CN (TSX : CNR) (NYSE : CNI) announces plans to invest approximately C$350 million in Ontario in 2021 as part of CN’s C$3 billion capital investment plan across its network.
In Ontario, CN’s investment will focus on technology, capacity, and infrastructure maintenance to enhance safety and the fluidity of its network.
“Our consistent and proactive infrastructure investment strategy and the essential work of our employees and supply chain partners are what enable CN to keep the economy moving safely and smoothly year after year. Safety is a core value at CN and we will continue to invest in our track and in technology to support our overall network capacity and provide our customers with safe and reliable service. As we look to the future, we are excited about the opportunity to do even more for our customers, employees, communities and shareholders through our end-to-end, pro-competitive combination with Kansas City Southern, which will connect North America and build the premier railway for the 21st Century.”
Derek Taylor, Vice-President, Eastern Region at CN: “Our government salutes CN for its commitment to rail safety and the fluidity of its network while minimizing pollution. We will continue to support green projects that keep Canadians safe, stimulate the economy, and ensure that our rail network remains one of the most efficient and secure rail transportation systems in the world. This announcement will help create good middle-class jobs and help move goods efficiently to market, and people to their destinations.”
The Honourable Omar Alghabra, Minister of Transport, Government of Canada: “CN’s continued investment into its rail infrastructure is good news for Ontario. Rail service is critical to many Ontario supply chains. CN is an important freight transportation company that moves goods needed by Ontarians.”
Maintenance program highlights include; Replacing 67 miles of rail, Installing approximately 176,000 new railroad ties, Rebuilding 85 road crossing surfaces; and Maintenance work on bridges, culverts, signal systems, and other track infrastructure.
Ontario in numbers: Capital investments: More than $1.4 billion in the last five years; Employees: approximately 4,000, Railroad route miles operated: 2,546, Community partnerships: $3.7 million in 2020, Local spending: $2.3 billion in 2020, Cash taxes paid: $131 million in 2020.
CN’s overall investment plan reflects CN’s determination to play an important role in the economic recovery and to be part of the climate solution. By creating a more fluid and more efficient network, we encourage the use of rail for long haul transportation, leading to reduced emissions. CN is one of only three Canadian companies listed on CDP’s prestigious Climate A List.
The proposed end-to-end merger between CN and Kansas City Southern will create a transportation network across North America, enhancing competition, spurring economic growth and delivering benefits to the local communities in which both railroads operate. The transaction will provide an enhanced platform for growth, capital investment, and job creation. Together with KCS, CN's industry-leading commitment to science-based climate targets and a faster, safer network will result in a cleaner connected continent.
