On March 15, 2023, the Surface Transportation Board (“STB” or “Board”) issued a decision in FD No. 36500 that approves the merger of Canadian Pacific Railroad (“CP”) with the Kansas City Southern Railway (“KCS”) (collectively “Applicants”). The STB’s approval is subject to multiple conditions to address anti-competitive concerns, capacity concerns, potential service disruptions, environmental issues, and various other concerns specific to individual stakeholders. The STB also denied competing applications filed by Canadian National, Norfolk Southern, and CSX requesting divestiture of certain KCS lines. The STB’s decision takes effect on April 14, 2023.
This memorandum summarizes the Board’s decision with a focus upon those issues that were of primary concern to the Joint Associations, which included the American Chemistry Council (“ACC”), The Fertilizer Institute (“TFI”), and The National Industrial Transportation League (“NITL”). It also includes a list of all conditions imposed by the Board.