Posts Tagged ‘Canadian Pacific’

Amtrak to Back CP-KCS Merger

January 7, 2022

Amtrak said Thursday it will support the merger of Canadian Pacific and Kansas City Southern during the regulatory review process.

The passenger carrier said CP has agreed to cooperate with Amtrak in various service expansions in the Midwest and South.

These include increasing the frequency of service between Chicago and Milwaukee; extending a Hiawatha Service trains west of Milwaukee to St. Paul, Minnesota; and allowing Amtrak to use the Detroit River Tunnel to extend service to Toronto via Windsor, Ontario.

The latter service would connect with trains of VIA Rail Canada.

CP also has agreed to work with Amtrak to launch new service between New Orleans and Baton Rouge, Louisiana, and to participate in a study of new service between Dallas and Meridian, Mississippi.

In a statement, Amtrak President Stephen J. Gardner cited CP’s “consistent record as an Amtrak host” railroad, having achieved an A rating in the passenger carrier’s annual host railroad report card.

Amtrak said CP is the first Class I railroad to “complete 100 percent  certification of its Amtrak schedules” to the U.S. Surface Transportation Board.

This Time I Was Not Upset

December 23, 2021

Early in November I saw the Canadian Pacific ES44AC No. 8781 was going to be heading east on CSX. It had recently been given an orange Hapag-Lloyd  Saint John Express scheme.

Ursula and I had stops to make in Willoughby. Around 12:30 p.m. it was reported near Cleveland so I decided to wait in Mentor at the parking lot of the restaurant in the former New York Central passenger station.

The sun was shining in the perfect spot for an eastbound. About 1 p.m. a headlight appeared. I did not have my camera but was going to use Ursula’s iPhone.

By not having it ready to shoot, I did not get a photo. The lighting was ideal and the locomotive was spotless. I think I was upset.

Just before Thanksgiving No. 8781 was leading a CSX train again and I saw a post that it was passing through Collinwood yard in Cleveland.

I immediately hopped in the car with my camera to head to Perry. The post on HU was not close to the actual time it was seen since the train passed me on the way. I think I was upset.

About 9:30 a.m. on Wednesday I saw a post that it had passed through LaGrange as the DPU on the I 166. However, its nose was facing west.

There was no sun, but I did not care. I went to Perry and waited. The only train I saw was the one I wanted. I was not upset.

Article and Photographs by Edward Ribinskas

CP-KCS Deal to Close Today, STB Sets Hearing for CSX-Pan Merger

December 14, 2021

Canadian Pacific is expected to assume ownership of Kansas City Southern today (Dec. 14, 2021).

The $31 billion acquisition was approved by shareholders of both companies last year, but a merger of the two companies is pending review by the U.S. Surface Transportation Board.

KCS will continue to operate as an independent company during the review period and be placed in a blind trust until the STB rules in what is expected to be the fourth quarter of 2022.

During this period, management of KCS is expected to remain the same.

In an unrelated development involving Class 1 railroad mergers, the STB has set hearing dates of Jan. 13-14, 2022, for the proposed merger of CSX and New England regional railroad Pan Am Railways.

The hearing will be held online on Jan. 13 with time reserved for the following day if needed.

Those wishing to address the Board must file a notice of intent to participate by Dec. 20.
The STB also said last week that it will not require an environmental and historic review in the CSX acquisition of Pan Am.

KCS Stockholders OK Merger With CP

December 10, 2021

Stockholders of Kansas City Southern voted overwhelmingly on Friday in favor of a merger with Canadian Pacific.

KCS said the merger won approval of 99.6 percent of the votes cast. Earlier in the week CP shareholders approved the merger by a similar tally.

CP has proposed acquiring KCS in a stock and cash transaction by which KCS common share holders will receive $90 in cash and 2.844 CP shares for each KCS share held.

KCS preferred shareholders will receive $37.50 in cash. The deal is expected to close on Dec. 14 at which time KCS will be placed in a voting trust while the U.S. Surface Transportation Board reviews the proposed merger.

If the merger wins regulatory approval, the surviving company will be known as Canadian Pacific Kansas City.

The STB is expected to rule on the merger by the fourth quarter of 2022. The merger earlier received approval of regulators in Mexico.

CP Shareholders OK Merger with KCS

December 8, 2021

Shareholders of Canadian Pacific today approved a merger with Kansas City Southern. KCS shareholders will vote on the merger on Friday.

The vast majority of CP stockholders approved the $31 billion deal, which involves CP buying KCS and putting it in a blind trust while U.S. regulators consider the merger.

Terms of the deal include CP issuing 277 million shares of CP common stock to KCS common stock holders.

Review of the merger by the U.S. Surface Transportation Board is expected to take much of 2022.

If the merger is approved the surviving company will operate as Canadian Pacific Kansas City.

Mexico Approves CP-KCS Merger

November 27, 2021

The Mexican Federal Economic Competition Commission on Friday approved a proposed merger of Canadian Pacific and Kansas City Southern.

Mexican approval was needed because KCS has rail lines in that country.

The merger, which involves CP buying KCS, must still be reviewed by the U.S. Surface Transportation Board, a process that is expected to take about year.

At present CP and KCS continue to operate as independent entities, but if shareholders of both companies approve the deal later this month CP plans to place KCS into a blind trust owned by CP.

STB Accepts CP-KCS Merger Application

November 24, 2021

The merger application filed by Canadian Pacific and Kansas City Southern has been accepted by the U.S. Surface Transportation Board.

Regulators are expected to take up to a year to review the merger bid, which the carriers formally sought in October.

The STB thus turned aside objections by Union Pacific and Canadian National that the CP-KCS merger application was incomplete (UP) or filed too soon (CN)

 “The Board finds that the Application is complete as it contains all information required by the Board’s regulations. Accordingly, the Application is accepted,” the board wrote in accepting the CP-KCS application.

CP ‘Orange Crush’ Cruises Through Cleveland

November 6, 2021

On Friday Canadian Pacific ES44AC No. 8781, the Hapag-Lloyd unit – already nicknamed “Orange Crush” by railfans (for the REM song) – came through Cleveland leading the I166 which was formerly Q166.  I caught it at Berea in late morning and at East 361st Street in Willoughby in early afternoon.

Photographs by Todd Dillon

CP Shareholders to Vote Dec. 8 on KCS Acquisition

November 4, 2021

Shareholders of Canadian Pacific will meet Dec. 8 to consider the planned acquisition of Kanas City Southern.

The meeting will be held online and is open to shareholders who held CP common stock as of the close of business Nov. 1.

CP is buying KCS in a cash and stock transaction valued at $31 billion. Shareholders of KCS must also approve the deal.

STB Outlines Review Schedule for CP-KCS Merger

November 3, 2021

The U.S. Surface Transportation Board has outlined the procedural schedule it will follow in considering the proposed merger of Canadian Pacific and Kansas City Southern.

The STB has proposed a 245-day proceeding with a series of deadlines for public comment and the filing of briefs.

A final decision on the merger would likely be issued in fall 2022 under that schedule.

The Board also has posted for public review the 4,342-page merger application of the two Class 1 railroads which plan to operate as Canadian Pacific Kansas City if the merger is approved.

The STB’s procedural schedule can be found at: https://dcms-external.s3.amazonaws.com/DCMS_External_PROD/1635884078941/50974.pdf