caused by this truck traffic. These reductions
can result in significantly reduced emissions and highway
maintenance costs, helping the environment and the burden on state
budgets. Norfolk Southern Corporation (NYSE:NSC) is a leading North
American transportation provider. Its Norfolk Southern Railway
subsidiary operates approximately 21,000 route miles in 22 states
and the District of Columbia, serves every major container port in
the eastern United States, and provides efficient connections to
other rail carriers. Norfolk Southern operates the most extensive
intermodal network in the East and is a major transporter of coal
and industrial products. Any statements contained in this news
release that are not related to historical facts are
forward-looking statements as that term is defined in the Private
Securities Reform Act of 1995. Such forward-looking statements are
subject to risks and uncertainties (noted in the Norfolk Southern's
filings with the SEC), which could cause actual results to differ
materially. DATASOURCE: Norfolk Southern Corporation CONTACT:
Media, Susan Terpay, +1-757-823-5204, , or Investors, Leanne
Marilley, +1-757-629-2861 , both of Norfolk Southern Web Site:
http://www.nscorp.com/
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