Norfolk Southern CEO Alan Shaw told CNBC's Jim Cramer that safety is a top priority for the railroad and transportation company.
"I'm proud of the response in East Palestine, we're making promises, and we're keeping promises," Shaw said, referencing the February train derailment in Ohio that spilled toxic chemicals. "And that said, we're going to make a safe railroad safer."
Norfolk Southern fell about 3% on Tuesday, and is off more than 10% in August. The stock decline follows a disappointing second-quarter earnings report announced in late July in which the company lowered its full-year forecast.
Findings from the National Transportation Safety Board investigation suggested that supervisors didn't address an engineer's concerns before the accident. Norfolk Southern incurred $800 million in environmental and legal costs as a result of the derailment, according to the earnings call last month.
To improve the company's safety measures, Norfolk Southern hired Atkins Nuclear Secured, a consulting firm with experience in the U.S. Navy's nuclear programs.
"The Navy nuke program is the gold standard of safety in all of industry, and Norfolk Southern will be the gold standard of safety in the rail industry," Shaw said. "They're going to be here for two to three years; we're investing in this."
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