Union Pacific - Norfolk Southern merger talks

[muktown128]

Below is a link to one of a few articles that popped up in the last day about UP-NS merger talks.

https://www.msn.com/en-us/money/companies/union-pacific-and-norfolk-southern-reportedly-eyeing-merger/ar-AA1ISz2W?ocid=emmx-mmx-feeds&cvid=6e988cbaf2034b6a9d73b81a0e4dacd6&ei=33

I believe IF (big IF) this were to be approved and happen that BNSF and CSX would likely partner up in order to compete. 

I also believe a true US transcontinental railroad will eventually happen.

Scott

[C855B]

Oh, wonderful. Joyless, belligerent, faceless giant corporations trying to become more so. Is this for the shareholders? Not according to my UP holdings, which have been flat for months.

"May you live in interesting times."

[chessie system fan]

I thought NS was struggling the past few years.  Maybe this is just because it's relatively "cheap" right now?

[Philip H]

Ugh. There was a day I would have said the STB would knock this down;  now I’m not so sure. Nothing good will come of this.

[mu26aeh]

Ugh. There was a day I would have said the STB would knock this down;  now I’m not so sure. Nothing good will come of this.

I felt the same way when my company "merged" (it's becoming more and more like a buyout) with our main competitor.  Nah, FTC allowed it to go thru.  Now they're so big in the market they charge what they want and dont give a rats a$$ about customer service.

[eja]

I sold a position in NSC as soon as this news hit the wire.    Even with the "King" supposedly in charge of things , I suspect this is at least a couple of years before it actually happens. 

Lots of chances to buy again at a lower price  ...  Y$MV (Your $ May Vary).

eja

[signalmaintainer]

Ugh. There was a day I would have said the STB would knock this down;  now I’m not so sure. Nothing good will come of this.

Berkshire Hathaway has more quarters lost in its metaphorical sofa than UP and NS have potential merger capital put together. So I wouldn't rule out BNSF as a player in this game. Kansas City is the key link in the chain for both UP and BNSF. For BNSF+NS especially, keeping Transcon traffic moving eastward without interchange delays and also avoiding Chicago makes perfect sense.

CSX doesn't touch KC; NS does. Bear that in mind.

[C855B]

CSX doesn't touch KC; NS does. Bear that in mind.

Barely. There is no way that NS's two lines into KC can absorb a fraction of what UP runs on the racetrack. Main connection would still be via ex-C&NW into Chicago. I would sooner expect them to upgrade bypasses around Chicago than all-but-rebuild what it would take to make KC viable.

Now UP might spread the wealth a little via the ex-SSW/ex-MP into STL, where the former CR line can certainly take a hunk of volume.

However, CSX + BNSF a player? They'd fall on their noses. Chicago, yes, but STL and Memphis connections would take a buttload of upgrades to be competitive.

[muktown128]

BNSF + NS makes sense.  Don’t even need to change the initials LOL.  Or if you want to include them, then I’d suggest BNNSSF. HAHAHA

[Missaberoad]

UP wouldn't have to change their initials either! 

[muktown128]

UP wouldn't have to change their initials either! 

Touché 

[nkalanaga]

No, UP will just repaint everything UP.  On the plus side, UP Yellow would be a lot easier to see in Appalachian forests than NS black.

I've also though BNSF + NS would be an interesting combination, name-wise.  And since "BNSF" is the corporate name, not just reporting marks, adding a third road wouldn't make any difference.  Interestingly, I see quite a few unit grain trains from BNSF on NS south of Kenova, WV.  Hardly ever see more than single UP cars, of any kind.

[muktown128]

Agreed, if UP does take over NS, NS will be assimilated into the UP Borg.  Hopefully they would leave the heritage locos alone, or just renumber them at most.

[aikorob]

could we dare hope for UP heritage fleet in the east?

[Missaberoad]

Agreed, if UP does take over NS, NS will be assimilated into the UP Borg.  Hopefully they would leave the heritage locos alone, or just renumber them at most.

Unpopular opinion, but I think filthy heritage engines with UP patches would look pretty hot!