(The Canadian Press circulated the following article on May 26.)
CALGARY — Canadian Pacific Railway Co. said Friday it has completed the sale of its Latta rail line in Indiana as part of its efforts to streamline operations and become more efficient.
The proposed sale to Indiana Rail Road Co. had been approved by the U.S. Surface Transportation Board earlier this month.
Financial terms of the sale, first announced in November, were not revealed.
The Latta subdivision consists of 160 kilometres of track from Fayette, near Terre Haute, to Bedford, Ind. The sale includes trackage rights over CSX from Chicago to Terre Haute and from Bedford to Louisville, Ky.
CP Rail, which employed about 90 people in southern Indiana, said Indiana Rail Road Co. will take over all rail operations on the line starting Saturday.
CP Rail is Canada’s second-biggest rail company, with a 21,000-kilometre rail network that stretches from Montreal to Vancouver, and into the U.S. Northeast and Midwest regions.
Indiana Rail Road’s main business is transporting coal from southwestern Indiana and the Powder River Basin in Wyoming to several online coal-fired electric utilities. The company also ships chemicals for Marathon Ashland’s refinery at Robinson, Ill., refrigerators from General Electric’s plant in Bloomington, Ind., and raw materials into the Hershey chocolate plant in Robinson, Ind.
In trading on the Toronto Stock Exchange on Friday, CP Rail shares rose 50 cents to close at $58.