As part of the deal, the railroad would acquire 9,500 acres (3,800 hectares) of land underneath the tracks and end any uncertainty about how much it would have to pay under future lease agreements. The U.S. Surface Transportation Board will review the deal, which also must be approved by Cincinnati voters.
Norfolk Southern is one of the nation’s largest railroads and reported a nearly $1 billion profit in the third quarter. It operates about 19,500 miles (31,382 kilometers) of track in 22 Eastern states and the District of Columbia. The Atlanta-based railroad said it plans to use both cash on hand and borrow some money to finance the deal.