CN resumes rail operations in Toronto-Montreal corridor

MONTREAL, April 21, 2007 — CN today restored rail service in its Toronto-Montreal corridor after the end of an illegal blockade of its tracks by First Nation protestors.

Yesterday CN shut down corridor operations, embargoing all freight and passenger traffic in the interest of safety, after some members of the Mohawks of the Bay of Quinte First Nation, without the support of the elected Chief in council, blocked the company's double-track main line west of Napanee, Ont.

The blockade disrupted CN freight and VIA Rail Canada Inc. passenger services in the busiest rail corridor on CN's system.

CN customers can expect some delay in the delivery of their shipments as a result of the illegal incident.

This news release contains forward-looking statements. CN cautions that, by their nature, forward-looking statements involve risk and uncertainties, including the assumption that, while CN expects a moderate slowdown in the North American economy in the near term, positive economic conditions in North America and globally will continue, and that its results could differ materially from those expressed or implied in such statements. Important factors that could cause such differences include, but are not limited to, industry competition, legislative and/or regulatory developments, compliance with environmental laws and regulations, various events which could disrupt operations, including natural events such as severe weather, droughts, floods and earthquakes, the effects of adverse general economic and business conditions, inflation, currency fluctuations, changes in fuel prices, labour disruptions, environmental claims, investigations or proceedings, other types of claims and litigation, and other risks detailed from time to time in reports filed by CN with securities regulators in Canada and the United States. Reference should be made to CN's most recent Form 40-F filed with the United States Securities and Exchange Commission, its Annual Information Form filed with the Canadian securities regulators, and its 2006 Annual Consolidated Financial Statements and Notes thereto and Management's Discussion and Analysis (MD&A), for a summary of major risks.