The Merger Review Continues - Your Sept. 30 Deadline is Approaching

Dear BNSF Customers,

Late Friday, the Surface Transportation Board (STB) denied the motions filed by BNSF, CSX and a coalition of shipper associations seeking rejection of the Union Pacific-Norfolk Southern merger application without a full review of its merits. That means that opening comments are still due Nov. 18 and all interested parties need to submit their notice to participate by Sept. 30.

We continue to believe that UP and NS have not presented an application that is in the public interest. At the same time, we respect the Board's desire to further develop the record, and we are encouraged by its acknowledgment that the questions and issues we and others raised will continue to be examined as the review of this “unprecedented” and “consequential” transaction moves forward. We were also glad to see the decision recognized what the majority of stakeholders have been saying all along: the application lacks transparency and depth while offering proposed fixes that provide little real protection against competitive harms we believe this merger represents. 

Importantly, this is not an approval. The Board was explicit that continuing the review "does not reflect any determination on the merits of the proposed transaction nor is it an endorsement of Applicants' arguments, analyses, or positions." Board member Richard Kloster, concurring separately, put it plainly: "I believe [the] Applicants still have a long way to go to show that the Transaction is in the public interest once all stakeholder arguments on the record are fully considered."

For customers, nothing changes today. Your service, your rates and your options are the same as they were on Friday. What's at stake is whether you still have those options years from now.

The record needs your perspective. Member Kloster’s concurrence highlights that UP and NS “have submitted thousands of pages of documents, yet they do not offer a very robust plan for how they will address competitive concerns or mitigate potential harms.” UP and NS carry the burden of proving this deal serves the public interest and enhances competition. The Board will weigh their case against what it hears from the businesses that actually move the freight and would be affected by the competitive harms this transaction poses. We'll make our argument, but no filing explains what fewer rail options would mean for your operation better than your own.  

There is still time to preserve your seat at the table. Notices of Intent to Participate (NOIP) are due Sept. 30. Filing a NOIP does not require you to take a position on the merger and does not commit you to any further action. It simply keeps your options open in a proceeding that will shape freight rail competition for decades. Step-by-step instructions are available at BNSF.com/PreserveRailCompetition.  

Thank you for your continued partnership. We will keep you informed as this process advances.
 
Sincerely,
 
Tom G. Williams
Executive Vice President & Chief Marketing Officer