Rail News

DATE

September 30 , 2021


CN railroad faces investor pressure after losing rail deal

The Washington Post 
29 September, 2021 (Omaha, Nebraska, US)

After walking away from its effort to buy Kansas City Southern railroad earlier this month, Canadian National Railway Co. continues to face investor pressure to make changes in its operation.

The London-based investment firm TCI Fund — which owns about 5% of CN’s stock — is pressing CN to overhaul its board, get a new CEO and improve its own operations. TCI has said that the new strategic plan CN announced after breaking off merger talks isn’t enough to address its concerns about the railroad, so it is still pressing for a special meeting to elect four new directors who would help pick a new CEO.

“CN is not realizing its full potential because of poor management and a lack of oversight from directors who are experienced in railway operations,” TCI said in a document outlining their concerns that it filed with regulators this week. “History has shown that with the right leadership – and a knowledgeable board that holds management accountable – the performance of a railroad can be improved quickly.”

Source
https://www.washingtonpost.com/business/cn-railroad-faces-investor-pressure-after-losing-rail-deal/2021/09/29/8ff5c37c-216c-11ec-a8d9-0827a2a4b915_story.html

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