Merger money cuts into Kansas City Southern’s Q2 profit

A photograph of a KCS train at a rail yard.

The $700 million fee that Kansas City Southern paid to terminate its merger agreement with Canadian Pacific slashed KCS’ income for the second quarter.

KCS (NYSE: KSU) folded the fee into its operating expenses, which became $1.18 billion for the second quarter. It also led to a second-quarter net loss of $378 million, or $4.17 per diluted share, as well as an operating ratio of 157.6%.

CN (NYSE: CNI) will reimburse the $700 million fee should the CN-KCS merger be approved by federal regulators...

https://www.freightwaves.com/news/merger-money-cuts-into-kansas-city-southerns-q2-profit

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