Canadian Pacific (CP) has reported that another 80 stakeholders have filed statements with the Surface Transportation Board (STB) “expressing concerns” about the proposed CN-Kansas City Southern (KCS) merger, its use of a voting trust, or both.
CN and Kansas City Southern (KCS) on June 23 cited four letters by rail labor filed with the Surface Transportation Board (STB) in support of their proposed voting trust. Three of those letters, from local general committees of the same union, contradict the international’s position.
CN’s offer to keep gateways open on commercially reasonable terms is not getting the attention that it is due. This offer is a key part of its proposal to combine with Kansas City Southern—a transaction that significantly enhances competition.
Kansas City Southern has asked the Surface Transportation Board to reject Canadian Pacific’s petition for expedited declaratory relief, which KCS claims would assist CP in preparing a “hostile” control application.
CN and Kansas City Southern (KCS) have reported receiving an additional 100 letters in support of their proposed merger, bringing the total to more than 1,500.
Trends across the rail industry appear positive, although ongoing congestion is an issue for inland ramps, according to leaders at our recent “Suds with Seidl” event.
Sometimes in decision making, there isn’t much of a middle ground. Sometimes there is simply right and wrong. Such is the nature of the decision facing the Surface Transportation Board (STB) in the coming months as it addresses proposed railroad mergers. Their decision will have a very big impact on what the railroad industry will look like in the coming decades.
Per the Surface Transportation Board’s (STB) request, proposed merger partners CN and Kansas City Southern (KCS) have filed financial documents that will help STB decide whether or not to approve their voting trust agreement. Canadian Pacific, not surprisingly, responded with heavy artillery fire, with support from rail labor.
Indiana Rail Road (INRD) has appointed Dewayne Swindall as President and CEO, succeeding Peter Mills.
The Surface Transportation Board (STB) has directed proposed merger partners CN and Kansas City Southern (KCS) to submit by June 14 certain financial documents, which will inform public comments on their voting trust agreement.
