Transports Weekly Chartbook

Research evidence excerpt

Transports Weekly Chartbook

Company & Industry News – Key Takes

UP/NS respond to STB request, FDX sells Supply Chain segment, SAIA issues 7.1% GRI, Montgomery Case back to district court, Idaho ends non-dom CDLs.

 UNP/NSC submit 1st batch of supplemental information: On Tuesday, UNP and NSC submitted the 1st batch of responses to the Surface Transportation

Board’s (STB) request for additional information as a supplement to the accepted merger application on May 28th. The filing targets the STB’s inquiries on

the Terminal Railroad Association of St. Louis (TRRA), Kansas City Terminal Railway (KCT), and TTX railcar pooling company. UP/NS commented that they

do not control these entities today and expect to continue not to control them post-merger. UP and NS also noted that other Class 1 railroads may likely be

using the TRRA as a tactic aimed at delaying the merger, underscoring that BNSF, CSX, and CN were not present at a meeting called for by the TRRA.

UP/NS also ensured that all other requests will be responded to by the STB deadline of July 27th, which includes updated market share projections,

downstream merger impacts, and data related to enhanced competition.

 FDX sells 3PL segment to CMA CGM: Last Wednesday, FDX announced (Reuters, 7/1/26) the sale of its Supply Chain segment to French logistics company

CMA CGM for $1.4 billion. The acquisition is intended by CMA to grow its presence in North America to roughly 150 warehouses and approximately 20,000

employees in contract logistics. FDX and CMA will create a non-exclusive partnership in which CMA will become FDX’s preferred ocean carrier. FDX began

its supply chain business with the acquisition of Genco in 2015. The segment offers inbound logistics, distribution, warehousing, and fulfillment and

returns.