Union Pacific, Norfolk Southern File Supplemental Information to STB on Merger — Update

By Kelly Cloonan

Union Pacific and Norfolk Southern are stepping up efforts to convince regulators to approve their $71.5 billion merger, adding commitments to ensure the deal would provide faster, more reliable service as promised.

The freight railroad companies said Monday their combined railroad would expand committed gateway pricing, offering fixed pricing agreements for twice as many eligible shipments. The companies also committed to grant access to another railroad at certain locations where railroad options would drop as a result of the merger.

Additionally, the companies said they would allow customers to temporarily access alternative rail service if their service were to worsen during the merger integration. Customers would also gain access to a new rate relief process if the merger doesn't provide benefits in a timely manner.

The companies provided the new commitments alongside supplemental information requested by the Surface Transportation Board. The federal regulator had said in May it needed more information to evaluate the two railroads' revised application for the merger, which has been contested by some customers and rivals who have said it would increase freight prices and hurt competition.

Union Pacific Chief Executive Jim Vena said the companies' latest commitments aim to provide additional assurances to customers and the STB.

"We are more confident than ever that creating America's first transcontinental railroad is good for America," Vena said. The merger would provide faster and more reliable coast-to-coast service, as well as create cost savings that would flow through to consumers, he said.

With the filing, Union Pacific and Norfolk Southern said they have now completed their responses to the STB's requests for supplemental information.

As part of their responses, the companies earlier this month said they have no interest in controlling the Terminal Railroad Association of St. Louis, Kansas City Terminal Railway or TTX Company, which are jointly owned with other railroads.

Additionally, last week Union Pacific said it reached a deal with Canadian National Railway to give the Montreal railroad further access in the Midwest, as well as Norfolk Southern's ownership interests in the Kansas City Terminal Railway Company and the Terminal Railroad Association of St. Louis, in exchange for ending its opposition to the merger.

Union Pacific and Norfolk Southern said they expect the deal to close in mid-2027 as STB continues its review of their merger application.

Write to Kelly Cloonan at kelly.cloonan@wsj.com

(END) Dow Jones Newswires

July 27, 2026 18:32 ET (22:32 GMT)