NORFOLK, VA
After much controversy and disagreement, the first big Class One railroad merger has taken place. The Canadian Pacific Railway and the Norfolk Southern Railway have agreed to merge and become the third-largest railroad in North America in terms of revenue. It was a move that many would have never expected to happen, but the CP and NS have finally received the respect from the other Class One railroads and the permission from the Federal Railroad Administration to be able to merge without any major conflict.
Norfolk Southern will receive most of the share and will run things their way, retaining the Norfolk Southern name. James A. Squires remaining CEO of the railway, running things in his original style. Canadian Pacific’s power, consisting of AC4400CWs and ES44ACs, will be repainted into the NS black and white “Horsehead” paint scheme. The SD40-2 fleet of CP will enter an extensive overhaul program to be upgraded to NS standards. The GP38-2/GP40 fleet will receive similar upgrades. The AC44C6M and SD70ACu programs will continue, with CP’s long-stored SD9043MAC fleet being the next to be rebuilt into SD70ACu locomotives. The SD9043MAC fleet will be re-activated and returned to revenue service until it is their turn to head to EMD for rebuild.
As well, the former Soo Line SD60 locomotives will be part of the SD60E program, and will be rebuilt at Juniata once the shops are ready for them. The SD60M locomotives will just be repainted and will join the same number series as the ex-BN SD60Ms acquired by NS in 2014. The numbers assigned for the SD60M units are 6816-6820.
As far as revenue goes, Norfolk Southern will become the third-largest railroad in North America, only behind the BNSF Railway and the Union Pacific Railroad. Average revenue will reach around $17 billion, overtaking CSX Transportation and the Canadian National Railway.
The railroad industry took the merger well, seeing it as an opportunity to help the industry itself grow. However, railfans seem to think otherwise, treating the merger as a “punch in the face” to the heritage of Canada’s oldest railroad.
“If anything could’ve happened to the Canadian Pacific, merging with another railroad and losing its heritage was the last thing I would have expected”, says long-time Canadian Pacific fan John Smith, his feelings hurt after NS announced it would retain its name and put the “Canadian Pacific” name in the history books. Many Canadian Pacific fans were devastated to hear the bad news.
It is a shame to the long-time fans of CP to lose something they loved for so long to a younger company. Things will never be the same again for them.