First major US railroad merger in 2 decades

The first major railroad merger in more than two decades, one that would link the United States, Canada and Mexico, is being approved by federal regulators. Canadian Pacific’s $31 billion acquisition of Kansas City Southern will combine the two smallest of the nation’s seven major railroads after an arduous two-year review from the U.S. Surface Transportation Board, released Wednesday. The bar for railroad mergers in the U.S. was raised substantially at the start of the century after a couple problematic tie-ups that snarled rail traffic for weeks.
The rest of the industry is expected to remain stable with two major railroads in the Western United States — Union Pacific and BNSF — two in the Eastern United States — CSX and Norfolk Southern — and Canadian National running trains across Canada and parts of the United States.

AP