THE MERGER END-GAME LOOMS. MIDYEAR REPORT
Lawrence H Kaufman
Abstract
Lawrence H Kaufman
Abstract
The Surface Transportation Board (STB) decided, in March 2000, to impose a 15 month moratorium on major carrier mergers to give the regulatory agency time to develop new merger guidelines and policies to reflect the changed times since deregulation in 1980. The BNSF/CN (Burlington Northern Santa Fe/Canadian National) combination announcement on December 20, 1999 that they intended to combine to form the largest rail system in North America may have started the end-game in North American rail consolidation. The article looks at the anticipated showdown that the STB moratorium seems to have only delayed.
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The Surface Transportation Board (STB) decided, in March 2000, to impose a 15 month moratorium on major carrier mergers to give the regulatory agency time to develop new merger guidelines and policies to reflect the changed times since deregulation in 1980. The BNSF/CN (Burlington Northern Santa Fe/Canadian National) combination announcement on December 20, 1999 that they intended to combine to form the largest rail system in North America may have started the end-game in North American rail consolidation. The article looks at the anticipated showdown that the STB moratorium seems to have only delayed.
Key concepts: Deregulation, Consolidation (business), Agency (philosophy), Business, Finance, Economics, Market economy, Sociology