Freight railroad system operator Norfolk Southern Corp. said Monday it agreed in principle on a class action suit settlement related to a train derailment in 2005.Norfolk Southern said the settlement would offer compensation for personal injury claims associated with the railroad’s Jan. 6, 2005, derailment at Graniteville, S.C.
The settlement will provide varying levels of compensation for people injured and who received medical treatment or were hospitalized as a result of the derailment and subsequent release of chlorine, the company said.
Norfolk Southern said the agreement covers claims that were not part of a prior class action settlement approved last year for property damage, evacuation expenses and losses, and minor personal injuries.
The company plans to submit the settlement for preliminary court approval in early November.
“Norfolk Southern is deeply sorry for all the losses, hardship, and inconvenience this accident has caused and again extends its regrets to those adversely affected,” the company said in a statement.
Two freight trains collided in Graniteville, S.C., in the early morning hours of Jan. 6, 2005, releasing a cloud of chlorine gas. Several people were killed, about 250 hurt, and some 5,400 people were evacuated.
Shares of Norfolk Southern rose 31 cents to $48.51 in afternoon trading on the New York Stock Exchange.