Canadian Pacific Kansas City Merger Approved! - Shortline's Rail News & Comment Episode 12

[@Shortline819]

After nearly two years, the STB approved CPKC. What are everyone's thoughts? Do you agree with the decision and will the new railroad be successful? (BTW, I have a discord server where we talk about rail news and other stuff as well. Please join! discord.gg/3n2ZPk4)

[@madman_7732]

brother thank you, I have a school project that's due in a few weeks on CPKC and your videos have been lifesavers, also you are 100x more entertaining then like 99% of all sources I have used. Thanks a lot and wish you the best.

[@Shortline819]

Thanks! Hope you get a good grade!

[@O-PAC]

While I will miss KCS and CP on their separate identities, I am glad CN didn’t get KCS. I will be looking forward to seeing some CP locomotives down here in Houston as that’s a rare occurrence.

[@Shortline819]

CPKC is certainly a werid mashup identity. The scheme and logo have yet to be revealed. Creel did say the logo will be the CP beaver and shield but with a "nod to KCS." (His words not mine.) Shades of Illinois Central Gulf.

[@herbertw.jr.carrier6122]

I just hope that CPKC(which sounds weird for me) doesn't have to bow down to UP/BNSF and bypass Houston for "alleged" rail congestion that they both suggest. It would be nice if CPKC could boltser their presence thru the area and hopefully compete for some traffic towards Mexico. UP definitely won't be happy with that.

[@hortenciogomez5193]

I think I'm going to like this new CPKC railroad. I'm glad the STB conditions CPKC to have open key gateways like Laredo for shippers interest to use single-line or interchange with another railroad.

[@detroitdieselseries5071]

CP Rail could buy the CSX line from Porter Indiana (near Chicago) to Detroit in the future. Would the STB approve it?

[@Shortline819]

I don't see why not. CSX would still have a Detroit to Chicago line via Toledo. CP could make a very convincing argument in front of the board saying "having our own line would strengthening competition because it would allow us to run as many trains as we want."

[@packr72]

What CSX line is that? Since when do they own a line to Detroit?

[@Shortline819]

@@packr72 The Pere Marquette from Chicago to Detroit through Central Michigan. They also have a line from Toledo to Detroit. CSX has always owned it. Chessie/C&O before that.

[@packr72]

@@Shortline819 The OP implied a direct route, not a circuitous one through Grand Rapids and Lansing. CSX likely has no plans to sell that.

[@Shortline819]

@@packr72 The Pere Maquette ties into Porter, Indiana on its western end, meaning the OP was referencing it instead of the ex-B&O. Your right that CSX would never sell the B&O.

[@jackboy317]

Major win, 2816 will steam again!

[@Shortline819]

Indeed

[@dvdbluraydude3038]

More mergers to follow.

[@Shortline819]

Between Class Is? I'm not so sure. The post-2001 Class I merger rules are so strict it would make any merger VERY hard to pull off. The only reason why CPKC seemed so easy was #1: due to KCS's small size it was exempted from the post-2001 Class I merger rules and #2: the CPKC merger was entirely end-to-end with no overlap. I do expect Class Is to continue to acquire various shortlines, regionals, and even lines from each other. (For the record I do think CPKC will continue to acquire lines.) I don't expect anyone to try a Class I merger. Maybe BNSF and UP could team up to jointly acquire NS, while CN and CP team up to jointly acquire CSX, since that wouldn't necessarily eliminate competition. I've been wrong before though! I'm curious to hear your thoughts!

[@dvdbluraydude3038]

@@Shortline819 I don’t see any Class 1’s buying shortlines, they’ve been selling a good bit of their branch lines lately to smaller railroads like RJ Corman. In order for CPKC to make that railroad really functional they’ll have to purchase some major main lines from elsewhere, “Meridian Speedway.” NS might be on the chopping block like what happened to Conrail. Now that the two major Canadian RR’s have their coast to coast, including now the Gulf of Mexico, transcontinental railways what’s going to stop the Americans from trying the same? Just my opinion.

[@DENVERRIOGRANDEMAN21]

Rip kcs

[@Shortline819]

Rip kcs

[@Holidaykills]

They are right about Hoffman ave,cp has a yard there at the bottom of a hill,joint trackage up the hill is already maxed out most the time,good luck growing a business when you are only as good as your weakest points on the transcontinental assembly line lol.