Requests STB to condition any approval of a CP-KCS merger on the divestiture of KCS Springfield Line to CN, connecting
CN to invest at least
CN’s responsive application will ask the STB to condition any approval of a CP-KCS merger on the divestiture of KCS lines from
The Springfield Line is a direct competitive alternative to CP’s route from
Putting the Springfield Line under CN’s control represents a major opportunity to improve transportation options, promote rail-to-rail competition, and take many of thousands of long-haul trucks off the road annually through increased rail-to-truck competition. CN’s plan for the line will benefit all stakeholders and will advance CN’s continual efforts to ensure competition and choice in our industry, while also creating new jobs and economic opportunities in the region.
Specifically, with the Springfield Line, CN will:
- Make investments of at least
US$250 million in theKansas City, Missouri toSpringfield andEast St. Louis, Illinois line, including terminal upgrades; - Take many thousands of trucks off the road, reducing congestion and emissions;
- Promote competitive options for customers, including automotive and intermodal traffic, which will lead to increased economic prosperity for the Midwest in line with the goals of President Biden’s executive order on competition;
- Open new international markets to customers, including safely and reliably linking
Illinois ,Indiana andMichigan manufacturers and farmers to the world; and, - Preserve all existing competitive options by providing KCS access to customers on the line.
Under CN’s proposal, CN would make necessary capital investments to improve operating speed and terminals, yield environmental benefits, and provide additional pro-competitive options and access for auto and intermodal customers.
About CN
CN is a world-class transportation leader and trade-enabler. Essential to the economy, to the customers, and to the communities it serves, CN safely transports more than 300 million tons of natural resources, manufactured products, and finished goods throughout
Forward-Looking Statements
Certain statements included in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and under Canadian securities laws. By their nature, forward-looking statements involve risks, uncertainties and assumptions. The Company cautions that its assumptions may not materialize and that current economic conditions render such assumptions, although reasonable at the time they were made, subject to greater uncertainty. Forward-looking statements may be identified by the use of terminology such as “believes,” “expects,” “anticipates,” “assumes,” “outlook,” “plans,” “targets,” or other similar words.
Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and other factors which may cause the actual results or performance of the Company to be materially different from the outlook or any future results or performance implied by such statements. Reference should be made to Management’s Discussion and Analysis in CN’s annual and interim reports, Annual Information Form and Form 40-F, filed with Canadian and
Contacts: Media CN Media Relations & Public Affairs (438) 455-3692 Jonathan.Abecassis@cn.ca Affairs (403) 512-5730 mcej@longviewcomms.ca (917) 676-5802 / (312) 468-5802 mfrance@brunswickgroup.com aspinelli@brunswickgroup.com | Investment Community Vice-President Investor Relations (514) 399-0052 investor.relations@cn.ca |
Source:
2022 GlobeNewswire, Inc., source