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Historical Railroad mergers you would have created

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  • Member since
    September 2002
  • From: Sterling Heights, Michigan
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Posted by SD60MAC9500 on Saturday, May 21, 2022 4:28 PM
 

charlie hebdo

 

 
Overmod

While we are in the 'all things were possible' discussions of line combinations following release of Federal Control, we should at least look at labor's contribution: the Plumb plan.

 

 

 

It would have been very interesting.

Aside from that, how about CNW + B&O?

 

Considering UP held a stake in CNW for quite sometime. You probably would be looking at a 3-way merger. UP+CNW+B&O=Union Pacific.

Would've have been a great route for perishables to the East Coast.

 
 
 
 
 
 
Rahhhhhhhhh!!!!
  • Member since
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  • From: Central Iowa
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Posted by jeffhergert on Saturday, May 21, 2022 9:13 PM

I don't think UP held much, if any, stake in CNW until the late 1980s/early 90s after the hostile takeover attempt of CNW by Japonica Partners.  There wasn't too much love between them in the 1960s.  Larry Provo smoothed things over and renewed their relationship in the 1970s.

Jeff

   

  • Member since
    September 2002
  • From: Sterling Heights, Michigan
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Posted by SD60MAC9500 on Saturday, May 21, 2022 10:33 PM
 

jeffhergert

I don't think UP held much, if any, stake in CNW until the late 1980s/early 90s after the hostile takeover attempt of CNW by Japonica Partners.  There wasn't too much love between them in the 1960s.  Larry Provo smoothed things over and renewed their relationship in the 1970s.

Jeff

   

 

You're right. I assumed UP held a stake for sometime prior to. Had to do some digging. UP 's initial ownership was 29.5% in 1988. Then bought out Blackstones 70.5% stake in 1994. I imagine inevitable since UP footed the bill for CNW to gain access to the PRB.

I've wondered if things might have turned out differently if UP got the Rock. Though CNW did have the valuable Missouri Valley bypass around Omaha, and just as good if not better access into Chicago. I could still see both ending up in UP's camp however.

I read somewhere that UP was ready to buy the IAIS if the CNW deal fell through.

 

 

Anyone have thoughts on the years ago proposal of KCS buying the SP? 

One last item..  I watching an interview with former CEO Rob Krebs. He mentioned one of the reasons they proposed merger with CN back in 1999. Was to block CN from getting KCS. CN was looking at the property before it's acquisition of the IC.

 

 
 
 
 
 
 
Rahhhhhhhhh!!!!
  • Member since
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  • From: Central Iowa
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Posted by jeffhergert on Sunday, May 22, 2022 2:02 AM

UP's Kenefick approached the RI twice about becoming "best friends" at Council Bluffs and Kansas City.  RI demurred.  Why nobody involved with RI's management then knows.

Provo about then approached UP.  They then became best friends.

During the hostile takeover attempt, before it was known that UP/Blackstone/CNW management had fended off Japonica, UP took out a 3 or 5 year option to buy the IAIS.  UP had inspected the IAIS a few years before when the CNW had been threatened to be shut down by a strike.  There had been plans, if the strike lasted any length of time, for UP to temporarily reroute trains over IAIS.  The strike didn't last, and no UP trains ever detoured to my knowledge.

Jeff  

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