NORFOLK, Va., April 24 /PRNewswire-FirstCall/ -- Norfolk Southern Corporation today 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. Additional information on the tariff prices, public quotes and fuel surcharge will be posted at http://www.nscorp.com/.
Norfolk Southern Corporation is one of the nation's premier transportation companies. Its Norfolk Southern Railway subsidiary operates approximately 21,200 route miles in 22 states, the District of Columbia and Ontario, Canada, serving every major container port in the eastern United States and providing superior connections to western rail carriers. NS operates the most extensive intermodal network in the East and is North America's largest rail carrier of automotive parts and finished vehicles.
