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Norfolk Southern Reports Backups and Routing Problems

"Our service is not at the level of quality our customers have a right to expect from Norfolk Southern," said David Goode, chairman, president and CEO of Norfolk Southern, in a report on June 16.

The company said it had experienced computer system problems that have contributed to train backups and routing problems, but it had resolved the most significant problems with its information systems that provide customers with shipment information.

"The cost of the Conrail integration may be higher than we anticipated, but the investment will pay off in efficiency and service enhancements on our expanded system," the report added.