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News February 20, 2023

Ohio Promo Suppliers’ Operations, Staff Affected by Toxic-Chemical-Carrying Train Derailment

One industry firm is in an evacuation zone and closed. Another has employees that have been at least temporarily displaced; they’re living in hotels.

By  Christopher Ruvo

The derailment of a train carrying toxic chemicals in East Palestine, OH, is affecting local promotional products companies and their employees in the town on the border with Pennsylvania.

Following a suspected mechanical issue with a rail car axle, about 50 of the 141 cars that were part of a Norfolk Southern Railroad train derailed around 9 p.m. the evening of Friday, Feb. 3, in East Palestine. About 10 of the cars were hauling toxic materials. Some of the cars caught fire.

With fears of a catastrophic explosion escalating, the governors of Ohio and Pennsylvania ordered the evacuation of a 1-mile-by-2-mile area nearest the derailment zone. Most of the people affected were in Ohio, with only about 20 residences in the sparsely populated part of Pennsylvania impacted, press reports indicate. Authorities conducted what was described as a controlled release and burn of the worrying chemicals, such as vinyl chloride, earlier this week.

Wristbands America (asi/98418), a promo products supplier based in East Palestine, lies within the evacuation zone. Company leader Maggie Guglielmo said the firm will be closed for at least the remainder of the week as a result of the derailment, evacuation order and related fallout.

“This happened less than 1 mile from our shop, and we are under a mandatory evacuation,” Guglielmo said. “We will be closed until it is safe to return.”

Guglielmo noted that her business’ building is over a stream that runs by the derailment. “Toxic chemicals drained into that stream,” she said. “Some 36 hours after the derailment, I went into my office to secure things and get a few things I might need. The office smelled really bad - and the bag of stuff I took out still smells. I'm concerned about the odor on the inventory, not to mention the machinery, walls, floors, and ceiling. Of course, machinery and inventory can be moved. However, if the odor permeated everything then some serious, professional cleaning will have to be done - or replacement of inventory. Plus, finding a new location is an issue, but not impossible.”

Guglielmo said she has a few orders in-house but isn’t sure if she’ll be able to fulfill them. On a positive note, employees are okay and insurance has paid up, she said.

Public health authorities said they’re monitoring the situation for potential hazards to people and the environment. The Pennsylvania Department of Environmental Protection and the federal Environmental Protection Agency have so far detected “nothing alarming” in air and water quality, though residents are concerned about possible health effects as vinyl chloride exposure has been associated with an increased risk of liver, brain and lung cancers, lymphoma and leukemia. Chemicals from the crash were flowing down the Ohio River, which prompted authorities in West Virginia to take action to find alternative water supply in Weirton.

WC Bunting Co. (asi/42440) is another East Palestine-based supplier. Specializing in drinkware and brandable food service items, the company’s facility is only a block outside the evacuation zone.

WC Bunting was closed Monday and Tuesday, but was back in operation Wednesday, Feb. 8. Even so, employees were dealing with personal issues. Some, for instance, had evacuated and were staying at hotels in Boardman, OH, and Youngstown, OH. WC Bunting Vice President of Sales Patrick O’Hara said the railroad was paying for the hotels and displaced individuals’ meals, but he wasn’t sure if there would be any further compensation.

“It is too early to tell if insurance will cover this or if the railroad is going to offer anything – we just don’t know yet,” O’Hara said. “Everyone’s current priority is to restore the town to being safe.”

Later in the day on Feb. 8 Guglielmo said that the mandatory evacuation order had been lifted. Several East Palestine residents have already filed a class action lawsuit against Norfolk Southern over the derailment. The suit asks for damages and calls on a judge to prevent the railroad from removing any equipment from the crash site until it can be examined. The plaintiffs also want the railroad ordered to keep all records relating to the train and the chemical spill.