Although both stockholder and regulatory approval remain to be obtained, it appears that Canadian Pacific Railway will be allowed to acquire Kansas City Southern Railway Company. The merger will be the first marriage of Class I railroads in decades and, according to pundits, likely the last. Two facts make this merger particularly interesting:
- The two railroads have no parallel routes, which is unusual for railroad mergers. The only place where the two roads meet is in Kansas City. This makes regulatory approval easier, though other railroads will register objections because that’s what railroads do in such cases.
- The combined railroad will be a true North American railroad, with major routes in Canada, the United States, and Mexico. In principle, a single train could travel on the combined railroad, which will be called Canadian Pacific Kansas City (CPKC), from Mexico City to Vancouver.
The KCS logo (See image at left) hardly seems like a twenty-first-century design, but neither does it seem ancient. I fear that Creel might simply affix “KC” to the existing “CP” add-on and re-center the resulting text. This would hardly suggest a forward-looking, expanded Class I railroad. Nor would it “honor the KCS team” very much.