Changes to Private Empty car moves

We are listening.

You've told us that the mileage equalization rules in CN 6544 are complicated and that determining which moves are subject to mileage equalization is difficult. You've asked us for better linehaul rates when you move your private empty cars onto CN lines for future CN revenue moves.

This is why we're launching changes to the application of our mileage equalization tariff CN 6544. Earlier this year, CN announced a reduction to the mileage equalization fee and an increase in the empty mileage allowance for empty private cars traveling on CN lines in Canada. Our next changes are designed to further help customers shipping private cars, as well as those customers considering adding private cars to their fleet.

Effective January 1st, 2011, any move preceded by a linehaul move on CN will be subject to mileage equalization in Canada. Simultaneously, we are launching new, lower linehaul rates for moving your empty cars from another carrier onto CN, applicable across our entire network. These rates will take into consideration the fact that often CN benefits from a linehaul move as a result of this initial repositioning. However, as an added benefit to our private car shippers and owners, these new linehaul rates will apply to any move of an empty private car from another rail carrier onto CN, regardless of circumstances. This means moves to shops on CN lines from another rail carrier will also benefit from these rates.

This change does not affect our existing back-to-back empty policy, nor does it affect your free empty return after the shipment of a load.

We hope that this change will reduce the complexity around moving empty cars from one carrier to another, by having one, consistent policy.