Canadian Pacific Railway says it has ended talks with U.S. counterpart CSX about a possible combination. The company said regulatory concerns appear to be a major deterrent for railroads considering combinations. Several reports had surfaced recently that CSX had rejected a merger offer from Canadian Pacific Railway. CSX CEO Michael Ward said last week that the Surface Transportation Board, which regulates freight rail prices, would likely take a cautious approach to consolidation because there are only six Class I railroads in the U.S. and Canada. Canadian Pacific said Monday it believed that regulatory approvals would be achievable for the right deal. TheStreet's Scott Gamm reports from New York.
Stocks in this video: