(Source: Press release from the office of U.S. Senator Joe Donnelly, February 4, 2016)
WASHINGTON, D.C. — Today, U.S. Senator Joe Donnelly led a bipartisan group of members from the Indiana congressional delegation in urging the Surface Transportation Board (STB) to thoroughly review and ensure that any merger or acquisition of Norfolk Southern Corporation is in the public interest and will increase competition among rail carriers. Donnelly and eight members of the congressional delegation sent a letter in response to Canadian Pacific Railway’s attempts to acquire Norfolk Southern, which employs 2,500 employees in Indiana.
In the letter, Donnelly and the members wrote, “For more than 100 years, Norfolk Southern has been a strong and productive corporate citizen in the State of Indiana, housing a divisional headquarters in Fort Wayne, Indiana, and operating 1,450 route miles of track with numerous rail yards across the state. We have heard from many potentially impacted manufacturers and other stakeholders regarding their concerns with the proposed merger.”
“…We urge you to ensure that any proposed acquisition of Norfolk Southern by Canadian Pacific is in the public interests of Hoosier consumers, manufacturers, and shippers. Further, we respectfully request that the STB monitor this situation closely to prevent any arrangement that Canadian Pacific would use to circumvent the Surface Transportation Board’s merger review process.”
The STB has the ability to approve or disapprove mergers and acquisitions in the railroad industry. The STB is required to assess, among other things, whether the proposed merger will serve the public interest and whether it will benefit competition among rail carriers.
The full text of the letter can be found at the link above.