Why Canadian Pacific is Merging with Kansas City Southern (CPKC)
HTML-код
- Опубликовано: 13 апр 2023
- April 14th, 2023 is the day that Canadian Pacific and Kansas City Southern start merging to creating Canadian Pacific Kansas City/CPKC Rail. While I can't answer how the two railroads will merge, I can share some reasons why the merger looks like dollar signs from Canadian Pacific's point of view. We also mention the DM&E, CMQ, SOO/WC, the D&H, and other CP gains and loses in the last three decades.
Credit to Canadian Pacific Railway/CPKC for the wonderful map and logos.
Check out my channel for countless railfanning videos from the Canadian Pacific D&H Northend!
Thanks for watching! If you haven't already, please subscribe and hit the bell to stay up to date on my new adventures.
Get your own NCT merch here!
tinyurl.com/bdh7t9yu
My blog:
northcountrytrains.wordpress.com 
Игры
Subscribe for more high quality railroad content weekly!
Unlike other mergers, this is an end to end merger. The merger links 3 nations. Vancouver's intermodal terminal is at least 18 hours closer to Asia that any US terminal meaning that CP can serve central N. America better than any other railroad. Traffic southbound between the Twin Cities and New Orleans will by-pass Chicago avoiding that bottleneck. CP needs to market its competitive advantage.
Great report Harrison, watching it was time well-spent!
I loved the images and especially the music toward the closing, and the commentary was first-rate!
Well done!
First class 1 to operate in 3 countries. What a power move
And still the smallest Class I. It’s truly a skeletal system.
The track layout looks like a skeleton
When I hired on the KCS in 1995, they were constantly talking merger. The D&H south of Albany has no online traffic, and the NS purchase was a good thing. Little KCS fun fact. I started my RR career on the KCS in 1995, working into KC. There was an old yardmaster named Richard working Knoche Yard. When we would enter the yard, most of the time we would have to cut our trains into segments and put it into multiple tracks. Called "doubling". Richard would tell us to do so, and he would want the "cut number"....the car numbers that went into the separate tracks, which would indicate what "cut" of cars went where. We would make our cut and call him on the radio. We would say, "I have the cut number, YOU GOT A PENCIL DICK"? (Richard) In a defeated low voice he would always respond...."yes".
You missed two important and profitable commodities, automobiles, and chemicals. There is a lot of Auto Assembly Plants along KCS de M in Mexico. There are also Chemical plants in Louisiana and Texas served by KCS. Both of these commodity types will move in manifest service.
Both types fall into “bulk” in my mind, despite not always being unit trains. Thanks for the comment!
I prefer “Canadian Southern” as the new name.
That sounds like some Norfolk Southern but Canadian type crap that's like saying Southern Pacific but like Canadian Southern instead of Pacific
Canadian city southern is better
@@Strasburg_Railfaner611fax
I wish CP would be its own thing, instead of doing this stupid bs..
Canadian Pacific & Southern?
whatever the livery colors and design ends up being, i hope it has some legacy elements from both railroads to continue their heritage
personally, i still miss the CP 'pacman'
It's not the 90s anymore and all the great fallen flag railroads are gone so interested to see how this goes.
At lest I also cp locomotive once
Great synopsis ! Also for those interested have activated a broadcastify railroad radio feed for southeast Wisconsin on 4/23 Which covers Cpkc , Wsor , Up and Cn . Listed under Southeast Wisconsin Railroads.
Swell film 👀❤. Good update on the merge . MY Mother's father ( my Grandfather ) worked for the C.P.R. as a conductor during the 1930's to 1958 , he would be happy about the merge as well !! . So Long from Canada - 4/30/23 🤠
I literally have BNSF, Union Pacific, CPKC, and CN within 15 miles from my house. Now Illinois will officially have every major railroad in it
Awesome video
It seems like the more "mergers" that happen, = more opportunity for short lines to pick up traffic that the class 1's don't think are profitable anymore. Good! Short lines provide better service and are usually better to work for from what I hear.
Great information and footage man!! Not sure if this merger is a thing but it is part of history though...
I hope they are being real on 2816
great train vidoe bro
The 2816 a steam excursion train level Edmonton ab on Mar 16, destination Mexico city then returning. So keep your ears on the rails for the distinct sound of the 2816 steam whistle.
new sub, good video
The moved puts CPKS in direct competition with major trucking companies now that they can load fresh produce in Mexico onto refrigerated cans. With no interchanging bring it into Canadian cities faster in winter then any truck driver could ever hope to do in the bulk that a single train does. Also gives migrants a easy way to get into Canada.
Kind of have mixed feelings. From a business perspective, this looks like a good fit. However, I hate to see two historic railroads lose their unique identity.
The railroads could have put a little more thought into the name of the merged systems.
I agree. Definitely has “CSX” or “BNSF” vibes.
@@NorthCountryTrains BNSF is a real name despite them making the acronym technically official. it rolls off the tongue. It stands for Burlington Northern Santa Fe. respecting both the railroads that created it. not close sharing CSX vibe.
@@devernepersonal3636 Not big on the name or orange color scheme, but agree at least you know what the BNSF lettering stands for. Board members must have had a martini or two when coming up with the CSX name!
@@devernepersonal3636 CSX came from (C)hessie System and (S)eaboard System.
@@JosephMusgrove (C)hessie System, (S)eaboard System.
Where is the CP 1800 locomotive train and its passenger cars kept. The video of the train going past Westport, NY, in the video was very enjoyable to see.
I ever tell you about the time my buddy Keith became CEO of a railroad and he made that railroad merge with another railroad to create a new railroad? He rose up in ranks to head the Canadian Pacific and at one point he decided that merging small railroads creates some opportunity, so he decided to make a deal with Kansas City Southern to merge. At one point, Canadian National tried to buy out KCS, but that was blocked, and then the CPR that Keith ran merged with the KCS. Oh man, there were a lot of sad or angry foamers when the two railroads merged! At first it was funny, then it became sad, but then it became funny again.
sure bud
Bro he does not know u like wtf??
This one time, my buddy Keith started up a historic tour, on account of his mom took him to Colonial Williamsburg, and it's like a license to print money at them places. Now you might ask yourself how an honest attempt to recreate the majesty of Colonial times turned into raccoon fights at five bucks a pop in Keith's backyard, ha-ha. Man, the answer to that particular question is that Keith is sharing a place with his two brothers and them being assholes who wouldn't let them do it anywhere but the backyard; well, add that to Keith didn't technically have any, y'know, history to put on display, but he did have a whole family of raccoons living in the chassis of an old car and you'd begin to understand.
KCS employees will soon realize that they would have been better off merging with CN. They have no idea what they have gotten themselves into and what's coming with regards to partnering with CP. There will soon be cuts, firings and resignations. The work environment will become an angry one with morale going down the drain on the KCS side.
CP CEO Keith Creel was a protege of Hunter Harrison for 20 years on how to run a railroad. Look up Harrison's track record (no pun intended) on what he has done to railroad companies in his wake and the horror stories behind them. The man was a "top choice" for shareholders -- not for employees. And look up what happened to CP since Harrison managed it and then gave the company over to Creel.
CN tried to buy KCS but in the end CP did buy out KCS. Not sure I would call it a merger though. What did KCS give CP as part of the “ merger”?
So who's #1 CPKC OR UP?
5:11 The paint is supposed to look like CP with KCS "Southern Belle" livery towards the rear.
5:27 That is a very fouled Nathan K5HL on that CP ES44AC right there
odd question, but what is the outro music at the end of the video? it's very calming
Natural Light by Chris Haugen, it’s in the RUclips audio library for creators.
I live near what was the MM&A tracks east of Montreal. The train that vaporized the town of Lac Megantic passed by a few hours before. Afterwords I saw a lot of work being done on the track and there are now far more trains passing by than there used to be. Can you tell me if CP has acquired that line?
Yes, CP(KC) owns the former MM&A. Traffic on that line was up to 3-4 daily trains, it’s now back down to 2 daily trains. A good bit of intermodal traffic going to Saint John.
I can't see the tracks from my place but a friend has farmland on both sides of the track. He told me that MMA hauled tank cars almost exclusively but that the CP trains have far more of other cars as well
It was acquired by CMQ after MMA, then CP(KC) picked it up from CMQ, 25ish years after they originally sold it
That footage of the old D&H locomotive looks like it’s from the old base in Plattsburgh, specifically the spur line that goes between Arizona and Idaho Avenues.
It is! Check out my video “The D&H and Me” for more
Since CPKC happened i wonder what's gonna happen to the panama canal railway.....
What will become of the mainline steam excursion train operations on Class 1 Railroads, Cabooses, F Units and OCS Trains in the future?
The wonderful CP OCS should remain with possibly some additions from the KCS train.
@@NorthCountryTrains Well then what about mainline steam excursion operations? What will become of it then?
They will still do that I assume
@@Theonewhoistointerestedi-zo1ls Hope so too, especially the return of 2816!
It was hunter Harrison who sold the D&H south of Albany
So theoretically I can now take a train from Saint John, New Brunswick, Canada to Mexico City Mexico or from Vancouver, British Columbia, Canada to Mexico City, Mexico. CPKCS should bring back a passenger service, they'd still be cheaper than what the airlines charge, Saint John isn't serviced by VIA Rail and I can remember taking the CP overnight train from Saint John to Boston 58 years ago. Container trains form Saint John, NB to Mexico City would be faster than shipping to a Gulf of Mexico port.
YOU can’t take the train, but you can ship via all of those routes. Who knows, maybe someday a privately-operated company will offer passenger service from Canada to Mexico, although I doubt it.
I live less than a mile from the tracks. More than 30 long trains every day night. When a derailment happens, chances are high, and poisons south Kansas City, there will be no recourse.
In the video he says we all know what happened to the WC but I do not know what happened to the WC. What happened to Wisconsin Central? What way should I know?
My apologies- Canadian National acquired the WC (as I showed a CN train)
@@NorthCountryTrains oh! Thank you for the information
CPKCS can now bring trains from Mexico to Canada avoiding Chicago. Listen even when the CN and up team up to compete for the Mexico market they will have to haul threw Chicago.
What we don’t see, when a CPKC train is led by a single locomotive, is that here’s another one mid-train; easing the drawbar load on the train. In rare cases, there’s a pusher as well.
So, unlike in the US, CPKC doesn’t put 4 or 5 locos on the point.
Don't forget KC also ran the railroad at the Panama Canal.
I got this feeling that this merger will end up like the Penn Central.
Doubtful. The New York Central and Pennsylvania were both in serious trouble years before they merged into the debacle that was Penn Central. The merger was a pure desperation move, and on top of that it added little new territory since the two railroads covered the same markets. Plus, the two railroads had been bitter rivals for so long that many of the employees and leaders didn't get along. Canadian Pacific and Kansas City Southern were both healthy railroads without any bitter animosity towards one another, many customers supported it, and the merger was literally end-to-end. CPKC is still the smallest Class I railroad in North America, if I'm not mistaken.
They have more money than CN but they have less track than CN
So does this mean KCS will finally be elevated to a Class 1 railroad status via the merger with CP rail? Now there would officially be 5 Class 1 rail companies in the U.S.
KCS and CP have both always been Class Is. The merger makes them a single Class I, one of 6 total.
Idk how the government allowed two huge railroads to merge into one mega railroad.
This is not a merger, CP took over completely and agreed to keep the “KC” in the logo to appease shareholders and the board of KCS prior to the deal being approved. CP management takes over full control and all KCS staff are being moved into new or similar positions under the CPKC ownership.
That’s correct, but “merger” is the term they are using so that is what I am calling it.
I have been working in the railway field for 7 years and I am looking for work with you
Has anyone thought about Canadian wheat to Mexico? KCS has bought a large number of covered grain hoppers over the last few decades. I don't think they were getting the utilization that would have made them pay. Now CP has someplace to move grain that is a single line movement. And no direct competition.
Kcs has access to Chicago now
Money?
As a lot of your video shows manifests make up a large part of CPKC traffic. Containers are a much smaller part.
I bet CP wishes they could only run stack trains…
The KCS employees are going to be in for the shock of their lives once they see what kind of railroad they partnered with. There's going to be cuts, firings and resignations from KCS employees once CP's operations kick in. Work morale will go down. And don't forget about scores of derailments as well that will most likely transpire.
CP CEO Keith Creel was Hunter Harrison's protege for 20 years - his underling. During that time while he was bouncing up and down on Harrison's knee, Creel learned all of the ways and tactics in how to supposedly run a railroad. So after Hunter Harrison passed away, good riddance, Creel became more or less "Hunter Harrison 2: The Continuation". Look up Hunter Harrison and what he has done to railroads that he managed and the horror stories contained therein. Especially look up here on RUclips what Hunter Harrison did to CP after he took it over.
As for a new possible livery or paintscheme after this merger? I don't think that's going to happen. If anything, Creel will just remove the "Golden Beaver Logo, remove CP's full name from its locomotives/rolling stock and just put "CPKC" on the equipment. That will be all. Don't expect anything fancy. If they are to do any kind of "liveries" just use the KCS paintscheme instead with no more than a couple tweaks. That one is umpteen times better and more superior than CP's dull paintscheme.
I am thinking in a few years the “KC” will fade away much like the BC Rail has faded since CN purchased it.
@@asquithmainlines699 Exactly. CN purchased BC Rail but didn't paint over their paintscheme. The company just let the livery remain, same with Wisconsin Central Railroad. Costs money to paint over every single rolling stock you buy so to cut corners in costs you just paint over a few if any at all and call it a day.
Yah boy!
Anxious to see how this plays out. Will all locomotives be red now ? What about a logo ?
Immediately after releasing the video the logo and branding was unveiled. It’s essentially all modern CP colors and graphics with the new CPKC name. I’m afraid red is likely to be the color…
Don't hold your breath on everything getting a new paintjob. That costs money!
They should make it look like when Union Pacific would paint a heritage unit. Though it would not be a heritage for anything
I live in Baton Rouge La....Haven't seen any CP power yet.
CP power will likely stay north for most jobs due to having Canadian-required features. However, run through trains like the new intermodal service are likely to have mixed power.
Personally, I don't care what CP does so long as I keep getting my monthly CP pension! lol
I believe CPKC is now the largest railroad network in the world
They overtook BNSF for that title
CPKC is still the smallest Class 1 railroad… takes a 5 second google search to learn that…
Union Pacific my dude
It would be great to see CP units in Louisiana and KCS units in Saskatchewan!
A few weeks ago I saw a KCS loco in Revelstoke BC.
My buddy lives in Louisiana and has the CN line go by his house. Now they will see CP locos close too
Your wish will probably come true. I’m sure some KCS units will run up north in Canada because they’re merging as one now. I’ve already seen loads of CP units all the way down in Florida and even as far down as Mexico
CPKFC.
RIP KCS
Your going to see a lot of oil trains going south as CP started looking at KCS after Keystone was canceled and they had to move crude out of Hardisty so buying a railroad that services downtown Houston made sense.
I'd rename the whole company something like Canusamex. First 3 letters of each of the 3 countries now served.
CPKC kinda sucks due to tradition and lack of imagination. It does not really reflect the international aspect
I bet lots of executives are let go cuz of duplication. Lots of $ to be saved right away.
DM&E isnt a crude oil train. There is no crude production anywhere along the tracy or waseca branch. Its ethanol and crops basically. With fertilizer going back west in the winter/spring
Where does the crude oil come from, if you know?
@@NorthCountryTrains There's no crude on the old DM&E line as there no production areas or large metro areas in southern MN on the Waseca or Tracy branch. The rest of the line from Tracy MN west was sold to RCPE in 2014 and the Hartland branch from Waseca to Mason City IA is torn up except about 2 miles of storage just south of waseca. Its basically just Ag products serving the many facilities along the line or Ethanol coming from 3 ethanol plants in southern MN.
There's Oil trains that run along the old IC&E line from the Twin Cities to Lacrosse MN, which I just looked up that it was purchased with the DM&E line. That line connects with the line coming threw North Dakota into the cities and splits in Lacrosse to southern Wisconsin or down the Mississippi River area. That oil comes from Canada or the Bakken field in North Dakota.
I believe DM&E was bought because they connected to many Class I railroads at the time and that DM&E was trying to tap into the Powder river coal basin, but that failed due to lack of funds and CP never pursued it further. Honestly im glad as the amount of trains and length that would run east per day would make getting around in Waseca nearly impossible.
@@brabblemaster401 Ah- I forget the IC&E was a different railroad sometimes
You mentioned about CP buying and selling lines south of the boarder in the 80's and 90's , at this time CP and CN were having lines shut down in Quebec by the first nations and the prospect of Quebec separating from Canada , so both railroads were looking south for uninterrupted access to the east coast , also at this time CP was majority owned by offshore owners who i believed didn't understand North American railroading. CP sold off or leased out the lines that didn't bring in the revenue that was expected, CP and CN are slowly starting to reaquire these small branches ,CN today who missed out on KCS deal is still looking at further expansion into the US , (CSX, NS,} ?
Seems like CP wanted to become a true North American player. UP and BNSF don't have the Canadian real estate. They've been bold, we'll see if it pays off.
You don't seem to get it.
CPKC's business was never in Eastern Canada., that was always CN territory.
So, the railroad moved its headquarters to Calgary (where I live), and there are 2-mile unit and manifest trains through the Canadian Rockies, about every hour or so, in either direction.
It wasn't the case of KCS merging with CP, but the other way around; there was a fierce battle as to whether CN would be the winner in the merging battle.
Very little changed: KCS will continue as before, except that it is now merged with the more stable and experienced Canadian Pacific Railway: and it's an advantage for everyone; the US operation will always be run by US crews.
The only difference now, is that there is no more interchange between CP, KCS and its subsidiaries, all the way from Canada to Mexico; more specifically from Western Canada.
That said, the KCS guys that deliver cars to our switching yard all say the same thing, CP doesn't know how to run a railroad. They are trying to enforce new rules and regulations that simply dont work here in the US
Change is coming quick,kieth creep,I mean creel is a direct underboss to Hunter Harrasment I mean Harrison They have surely already brought down their reign of terror on thousands of KCS RR families firing and laying off by the thousands cutting to the bone calling it persistent or precision railroading through Harrasment and intimidation. I feel for the KCS RR families.
Yea in a week ive seen 5 different KCS crews get bumped for their spot
~ Oh and you close the video with a CPR mixed manifest, how ironic. 😅
It’s all I see here in northern New York, besides the ethanol trains which I already felt I used too much. Ironically, the day after I published this video, I traveled to Montreal where I observed several monster CP(KC) stack trains.
Mothercanuckers!!! CP tried to merge with NS and CSX with a guy with a bad track record. Hope this merger works out.
I like the name Canadian Southern Railway better myself. so here's a corny joke. Would engines in the KCS paint scheme be considered heritage units? lol.
As with ex-ATSF warbonnets, not officially, but definitely a cool catch. CS would be a great name!
I should see if I can find some kcs engines
CpKC...The Route of the Barbeque Beaver
CP*
CP was a good railroad
Still is
Where’s Rob Leachman when you need him?
UPCN Is Union Pacific Canada National
Railways should be called--World Lease
Couldn't
Pick
Kool
Colors
Money only reason
Well yes, that's the case for most businesses.
KCS was the last of the Class 1's that had the best paint scheme and independent spirit. Class 1's are dead to me as of today. I hope they all merge into one at this point.
lol
True
No no that would destroy the economy
The paint scheme for CPKC better look like a heritage locomotive Union Pacific would paint
UP is my fav railroad but I do have to agree with you, except for them all merging
COMMENT CANADIAN CITY SOUTHERN BELOW 👇 IF YOU AGREE WITH THE RENAME OF CANADIAN CITY SOUTHERN
That doesn’t even make sense 💀
😁😁😁😀😀😄😄😄😃😃😊😋☺😚😚😚😙😗😗😗😗🤗🤗😑🙄🙄🙄🤐🤐🙄😮😲😲😲😲😲😨😱😱😱😱😱😱😱😱😱
Is sucks that CP has to stick there damn nose in other US RR and KCS shouldn't allow CP to merge.
Canadian Pacific bought KCS for 31 billion dollars ...it wasnt a merger , it was a purchase , if a larger company has the money to buy all your stock you have no choice , KCs is a small railway compared to Canadian Pacific . Large companies buy smaller one every day ! ..btw it's "their ' not "there" .
They want to be bigger. That’s the point. It’s not going to destroy the economy
Regardless who has the money the damn canadians shouldn't be stick there nose in American RR's and should stay in Canada where they belong. BTW who's the dumb idiot that let CP and CN RR' in America? Who ever did needs to have there head examined. If it was up to me I wouldn't let it happen the cause more foreign RR's buy American RR's the less American RR's there's going to be.
It was the CP that provided the money to build the Soo Line Railroad in the U.S. from Minneapolis, Minnesota to Sault Ste. Marie, Michigan back in the late 1800s.
queer there being no French written anywhere along that red track evaluation consist
CP is not nearly as “bilingual” as CN
:brrrRrr: doubting this fuckingly cleptoparasitic conglomerate'll ever care to herald any trilinguality either...
~ You sound a bit disgruntled.
Just tired at the time I made this, with no time to re-record due to the time sensitive nature of the video!
and KCS is no longer my only favorite railroad in the usa. smh typical