One Railroad connecting the U.S., Mexico and Canada

Canadian Pacific and Kansas City Southern close into Voting Trust

Canadian Pacific (CP) completed its acquisition of Kansas City Southern (KCS) on Dec. 14, 2021, a historic day for the two iconic companies. Immediately upon the closing of the acquisition, the shares of KCS were placed into a voting trust with Dave Starling, former KCS President and CEO, appointed as the Voting Trustee. The trust, which ensures KCS will operate independently of CP, will remain in effect until the U.S. Surface Transportation Board (STB) issues its decision on the companies’ joint railroad control application to create Canadian Pacific Kansas City (CPKC), the only single-line railroad linking the United States, Mexico and Canada.

Expected benefits from the business combination will not be realized until the STB approves CP’s control of KCS’ railroads. Upon obtaining control approval from the STB, the two companies will be integrated fully over the ensuing three years, unlocking the benefits of the combination.

Read the full announcement here.

“CPKC will become the backbone connecting our customers to new markets, enhancing competition in the U.S. rail network, and driving economic growth while delivering significant environmental benefits. We are excited to reach this milestone on the path toward creating this unique truly North American railroad.”  

– Keith Creel, CP President and Chief Executive Officer 

“As a Board and management team, we are proud of the countless contributions and achievements of all those who work for Kansas City Southern. We are excited for the possibilities that will open to us through this combination with CP and we look forward to our next chapter.” 

– Patrick J. Ottensmeyer, KCS President and Chief Executive Officer

STB Regulatory Review

CP and KCS have jointly filed a railroad control application with the STB regarding the proposed transaction to create CPKC. The comprehensive control application provides an overview of the proposed operational integration of the CP and KCS rail networks, the impact of that combination on the companies’ finances and labour needs, and the anticipated competitive and other benefits that will flow from providing shippers with new and better transportation alternatives.

The STB has created a project web site for information about the board’s environmental review of the proposed combination.

A CP-KCS combination:

Creates the first U.S.-Mexico-Canada Rail Network 

Offers Unparalleled Service & Benefits for Shippers

Expands Commitment to Safety & Innovation

Delivers Value for Both Companies’ Shareholders