Canadian Pacific buying Kansas City Southern?

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Just-Thinking-51

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Well Kansas City Southern has been trading like it going to be taken over by another railroad for many years. It finally happened...
 
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Agent

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AFIR MILW -> SOO -> CP as far as how MILW landed up in CP. But my memory could be wrong on this.
Since the longer version hasn't been stated here yet:

The Milwaukee Road line to Kansas City became part of the Soo Line, which then became Canadian Pacific. Then it became I&M Rail Link. Then it became Iowa, Chicago, & Eastern. Then it became Dakota, Minnesota, & Eastern. Then it became CP again.
 
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Since the longer version hasn't been stated here yet:

The Milwaukee Road line to Kansas City became part of the Soo Line, which then became Canadian Pacific. Then it became I&M Rail Link. Then it became Iowa, Chicago, & Eastern. Then it became Dakota, Minnesota, & Eastern. Then it became CP again.
Thanks. I had no idea it went thru all of those stages. I wonder what the Soo Line sold it for, and what CP paid to reacquire it? Would be interesting to know...:)
 

jiml

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Thanks. I had no idea it went thru all of those stages. I wonder what the Soo Line sold it for, and what CP paid to reacquire it? Would be interesting to know...:)
From Wikipedia:
"On September 4, 2007, the Canadian Pacific Railway (CPR) announced it was acquiring the DM&E from its owners, London-based Electra Private Equity, for US$1.48 billion, and future payments of over $1.0 billion contingent on commencement of construction on the Powder River extension and specified volumes of coal shipments from the Powder River basin."

Also in the mix is this rather interesting item from 1996:
 

jiml

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It was actually the Soo Line Corp that recently re-acquired the old CP mainline across the State of Maine from the Central Maine & Quebec Railway:

Soo Line Corporation-Control-Central Maine & Quebec Railway, Inc.

So I imagine it will be the Soo Line Corp acquiring KCS.
Although the Soo Line umbrella covers many of CP's US operations, I believe the ex-D&H and the aforementioned DM&E are not included. The only entity that "lumps" them all together is the STB. None of the financially-based reports on the merger that I've seen have mentioned the word "Soo" except as a footnote (e.g. "Canadian Pacific also owns and operates..."). I have to wonder if we're going to see a new separate subsidiary (CPKC) or if control through the connecting DM&E might make the most sense. It will be interesting to see what happens.
 

TrackWalker

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The new railway will be called CPKC. They should have retained the "S" on the end, so at least they could beat BNSF for longest acronym.;)

Here's hoping CP ditches the red paint and keeps KCS' classy scheme system-wide...
Logo will most likely will be a variation on this...

CPKC
"The New, Improved and now Lemon Scented Keystone Route"
 

Barb Stout

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With regard to the Keystone pipeline comments, are you saying that this new railroad will be carrying oil because the pipeline was nixed?
 

Barb Stout

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I first heard it on NPR this morning. Among other things, the report mentioned that it will help with re-shoring of manufacturing. I think they called it "close shoring" presumably because Canada and Mexico are closer to the US than China.
 

jiml

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With regard to the Keystone pipeline comments, are you saying that this new railroad will be carrying oil because the pipeline was nixed?
In addressing environmental concerns, the CEO of CP said it would be around "5 percent" of the combined business, but they will serve both the origination and intended destination of the pipeline. If you look at the Railway Age article (link posted above) I believe it was the third or fourth slide in the business plan maps.
 

jiml

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jis

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Crowbar_k

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I imagine that route between Shreveport and Davenport is going to become very busy.
 

lyke99

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Kind of can't believe they would ditch the Canadian Pacific Railway name and all of the history connected with it in the company's role in the creation of Canada itself for CPKC...
 
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Looks like the only class one retaining their original core name is Union Pacific...:)
 
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ehbowen

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The new railway will be called CPKC. They should have retained the "S" on the end, so at least they could beat BNSF for longest acronym.;)
Cue new nickname "Cupcake" in 3...2...1...

Here's hoping CP ditches the red paint and keeps KCS' classy scheme system-wide. Also hoping they retain this:
View attachment 21307
Agreed as to that last.
 

Palmetto

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Kind of can't believe they would ditch the Canadian Pacific Railway name and all of the history connected with it in the company's role in the creation of Canada itself for CPKC...

It's all about money, dontcha know.
 

jiml

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Kind of can't believe they would ditch the Canadian Pacific Railway name and all of the history connected with it in the company's role in the creation of Canada itself for CPKC...
Especially after all the effort to replace CP Rail and the PAC-Man logo with full Canadian Pacific on most locomotives.

unnamed.jpg
 
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