(The Canadian Press circulated the following on November 2.)
MONTREAL — The country’s two largest railways, Canadian National Railway Co. and Canadian Pacific Railway Ltd. have agreed on a protocol for using the most efficient way to exchange interline freight traffic at key gateways.
The deal announced yesterday is part of a continuing effort by the railways to unclog key portions of their rail networks by sharing track and other infrastructure. It will cut costs for the railways and let them deliver their customers’ goods with fewer delays.
Under the agreement, some gateways, principally Montreal (St-Luc), Milwaukee, and Winnipeg (Paddington), will see more interline traffic while others, including Chicago, Minneapolis, Superior, Wis., Calgary and several southern Ontario locations, will see less.
“This routing protocol will deliver faster, more dependable service to our customers while generating better utilization of railway assets,” said CN president and chief executive officer Hunter Harrison. “We are working together smarter for our customers, yet remain determined competitors in the marketplace.”
Both Montreal-based CN and Calgary-based CPR operate transcontinental rail lines across Canada and also have operations in the United States.