February 21, 2001

Norfolk Southern To Close Hollidaysburg Car Shop

NORFOLK, VA - Norfolk Southern Corporation (NYSE: NSC) today said it will close its Hollidaysburg, Pa., Car Shop effective on or about Sept. 1, 2001, as part of the company's ongoing restructuring program.

"Changing economic conditions and excess capacity throughout the freight car repair industry have reduced our workload to the extent we cannot support continued operations at the shop," said Mark D. Manion, vice president Transportation Services and Mechanical. "Consolidating our work at fewer locations is part of making Norfolk Southern a more efficient company as we go forward."

Hollidaysburg's 300-plus employees will have an opportunity to follow their work to other locations; employees who transfer with their work will be paid relocation expenses. In some instances, applicable labor agreements and protective conditions will require further handling with Norfolk Southern's unions before implementing the work transfers.

Norfolk Southern said it will continue to work with Blair County development officials in finding alternative uses for the Hollidaysburg facility.

Norfolk Southern Corporation, a Virginia-based holding company with headquarters in Norfolk, owns a major freight railroad, Norfolk Southern Railway Company, which operates approximately 21,800 miles of road in 22 states, the District of Columbia and the province of Ontario.

Media Contact: Rudy Husband, Philadelphia, 610-567-3377