Railroad News

Rail News Home Kansas City Southern 9/3/2021 Rail News: Kansas City Southern
Kansas City Southern has rescheduled until Sept. 24 a special meeting of stockholders to vote on the CN merger agreement and other proposals.KCS adjourned the special meeting that had been scheduled for today.All stockholders of record of KCS common stock and KCS 4% non-cumulative preferred stock as of the close of business on July 1, 2021, remain entitled to vote their shares at the special meeting, KCS officials said in a press release.As previously disclosed, KCS is working to evaluate its options and the KCS Board of Directors will continue to make decisions based on the best interests of the company and its stockholders, they said.Earlier this week, after the Surface Transportation Board rejected the use of a voting trust in the proposed CN-KCS merger, KCS confirmed that it received an unsolicited proposal from Canadian Pacific reaffirming CP’s interest in acquiring KCS.

Rail News Home Union Pacific Railroad 9/2/2021 Rail News: Union Pacific Railroad
Union Pacific Railroad announced it is among U.S. employers actively hiring as the nation’s economy continues to improve.The Class I is soliciting applicants for more than 50 job openings across its system, with more openings anticipated in the coming months, according to a report on UP’s website.Finding new employees "has never been more competitive or sometimes difficult," reported Ken Kuwamura, senior manager of talent acquisition at UP."Other industries, like entertainment, trucking, education, medical and construction, also are experiencing similar challenges," he wrote.Adding to the hiring challenge is a commitment the railroad made to improve its workplace diversity. By 2030, UP has said it will increase representation of women in its workforce to 11%, doubling its current population, and has a goal of increasing its minority workforce to 40%."We've included several working groups across the company to focus on many different issues that all ultimately lead back to making our work environment one that attracts many candidates from diverse families, backgrounds and experiences," Kuwamura wrote.In addition, UP has put in place an incentive program for current transportation employees to relocate to some of the areas in need of workers."The program has been a huge success and will soon be rolled out to the other crafts at Union Pacific," said Kuwamura.

Rail News Home Canadian National Railway - CN 9/2/2021 Rail News: Canadian National Railway - CN
TCI Fund Management, one of CN’s largest investors, is calling on the Class I to withdraw its acquisition bid for Kansas City Southern. TCI also is urging CN Chairman Robert Pace and Chief Executive Officer JJ Ruest to step down.TCI, which owns more than 5% of CN’s outstanding shares, announced its position on the same day the Surface Transportation Board’s Aug. 31 decision to deny CN’s request to use a voting trust plan as part of its acquisition of KCS.In an Aug. 31 presentation to the CN board, TCI called for Jim Vena — a former CN chief operating officer who most recently served as chief operating officer at Union Pacific Railroad — to be appointed CEO. TCI also called for former CN board member Gil Lamphere to be appointed as a director.In May, after the STB announced it would apply its latest merger rules regarding voting trusts in its consideration of CN’s proposal to acquire KCS, TCI wrote a stinging letter to Pace calling on the board to drop its pursuit of KCS or alter the merger proposal."In light of [the May 18th] STB ruling, we think it is negligent and hugely irresponsible for the CN board to commit C$2 billion of shareholders' money on whether the STB will approve the voting trust for the CN-KCS transaction. … The STB is sending a clear signal and the CN board has a duty to listen. The risk that the voting trust is not approved is too great to ignore," TCI's letter stated.TCI's May 18th letter to Pace can be read here. The Aug. 31 presentation to the board can be read here.TCI is also the largest shareholder of Canadian Pacific, which yesterday reaffirmed its Aug. 10 offer to acquire KCS. TCI does not own a position in KCS.