405-plus Customers and Stakeholders Put Support Behind CP-KCS Combination
Canadian Pacific Railway Limited (TSX: CP) (NYSE: CP) ("CP") and Kansas City Southern (NYSE: KSU) ("KCS") today announced that Bartlett Grain, Port of Milwaukee, Asociación Mexicana de la Industria Automotriz A.C. (AMIA) were among stakeholders that filed statements with the Surface Transportation Board (“STB”) in support of the planned combination between the two companies. They join over 405 supporters across the broad spectrum of the transportation supply chain that have filed letters with the STB.
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The statements follow previous filings with the STB on March 31, 2021, April 6, 2021 and April 12, 2021. Shippers and supporters stated they expect the combination of CP and KCS would, among other benefits, invigorate transportation competition, expand access to existing and growing markets and provide new service offerings that would improve transit times and reliability.
Many of the supporters also requested the STB to review the transaction as efficiently as possible so the systems could be integrated, and the end-to-end benefits of this combination can be realized for the benefit of all stakeholders.
The CP-KCS combination is expected to provide an enhanced competitive alternative to existing rail service providers and is expected to result in improved service and efficiency to customers of all sizes. When combined, the CP-KCS network would remain the smallest of six U.S. Class 1 railroads by revenue.
CP is seeking approval from the STB for the combination, which also remains subject to the approvals of CP and KCS shareholders and other customary closing conditions. The STB review is expected to be completed by the middle of 2022.
For more information on the transaction and the benefits it is expected to bring to the full range of stakeholders, visit www.FutureForFreight.com.
Forward Looking Statements and Information
This news release includes certain forward-looking statements and forward-looking information (collectively, FLI) to provide CP and KCS shareholders and potential investors with information about CP, KCS and their respective subsidiaries and affiliates, including each company’s management’s respective assessment of CP, KCS and their respective subsidiaries’ future plans and operations, which FLI may not be appropriate for other purposes. FLI is typically identified by words such as “anticipate”, “expect”, “project”, “estimate”, “forecast”, “plan”, “intend”, “target”, “believe”, “likely” and similar words suggesting future outcomes or statements regarding an outlook. All statements other than statements of historical fact may be FLI. In particular, this news release contains FLI pertaining to, but not limited to, information with respect to the following: the transaction; the combined company’s scale; and future business prospects and performance.