News / Faint hope for CP in battle for KCS railroad as DoJ objects to CN bid

Photo 45707565 © Coloradonative | Dreamstime.com

Canadian Pacific’s pursuit of Kansas City Southern (KCS) railroad may be back on, after US lawyers described rival Canadian National’s higher bid as a “risk to competition”.

In a filing to the Surface Transportation Board (STB), the US Department of Justice said the STB should not permit a CN-KCS tie-up which “appears to pose greater risks to competition” than a merger with CP.

The filing claims the deal could spark “potential elimination of direct competition on routes served by both, for example ...