News & Reviews News Wire CPKC’s concerns about CN’s acquisition of Iowa Northern are too little, too late, CN says

CPKC’s concerns about CN’s acquisition of Iowa Northern are too little, too late, CN says

By Bill Stephens | March 5, 2024

CPKC missed two deadlines while asking federal regulators to give the CN-IANR deal a more thorough review, CN says

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Two silver and yellow locomotives on track with snow
A pair of Iowa Northern slug-equipped F40M-2Fs makes a nice matched consist as it hauls cars to interchange with Canadian National in Waterloo, Iowa, on Jan. 18, 2024. Chris Guss.

WASHINGTON — Canadian National says Canadian Pacific Kansas City missed two deadlines when it asked federal regulators to give CN’s proposed acquisition of Iowa Northern Railway a more thorough review.

The Surface Transportation Board on Feb. 29 designated the acquisition as a minor transaction. CPKC on March 1 asked the board to consider the $230 million deal a significant transaction that would require a longer and more rigorous regulatory review.

But CN points out that CPKC filed its comments six days late, and hours after the STB was required to submit its merger classification decision for publication in the Federal Register.

CN, in a filing today, also says that CPKC’s objections don’t meet the standard for the board to reconsider its decision, and that the STB was correct in determining the deal is a minor transaction.

The STB must approve minor transactions unless it finds a merger would harm competition. CN says acquisition of the 218-mile Iowa Northern will boost rail competition, divert freight off the highway, and give Iowa shippers broader access to single-line service.

CPKC and regional Iowa Interstate say CN’s acquisition of the Iowa Northern would stifle competition in the Hawkeye State.

4 thoughts on “CPKC’s concerns about CN’s acquisition of Iowa Northern are too little, too late, CN says

  1. So according to CN the CPKC was too late with their filing but the filing from Iowa Interstate is perfectly fine…that’s what I gather from them being left out of CN’s response.

  2. What’s with these two, they get along relatively well in Canada but not so much in America.

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