STB receives hundreds of comments about CN voting trust for U.S. railway by deadline

Canada’s two largest railways remain at loggerheads about the first major U.S. railway acquisition in more than 20 years as the deadline for public comments about CN’s voting trust for Kansas City Southern comes to a close.

The U.S. Surface Transportation Board has received hundreds of comments about Canadian National Railway Co.’s proposed tie-up with the small U.S. railway by the deadline today.

Montreal-based CN says it is confident that its “transaction will receive all necessary approvals” and that it will ultimately combine with KCS.

Rival Canadian Pacific Railway Ltd. says it plans to file comments showing the public interest costs of CN’s voting trust outweigh “non-existent benefits.”

The Calgary-based railway says it is continuing its own application process to acquire KCS even though the railway abandoned CP to declare the more lucrative offer a superior bid.

CP said more than 1,000 shippers and others have written to the U.S. railway regulator in support of CP’s proposed combination with KCS or in opposition to the CN proposal.

This report by The Canadian Press was first published June 28, 2021.

Companies in this story: (TSX:CNR, TSX:CP)

The Canadian Press