WASHINGTON, April 8 (Reuters) - The U.S. Justice Department
on Friday called on a regulator to reject a voting trust
Canadian Pacific CP.TO has proposed as part of its takeover
bid for Norfolk Southern (NYSE:NSC) NSC.N , saying it risked harming
competition in the rail industry.
The Justice Department said in a statement that it had told
the Surface Transportation Board, which is reviewing the
proposed merger, that the voting trust would "fail to preserve
the independence of the merging railroads during the pendency of
the transaction's regulatory review and would risk harm to
current and future competition."