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World Business Briefing: Canada: Railway Buying U.S. Carrier


The Canadian Pacific Railway agreed to buy the Dakota, Minnesota and Eastern Railroad Corporation, which operates in the Midwest. Canadian Pacific will expand its already extensive network in the United States by about 2,500 miles. Dakota and Eastern, based in Sioux Falls, S.D., operates in eight states. It has pursued a goal of being the third rail carrier in the Powder River Basin of Wyoming, the largest and fastest growing source of low-cost, low-sulfur coal in the United States. Frederick J. Green, chief executive of Canadian Pacific, said his company might pursue that expansion. Canadian Pacific is based in Calgary, Alberta.

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