ATLANTA, Ga. — An Atlanta-based rail company announced on Tuesday the agreement to a merger which makes it one of the largest railroad deals ever.
Norfolk Southern announced an agreement with Union Pacific to create the first transcontinental railroad in America.
It merges the No. 1 and No. 5 North American railroads by revenue with a combined market value of more than $250 billion.
“Together we will unleash the strength of our nation’s economy and preserve union jobs,” Norfolk Southern announced. “The combined company will aim to be the safest railroad in North America, ensuring every team member goes home safe to their families and advancing Union Pacific and Norfolk Southern’s proven technologies for further safety improvements.”
“Railroads have been an integral part of building America since the Industrial Revolution, and this transaction is the next step in advancing the industry,” said Jim Vena, Union Pacific Chief Executive Officer.
According to Norfolk Southern CEO Mark George, Norfolk Southern and Union Pacific have “a storied 200 year legacy of serving customers across 22 states in the eastern half of the nation.”
The companies are expected to connect more than 50,000 route miles across 43 states from the East Coast to the West Coast and link approximately 100 ports and nearly every corner of North America.