A Norfolk Southern locomotive at a rail yard in Chicago. Norfolk Southern's quarterly profit slipped 12% amid the uncertain economy as well as unusual costs related to its efforts to merge with Union Pacific in an $85 billion deal that would create a transcontinental railroad. Norfolk Southern said it made $644 million, or $2.87 per share, in the fourth quarter. CEO Mark George said Norfolk Southern is focused on improving efficiency while it works with UP to draft a merger application the Surface Transportation Board will consider. Norfolk Southern said it recorded $215 million in annual productivity savings last year.