(NewsNation) — Norfolk Southern said the February train derailment that spilled toxic chemicals in East Palestine, Ohio, cost the railroad $803 million, more than double the company’s estimate in April.
The new figure, which comes from the railroad’s second-quarter earnings report released Thursday, includes a $416 million charge in the second quarter. That’s on top of the $387 million charge from the first quarter.
Mark George, Norfolk Southern’s chief financial officer, said it will likely be “quarters, not months” before the railroad knows the final costs related to the incident.
Most of the expenses so far — about 70% — come from environmental cleanup costs: After the derailment, officials released toxic chemicals into the air from five cars that were at risk of exploding.
“Our current estimates assume the cleanup activity continues into October,” said George.
The other 30% or so comes from legal expenses and community assistance. The railroad’s website says it has provided more than $63 million to support communities impacted by the derailment. Those efforts include $3 million to the East Palestine Fire Department and a $25 million pledge for improvements at the city park.
The current $803 million total does not include any amount the company may recover from insurance, Norfolk Southern said. So far, $287 million has been paid to date.
The railroad is still facing a number of lawsuits related to the incident, including a civil suit from the Justice Department.
Other funds, that would compensate East Palestine residents for long-term health effects and decreased home values, are still being negotiated.
Last quarter, Norfolk Southern earned $576 million, a 55% decline from the second quarter of 2022, according to Thursday’s earning’s report. Without including the cost of the derailment, the railroad said income from operations was $992 million, down 22% from the same period last year.
The company’s report comes almost six months after a Norfolk Southern train carrying toxic chemicals derailed in East Palestine, Ohio. Residents in the area say their community still isn’t back to normal.
Federal officials have said tests show the air and water in town remain safe, but other independent test results have found potentially dangerous levels of dioxins in soil around the area.
Residents have told NewsNation that they’ve noticed strange symptoms since the incident. One recently claimed that some of the people in her community had experienced “all sorts of different” ailments following the derailment, including respiratory illnesses, eye infections and nosebleeds.
The woman added that she wanted to see more resources and support for the town, specifically by way of a Major Presidential Disaster Declaration.
“We have a rail company that expeditiously laid tracks onto poisoned soil and I would really like to see that same urgency applied to getting the indoor home monitoring and health screenings that we desperately need,” she told NewsNation.