I rarely think about freight rail. But i guess it’s still big business.
Railroads Strike a $25 Billion Merger Railroads Strike a $25 Billion Merger - WSJ
It’s subject to regulatory approval in the US as to whether it will increase or decrease competition.
As long as it’s not a highway!
Smart move by Canadian Pacific. This will bring their operating revenue much closer to Canadian National’s.
I wonder why Canadian National (that already has a Montreal, Toronto, Detroit, Chicago, St. Louis, New Orleans route) didn’t pick it up previously so as to be able to get business from Mexican shippers who might prefer to have a single line carrier as much as possible.
CN was already running trains down Kansas City to Mexico, and actually buying KC would have given them two parallel North/South routes – which they probably would not have been able to get regulatory approval for. I imagine the CP will be required to continue the deal with CN to get approval for the merger.
I think that there’s at least one more N/S route between the two lines. I’d love to see trains running through central Illinois again, but I don’t think that’s going to happen.
Alas, another “fallen flag” railroad. Been around since the late 1880s.