Canadian National Railway Stock Price, News & Analysis

Canadian National Railway (CNR) and Kansas City Southern (KCS) are gaining strong support for their pro-competitive merger, with over 1,650 letters filed with the Surface Transportation Board (STB) advocating for their proposed voting trust agreement. This merger aims to enhance North American trade by providing seamless transportation options. Key stakeholders, including local officials and unions, highlight the merger's potential benefits for economic growth and environmental sustainability. CN also plans to divest a key overlapping line, reinforcing the merger's competitive advantages.

CN and KCS announce overwhelming support for their pro-competitive merger, with over 1,650 letters filed with the STB, including nearly 200 newly added letters. Key proponents like Congressman Sam Graves highlight the merger's potential to boost trade between Canada, the U.S., and Mexico. The proposed voting trust will maintain KCS's independence and protect shareholders during regulatory reviews. Additionally, CN will divest a 70-mile track in Louisiana to ensure seamless operations. This merger is expected to enhance economic growth and create new service options across North America.

CN (CNI) and Kansas City Southern (KSU) have announced their commitment to maintaining competitive options for grain customers through CN's open gateways initiative as part of their merger. This commitment ensures that existing routes remain available, enhancing competition and service for stakeholders, particularly in the Upper Midwest.

Former STB economist Dr. William Huneke emphasized the significance of this initiative, stating it promotes fair competition and reasonable rates for shippers. The STB's approval of a voting trust is essential for the merger to proceed, alongside CN's pledge to divest overlapping routes to encourage a procompetitive environment.

CN (CNI) and Kansas City Southern (KSU) emphasized the advantages for grain customers stemming from their merger plans. The commitment to maintain open gateways ensures that agricultural stakeholders will continue to enjoy competitive rates and service. Senior VP James Cairns noted that this merger could enhance competition in rail services. The Surface Transportation Board must approve the voting trust for the merger. Over 1,500 letters supporting the merger have been filed. Dr. William Huneke praised the initiative as beneficial for shippers and the economy, offering competitive routing options.

CN (NYSE: CNI) and Kansas City Southern (NYSE: KSU) have co-authored an op-ed emphasizing the benefits of their proposed merger. They argue that this combination will enhance infrastructure efficiency, benefiting U.S. manufacturers and expanding the reach of agricultural producers. Notably, they claim a shift from truck to rail will save 260,000 tons of CO2 annually. Additionally, they advocate for the approval of a plain vanilla voting trust, which would maintain KCS's independence during regulatory reviews and uphold its financial health.

The recent op-ed by CN's CEO, JJ Ruest, and KCS's CEO, Patrick J. Ottensmeyer, emphasizes the economic benefits of their potential merger.

They argue that the merger will optimize supply chains and enhance competition across North America, benefiting sectors like manufacturing, agriculture, and construction. Environmental advantages are highlighted, with significant CO2 emissions reductions projected by shifting freight from trucks to rail. Additionally, they advocate for the approval of a proposed plain vanilla voting trust to ensure KCS's independence during regulatory reviews.

The International Brotherhood of Boilermakers has filed a letter with the Surface Transportation Board (STB) supporting the proposed voting trust agreement between Canadian National (CNI) and Kansas City Southern (KSU). This pro-competitive combination is expected to enhance job creation, capital investment, and revenue growth. The voting trust will maintain KCS's independence while ensuring financial health during the STB's review. CN plans to divest overlapping routes, ensuring a seamless end-to-end network. Stakeholders have until June 28, 2021, to comment on the application.

The International Brotherhood of Boilermakers (IBB) has expressed support for Canadian National Railway (CNR) and Kansas City Southern's (KSU) proposed voting trust with the Surface Transportation Board. This endorsement highlights the job creation and revenue growth potential from the CN-KCS combination. The proposed voting trust structure is similar to one previously approved for Canadian Pacific Railway and ensures KCS's financial health during the review process. The companies aim to complete their combination by June 28, 2021, with a commitment to preserve existing routes and job security.

CN and Kansas City Southern (KCS) announced support from three local SMART unions for their proposed voting trust, emphasizing benefits for organized labor. The letters, representing over 1,800 conductors, showcase strong backing for the CN-KCS combination. The proposed trust aims to ensure KCS's independence during the Surface Transportation Board (STB) review while maintaining its financial health. Additionally, CN plans to divest overlapping lines to enhance competition. This partnership is expected to boost job creation and growth opportunities across North America.