CN
TSX : CNR
NYSE : CNI

CN
Maher Terminals of Canada Corporation

Prince Rupert Port Authority

April 29, 2005 11:02 ET

CN, Maher Terminals of Canada Corporation and the Prince Rupert Port Authority announce plans to launch new container terminal in first-quarter 2007


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: CANADIAN NATIONAL RAILWAY COMPANY

TSX SYMBOL: CNR
NYSE SYMBOL: CNI



AND MAHER TERMINALS OF CANADA CORPORATION



AND PRINCE RUPERT PORT AUTHORITY

APRIL 29, 2005 - 11:02 ET

CN, Maher Terminals of Canada Corporation and the
Prince Rupert Port Authority announce plans to launch
new container terminal in first-quarter 2007

PRINCE RUPERT, BRITISH COLUMBIA--(CCNMatthews - April 29, 2005) - With
$60 million in funding for the new Port of Prince Rupert container
terminal now secured from the Canadian and British Columbia governments,
CN, Maher Terminals of Canada Corporation and the Prince Rupert Port
Authority announced today plans to make the new terminal a reality in
the first quarter of 2007.

- CN has obtained approval from its board of directors to increase its
financial contribution to the terminal to $30 million from $15 million.
Of the $30 million total, $15 million will be spent on the intermodal
yard at the port, $10 million on terminal trackage, and $5 million on
infrastructure improvements to CN's B.C. North line so that it can
accommodate double-stack container cars.

- Maher Terminals of Canada Corporation has completed plans to proceed
with a request for proposals in May 2005 for the acquisition and
installation of three large container cranes at the terminal, together
with supporting container handling equipment and technology, at a cost
of approximately $60 million.

- The Port of Prince Rupert is completing bank financing for its
$25-million contribution to the container terminal development.

Phase 1 of the terminal development is expected to provide initial
throughput capacity of 500,000 TEUs (twenty-foot equivalent containers)
per year.

E. Hunter Harrison, president and chief executive officer of CN, said:
"CN is excited with the progress being made toward launching the Prince
Rupert container terminal in the first quarter of 2007. CN will be
ready. It has the capacity, service and transit times to make Prince
Rupert a true success. CN's network will offer fast access from Prince
Rupert to the key markets of Toronto, Montreal, Chicago and Memphis."

Brian Maher, chairman and chief executive officer of Maher Terminals of
Canada Corporation, said: "We're forging ahead with our crane order and
operating plan to be ready with our partners to start handling
containerized goods through the port in the first quarter of 2007.
Congestion at major ports along the west coast of North America remains
a significant issue, and dialogue with the international steamship and
shipping community indicates a real interest in using the Port of Prince
Rupert for container traffic. We have a clear window of opportunity to
put Prince Rupert on the world map."

Don Krusel, president and chief executive officer of the Prince Rupert
Port Authority, said: "The opening of this new terminal will not only
bolster Canada's international trading ability, but also create a new
North American gateway for goods moving between Asia and the principal
markets of Canada and the United States. This development will also
deliver solid economic benefits to Prince Rupert and Northern British
Columbia - Phase 1 of the project alone is expected to generate nearly
500 direct and indirect jobs."

Phase 1 of the terminal project is part of a broader plan to build a
facility capable of handling 2 million TEUs per year.

Canadian National Railway Company spans Canada and mid-America, from the
Atlantic and Pacific oceans to the Gulf of Mexico, serving the ports of
Vancouver, Prince Rupert, B.C., Montreal, Halifax, New Orleans, and
Mobile, Ala., and the key cities of Toronto, Buffalo, Chicago, Detroit,
Duluth, Minn./Superior, Wis., Green Bay, Wis., Minneapolis/St. Paul,
Memphis, St. Louis, and Jackson, Miss., with connections to all points
in North America.

Maher Terminals, Inc., a family owned and operated company headquartered
in New Jersey, is one of the world's largest independent multi-user
container terminal operators. Maher is not only a vital link in the
cargo movement chain, but it is also responsible for helping its
customers compete in the world marketplace by handling their cargo as
expeditiously and economically as possible. Founded in 1946, Maher
operates the largest multi-user container terminal in North America in
New Jersey, with a capacity in excess of two million containers (3.4
million TEUs) per annum.

Strategically located at the North American entry point of the North
West Transportation Corridor, the Port of Prince Rupert links the
fast-growing Asian markets to one of the world's largest industrial and
consumer powerhouses. With modern terminals and the availability of vast
industrial development property, congestion free facilities provide
transit time and cost-saving opportunities for shippers and producers.
Superior connections mean efficient access to the entire North American
continent. With the deepest harbour in North America, the Port of Prince
Rupert is set for continuous activity catering to the world's largest of
vessels. Along the Mid-West Express, the Port of Prince Rupert is the
essential link to the New World Economy.

This news release contains forward-looking statements. CN cautions that,
by their nature, forward-looking statements involve risk and
uncertainties and that its results could differ materially from those
expressed or implied in such statements. Reference should be made to
CN's most recent Form 40-F filed with the United States Securities and
Exchange Commission, and the Annual Information Form filed with the
Canadian securities regulators, for a summary of major risks.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    CN
    Mark Hallman
    (905) 669-3384
    www.cn.ca
    or
    Maher Terminals of Canada Corporation
    Frans van Riemsdyk
    (908) 665-2100
    or
    Prince Rupert Port Authority
    Maureen Bader
    (250) 627-2509