Canadian Pacific wants vote on Norfolk Southern deal
OMAHA, Neb. (AP) - Canadian Pacific plans to ask Norfolk Southern shareholders whether they want the two railroads to pursue a merger.
Canadian Pacific said Tuesday that it plans to submit a shareholder resolution on a possible deal at Norfolk Southern's annual meeting this spring. But it doesn't plan to nominate its own slate of directors to press the issue.
Norfolk Southern has sternly rejected all of Canadian Pacific's takeover offers even as they approached roughly $30 billion. Norfolk Southern has said the offers have been so "grossly inadequate" that there wasn't much point in discussing a possible deal.
Canadian Pacific has said combining its railroad with Norfolk Southern would create a more efficient operation that could haul more freight. CP also predicts that it could cut roughly $1.8 billion in annual costs.
(Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)