April 11, 2007 19:18 ET

CN locks out UTU members at several terminals in Canada

MONTREAL, QUEBEC--(CCNMatthews - April 11, 2007) - CN said today it is locking out United Transportation Union (UTU) members at various terminals in Canada where UTU members have withdrawn their services.

E. Hunter Harrison, CN president and chief executive officer, said: "CN is a scheduled railroad, and we cannot run scheduled/precision freight operations without predictable manpower resources. Rotating withdrawals of employee services are very disruptive to the company. We must ensure the continuity of our operations."

CN continues to serve its customers across Canada with management personnel performing the duties of locked out UTU members.

Harrison said CN is prepared to resume negotiations with the UTU, but no date for talks has been established.

The UTU launched renewed strike activity after announcing yesterday its members' rejection of a tentative agreement with the company signed on Feb. 24, 2007.

UTU members in Canada have been on strike at CN since Feb. 10, 2007, but suspended strike action and returned to work during the ratification process for the tentative settlement.

CN said the UTU has given the company verbal assurances that it will continue to protect commuter rail services in Toronto and Montreal during rotating labour action.

For more information about the UTU strike and CN negotiations, please visit

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. 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.

CN - 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.

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