Four railroads question merger of B.N.S.F. and C.N.
February 01, 2000
by Emily Wilson
NEW YORK — In an "open letter to railroad customers" published in a full-page ad in The Wall Street Journal, chief executives of the Canadian Pacific Railway, CSX Corp., Norfolk Southern Corp. and Union Pacific recently voiced concerns of potential impacts of the proposed merger of the Burlington Northern Santa Fe Railway Corp. and Canadian National Railway Co.
Executives agreed with a statement from Linda J. Morgan, chairman of the Surface Transportation Board, that the merger may result in another round of railroad consolidation, leaving only two large rail systems to serve North America.
In the ad, executives invited shippers to share their views on the merger proposal with the S.T.B. and stated belief that benefits are still emerging from previous railroad mergers, making another merger premature.
B.N.S.F. and C.N. executives said the concerns of the letter were "self-serving and not in the best interests of shippers."