Canadian Pacific (“CP”) and Kansas City Southern (“KCS”) today combined to create Canadian Pacific Kansas City, as authorized by the U.S. Surface Transportation Board’s (“STB”) March 15, 2023 final decision, creating the first single-line railway connecting Canada, the U.S., and Mexico.

CP completed its US$31 billion acquisition of KCS on Dec. 14, 2021. Immediately upon the closing of that acquisition, shares of KCS were placed into a voting trust, which ensured that KCS operated independently of CP during the regulatory review process. Today, pursuant to the STB’s March 15, 2023 final decision approving the transaction, the voting trustee transferred the KCS shares to an affiliate of CP, formally bringing KCS into the CPKC family.

In Kansas City today, the company will mark the creation of CPKC by hosting a celebration featuring the driving of the ceremonial Final Spike at the only place where the CP and KCS railroads meet. CPKC will also break ground today on a new yard office, the future location of its state-of-the-art U.S. operations center.

CPKC will bring a new safety standard to the North American rail landscape. CP has been the safest railroad in North America for 17 straight years, as measured by the Federal Railroad Administration-reportable train accident frequency ratio. In 2022, CP had an all-time best frequency of 0.93, a rate nearly half what the company produced a decade ago and 69 percent lower than the Class 1 average.

CP’s culture of safety, supported by its history of sustained investments in core infrastructure and technology, aligns with KCS’s like-minded culture, allowing the combined system to operate at the apex of rail safety. CPKC will place safety at the forefront of everything it does.

-via Railpace Newsmagazine

CPKC plans capital investments in new infrastructure of more than US$275 million over the next three years to improve rail safety and the capacity of the core north-south CPKC main line between the U.S. Upper Midwest and Louisiana.

Anticipated environmental benefits of CPKC include the avoidance of more than 1.6 million tons of greenhouse gas (GHG) emissions due to the anticipated improved operational efficiency of CPKC versus current operations and another 300,000 tons of GHG emissions with the diversion of 64,000 trucks to rail for a total reduction of 1.9 million tons of GHG emissions over the next five years. Diverting 64,000 long-haul truck shipments to rail annually with new CPKC intermodal services will reduce total truck vehicle miles traveled by almost 2 billion miles over the next two decades, saving US$750 million in highway maintenance costs.

CPKC will also support the expansion of Amtrak and other passenger services on the CPKC network.

CPKC filed articles of amendment changing the company’s name to “Canadian Pacific Kansas City Limited”, which became effective today. CPKC’s common shares will remain listed on the Toronto Stock Exchange (TSX) and New York Stock Exchange (NYSE) under the ticker symbol “CP” and are expected to begin trading under the new name and new CUSIP (13646K108) on April 18. Each existing share certificate reflecting the former name of the company will continue to represent a valid certificate until such certificate is transferred, re-registered or otherwise exchanged.