Transport Topics Online  
The Newspaper of Trucking and Freight Transportation
Welcome  Guest  Log In         
2/11/2016 11:00:00 AM Write a Letter to the Editor Write a letter to the Editor

CP to Drop Norfolk Southern Pursuit if Resolution Fails, CEO Says

Canadian Pacific Railway Ltd. is ready to end efforts to buy Norfolk Southern Corp. if shareholders of the U.S. railroad reject a resolution calling for merger talks, the head of the Calgary-based company said. 

Asked by an analyst at a BB&T Corp. conference if a defeat of the resolution would mark the end of efforts to acquire Norfolk Southern, Canadian Pacific CEO Hunter Harrison said, “Yes, I think so.”

“We’re making preparations that if we’re not successful in entering a dialogue, that we’re going to go back and focus on running” the railroad, Harrison said, according to a recording of the event. “And making it even more successful and having a good year and rewarding shareholders.”

Canada’s second-largest railroad plans to submit a resolution to Norfolk Southern investors requesting that the U.S. company’s board “engage in good-faith discussions,” Canadian Pacific said in a statement Feb. 9. Norfolk Southern has rejected several approaches, including one in December that valued the U.S. carrier at $27 billion.

Canadian Pacific won’t present an alternative slate of directors at Norfolk Southern’s 2016 annual meeting.

By Frederick Tomesco
Bloomberg News


Follow Transport Topics on Subscribe to get up to the minute news briefs and more from our feeds. RSS Twitter Twitter Facebook Facebook

© 2016, Transport Topics, American Trucking Associations Inc.
Reproduction, redistribution, display or rebroadcast by any means without written permission is prohibited.


  RELATED ARTICLES

 
LATEST NEWS



 
LATEST JOBS
Follow Us

Newsletters

TTExpress
This free daily newsletter delivers the latest headlines.

TT Executive Suite
This subscriber-only newsletter program tailors your news.

Services

Advertising

EMU
iTech
© American Trucking Associations, Inc., All Rights Reserved TTNews.com Privacy Statement