CP - KCS Deal Looking Certain

Sep 14, 2021

It almost seems certain now, that Calgary based CP rail will move forward in acquiring Kansas City Southern.

On the weekend, the board at KC said the bid of about 31 billion dollars by CP, which includes debt was superior to the offer being made by rival CN. Initially, the company had accepted CP's bid, months ago, but then entertained a sweeter off by CN. But it was dealt a major setback recently when the US surface transportation board rejected CN's use of a voting trust to complete the deal.

CP said on the weekend, its merger with KCS would maintain all existing freight rail gateways while creating new north-south lanes between western Canada, the US, upper Midwest, the gulf coast and Mexico. CP also said the deal would create a route network that doesn't funnel all of its traffic through the already congested Chicago area.

Meanwhile, some of the top shareholders for CN are demanding changes to the current board of directors and the firing of the company's CEO.

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Video: Winter Service Inspections for John Deere Equipment - The FarmCast Ep64

The FarmCast, host Troy Randall speaks with Doug Luedke, Vice President of Service, and Davin Peterson, Executive Vice President of Aftermarket at 21st Century Equipment, to discuss the importance of proactive service and how it helps farmers reduce downtime during their busiest seasons. The conversation focuses on the Winter Service Inspection Program, a comprehensive approach designed to keep equipment running at peak performance and limit costly in-season breakdowns through preventative maintenance and expert technician support.

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