Norfolk Southern Corporation (NYSE: NSC)
Kahn Swick & Foti, LLC (“KSF”) and KSF partner, former Attorney General of Louisiana, Charles C. Foti, Jr., remind investors that they have until May 15, 2023 to file lead plaintiff applications in a securities class action lawsuit against Norfolk Southern Corporation (NYSE: NSC).
Norfolk Southern and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
The alleged false and misleading statements and omissions include, but are not limited to, that the Company’s “Precision Scheduled Railroading” (“PSR”) strategy designed to increase revenues and decrease operating costs through fewer personnel, longer trains, and less spending on safety training, technology, and equipment would be likely to result in the Company suffering increased train derailments and a materially increased risk of future derailments, and as a result of the above, the Company’s statements regarding the safety of its operations were materially false and/or misleading.
The truth began to emerge on February 3, 2023, when a Norfolk Southern freight train, including 11 tank cars carrying hazardous materials, derailed in East Palestine, Ohio and subsequently ignited requiring the immediate evacuation of those within a one-two mile area. Then, on March 4, 2023, another Norfolk Southern freight train derailed near Springfield, Ohio.
On this news, shares of Norfolk Southern fell on March 6 and March 7, 2023, closing at $215.18 per share, down $13.21 from a closing price of $228.39 on March 3, 2023.
The case is Bucks County Employees Retirement System v. Norfolk Southern Corporation, et al., No. 23-cv-00982.