Canadian National's quest to buy EJ&E takes new turn
By KEVIN CRAVER - kcraver@nwherald.com
Canadian National has thrown a new twist into its quest to purchase the Elgin, Joliet & Eastern Railway – it wants the deal approved by the end of the year, but won’t run any further freight until an environmental review is complete.
Montreal-based CN said it asked the federal Surface Transportation Board to decide by Sept. 15 whether it will modify its schedule to make a final decision by Oct. 15. If the STB does not act by Sept. 15, the petition states that CN will ask the U.S. Court of Appeals to compel the STB to make a final decision to allow the $300 million purchase by year’s end.
The proposal, which would relieve rail pressure in Chicago by adding more freight along the EJ&E, has sparked outrage among leaders and Congress members in many of the communities along the line, which loops around Chicago between Waukegan and Gary, Ind.
CN needs federal approval soon because the EJ&E’s owner, U.S. Steel, will not modify the stock purchase agreement to allow for a purchase after Dec. 31.
Read more about it in Saturday’s Northwest Herald.
