April 20, 2007 16:25 ET

CN shuts down rail operations in Toronto-Montreal corridor for safety reasons following illegal blockade by First Nation protesters

MONTREAL, QUEBEC--(CCNMatthews - April 20, 2007) - CN announced today a shutdown of rail operations in its Toronto-Montreal corridor, including an embargo on all freight and passenger traffic, to ensure the safety of its employees and the travelling public. The shutdown follows an illegal blockade of CN's double-track main line west of Napanee, Ont., by some members of the Mohawks of the Bay of Quinte First Nation.

The blockade has seriously disrupted freight and passenger service in the busiest rail corridor on CN's system - the Montreal-Toronto line accommodates on a daily basis an average of 25 CN freight trains and 22 VIA Rail Canada Inc. passenger trains.

CN earlier today obtained an interim injunction from the Ontario Superior Court of Justice ordering protestors to remove the blockade immediately.

The injunction has been served on the protestors. CN is concerned that the Ontario government has not ensured enforcement of the court order to allow train traffic to resume in this very important corridor. CN hopes to be able to restore service as soon as possible for its customers.

This news release contains forward-looking statements. CN cautions that, by their nature, forward-looking statements involve risk and uncertainties, including the assumption that, while CN expects a moderate slowdown in the North American economy in the near term, its business prospects assume positive economic conditions in North America and globally, 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.

Contact Information

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    (905) 669-3384
    Robert Noorigian (Investment Community)
    Vice-President, Investor Relations
    (514) 399-0052