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U.S. would approve rail merger?

(AP) The CEO of Canadian Pacific says U.S. regulators would approve a well-structured railroad merger, but nothing is planned now that talks with CSX ended. CEO Hunter Harrison said during a conference call Tuesday he doesn’t agree with the view that the Surface Transportation Board wouldn’t approve any merger. Merging the Canadian Pacific Railway Ltd. with CSX Corp. could have improved service by routing traffic around the bottlenecks in Chicago, Harrison said. Harrison said giving railroads access to customers on other rail networks would improve competition and increase the chances that regulators would approve such a deal. But Harrison said Canadian Pacific and CSX couldn’t agree on several issues, so talks ended after several meetings. Officials at Jacksonville, Florida-based CSX declined to comment Tuesday. CSX CEO Michael Ward said last week that regulators would likely take a cautious approach to any railroad consolidation deals.

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