CP’s Detroit River Tunnel

[kd_1014]

CP has just announced that they are taking 100% control of the Detroit River tunnel between the US and Canada.

[David Lang]

Hmmm....very interesting.

Is there still talk, or at least a desire for CP to someday have their own line to Chicago and not to continue to run on NS?

Just curious.

David Lang

[Talk]

Hmmm....very interesting.

Is there still talk, or at least a desire for CP to someday have their own line to Chicago and not to continue to run on NS?

Just curious.

David Lang

There is still talk, but this has been on CP rail's mind for a while. Just like CSX selling the GR, GR Terminal, and Plymouth.

I'm wondering what would be the reason to have a full buy out of the tunnel. Seems like they were doing fine

[DaveO]

The pension board needed to sell because it could get a better return on investment elsewhere?

I don't know about Canada, but here in the USA, pension boards have a fiduciary duty to maximize return.
Even it it means harm to current employees.
That how some of those greenmail schemes get done.

[Ypsi]

Was this shared with Conrail or NS? Is there a link for this of some sort?

[Steve B]

Just buying back control from the pension fund, reducing CP's operating costs. No operational changes. I'm guessing that CP sold a majority stake to OMERS back when CP was seeking capital to build a new tunnel. Those plans have long since been shelved.

https://www.prnewswire.com/news-release ... 53782.html