(The Associated Press circulated the following on January 7.)
NEW YORK — Railroad stocks fell Wednesday, as the broader market declined and two members of Congress revived legislation to repeal antitrust exemptions for the railroads.
Union Pacific Corp., the nation’s largest freight railroad operator, led the decline, down $4.31, or 8 percent, to $49.70 in afternoon trading.
Sen. Herb Kohl and Rep. Tammy Baldwin, both Wisconsin Democrats, filed legislation to repeal antitrust exemptions for the railroads, which they said led to higher rates for shipping coal and other goods.
“This legislation is long overdue and absolutely necessary to begin to end the railroad monopolies that are driving consumer prices up and service down,” Baldwin said.
The lawmakers said current law prevents antitrust review of railroad combinations, which are reviewed only by the Surface Transportation Board, and doesn’t stop railroads from collective ratemaking. Their legislation would let federal and state officials and private parties sue to block mergers and acquisitions and put review of such combinations under the Justice Department.
Similar legislation died last year after passage by the House and Senate judiciary committees.
Shares of Burlington Northern Santa Fe Corp. were down $3.56, or 4.4 percent, to $77.71; CSX Corp. was off $1.76, or 4.8 percent, to $34.93; and Norfolk Southern Corp. was down $2.15, or 4.3 percent, at $47.75.